THE EFFECT OF SOCIAL CAPITAL ON OPERATIONAL PERFORMANCE: RESEARCH IN BANKING SECTOR IN ERBIL

Ahmed Abdulqader Hamad, Şule Tuzlukaya, Erdem Kırkbeşoğlu

DOI: http://dx.doi.org/10.12775/CJFA.2019.004

Abstract


Social capital as a field of study has grown with many contributions from different fields. Yet, the gap within the literature regarding different contexts has inspired researchers to look for further explanations about social capital and its dimensions. Therefore, this paper aims to provide insight into the impact of social capital as a specific factor to develop commercial banks’ operational performance in Erbil City, Iraq. To achieve this, a quantitative research is carried out, findings pointing to positive significant relationships between the dimensions of social capital as relational, structural and cognitive capital and operational performance development. Additionally, according to results, social capital plays a vital role in commercial banks’ stability and development of operational performance.

Keywords


social capital; dimensions of social capital; operational performance development; Erbil

Full Text:

PDF

References


Andrews, R. (2010). Organizational social capital, structure and performance. Human Relations, 63, 583–608.

Adler, P.S., & Kwon, S-W. (2002). Social capital: Prospects for a new concept. Academy of Management Review, 27(1) 17–40.

Bessant, J.K. (2003). Putting supply chain learning into practice. International Journal of Operations & Production Management, 23(2), 167–184.

Bourdieu, P. (1985). The forms of capital. In J.G. Richardson (Ed.). Handbook of theory and research for the sociology of education. New York: Greenwood.

Brett, J. M., Shapiro, D. L., & Lytle, A. L. (1998). Breaking the bonds of reciprocity in negotiations. Academy of Management Journal, 41, 410–424.

Burt, R.S. (1997). The contingent value of social capital. Administrative Science Quarterly, 42(2), 339–365.

Burt, S.R. (2004). Structural Holes and Good Ideas. American Journal of Sociology, 110 (2), 349–399.

Carolis, D.M., Litzky, B.E, & Eddleston, K.A. (2009).Why Networks Enhance the Progress of New Venture Creation: The Influence of Social Capital and Cognition. Entrepreneurship Theory and Practice, 527–545.

Cary, S.L. (2011). Social Capital Configuration, legal Bonds, and performance in buyer-Supplier relationships. Journal of Operations Management, 29(4), 227–288.

Clark, K.F. (1991). Product Development Performance. Boston, MA: Harvard Business School Press.

Coleman, J. S. (1990). Foundations of Social Theory. The Belknap Press Of Harvard.

Cousins, P.R. (2006). Creating supply chain relational capital: The impact of formal and informal socialization processes. Journal of Operations Management, 24(6), 851–863.

Doz, Y. (1996.) The evolution of cooperation in strategic alliances: initial conditions or learning processes. Strategic Management Journal, 17, 55–83.

Ferris, S.P., Javakhadze, D., & Rajkovic, T. (2017). The international effect of managerial social capital on the cost of equity. Journal of Banking and Finance, 74, 69–84.

Fukuyama, F. (1997). Social capital and the modern capitalist economy: Creating a high trust workplace. Stern Business Magazine, 4(1).

Gargiulo, M., & Benassi, M. (2000). Trapped in Your Own Net? Network Cohesion, Structural Holes, and the Adaptations of Social Capital. Organization Science, 11, 183–196.

Granovetter, M.S. (1992). Problems of explanation in economic sociology. In N. Nohria, R. Eccles (Eds). Networks and Organisations: Structure, form, and action. Boston: Harvard Business School Press.

Gupta, A., Raman, K., & Shang, C. (2018). Social capital and the cost of equity. Journal of Banking and Finance, 87, 102–117.

Handfield, R.B., & Nichols, E.L. (1999). Introduction to supply chain management. New York: Prentice Hall Upper Saddle River.

Hatzakis, J., Lycett, M., Macredie, R.D., & Martin, V.A. (2005). Towards the development of a social capital approach to evaluating change management. European Journal of Information Systems, 14, 60–74.

Helper, S. (1991). Have things really changed between automakers and their suppliers? Sloan Management Review, 32, 15–28.

Hughes, M.P. (2011). Shaping and re-Shaping Social Capital in Buyer-Supplier relationship. Journal of Business Research, 64(2), 164–171.

Inkpen, A.C., & Tsang, E.W. (2005). Social capital, networks, and knowledge transfer. Academy of Management Review, 30(1), 146–165.

Kale, P., Singh, H., & Perlmutter, H. (2000). Learning and protection of proprietary assets in strategic alliances: Building relational capital. Strategic management Journal, 21(3), 217–237.

Kleinbaum, A.M., & Tushman, M.L. (2007). Building bridges: The social structure of interdependent innovation. Strategic Entrepreneurship Journal, 1, 103–122.

Koka, B.P. (2008). Designing alliance networks: the influence of network position, environmental change, and strategy of firm performance. Strategic Management Journal, 29(6), 639–661.

Koufopoulos, D., Zoumbos, V., Argyropoulou, M., & Motwani, J. (2008). The top management team and corporate performance: a study of Greek firms. Team Performance Management, 14(8), 340–363.

Krause, D.R., Handfield, R.B., & Tyler, B.B. (2007). The relationships between supplier development, commitment, social capital accumulation and performance improvement. Journal of operations management, 25(2), 528–545.

Lawson, B. (2008). Antecedents and consequences of social capital on buyer performance improvement. Journal of Operations Management, 26 (3), 446–460.

Lee, R. (2017). The Social Capital of Entrepreneurial Newcomers: Bridging, Status-Power and Cognition. Palgrave: McMillan. UK.

Lee, L.L. (2004). Social capital links between management-decision making, intellectual capital and market performance. Online Journal of Management Knowledge, 1, 45–66.

Lee, R. (2009).Social capital and business and management: Setting a Research Agenda. International Journal of Management Reviews, 11(3), 247–273.

Li, L., Lin, Z., & Arya, B. (2008). The turtle-hare race story revisited: Social capital and resource accumulation for firms from emerging economies. Asia Pacific Journal of Management, 25, 251–275.

Lin, N. (1999). Social networks and status attainment. Annual Review of Sociology, 25, 467–487.

Light, I., & Dana, L.P. (2013). Boundaries of social capital in entrepreneurship. Entrepreneurship Theory and Practice, 37, 603–624.

Manning, P. (2010). Explaining and developing social capital for knowledge management purposes. Journal of Knowledge Management, 14, 83–99.

Maurer, I., Bartsch, V., & Ebers, M. (2011). The value of intra-organizational social capital: How it fosters knowledge. Organization Studies, 32, 157–185.

Moran, P. (2005). Structural vs. relational embeddedness: social capital and managerial performance. Strategic Management Journal, 26, 1129–1151.

Nahapiet, J., & Ghoshal, S. (1998). Social capital, intellectual capital, and the organizational advantage. Academy of Management Review, 23(2), 242–266.

Packalen, K.A. (2007). Complementing capital: The role of status, demographic features, and social capital in founding teams’ abilities to obtain resources. Entrepreneurship Theory and Practice, 31, 873–891.

Parker, A., Halgin, D.S., & Borgatti, S.P. (2016). Dynamics of Social Capital: Effects of Performance Feedback on Network Change. Organization Studies, 37(3), 375–397.

Parkhe, A. (1993). Strategic alliance structuring: a game theoretic and transaction cost examination of interfirm cooperation. Academy of Management Journal, 36, 794–829.

Putnam, R.D. (1995). Tuning in, tuning out: The strange disappearance of social capital in America. Political Science and Politics, 28(4), 664–683.

Reagans, R., & Zuckerman, E.W. (2001). Network diversity and productivity: the social capital of corporate R&D teams. Organization Science, 12, 502–517.

Sako, M., & Helper, S. (1998). Determinants of trust in supplier relations: evidence from the automotive industry in Japan and the United States. Journal of Economic Behavior and Organization, 34(3), 387–417.

Sanders, R. (2008). The pattern of information technology use: the impact on buyer – supplier coordination and performance. Journal of Operations Management, 26(3), 349–367.

Seibert, E.S., Kraimer, M.L., & Liden, R.C. (2001). A Social Capital of Career Success. The Academy of Management Journal, 44(2) 219–237.

Silkoset, R. (2013). Negative and positive effects of social capital on co-located firms. European Journal of Marketing, 47(1/2), 174–197.

Svendsen, G.L.H. (2006). Studying social capital in Situ: a qualitative approach. Theory and Society, 35, 39–70.

Tantardini, M., & Kroll, A. (2015). The role of organizational social capital in performance management. Public Performance & Management Review, 39(1), 83–99.

Totterman, H., & Sten, J. (2005). Start-ups business incubation and social capital. International Small Business Journal, 23, 487–511.

Tsai, W.P., & Ghoshal, S. (1998). Social capital and value creation: The role of inter-firm networks. The Academy of Management Journal, 41(4), 464–476.

Ward, P.M. (1998). Competitive priorities in operations management. Decision Sciences, 29(4), 1035–1046.








ISSN 2300-1240 (print)
ISSN 2300-3065 (online)

Partnerzy platformy czasopism