Innovation Measurement

The value derived from a company's capacity to develop new products, services, processes, and business models. Innovation capital encompasses R&D capabilities, creative talent, experimentation culture, and the pipeline of ideas at various stages of development.

Systematic investigation and experimentation aimed at creating new products, services, or processes, or significantly improving existing ones. R&D expenditure is one of the largest categories of intangible asset investment and is a key driver of innovation capital and future competitiveness.

A measure of productivity that accounts for the contributions of multiple inputs — including labour, capital, energy, and materials — to output growth. MFP captures the efficiency with which all inputs are combined and is closely related to total factor productivity, serving as a key indicator of innovation and intangible capital contributions.

The process by which firms and economies accumulate intangible capital through investment in R&D, software development, training, brand building, and organisational design. Intangible capital formation is now the dominant form of business investment in advanced economies, yet it is only partially captured by national accounts and corporate balance sheets.

A classification framework for intangible investment developed by economists Carol Corrado, Charles Hulten, and Daniel Sichel. The CHS framework identifies three broad categories of intangible capital: computerised information (software, databases), innovative property (R&D, design, new products), and economic competencies (brand equity, organisational capital, firm-specific training).

The process of assigning numerical values to attributes of objects, events, or phenomena according to defined rules and standards. In the context of intangible assets and productivity, measurement is both a fundamental challenge and a critical enabler of effective management.

The system of statistical methods used to measure a country's overall economic activity, including Gross Domestic Product (GDP), Gross National Income (GNI), and related aggregates. National income accounting provides the framework for tracking economic output, income distribution, saving, investment, and international trade flows.

The intangible value derived from artistic, design, and creative capabilities within an organisation. Creative capital encompasses brand aesthetics, content libraries, product design expertise, and cultural assets that differentiate a business and drive customer engagement.

What is R&D tax credit and how do UK startups claim it?

UK companies claim R&D tax relief on qualifying R&D spend through their corporation tax return. Under the merged scheme the expenditure credit is 20% and taxable, so the net benefit depends on the company's tax position.

How does the Asset Valuator in Opagio Intangibles work?

The Asset Valuator in Opagio Intangibles values one asset at a time. You choose a method, such as Relief from Royalty, MPEEM or the Cost Approach, enter its inputs, and it calculates a fair value estimate.