Social Capital as a Determinant of Organizational Capability in Nigeria

Abstract

This study examined social capital as a determinant of organizational capability in Nigeria. It adopted survey research design, purposive and convenience sampling techniques respectively.  257 male and female private sector’s employees participated in the study. A structured questionnaire form containing five validated scales of measurement was used as instrument.  Hypothesis one stated that cognitive, relational and structural social capitals will jointly and independently predict marketing capability while hypotheses two stated that cognitive, relational and structural social capitals will jointly and independently predict research and development capability. Results revealed that cognitive, relational and structural social capitals jointly predicted marketing capability F (3,253) = 41.83; R²= 0.324; p <.01.  It further showed that cognitive social capital (?= -0.437; t= -6.618; p <.01), relational social capital (?= 0.366;  t= 5.884;  p <.01) and structural social capital (?= 0.550;  t= 9.955;  p <.01)  independently predicted marketing capability.  Similarly, results showed that cognitive, relational and structural social capitals jointly predicted research and development capability F (3,253) = 38.66; R²= 0.306; p <.01.  It further revealed that relational social capital (?= 0.553; t= 8.773; p <.01) and structural social capital (?= 0.203; t= 3.628; p <.01) independently predicted research and development capability. However, cognitive social capital did not (?= -0.096; t= -1.430; p >.05).  Based on the above findings, this study concluded and recommended that, to a large extent, social capital is a significant determinant of organizational capability in Nigeria. Hence, human resource department of organizations, managers and directors should channel their managerial efforts toward the development of all aspects of social capital among the employees and ensure that, it positively affect organizational capability.

Keywords: Cognitive Social Capital, Relational Social Capital, Structural Social Capital, Marketing Capability, Research and Development Capability, Organization