# How to Measure Organizational Capital A new measurement method provides deeper insights into firm performance. - **Source:** [Journal of Accounting Research](https://onlinelibrary.wiley.com/journal/1475679x) - **Published:** 2026-06-09 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/308c3c21-f255-4705-858d-5686cc7a6d84 ## What is Organizational Capital? Organizational capital refers to intangible assets such as a company's structure, culture, and management style. This concept plays a crucial role in explaining performance differences among similar firms. ## New Measurement Method Researchers developed a new measurement method using millions of employee reviews scraped from Glassdoor. This method relies on word embedding models and ChatGPT-generated synthetic reviews. ## Changes Over Time The measurement varies over time in line with macro trends. It reflects major internal changes within firms and highlights heterogeneity among companies. ## Link to Performance Research findings indicate that organizational capital is significantly associated with firm performance. This also clearly demonstrates the influence of top management. ## Application Areas This measurement method finds wide application in accounting, economics, finance, and management literature. It offers a valuable tool for stakeholders interested in assessing organizational capital. ## Conclusion and Implications The study emphasizes that organizational capital is a slowly evolving asset and plays a critical role in firms' long-term success. These findings can help companies make better strategic decisions. ## Sources covering this story - https://onlinelibrary.wiley.com/doi/10.1111/1475-679x.70073?af=R — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._