Human capital, social capital and organizational performance

Abstract

Purpose – The aim of this paper is to evaluate the human capital and social capital of managers and the influence of these attributes on the performance of small and medium-sized Portuguese companies. Design/methodology/approach – The structural modeling approach was applied to a sample of 199 small and medium-sized companies aged between 3 and 15 years, from five different sectors of activity. Findings – It was found that human capital affects social capital, and that experience and cognitive ability influence personal relations and complicity. Organizational performance is strongly influenced by human capital through the cognitive ability of the manager. Practical implications – Based on these findings managers can gain a better knowledge about how to improve the performance of their firms, for example through adjustments in communication methods or strategic decision capacities. Originality/value – This work is innovative in the sense that it confirms the influence of human capital on social capital, and shows that it is cognitive ability that affects organizational performance.

Organizational intellectual capital and the role of the nurse manager: A proposed conceptual model

“…Human capital. Human capital may be defined as the acquired knowledge, skills, and experience of individuals which enable them to act in new ways which are economically valuable to both the individual and to the organization (Call, Nyberg, & Thatcher, 2015;Felício, Couto, & Caiado, 2014;Greve, Benassi, & Sti, 2010;Makela, Bjorkman, & Ehrnrooth, 2009;Nahapiet & Ghoshal, 1998). Human capital brings value to the organization as a standard of competency and creativity that employees possess which allows them to solve problems, create new knowledge, challenge current practices, and identify and leverage performance opportunities (Kang & Snell, 2009;Kostopoulos, Bozionelos, & Syrigos, 2015;Subramaniam & Youndt, 2005).…”

“…The managerial facilitator may be defined as a key agent of the organization who is responsible for facilitating organizational outcomes through the work of other individuals. Across the articles reviewed, managerial behavior was a commonly identified antecedent of human and social capital (Felício, Couto, & Caiado, 2012;Felício et al, 2014;Hofmeyer, 2013;Leitch et al, 2013;Luthans & Youssef, 2004). Managerial behavior is also influenced by organizational capital which provides both the context for action and the rules of engagement (Ellinger et al, 2011;Felício et al, 2012;Hofmeyer, 2013).…”

Manager’s gender and professional credentials in the performance of Polish investment funds

“…the Human Capital Theory and the Social Capital Theory, which state that well-educated fund managers with good social skills display better managerial and networking skills, which could lead to better performance (cf. Felício, Couto, & Caiado, 2014;Pasban & Nojedeh, 2016).…”

Exploring “culturalization” in rural entrepreneurial context through content analysis

“…Knowledge as a critical success factor for achieving a competitive advantage in the economic arena has been widely acknowledged (Drucker, 1995;Felício, Couto, & Caiado, 2014;Nahapiet & Ghoshal, 1998;Serenko & Bontis, 2004). Indeed, specialized competences and expertise, embedded in procedural (know-how), declarative (knowwhat), and relational (know-who) knowledge (Borgatti & Cross, 2003) allow any firm to be defined as a "relational entity" (Catturi & Riccaboni, 1992;O'Reilly III, 1991).…”