Social Capital is a phrase that has been making some headlines lately. So what is social capital and why does it matter? As it turns out, social capital is one of the most fundamental ingredients to success whether you’re an employee, a CEO of a major corporation, or a startup entrepreneur. According to Collins English Dictionary, social capital can be described as the network of social connections that exist between people, and their shared values and norms of behavior, which enable and encourage mutually advantageous social cooperation.
While we all know that financial and human capital are critical to a business’s success, social capital is equally important, if not more so. “When you’ve developed a wealth of social capital, you can obtain any other resources you might need – whether that means gaining investors, recruiting experts, or building your team with the best of the best,” says Chris Cancialosi, a contributor at Forbes.
So how does one harness the power of social capital? Let’s look at it this way: no matter how many business cards you hand out, how many events you attend, or how many books you might read to increase your area of expertise, all of these efforts are irrelevant if you don’t have a strong network of supporters. And we’re not just talking about “networking”. Social capital extends beyond the traditional ideas of networking, to something deeper and more meaningful – the building of genuine, long-lasting relationships. These types of relationships are fostered, sought out, and nurtured to the highest degree and can be used to build and maintain an established sense of trust within a social community.
Building your social capital may seem like a daunting task, but it’s far less complicated than you might think. Whether it’s offering free advice and resources to others, contributing regularly to your community, adding value via social media or simply being honest with your core team, all of these efforts go a long way in demonstrating your commitment and leadership to your social community.
Fostering strong social capital is simply imperative to any companies’ long-term success, and this is exactly how we have grown and thrived at Sivo Insights. We believe that people come first, relationships require nurturing, and at the end of the day it’s really about giving back and making genuine connections. It’s this belief that drives our team and how we deal with each of our clients on a day-to-day basis.
As long as you put in the effort, heart and commitment that it takes to build lasting relationships, your wealth of social capital can only expand. The sky is truly the limit.