The People Factor: Social Capital for Long-Term Success

Companies usually turn to technology and strategy for their advantage. But what really makes leading organisations tick is something decidedly more human; the relationships, trust, and experience within its structure. This collective power, or social capital, is the common bond that unites teams and the source of success.

The Power of Trust and Relationships in the Workplace

Consider your best work environment ever. It probably wasn't so much about the work itself, it was about the individuals. Social capital is founded on trust, shared values, and significant relationships, these abstracts have a tremendous influence on the way teams perform.?

Research indicates that high-trust work environments excel over others in productivity, collaboration, and worker engagement. Research conducted at Harvard Business Review has concluded that employees who work for high-trust organizations are 50% more productive and 76% more engaged.

Such trust is established by senior professionals. Their expertise, ability to manage complexity, and influential networks of professional connections all lead to a culture in which people feel safe, nurtured, and engaged. Where people trust leaders and peers, they work more freely, share ideas more openly, and are more likely to take the sort of smart risk-taking needed to innovate.

How Experience Inspires the Next Generation

We all have in mind the individual or individuals who entered our lives and altered our career path, the ones who guided us, believed in us, and helped us grow. Senior professionals can serve as mentors to their younger colleagues, passing on learning beyond technical skills and knowledge. They mold future leaders by teaching lessons in workplace dynamics, leadership, and strategic thinking.

A survey by the Association for Talent Development (ATD) found that 75% of executives credit their mentors with their career success. Organisations that encourage mentorship not only bridge skill gaps but also create a sense of belonging and purpose. When the employees are supported, they're more likely to be engaged and committed.

A Real-Life Example: BNP Paribas' Internal Coaching Programme

The global financial services group launched an in-house coaching programme that pairs experienced professionals with future leaders.?

The goal? To build capabilities, progress careers, and equip for leadership.

The outcomes have been significant:

• More Future Leaders: Programme participants were 30% more likely to transition into leadership roles.
• Happier Staff: Surveys documented a massive boost in job satisfaction for both mentors and mentees.
• Better Collaboration: The initiative eliminated silos between departments, enabling teams to collaborate more efficiently and effectively.

By acknowledging the reservoir of experience within their staff, @BNP Paribas has created a culture of learning and development that is to everyone's advantage.

How Businesses Can Leverage Social Capital for Long-Term Success

How can companies build social capital??

The following are a few of these ways:

• Build Formal Mentorship Programmes: Pair older more experienced staff members with newer ones to facilitate critical knowledge sharing.
• Cross-Generational Teams: Marry experience and new ideas on project teams in order to induce innovation.
• Elevate Experience: Emphasize and make visible the importance of older experienced staff.
• Leadership Development: Allow training to help move experienced employees to mentoring positions.
• Establish a Culture of Trust: Cultivate openness, communication, and collaboration throughout all levels.

Behind every excellent organisation are its people and the relationships they create. Social capital is not just a catch-all phrase but the secret to sustainable success. By drawing on the trust, insight, and networks of skilled professionals, companies can build workplaces that are not only more efficient but also more meaningful and inspiring.

As companies move into a more complex, automated environment, the companies that really care about experience are the ones that will thrive.

Adapted from an article written by Vibhav M. for WisdomCircle.