Evaluating Intangible Assets : The Measurement of R&D Performance

Intangible assets are increasingly considered the ultimate roots of company's success. This paper aims to propose a method to estimate the value embedded in Ramp;D activities, which could be used for: (i) a una tantum evaluation of a firm's value, related to specific actions such as mergers, acquisition, etc.; and (ii) a periodic evaluation, with the perspective of the economic reporting, focused to estimate the Ramp;D shareholder value creation. The proposed framework is based on the assumption that there is a strong relationship between the Ramp;D contribution to shareholder value and the operational performance of Ramp;D activities. The paper describes such a framework as well as an empirical application.Keywords: Research and development, Intangible asset, Performances measurement, Ramp;D Evaluation