Intellectual Capital and the Performance of Public Listed State-owned Enterprises in the Digital Society Era

Abstract

The shift from the industrial revolution 4.0 to the era of Digital Society 5.0 requires companies to develop strategies to optimize their resources. One way to optimize company resources is by developing intellectual capital. Intellectual capital is needed to improve the performance and competitiveness of the company, especially in the era of Digital Society 5.0, including Go Public SOEs companies which consist of various sectors that play an important role in Indonesia's development. Study of intellectual capital development in SOEs Go Public companies in entering the era of Digital Society 5.0 is still limited. This study aims to fill this gap. The data used is secondary data on the Indonesia Stock Exchange and analyzed quantitatively. Results show that intellectual capital has a significant and positive effect on company performance. This means companies must pay attention to intellectual capital in the era of digital society 5.0. The element of intellectual capital that has the greatest influence based on this research is human capital, while the element of structural capital has no significant effect on the company's performance. The results of this study are also in line with the resource-based theory where SOEs must maximize their competitive advantage to compete in the Digital Society 5.0 era. Go Public SOEs must continue to develop and maintain their intellectual capital. In addition, Go Public SOEs should not only acquire, maintain, and strengthen their intellectual capital but also need to make plans to increase the speed and quality of innovation to improve their performance.