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Research Article | Volume 5 Issue 2 (July-December, 2025) | Pages 1 - 13
The Relationship Between the Intellectual Capital and the Organizational Excellency: Analytical Study for a sample from Iraqi Universities Faculties
 ,
 ,
 ,
1
Lecturer at University Thi-Qar, Iraq
2
Faculty of Al Nassiriya Technical Institution/Southern Technical University, Iraq
3
Faculty of Al Rasheed University College, Baghdad, Iraq
4
Researcher at the Ministry of Electricity/Thi-Qar Directorate for Electrical Distribution, Iraq
Under a Creative Commons license
Open Access
Received
June 23, 2025
Revised
July 27, 2025
Accepted
Aug. 6, 2025
Published
Aug. 18, 2025
Abstract

The study examined the role that intellectual capital plays in achieving organizational excellence. It seeks to provide a theoretical framework for some writers and researchers who tested the variables of the study, as well as the practical framework for the opinions of (47) Iraqi instructors (a sample of Iraqi universities through a questionnaire). Intellectual capital has been expressed as an independent variable through its three elements (human capital, structural capital, relational capital), while organizational excellency was expressed as dependent variable through its four indicators (leadership excellence, strategic excellence, operations excellence, employees' excellence). The study used the questionnaire as a main tool for measuring the study variables and the use of a set of statistical tools such as the arithmetic mean, standard deviation and the simple correlation coefficient (Pearson) to examine the correlation between the two variables, regression analysis to test the impact of the independent variable on the dependent variable. The most important result was the presence of a significant relationship between the two variables: intellectual capital; the independent variable and organizational excellency; the dependent variable.

 

Keywords
INTRODUCTION

Intellectual capital is the real capital of organizations as the basis in the process of innovation and renewal and is the guide in the process of change and creativity and therefore can transform knowledge into value and then into competitive value. So, it has become a requirement of the current work environment to focus on how to develop its intellectual capital in achieving an element superior to its competitors whether it is at the level of quality performance, product, service or other excellent strategies. The importance of intellectual capital stems from the importance of the status of the category that holds it, a category with accumulations of knowledge and valuable experiences that not only allow the organization to overcome the obstacles and challenges that hinder its natural growth, but also to introduce fundamental modifications to everything and to create new businesses that allow it to adapt to its surroundings and home on the one hand and remain in the leadership on the other hand [1].

 

Organizational excellency is based on the organizations' investment of essential opportunities preceded by effective strategic planning and commitment to adopting a common vision dominated by clarity of purpose, adequacy of resources and keenness on performance. So, the majority of organizations have focused on achieving this goal and this can only be done by raising the level of performance of employees and paying attention to training and motivating them, in a way that ensures business organizations survival and continuity in an intense competitive environment [2].

 

Organizational excellency is a state of administrative excellency and creativity that can achieve advanced levels of performance as a result of tight implementation of events and marketing operations, productivity and finance. The consequent achievements surpass other competitors and satisfy all stakeholders [3]. It is represented by a number of dimensions that enable the organization to excel in the event of implementing its requirements, such as: leadership excellence, strategic excellence, operations excellence and subordinate excellence taking into account the integration of all these dimensions.

 

Based on the importance of intellectual capital and in continuation with previous academic efforts in increasing knowledge enrichment in this field, this study came to highlight the importance of intellectual assets in organizations in general and knowledge organizations (universities) in particular. It also aims to indicate the impact of these assets on organizational excellence.

 

This study included the following chapters:

 

  • The first chapter (previous studies and study methodology) includes two sections/the first section included previous studies The second section included the methodology of the study (the problem of the study, its importance, objectives, hypotheses as well as the sample population and the limits of the study and its statistical methods)

  • The second chapter included the theoretical aspect of three sections/the first section the concept of intellectual capital and its importance and the elements and components of intellectual capital

 

The second section was the concept of organizational excellency and the dimensions and elements of organizational excellence.

 

The third section was the relationship of intellectual capital with organizational excellence.

 

  • The third chapter reported the applied aspect of the two sections/the first section presented the results of the analysis of the variables of the study.

 

The second section included personal data and descriptive statistics.

 

  • Chapter IV included the conclusions and recommendations of the study

MATERIALS AND METHODS

Some Previous Studies

Studies Related To Intellectual Capital: Hamdan and Saleh [4], conducted a field study on the Iraqi and Jordanian insurance industry companies. The study sample consisted of (75) people and the researchers used the method of personal interviews and questionnaire in collecting information and the study aimed to identify the impact of spending on intellectual capital in the success of the Iraqi and Jordanian insurance industry companies. It found an indirect impact of spending on intellectual capital combined contribute to the success of the companies surveyed more than the direct impact of one element of those Items.

 

Al-Anzi [5], adopted the office method mainly in the collection and analysis of information and the aim of the study was to demonstrate the methods of developing intellectual capital and its impact on increasing the effectiveness of organizations. The study came out with several possible stages to affect the investment and management of intellectual capital, which are as follows: A - Continuity of raising performance standards for all employees in the organization. B- The sincerity of the organization's management to the success of the capabilities of its members. C- Modifying each of the interfaces of the work environment from the culture, structure and policies to facilitate the development of managers and their rewards. D- Using the Human Resources Department as an active organizational unit for positive change in the organization.

 

Miller [6], conducted a theoretical study that adopted the office method and its goal was to answer the following question: ((How to stimulate intellectual capital in organizations? The study came out with a number of conclusions, the most important of which is that the means of stimulating intellectual capital are:

 

  • Expanding intelligence by participating in ideas

  • Encouraging creativity by creating the appropriate atmosphere

  • Training workers to work in a team spirit

 

 Dzinkowski [7], used the office method and its goal was to indicate the management of intellectual capital and to determine the characteristics of the organizations that deal with it and the study came out with the conclusion that the characteristics of organizations that deal with intellectual capital are: 

 

  • Identify the needs and desires of customers with an understanding of the market environment

  • Maintaining strong and solid relationships with key customers

  • Clarity, flexibility and avoidance of red tape or bureaucracy

 

Studies Related to Organizational Excellence

Al-Mobaideen [8], aimed to measure the effectiveness of organizational performance evaluation and its impact on organizational excellency by soliciting the opinions of a stratified random sample of (260) individual employees in the Jordanian Social Security Corporation. The study showed a high level of organizational excellency (3.61) on the Likert five-point scale. It also showed a statistically significant impact of the effectiveness of the performance appraisal system in organizational excellency in the Social Security Corporation in Jordan. It recommended the need to work on developing an equal incentive system for all employees according to their level of performance to ensure high levels of performance that affect the overall level of excellence of the organization.

 

Al-Nuwaiqa [9], identified the level of empowerment of work teams at Taif University and its impact on achieving organizational excellency (leadership excellence, subordinate excellence, organizational structure excellence and culture excellence) through a study of a group of university work teams, where the questionnaire was used to collect information from about (110) members of those teams. The study showed that there was a statistically significant positive impact to enable work teams to achieve the dimensions of organizational excellency at the university and that the level of excellence for all dimensions of excellence was high at a value of (3.70) on the five-year Likert scale. The study recommended the need to pay attention to the entrance of work teams as a method to achieve organizational excellence.

 

Azadeh et al. [10], applied the European quality management model to evaluate the quality of service provided by the National Library in the State of Iran through self-evaluation using the questionnaire of the European Organization for Quality Management. The questionnaire included about (90) questions and workshops for the library staff, (22employees), while it was filled out by (18) of them only. The results of the study indicated that the nine criteria for excellence management achieved (492) out of (1000), where the dimension of resources and partnerships (69%), followed by human resources (58%), while leadership achieved (56%). While achieving overall performance results (64%) and community outcomes (52%). The results also confirmed the ability of this tool to demonstrate the strengths and areas of improvement needed. The study also pointed to the difficulty of understanding the principles of the European model by managers, which necessitated researchers to distribute some publications related to standards and hold an educational workshop for the same content. 

 

Qawasmeh et al. [11], demonstrated the role of organizational culture in achieving organizational excellency at Jadara University. A questionnaire was used to collect information about the variables of the study, where the filled questionnaires valid for analysis reached (158) questionnaires after distributing about (450) questionnaires to all employees at the university. Organizational excellency was measured through four dimensions: management excellence, personnel excellence, organizational structure excellence and strategy excellence. The study showed that organizational culture is associated with organizational excellency with a strong positive relationship and statistically significant (0.889). The results also indicated a high level of organizational excellency of about (3.6) on the Likert five-year scale. The study recommended the need to provide training and development opportunities for university employees and recommended conducting future studies to evaluate organizational excellency from the point of view of students as the main axis in university higher education and the most important element in the Jordanian higher education strategy.

 

The Problem of the Study

The achievement of organizational excellency is very important for organizations, as the lack of organizational excellency results in the organization's inability to compete and leads to a low level of performance in institutions, which results in the loss of the organization's market share. Intellectual capital plays a pivotal role in improving the quality of life, solving problems, bringing about change and increasing the efficiency and effectiveness of the organization. Good work is also no longer enough today to survive in the volatile competitive environment and institutions urgently need to focus on achieving an important part of that organizational excellency through the optimal use of resources effectively. Based on the above, the study problem can be formulated through the following questions:

 

  • What are the main pillars of intellectual capital in the competitive environment

  • What are the main aspects of organizational excellency in the competition environment

  • Is there a significant correlation of intellectual capital with organizational excellence

  • Is there a significant impact of intellectual capital in achieving organizational excellence

 

The Importance of the Study 

Nowadays, intellectual capital has increasing interest by organizations aiming to achieve organizational excellency because we live in an environment with complex climates that require facing its dynamic challenges. Both innovative and creative minds and leaders bring about change at the organizational level to ensure their success and continuity.

 

Hence, the importance of this study is evident in the following:

 

  • The importance of intellectual capital and its creative products and innovative methods and methods of work that add value to the organization

  • The significance of organizational excellency as one of the strategic goals that contributes to the quality and excellence of the performance of organizations that organizations seek to achieve

  • Intellectual capital contributes to the development of the current state of the organization through the production and investment of new ideas and innovations

  • Intellectual capital is the main source of competitive advantage and the factor affecting the success of organizational performance, as it enhances the competitive position of the organization by introducing new products

  • The use of organizational excellency is a crucial element in its success by information technology and the adoption of its tools to achieve the desired goals in the organization and help it respond to threats and opportunities

  • Intellectual capital has become the backbone of the life of business organizations, as it plays a key role in the survival and continuity of these organizations and the determination of their competitive position in the business environment

 

Objectives of the Study

This study seeks to achieve the following objectives:

 

  • Developing a theoretical perception of the concept of intellectual capital and its various elements in achieving organizational excellency and methods of measuring it according to the scientific sources available to researchers about these two variables

  • Diagnosing the nature of the relationship between intellectual capital with its various elements and achieving organizational excellency in organizations with its various indicators

  • Identifying the level of organizational excellency in the study sample

  • Allocating the role that intellectual capital can play in reaching a distinguished performance level

  • Showing the dimensions of intellectual capital that have the most important role in achieving organizational excellence

  • Consolidating the intellectual basis of the relationship between intellectual capital and organizational excellence

 

Hypotheses of the Study

The main hypothesis is There is a statistically significant and significant correlation between intellectual capital in terms of its dimensions and organizational excellence:

 

  • There is a statistically significant correlation and impact between human capital and the dimensions of organizational excellence

  • There is a statistically significant correlation and impact between structural capital and the dimensions of organizational excellence

  • There is a statistically significant correlation and impact between relational capital with the dimensions of organizational excellence

 

Study Population

The study population represents Iraqi public and private universities through a questionnaire published electronically.

 

Study Sample

The study sample includes a random sample of a number of professors and employees of Iraqi universities through a questionnaire published electronically through the WhatsApp application, which consisted of (70) samples of opinions and the number of fully responsive electronic forms was (47).

 

Study Methodology

The researchers adopted the descriptive analytical approach by relying on the relevant scientific sources as well as the information available in the international information network (Internet).

 

Limits of the Study

 

  • Spatial boundaries/a number of Iraqi universities through a questionnaire that was published electronically

  • Time limits/The time range for practical research is limited to the time period ranging from (2/12/2021 - 5/4/2022)

 

 

Figure 1: Hypothetical Scheme of the Study

 

The plan is prepared by researchers. (represents a correlation) (represents an effect relationship)

 

Statistical Methods

With regard to intellectual capital, the questionnaire used in the study [12],was relied upon. As for the questions of the variable organizational excellence, the study was relied on Abdul and Al-Rafii [13], Hassouni [14] and Qawasmeh et al. [11]. It relied on the ready-made statistical program in the analysis of data SPSS and extracting the following statistical results: central tendency, arithmetic mean, measures of dispersion, standard deviation, statistical frequencies, the value of the coefficient of determination R2 and the correlation coefficient (simple Pearson) and regression analysis.

 

Theoretical Aspect

Intellectual Capital Concept, Importance, Components and Dimensions: Chris Ashton argues that there are six types or forms: human capital, structural capital, customer capital and organizational capital, which creates the curse of operational capital and the creative capital that generates it in intellectual property and moral assets.

 

As for Scandia, it divides intellectual capital into two main components called (value program):

 

  • Human: pivotal abilities, skills, key individuals, privileges and creativity

  • Structural: Information technology systems, customer databases, distribution systems. Stewart classified intellectual capital into three: structural capital, which refers to the system of labor, human capital, which refers to workers and customer capital, which refers to customers [15]

 

Through these researches and studies, we notice that the majority of researchers presented other components, but they did not depart from these three components: human capital, structural (organizational) capital and relational capital (clientelism) [16].

 

The Concept of Intellectual Capital

The subject of intellectual capital is one of the administrative topics raised by the contemporary administrative literature. It showed interest in it by researchers at the beginning of the nineties of the last century, as the literature showed multiple topics that changed the traditional view of the concept of capital and profitability, so capital is no longer that traditional concept, individuals working today are the real capital of organizations [17]. Bontis [18], defined intellectual capital as the reservoir of knowledge (which settles in the minds of workers), a shadow of the stock of knowledge that is established in products, systems and structures.

 

While it is defined as the product of interaction between a set of human resources, organizational materials and relational resources [19]:

 

  • Human resources: It represents the human capital in the organization and is related to the knowledge, skills and experiences of employees

  • Organizational resources: It is the category of resources that remain in the organization when employees leave and that include explicit coded knowledge, systems, methods and procedures of work

  • Relational resources: It represents the third category of intellectual capital components that relate to the organization's relations with customers, suppliers and stakeholders

 

In line with the foregoing, we can determine the orientations of researchers on the nature of intellectual capital and in a way that indicates a set of contents, revealing several indications and then revealing the directions of its representative as follows:

 

  • A direction that embodies mental aspects

  • A trend that expresses all that is accumulated and inherited

  • A trend that reflects organizational capabilities

  • A trend that combines the mental and organizational aspect

  • Direction expresses everything that is tangible

  • A trend that indicates that intellectual capital begins with intellectual value and ends with economic value

 

On this basis, the following procedural concept has been adopted in expressing intellectual capital as the value derived from transforming the tacit knowledge, information, experiences and skills of employees into tangible forms that can be traded. It enables the organization to build a mental position and distinguished relationships with the beneficiaries with the aim of competitive superiority.

 

The Importance of Intellectual Capital

Intellectual capital is of great importance as follows [25]:

 

  • Intellectual capital is a competitive advantage for the organization that lies in the ability of workers to learn faster and represents for it the hidden force that ensures its survival and development


Table 1: Concepts Of Intellectual Capital According to the Opinions of a Sample of Researchers

Researcher 

Concept 

Noe [20]

Awareness of knowledge and advanced skills, understanding of system, creativity and self-motivation of creativity 

Berman [21]

Knowledge that can be turned into profit, includes two components of human capital and intellectual assets. 

Al-Ali [22]

Knowledge, experience, mental ability of employees as well as knowledge resources stored in the organization's databases, systems, processes, culture, philosophy. 

Hamdan and Saleh [4]

Mental ability capable of generating ideas related to the creative and strategic development that ensures the organization in a rapidly changing work environment.

Al-Tai

The set of knowledge, information, skills and experience of economic value that can be applied to achieve economic growth and development.

Hussein [23]

Knowledge does not become capital, unless it is found and invested so that it can be used for the benefit of the organization.

The table is prepared by researchers

 

Table 2: Components of Intellectual Capital According to the Opinions of Researchers

 Contents

 

 

 

 

Researcher

Human CapitalStructural CapitalClientele CapitalCommitmentMeritpostureIntellectual agilityRelationshipmarshallingRenewal and developmentIntellectual Property and Intellectual Property
Brooking (1996) 
  •  

  •  

  •  
       
  •  

Edvinsson & 

Holly Jr. (1997)

  •  

  •  

  •  
        
Jack Jack (1997)
  •  

  •  

  
  •  
  •  
  •  
  •  
  •  
  •  
 
Jackson (1997)
  •  

  •  

  •  
        
Sveiby (1997)
  •  

  •  

  •  
        
Florence (1998)
  •  

  •  

  •  
        
Ulrich (1998)
  •  
  
  •  
  •  
      
Sullivan (2000)
  •  
  •  
        
  •  
Total87512111112
%10087621225121212121225

Source: [24]


 

  • Intellectual capital represents a buried treasure that needs to be searched for and extracted for existence and practice and the process of disseminating knowledge is one of the methods of extracting it to enhance practical capabilities that build and maintain work

  • Intellectual capital is a source of wealth generation and development for the organization and employees through its ability to patent

 

The importance of intellectual capital also comes from being the most valuable asset in the twenty-first century in an economy called the "knowledge economy" because it represents a scientific force capable of introducing fundamental modifications to everything in the work of its organizations in order to avoid their successive innovations [26]. 

 

Thus, intellectual capital is the most valuable asset of the organization and cannot be easily imitated by other organizations as an important and essential source of gaining the competitive advantage of information and knowledge age organizations. It is also the engine for all organized operations and activities.

 

Components and Dimensions of Intellectual Capital

The components of intellectual capital are multiplied by the multiplicity of opinions of researchers, despite their agreement on the essence and importance of intellectual capital.

 

It is clear from the table 2 that the components (human, structural, clientelism) are the ones that took the highest percentages of researchers' opinions and therefore will be adopted as components of intellectual capital for the purposes of this study.

 

Human Capital

The concept of human capital is not new, as it was used by economists back to Adam Smith in the eighteenth century, but it was recently attributed to the economist Theodore W. Schultz, who won the Nobel Prize. He was the first to use the term Human Capital in his article Huma Capital Investment in, published in the American Economic Review in 1961. 2006: 200, that human capital is of great importance because it is the source of creativity and strategic innovation, it contributes to improving the skills of workers and new re-engineering and the essence of human capital is the intelligence of workers absolutely.

 

Structural Capital

Structural capital represents the second component of intellectual capital. It serves as the supporting structure for human capital, which can be owned and traded.

 

Tsan [27], suggested that it is the infrastructure that can help support workers in their pursuit of intellectual performance and, in doing so, organizational work. It represents all non-human knowledge stores in the organization such as databases, organizational charts, process manuals, strategies, routines.

 

Structural capital can be viewed more deeply and comprehensively, as it includes systems, procedures, structures and strategies, according to which the production system, the timely delivery of products to customers and compatibility with environmental variables are achieved [28].

 

Consistent with the above, structural capital is part of the knowledge structure of the organization and expresses its organizational capacity as an asset owned by the organization that it can trade, promote, maintain and work to raise its value through the efficient use of this asset. Its most prominent components are: copyright, intellectual rights, patents, information systems, organizational structure.

 

Clientelistic (Relational) Capital

It is the third component of intellectual capital and refers to the value contained in the organization's relationships with its customers and customer satisfaction and loyalty to the organization, also called relational capital or external capital.

 

Burud and Tumolo [29], referred to a worker's ability to relate to others, as well as the ability to enter the network of contacts and relationships and then find answers more quickly about products, allocate resources and create collaboration inside and outside the organization.

 

Others have pointed out that it contains market relations, supplier-customer relationships, as well as other external influences. Managers need to realize that they do not need to work in a self-sufficient organization but instead can enter into the wealth of knowledge from their network of customers and processors towards more effective achievement of organizational goals. Customers and suppliers can also test products, give continuous feedback on organizational practices, propose new ideas and perspectives to explore and deliver new products that attract new customers and act as customer sensitivity, revealing the evolution of the organization's competitive position [30].

 

In summary, intellectual capital with its basic components, human capital, structural capital and customer capital has become an important resource in most contemporary organizations and in order for organizations to survive, continue and compete for them, to focus on intellectual capital, hence competition between organizations has become highly dependent on the development and development of intellectual capital to achieve competitive advantages. 

 

 

Figure 2: Stewart's Intellectual Capital Classification

 

Table 3: Dimensions of Distinction between Intellectual Capital and Physical Capital

DimensionIntellectual CapitalPhysical capital
FormativeIntangible etherealTangible material
TimeHeading towards the futureGrounded in the past
Content & Contentis a valueis the cost of
NatureNon-financialcash
SustainabilityContinuousTime
UseIncreasing in useDecreases in use and destroys
Qualitative/QuantitativeQualitativeQuantitative

Source [19]

 

The researchers believe that organizations that have intellectual capital will be able to carry out human resource management activities, including employee performance management and then formulate integrated programs and strategies that integrate goal setting, evaluation and performance development with a unified framework coherent with the unified goal, to combine individual performance goals with the overall goals of the organization.

 

Organizational Excellency (Concept, Importance, Dimensions and Components)

Distinguished organizations are those that are keen to translate their vision, mission and goals into reality, in order to achieve their ambitions, through which they seek to support and encourage excellence and creativity in various activities and fields of their work. This is because excellence has become an inevitability imposed by many circumstances and external forces, in light of the changes taking place, organizations are no longer required only to achieve performance, but to excel in it as a necessity for survival and continuity [31].

 

Organizational excellency has become the subject of interest and wide discussion by various researchers, because the age of knowledge and information has become dependent on elements that are characterized by excellence, plurality and diversity of knowledge, as achieving excellence requires the organization to adopt vital and effective systems [32].

 

The Concept of Organizational Excellence

There are many organizations at the present time looking for excellence, but few of them are able to achieve this goal, as well as organizational excellency is the health state that organizations should be and it is not achieved by chance, but by the overall efforts of employees, the excellence of leaders and the excellence of employees, under the influence of an organizational culture that supports this excellence [33,34]. Organizational excellency is defined as the ability of organizations to contribute and compete strategically by excelling in their performance and solving their problems and then achieving their goals effectively that distinguishes them from other organization [32].

 

It is defined as: excellence in the knowledge possessed by individuals, as it is the focus of the work carried out by organizations, which contributes to the continuous superiority of organizations over the best international practices in performing their tasks and knows the capabilities of their competitors, weaknesses, external strengths and the surrounding environment [14].

 

Organizational excellency is also defined as: a state of administrative creativity and organizational excellence, which achieves unusually high levels of performance and implementation of production, marketing, financial and other processes in the organization, resulting in achievements that exceed what competitors achieve and satisfies customers and all stakeholders in the organization [35]. 

 

Organizational excellency is characterized by strengths such as leadership, empowerment and growth to increase job satisfaction and improve performance [36, 37]. It is a planned organizational effort, aimed at not achieving the organization's objectives, strategies and operations, to achieve the organization's permanent competitive advantage [38].

 

The Importance of Organizational Excellence

Achieving organizational excellency is one of the most important strategic objectives of organizations and its importance appears in the following:

 

  • Directing efforts to achieve efficiency and effectiveness, achieving distinctive goals and developing the mechanisms of work of organizations, which reflects positively on economic and social growth, in order to achieve the continuity and success of organizations

  • Facilitate effective communication between employees of the organization at all administrative and functional levels and in all directions, as well as between the organization, the community and the external environment [8]

  • The ability to manage operations and use resources in a manner commensurate with the needs of beneficiaries, in order to reach positive results, attract customers and achieve their loyalty, through the excellence of the level of performance of the organization

  • Achieving rapid rates of change, achieving unlimited competition and maintaining organizational position, to face the rapid surrounding changes and the high level of competition between organizations

  • Providing efficient leadership, competent employees and a distinguished organizational culture, which is reflected in the organizational environment, achieves high levels of performance and achieves creativity, excellence and innovation [39]

  • The ability of organizations to face challenges and difficulties, deal with crises and accept difficult work, through rapid learning, investing in growth opportunities and improving operations

  • Expanding the scope of experiences away from work, where organizations have expertise outside the scope of work, such as community service, which offers many opportunities to gain excellence in performance

  • Providing continuous learning opportunities for the organization's members, through training and development programs, which are constantly available to improve performance and develop skills and capabilities

  • Accuracy in all the work of the organization, selection of the best methods to perform tasks and continuous improvement and development of products and processes

  • Adopting process re-engineering, in order to shift from traditional organizations to distinct organizations, by redesigning all activities, from inputs to reaching outputs, in order to change current performance methods to more distinctive method [34].

 

Dimensions and Elements of Organizational Excellence

Leadership Excellence: Leadership is not equal to the traditional concept of authority, as it revolves around the ability to influence others (employees) using and possessing certain abilities and traits. Leadership has been described as "how to work in a team and participate in decision-making to achieve the goals of the group and individuals at the same time through a strategy and leadership that has effective power" [40]. Referring to the leadership mechanism, Al-Ali [22], stated that "leadership consists of guiding and managing a group of individuals in the organization to move towards the set goals, which in turn includes influence, influence and legal authority. 

 

The administrative leader in particular must be characterized by some skills, the most important of which are: the ability to form effective working relationships, the ability to spread the spirit of positive competition among individuals to motivate them to put forward creative ideas, as well as the need to adopt an open-door policy that supports direct contact with employees, which facilitates the effective exchange of information [41].

 

Strategic Excellence

The strategy expresses a broad general plan developed to achieve long-term goals and the end result of strategic planning is "a comprehensive long-term action plan. It defines the method and path to achieve long-term goals using available resources and constitutes a platform that guides management in making key decisions" [42]. 

 

The strategic distinction applied by the general organizations is different for them, as they work to implement their vision by developing a strategy that focuses on all employees and takes into account the services they provide to the organization and then policies, plans, objectives and processes are developed in light of this and it is recognized that the adoption of the strategic method achieves many benefits, the most important of which are: It helps the organization to define a roadmap, through which it determines its position within the geography of the business in the future and contributes to increasing its capacity or the possibility of achieving continuous competitive advantage. Finally, strategic excellence provides opportunities for participation at all levels of management, reducing resistance to change and increasing the chances of integration and coherence between the organization's processes [43].

 

Process Excellence

Organizations of all kinds, whether productive or service, seek to achieve excellence in their products to compete in gaining the satisfaction of the beneficiaries and this is done only by adopting a method that illustrates how their inputs are transformed into goods or services that achieve the benefits required by the beneficiary customers and use effectiveness to the point of achieving the goals expressing the organization's mission, which explains the reason for its existence and the work to be carried out [44]. 

 

The official website of the European Foundation for Quality (EFQM) has suggested some specific issues to identify the basic processes to achieve the organization's objectives: discussing processes and activities with employees, interviewing individuals affected and influential in administrative processes or hiring the services of an external consultant [45], by dividing the organization's operations into four types:

 

  • Substantial operations: They are operations that are directly related to the provision of the product or service to the customer and therefore they are called value-added operations

  • Auxiliary operations: They are the operations that help and support the core operations and these operations do not create added value for the customer, but help in creating them

  • Administrative processes: They are the processes of planning, organization, guidance and control practiced by the different administrative levels in the organization

  • Inter-Organization Operations: These are the operations that take place between the organization and external parties, such as purchases between suppliers

 

Operations management is one of the fields of knowledge that has attracted the attention of many scientists and researchers and the most important thing on which this scientific field is based and the management and organization of: 

 

Audit of resources (inputs) to production units, production processes (transformation) to create added value and new benefit and the flow of production (outputs) to the surrounding environment

 

Excellence of Subordinates

Subordinates are the key to organizational excellence and we mean by subordinates every individual belonging to the organization and practicing activities within it and thus linking to its decisions is the source of wealth and is a combination of characteristics represented (abilities, skills, competencies, experience). They are therefore considered the most expensive asset used of their assets. Also, the most important resource requires the organization to invest in it through the optimal exploitation of those characteristics as represents the degree of characterization of its members in the performance of its tasks by possessing mental abilities and creative potential distinct help them overcome the obstacles without complaining and encouraging others to participate effectively that enhance the achievement of the overall goals of the organization [46].

 

The Applied Aspect

In this chapter, the results of the study will be presented by the (Likert five-point) scale consisting of five gradations starting with (completely disagree, disagree, neutral, agree, completely agree) in order to know the opinions of the study sample and their response to them.

 

It also includes the use of statistical tools represented by the arithmetic mean, standard deviation, as well as frequencies and percentages, as well as the simple correlation coefficient (Pearson), regression analysis and the determination coefficient R2 to determine the extent of harmony and compatibility and the contribution of each independent variable within the framework of the objectives of the study and its achievement.

 

Personal Data

Gender: It was found through the study that the percentage of males in the respondents out of the number of responses in the study is the highest. Their percentage was (54.2%) while the percentage of females was (12.9%) and that the missing percentage of answering this question is ((32.9) as shown in the countries (Table 4).

 

Job Title

Statistics indicate the percentage of job titles as shown in the Table 5. The percentage of the teacher category was the highest percentage (25.6%), followed by the percentage of the head of technical trainers’ category (15.5%), then the percentage of assistant teacher, engineer and observer (5.7), followed by the percentage of the accountant category (4.3%). Finally, the percentage of the university professor category (2.8%) appears.

 

Educational Achievement

The master's degree reached (%) (22.8), then the bachelor's degree was (20.0%) and then the diploma degree ((12.9%), while the doctoral degree, the percentage was (11.4%) as shown in the Table 6.

 

Age group

The highest percentage was for the age group (from 31-40) and (from 51 and above) by (21.4%), followed by the age group (from 41-50) by (12.9%), while the age group (from 20-30) was (11.4%) as shown in the Table 7.

 

Years Of Service

The statistical results according to the years of service indicate that the highest percentage was within (less than 10 years), as the percentage was (20.0), while from (10 years to less than 15 years), their percentage was (15.7), then from (25 years to less than 30 years), their percentage was (11.4), while the category of (30 years and more) was (8.6). Then comes (20 years to less than 25 years) their percentage was (7.1) and finally the category from (15 years to less than 20 years) was (4.3) (Table 8).

 

Table 4: Distribution of the Ratio of Males and Females

Sex Repetition %
male 3854.2
Female 912.9
Total 4767.1
Missing answer values 2332.9
Total70100

 

Table 5: Distribution of Sample Members by Job Title

Job Title Repetition %
University professor22.8
Teacher 1825.6
Assistant Lecturer 45.7
Engineer 45.7
Head Technical Trainer1115.5
Accountant 34.3
Observant 45.7
Total 4665.3
Missing values2434.7
Total70100

 

Table 6: Distribution of Sample Members by Academic Achievement

Education Repetition %
Doctor811.4
Master 1622.8
Bachelor 1420.0
Diploma 912.9
Total 4767.1
Missing values2332.9
Total 70100

 

Table 7: Distribution of Sample Members by Age Group

lifetime Repetition %
From 20-30811.4
From 31-401521.4
From 41-50912.9
of 51 above 1521.4
Total 4767.1
Missing values 2332.9
Total70100

 

Table 8: Distribution of Sample Members by Years of Service

Years of serviceRepetition %
Less than 10 years 1420.0
From 10 years to less than 15 years 1115.7
From 15 years to less than 20 years 34.3
From 20 years to less than 25 years 57.1
From 25 years to less than 30 years 811.4
 From 30 years and above 68.6
Total 4767.1
Missing values 2332.9
Total 70100

 

Descriptive Statistics

The First Axis/Independent Variable (Intellectual Capital)

 

  • The dimension of human capital for the intellectual capital variable (Table 9)

  • The dimension of the structural capital of the intellectual capital variable (Table 10)

  • The relational capital dimension of the intellectual capital variable (Table 11)

 

According to the Table 11, the arithmetic means of the intellectual capital variable according to its three main dimensions was (3.34) with a standard deviation of (0.635) which indicates that there is harmony in the answers of the study sample towards the basic dimensions of this variable

 

The Second Axis//The Dependent Variable (Organizational Excellence)

 

  • Organizational Excellence: Dimension (Leadership Excellence) (Table 12)

  • Organizational Excellence: Dimension (Strategic Excellence) (Table 13)

  • Organizational Excellence: Dimension (Process Excellence) (Table 14)

  • Organizational Excellence: Dimension (Excellence Subordinates) (Table 15)

 

As presented in the tables 12, 13, 14 and 15, the arithmetic means of the organizational excellency variable according to the four main dimensions was (3.36) with a standard deviation of (0.692), which indicates that there is harmony in the answers of the study sample towards the basic dimensions of this variable. 

 

According to the above, the general arithmetic means of the intellectual capital variable according to its main dimensions was (3.34) with a standard deviation of (0.635). The general arithmetic mean of the organizational excellency variable was (3.36) and the standard deviation was (0.692). Which indicates the existence of harmony in the answers of the study sample.

 

Table 16 shows that the correlation coefficient is (0.84). That is, the degree of correlation between the independent variable intellectual capital and the dependent variable organizational excellency is positive and significant at a confidence level (0.01). Thus, the research hypothesis is accepted. There is a statistically significant and significant correlation between intellectual capital in terms of its dimensions and organizational excellence.

 

Table 19 shows that the regression analysis B (0.926) with a significant level of (0.000) which is less than (1%). That is, the degree of influence between the independent variable intellectual capital and the dependent variable Organizational excellency is significant. Thus, the research hypothesis is accepted. There is a statistically significant relationship for intellectual capital in terms of its dimensions in organizational excellence.

 

Table 9: Arithmetic Mean and Standard Deviation of the Role of Intellectual Capital (Human Capital)

ItemsAnswersArithmetic meanStandard deviation
The college attracts in employing high-quality faculty 473.340.891
The college encourages faculty members to complete scientific research 473.830.902
The college provides full support to faculty members 473.241.099
Faculty members make groups with students and work with them 473.391.000
Faculty members devote the majority of their time to study and teaching 473.111.159
The college has leaders with a clear vision 473.280.935

 

Table 10: Arithmetic Mean and Standard Deviation of the Role of Intellectual Capital (Structural Capital)

ItemsAnswersArithmetic meanStandard deviation
The information technology system allows supporting infrastructure for the purposes of teaching and scientific study 473.511.061
There is a wide diversity of specializations for students473.470.929
There is a wide variety of courses taught in the college 473.301.041
The college provides library and information services to support faculty and students 473.321.181

 

Table 11: Arithmetic Mean and Standard Deviation of the Role of Intellectual Capital (Relational Capital)

ItemsAnswersArithmetic meanStandard deviation
The college seeks to attract students with good scientific levels 472.911.176
The college maintains strong partnerships with the corresponding educational institutions 473.261.113
The college provides the expertise needed by external stakeholders 473.400.993

 

Table 12: Arithmetic Mean and Standard Deviation of the Organizational Excellency Variable (Leadership Excellence)

Items Answers Arithmetic meanStandard deviation 
The college is keen to communicate its vision and values to all its employees 473.360.870
The management of the organization encourages the independence and empowerment of its employees 473.131.135
The College participates and supports continuous improvement processes.473.570.994
The college interacts with employees, customers and community representatives.473.360.965

 

Table 13: Arithmetic Mean and Standard Deviation of the Variable of Organizational Excellency (Strategic Excellence)

ItemsAnswersArithmetic meanStandard deviation

The college is working on formulating a strategy capable of creating a kind of balance between the strengths and weaknesses of its internal environment and the opportunities and threats to its external environment

473.321.002

The college seeks to spread values and beliefs that are in harmony with the level of the approved strategy

473.190.970

The college's strategy is consistent with the desired goals 

473.360.987

The college has a future vision towards what it seeks to achieve. 

473.380.990

The college's strategy is directed towards bringing about change for the benefit of the college 

473.551.039

The college's strategy is based on improving services beyond what competitors have accomplished. 

473.300.883

The college's strategy is based on directing all capabilities to satisfy the recipients of the service 

473.260.920

 

Table 14: Arithmetic Mean and Standard Deviation of the Organizational Excellency Variable (Process Excellence).

itemsAnswersArithmetic meanStandard deviation

The college designs and manages operations in a systematic manner 

473.431.058

The college is keen to improve its operations as needed in order to achieve benefits for its employees, students and stakeholders 

473.321.125

New majors and programs are introduced based on the needs and expectations of students and market needs 

473.320.935

The college is keen to provide educational service to students and researchers of the highest quality 

473.430.972

The college is keen to maintain dialogue with students and employees in a manner based on openness, transparency and trust. 

473.431.037

The college maintains relations by communicating with students after they graduate and join the labor market. 

472.981.093

 

Table 15: Arithmetic Mean and Standard Deviation of the Organizational Excellency Variable (Subordinate Excellence)

ItemsAnswers

Arithmetic mean

Standard deviation

The staff of the college is characterized by enthusiasm and perseverance in accomplishing the work entrusted to them 

473.570.853

The college staff possesses the mental and creative abilities to face the internal and external challenges of the college 

473.600.851

Senior management believes in the active participation of its employees in decision-making that ensures the achievement of the goals of individuals and the college together

473.301.020

Senior management seeks to develop its employees continuously

473.381.134

 

Table 16: Correlation for the Rate of the First and Second Axes

The rate of the first axis Second axis rate  
0.849**1Pearson Correlation First Axis Rate 
0.000-Sig. (2-tailed)
4747
10.849**Pearson Correlation Second Axis Rate
-0.000Sig. (2-tailed)
4747

Correlation is significant at the 0.01 level (2-tailed**)

 

Table 17: Regression Model Equation

Std. Error of the EstimateAdjusted R SquareR SquareRModel
0.3700.7150.721849A1

The rate of the first axis, (a. Predictors: (Constant)

 

Table 18: ANOVAa Analysis

Sig.FMean SquareDfSum of SquaresModel
0.000b116.50915.912115.912Regression 1
--0.137456.146Residual  
---4622.058Total

Dependent Variable Rate: a: Dependent Variable, Rate of the independent variable b: Predictors: (Constant)

 

Table 19: Coefficients

Sig.tStandardized CoefficientsUnstandardized Coefficients Model
BetaStd. ErrorB
0.3740.898 0.2920.262(Constant) 1
0.00010.7940.8490.0860.926The rate of the first axis

Second axis rate: a: Dependent Variable  

CONCLUSION
  • Iraqi universities have shown a clear interest in their human resource and this is what the results of the analysis indicated by paying attention to developing their skills and abilities and providing a suitable environment for them in their teaching and academic work

  • The results of the analysis also indicated the high degree of interest in its structural capital by obtaining a high arithmetic average level and this indicates that Iraqi universities have an encouraging and supportive culture of innovation and creativity

  • The study indicated that Iraqi universities pay medium attention to its relational capital, through the fluctuation of social interaction with the business community with the aim of creating wealth

  • The results of the study proved the existence of a significant correlation between all components of its intellectual capital and the dimensions of organizational excellency in it, which confirms the interest of Iraqi universities in these components if it wants to achieve higher positive results

  • There is a clear trend among Iraqi universities to pay attention to providing a pure environment supportive of teaching and scientific study, both with regard to library and information services necessary for the work of faculty members

  • The study indicated that there is an average interest in responding to the wishes of students and other stakeholders, especially with regard to their involvement in the preparation of teaching plans and programs

  • Through all that was concluded and according to what reflected the study that there is a statistically significant and significant impact relationship for intellectual capital as an independent variable in achieving organizational excellency as a dependent variable and this is characterized by the main hypothesis and sub-hypotheses emanating from it.

 

Recommendations

 

  • The need for university institutions to pay increasing attention to intellectual capital in its three dimensions (human capital, structural capital, relational capital) because of its importance in achieving organizational excellency in the college

  • Working to attract staff with high scientific qualifications to benefit from their experiences and abilities in applying modern scientific methods with the best possible performance

  • The need to pay attention to the material and moral support for each work in which creativity and excellence or any innovation or identification, as well as in the field of authorship and completion of scientific research

  • Enhancing the process of disseminating information and sharing at the level of knowledge and best practices by building effective and encouraging information systems characterized by modernity. And the appropriate timing for the purpose of reaching levels limited to performance

  • There is a need to pay attention to the infrastructure in private university institutions with regard to the provision of supplies and services for study such as laboratories, equipment, computer network, Internet and scientific references related to scientific specializations

  • The relationship between university institutions and society should not be limited to graduating students and a list of teaching only, but must go further in embodying its basic mission, which is to strengthen the link between society so that teaching and scientific study are in the service and development of society

  • Focusing attention on the relational aspect and interacting with society in order to create a wealth of knowledge in it

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