Social & Cultural Capital, Part 1: How to Benefit from Each in the Workplace

Your success on the job often relies on the type of capital you possess. 

We’ve been discussing social and cultural capital over the past few weeks, and these two types of capital are what matter at work. 

To review, social capital is all about the strength of relationships and connections within a group, whereas cultural capital is the shared values and goals that bring a group together.

Social capital can help you achieve more or reach objectives more easily at work. 

In this post, we’ll take a closer look at social capital and see how to assess and build upon it.

Assessing Your Social Capital

Maybe you don’t even know where you stand with your social capital.

After all, it’s not exactly something tangible that you can measure.

The following questions might help you identify where you’re at with your social capital:

  • Do I carry influence? What is my reputation like? Do others see me as strong or weak, reliable or flakey, positive or negative? Do they want to work with me?
  • How strong are my relationships within my team and without? Do I build connections with others across departments? Do I network?
  • Do I build strategic and enduring relationships or just transactional ones?
  • Do I have the energy and influence to mobilize resources and colleagues to support and achieve my goals? 
  • Do I keep abreast of important news and developments within my workplace and industry?

Improving your social capital can enhance your job performance, satisfaction, and career prospects. 

To do so, networking with peers and colleagues in your industry, cultivating relationships based on mutual interests and values, and offering help and support to others are paramount to banking more social capital. 

Aggregate Benefits

Not only does social capital improve individual success and potential, but the entire workplace improves.

Successful workplaces cultivate social structures in which everyone benefits.

This happens through social intercourse, empathy, fellowship, compassion, consideration, and most importantly, trust.

If the social structure benefits only a small group within the workplace, the organization’s aggregate benefits from their social capital decrease.

It feeds into a negative company culture, in which trust is lost, along with the sense of community.

When none of these things are there, those in the social structure can’t rely on each other and cooperation and society collapses.

If you look at your workplace and you cannot identify its values, then that’s a problem.

It means you’ll have a hard time personally building social capital there…as will the workplace, itself.

Building your cultural capital, which relates to your knowledge, skills, and understanding of cultural norms and practices, is also important for career success.

We’ll talk more about that next week.

Does Cross-Cultural Competency Improve Job Performance?

Organizations may hire expatriates in high-tech positions based on their technological aptitude rather than on their cross-cultural or personal merit.

On the other end, expatriates may accept a position without being cross-culturally competent or familiar with the country.

A study of expatriates in the high-tech industry reveals some interesting findings on the subject.

Let’s take a look.

What is Cross-Cultural Competency?

The study defines cross-cultural competence as follows:

“the ability of individuals to work effectively and live normally in different cultural contexts, and…to adopt adaptive thinking patterns and behaviors in the host country.”

Using collected questionnaire survey data, the study identifies expatriate challenges in their new role and proposes ways in which expatriates can adjust psychologically.

Challenges

Challenges to expatriates include:

When these challenges lead to excessive pressure, psychological and even physical symptoms can occur.

That isn’t to say that all pressure is bad, however. 

An appropriate application of pressure can drive employees to progress in their work smoothly and help the adaptation process.

How Adaptation Can Help

Those expatriate employees who adapt to their host country’s culture and customs participate more in the workplace and find more ways to alleviate stress.

Moreover, those employees with high cross-cultural competency also adjust to their host country more smoothly and have a higher job performance.

Setback Period

There is a setback period when expatriates first begin working in their new role.

Unforeseen situations coupled with cultural incompetency and potential incomplete assignments lead to wariness of expatriate employees.

The expatriate needs to navigate the setback period successfully in order to adapt to their cross-cultural environment and achieve in their job performance.

Cross-cultural skills will help this transition, as the expatriate will sooner accept the foreign culture, the environment, and their co-workers.

The Study’s Findings

To achieve cross-cultural competence, the expatriate must initially recognize the differences between old and new environments in order to spot potential conflicts between the two and find ways to overcome them in order to integrate.

Using the reported data, the study found that the stronger an expatriate employee’s level of cross-cultural competence, the better their performance in both the host country and in their job.

Job involvement is also improved by the employee’s ability to adjust to customs. 

This is likely due to the fact that those who can adjust to the host country generally release more work stress and enjoy greater life satisfaction.

Moreover, those able to adjust to work contexts better feel less frustrated and achieve more in their role.

An accumulation of negative pressures can lead to poor job performance, while positive pressures can drive expatriates to achieve individual and work success.

The bottom line is: cross-cultural competency can improve job performance by smoothing the transition and reducing stress.