The social capital concept in management and organizational literature

Abstract

Purpose Social capital (SC) is a contemporary management and organizational concept that has yet to reach definitional agreement. In response, and to fully grasp the meaning of SC in its management and organizational context, this paper aims to review its intellectual antecedents and then synthesize the causal factors for the concept’s recent prominence. The paper will further explicate the meaning of the concept by proposing two categories of benefits for classifying the economic returns of SC. First in terms of “bonding capital’s” role in facilitating knowledge management and, second, in terms of “bridging capital’s” role in facilitating reputation management. Design/methodology/approach A narrative literature review of the SC concept in the management and organizational context. Findings SC is a conservative concept that is largely uncritical of contemporary management and organizational theory, other than in the sense of trying to render it more rational and efficient. Thus, the SC discourse, does not, “[…] question the economic theory that dominates the World Bank or, indeed, much contemporary economics” (Bebbington et al., 2004, 36). Furthermore, SC is a “wonderfully elastic term” (Lappe and Du Bois, 1997, p. 119), which falls within the parameters of Burkean conservatism, with a stress on allegiance to the status quo and social harmony. SC as it is relevant for management, and organisational analysis is therefore supportive of the socio-economic status-quo and belongs to the “sociology of regulation”, concerned with emphasizing unity and cohesiveness (Burrel and Morgan, 1979, pp. 10-20). Research limitations/implications A number of recommendations for further SC research, within the management and organizational context are recommended. Originality/value This paper presents a comprehensive review of the meaning and application of SC in the context of management and organizational analysis.