Intellectual Capital is a key notion that refers to different intangible variables, such as human capital, structural capital, and relational capital, that have the immense power to provide an essential value to organizations worldwide. Intellectual Capital represents one of the most vital intangible assets of our knowledge society, based on the fact that, one the one hand, it enriches individuals’ abilities to develop and, on the other hand, that it offers entities the opportunity to increase their performance, quality and value. This research aimed at presenting the advantages and the challenges of managing intellectual capital with the purpose of increasing performance of higher education institutions in Romania. To do this, the work examined the results obtained by using the following research methods in both public and private higher education institutions in Romania: surveys, interviews, focus groups. Firstly, this paper has shown that Intellectual Capital plays a paramount role in the field of educational management in Romania, in general, and in the higher education institutions in Romania, in particular. Secondly, this paper has emphasized the opportunities and the challenges related to intellectual capital in Romanian higher education institutions. Thirdly, this paper has proposed a scientific model capable to value intellectual capital in Romanian higher education institutions based on the idea that by exploiting intangible assets the quality of higher education and the services provided by higher education institutions will increase substantially in time.
Keywords: Intellectual capital, human capital, performance, higher education institutions, intangible variables, quality of education