Despite its obvious benefits, Corrado’s model also calls for critical discussion.
Corrado focuses solely on intangible items that can be capitalized through expenses or
investments, and omits to deal with human knowledge (e.g. education or expertise) and
other immaterial aspects (e.g. brand appreciation and customer relations). While
Corrado’s formulae ignore many established factors of intellectual capital, they include
some peculiar items such as “search for minerals”, which is part of her concept of
innovation capital. The search for minerals can be an operational expense within a
given industry, but it can hardly be counted as part of innovation or intellectual capital. In general, Corrado offers no theoretically grounded concept of intellectual capital, nor
does she refer to the IC research literature and community which has discussed
conceptual models of IC since the 1990s. Instead her conception of IC seems to be rather
heuristic and intuitively grounded. This is a clear weakness of the CHS model that
undermines its validity and general applicability