Fast Company recently published an article about one of the biggest leadership problems facing us in the middle of the work-from-home surge: the decline of social capital. I don’t know about you, but “social capital” sounds like one of those buzzword concepts thrown around in professional development settings. Like emotional intelligence, it’s something we might talk about and try to improve, but it often feels too abstract to be of practical value.
I feel, though, that social capital truly is a critical concept for us to grasp and encourage, particularly as leaders.
What is Social Capital?
Social capital is, in essence, a sense of shared values that allow individuals to effectively work together. It’s the positive end-result of successful interpersonal relationships and a shared sense of identity. So, ideally, your team has an abundance of social capital.
Unfortunately, cultivating social capital is proactive. You can destroy it not by being a bad boss, but by being ineffective.
According to Fast Company’s report, a lack of social capital was responsible for workers:
40% more likely to do the minimum required.
Four times more likely to respond slowly to requests.
Four times more likely to assume the worst of others when facing problems.
Three times more likely to put their own interests ahead of others or the company.
By contrast, an abundance of social capital increases productivity, responsiveness, teamwork, and innovation. It creates initiative and strong social bonds that, in turn, serve the good of the community (be it a team or organization).
Of course, one of the biggest challenges we face in 2020, as workplace leaders, is diminishing social capital and how it increases turnover and decreases productivity.
Why Working from Home Depletes Social Capital
Working from home has its advantages. However, the more we’re seeing people work outside of the office, the more we’re seeing how this method can have a negative impact on productivity, work-life balance, and social health.
Because working from home is environmentally isolated from an office space, problems arise:
Feelings of social isolation from peers
Lack of clear communication between team members
Overactive sense of autonomy
Lack of team-building and sense of unity
Together, these problems deplete social capital. Our sense of “all in this together” and working towards a common goal fades as collaboration becomes more challenging, work becomes more isolating, and our own goals and desires move to the forefront of our motivations. Have personal goals and being autonomous are not inherently bad, but they do shut down our ability to work together with others towards higher, more common goals.
Meaningful interpersonal relationships are necessary for successful, potential-fulfilling work performance. A traditional workspace, for all its faults, thrusts people together and facilitates a lot of socialization. So in the absence of being together, we find ourselves having to rely on these separated, disconnected pieces of a big puzzle. When they don’t come together, the puzzle doesn’t work!
Preserving Social Capital in the Digital Age
For some of us, working from home was a temporary condition. For others, it’s likely to become a more permanent arrangement. Even if your company isn’t fully remote, chances are the number of remote workers will only increase over time. So as leaders, how do we maintain and grow social capital when the cards are stacked against us?
1. Don’t micromanage.
When someone’s performance is suffering, our first instinct is to try to course correct. Unfortunately, this often results in micromanagement, which leads to resentment. While you may think you’re just getting someone back on track, it can come across as enormously patronizing and shows a lack of trust in your team. If anything, micromanagement only further depletes social capital.
2. Get face-to-face.
As convenient as it is to email, text, and instant message, it just doesn’t build social capital in the same way face-to-face interactions do. While we’re suffering from Zoom fatigue to be sure, it’s still important that we see one another and get the full spectrum of social cues — tones, body language, facial expressions, and other nuances. When you have a video call, show your face. Encourage others to do the same. Not only are people more easily distracted when not on camera, but we listen better when we can make eye contact (even if it’s the digital kind).
Make a habit of having video check-ins and meetings over sending out that mass email.
3. Go beyond the job.
Our interpersonal relationships can’t be meaningful if they only involve one facet of our lives. In order to build social capital, we have to go beyond the daily minutiae of work. You could call it team-building, or not, but it’s important regardless. Get-togethers (even virtual ones) with your colleagues can be helpful.
Play games. Share personal stories. Have a drink together, or chat over lunch. Lead the way in making communication personal, meaningful, and fun for your team. That will look different for all of us, depending on our demographics and established relationships. Regardless of what you do, take that step of being open and transparent with one another. When you go beyond business, you’ll find it easier to build and maintain social capital.