Many companies rely on tangible properties to determine the level of success in their operations. However, both tangible and intangible properties have been determined important in driving the success needed in an organization. Tangible properties consist of buildings and equipment among other physical assets owned by a company, which in most cases are measurable (Madhani 7). Whereas the intangible properties comprise skills and attitudes among other underlying factors, which emancipate from the personnel within the company. In essence, the tangible properties can be changed and bought from the market, whereas the intangible properties are determined by the employee’s abilities and perspectives in the work environment (Madhani 8).
The importance of the intangible property in a company is demonstrated by the approaches and skills of the employee when undertaking their duties. A competent and happy employee tends to accomplish the tasks in a professional manner for the good of the company. At the same time, a less motivated employee will lag of their operations, hence affecting the company’s productivity. Therefore, the company needs to count on the developmental mechanisms which will uphold the goodwill between the management and the employees – for instance, investing in the training of employees and development of proper compensation systems. Meanwhile, the tangible properties are essential to ensure the company has the necessary facilities to drive their production operations (Madhani 13). Such properties may include the presence of equipment, physical assets, and funds among other organizational resources. Accordingly, the employees of organizations, which consider the importance of tangible properties, are offered a conducive working environment. Accordingly, both the intangible and tangible properties are essential for the success of a company because they occur collaboratively to facilitate their profitability.
Gross National Happiness (GNH)
Bhutan is responsible for developing the term Gross National Happiness, which is an alternative to the conventional method of measuring value, such as the Gross National Product (Balasubramanian and Cashin 3). Four vital components under the Gross National Happiness include proper governance, culture preservation, environmental protection, and sustainable development (Conley).
The concept of Gross National Happiness provides HR managers with strategies to drive success within their organization. That is through the application of the four components making up the Gross National Happiness. Every organization is expected to uphold these set of values which are paramount to determine the success and profitability of the organization. Accordingly, the HR managers can apply proper governance within the organization, which is evidenced by improved transparency, accountability, and a comfortable, collaborative environment for the entire workforce to drive growth and development of the organization. That is because conducting organizational operations following a transparent procedure is essential in the development of the organization’s goodwill with the stakeholders. The component of culture preservation as applied by the HR managers within an organization is critical for upholding their brand, hence sustaining market visibility. Culture is vital as it gives an organization a unique identity in the market. HR managers are now focused on instilling the need for environmental protection by the entire organization. The company is, therefore, concentrated on the protection of its internal and external environment from degradation. Raw materials for production are obtained from the external environment. Hence, environmental protection would ensure an increased flow of materials to support production. Accordingly, the sustainability of the organization is guaranteed with increased profitability. Also, HR managers can learn the concept of sustainable development, which requires the organization to meet specific set objectives, thus ensuring organizational perpetuity.
Balasubramanian, Sriram, and Paul Cashin. Gross National Happiness and Macroeconomic Indicators in the Kingdom of Bhutan. International Monetary Fund, 2019.
Conley, Chip. “Measuring what Makes Life Worthwhile.” Ted Talks, 2010, https://www.ted.com/talks/chip_conley_measuring_what_makes_life_worthwhile?language=en#t-298861. Accessed 22 June 2019.
Madhani, Pankaj M. “A Study on the Corporate Governance and Disclosure Practices of Tangible Assets and Intangible Assets-Dominated Firms and Their Relationship.” The IUP Journal of Corporate Governance, vol. 14, no. 2, pp.2015, pp.7-29.