The Evaluation of Core Competencies in Networks : The Network Competence Report

Purpose: The purpose of this paper is to propose a model to disclose, report, and manage intellectual capital (IC) in a network of companies. To this end, it provides a monetary evaluation of core competencies (CCs), which may be defined as a bundle of various types of intangibles, aggregating their value into a network statement, called a network competence report (NCR).Design/methodology/approach: The paper utilises the interventionist approach. The intervention was conducted by the authors and studied through joint reflections on documentation from meetings and individual, semi-structured interviews.Findings: The NCR makes IC more transparent, thereby allowing companies and network managers to assess the strengths and weaknesses of CCs with a consequent potential insight into their potential earnings.Research limitations/implications: This method is labour-intensive, especially in its first application, and the data collection requires considerable company involvement. The interventionist approach may have influenced the empirical results, which may be affected by subjectivity. As the paper involves a single network, care should be taken in generalising its empirical evidence.Practical implications: In making IC management more effective, the NCR is valuable for academics, management, political authorities and, more generally, for a network's stakeholders. The NCR is a tool for internal and external communication purposes, creating the conditions to mobilise IC. The proposed model supports the diagnosis of networks by providing CC maps and assessments relevant to their governance and competitiveness. The NCR depicts company and network CCs, allowing intertemporal comparisons that facilitate understanding of the effectiveness of the network's actions and the importance of belonging to it.Originality/value: This paper represents a first attempt to evaluate, in monetary terms, CCs in a network. Its value lies in its practical implications. Moreover, the paper investigates IC in applied terms, contributing to reducing the gap between theory and practice