Structural capital refers to the non-human assets of an organization that contribute to its efficiency and effectiveness. This includes systems, processes, databases, and organizational culture that support the workforce in achieving their goals. It is essential for maintaining competitive advantage and ensuring smooth operations.
Additionally, structural capital encompasses intellectual property, such as patents and trademarks, which protect a company's innovations. By investing in and optimizing structural capital, organizations can enhance their productivity and foster innovation, ultimately leading to improved performance and growth in the marketplace.