Intellectual capital has a significant role in the economy, especially in connection with economic growth. In this day and age more and more manufacturing is based on knowledge, that is, it's based on intellectual capital, so existence and success are going to be secured for those companies who are capable to manufacture, manage and continually increase their own intellectual capital. Intellectual capital is considered to be a key resource in the contemporary economy, or in other words, economy of knowledge. One of the main advantages of intellectual capital is its intangibility and infinity. In the last two decades, both big and small companies are starting to realize the growing importance of intellectual capital as in general management, but also in achieving competitive advantage in the market. Many companies have already recognized how much intellectual capital and investment in it are important for modernization of management and enterprise advancement. But, on the other side, most of the companies are still not familiar with those advantages and still do not manage it, and companies that have already started to learn how to manage intellectual capital are expecting big savings. Intellectual capital could replace other capitals such as money, and in doing that, significantly increase management profitability. In this paper there are going to be described terms and the significance of intellectual capital, its structure and managing and measuring intellectual capital of employees. Furthermore, the relationship between intellectual capital and competitiveness, or how much is intellectual capital important in this day and age in order to be able to achieve competitiveness over other companies.