Intellectual capital and organizational organic structure in knowledge society: How are these concepts related?

This paper seeks to investigate the relationship between organizational organic structure and intellectual capital improvement. Researches show that the organic structure and intellectual capital have a strong relationship but this relationship has not been examined systematically. This paper reviews the important theoretical work in both streams of research, highlighting the fundamental similarities and differences. Models of intellectual capital are compared, and the distinction between social, human and organizational capital is examined. The nature of organizational organic structure is presented. We examine the relationship between organic structure and intellectual capital improvement. Then the impact of organic structure on information management and information processing capability is examined. The results support the view that organic structure has a positive impact on intellectual capital. Therefore, the organic structure can improve intellectual capital in the organization. This study helps managers to design flexible and dynamic organizational structures to enhance the intellectual capital in the organization and increase the ability to compete.