Positive Social Capital How HighQuality Connections Energy and

Positive Social Capital How High-Quality Connections, Energy, and Reciprocity Create Success Wayne Baker, Ph. D. University of Michigan Ross School of Business Chair, Management & Organizations Robert P. Thome Professor of Business Administration Professor of Management & Organizations Professor of Sociology www. waynebaker. org (web page) www. Our. Values. org (blog)

Agenda 1. 2. 3. 4. 5. What is positive social capital and why does it matter? Building high-quality connections Creating human energy Tapping the power of generalized reciprocity Building positive social capital this evening

1. What is Positive Social Capital? “. . . the resources available in and through our personal and business networks. ” Wayne Baker Achieving Success Through Social Capital Information Ideas Leads Trust Goodwill Opportunities Energy

The New Currency Is Social Capital “The new currency won’t be intellectual capital. It will be social capital – the collective value of whom we know and what we’ll do for each other. When social connections are strong and numerous, there is more trust, reciprocity, information flow, collective action, happiness, and, by the way, greater wealth. ” Kouzes and Posner The Leadership Challenge, 3 rd edition

Positive Social Capital HQCs Energy Generalized Reciprocity

The Business Case · · · · · Superior project management Developing high performance teams Attracting, developing, and retaining talent Finding the resources you need Breaking silos & improving collaboration Creativity Creating value & getting rewarded for it Luck and more

The Case Beyond the Business Case · Happiness & satisfaction · Mental & physical health · Longer life Commom theme: Contributing to others

2. Building High-Quality Connections HQC = Mutual awareness + Interaction + · · · Feeling of vitality and aliveness (energy) Positive regard Mutuality High-quality connections. . . · Can be brief! (a weak tie) · “Human moment” = presence + attention Dutton & Heaphy 2003; Baker & Dutton 2007

High-Quality Connections · · · Think about a recent instance in your work life when you felt a HQC to another person. Jot down the circumstances, how it felt Share the story with the person sitting next to you Identify at least 2 - 3 common features of HQCs You have three minutes starting now Dutton & Heaphy 2003; Baker & Dutton 2007

Why Do High Quality Connections Matter? Individuals • Broader thinking • Reduced negative arousal • Heightened learning • Builds resilience • Enhanced self-image • Increased cooperation • Improved physiological/ psychological health Teams/Groups • Better learning • More adaptive • More creative Organizations • Enhanced cooperation • Greater attachment of employees, customers, suppliers • Increased adaptability HQCs Dutton 2003, 2006

Four Pathways for Building HQCs Respectful Engagement • Engaging the other in a way that sends a message of value and worth Playing • Participating in a game with another, engaging in motor patterns, directed at another with no instrumental outcome Task Enabling HQCs • Helping/facilitating another person’s successful performance Trusting • Conveying to other person that we believe they will meet our expectations and are dependable Dutton 2003, 2006

What does play look like? David Holmes, Southwest Airlines’ steward

What does task enabling look like? MO Cheeks, former coach of Seattle Trail Blazers and Natalie Gilbert

Respectful Engagement Playing Task Enabling Trusting Emotional Energy “a feeling of confidence, elation, strength, enthusiasm, and initiative in taking action” (Collins, 2004: 49)

3. Creating Human Energy High-Quality Connections generate networks of energy and enhance capability Corrosive Connections generate de-energizing networks and destroy capability

Energy Networks Organizational Network Survey “When you interact with this person, how does it affect your energy level? ” 1 = very de-energizing 2 = de-energizing 3 = neutral 4 = energizing 5 = very energizing (Many other questions in survey) Baker, Cross, & Wooten 2003

Energizing leaders revitalize federal agency Energizing network among leaders & staff in agency Baker, Cross, & Wooten 2003

Some leaders drain energy from a group De-energizing network in petrochemical company De-energizing network without the supervisors Baker, Cross, & Wooten 2003

Very energizing ties among executives Source: Baker 2006

Very energizing ties and very deenergizing ties among executives Source: Baker 2006

Positive Energizers ·Those who energize others are the best performers ·This finding holds across markedly different kinds of work and settings ·People are motivated to help energizers ·People share knowledge & resources with energizers (and NOT with de-energizers) ·Positive energy networks promote knowledge transfer and high-quality connections (de-energizing networks do the opposite) ·Threshold: 3: 1 ratio Baker, Cross, and Wooten 2003; Baker and Quinn 2011

4. Tapping the Power of Generalized Reciprocity · Principle · Proof · Practice

The Principle of Generalized Reciprocity “I’ll do this for you now, without expecting anything immediately in return and perhaps without even knowing you, confident that down the road you or someone else will return the favor. ” (Putnam 2000) 1. Create value by contributing to others 2. By contributing to others, they will help you

Direct Reciprocity vs. Indirect Reciprocity (generalized reciprocity) D D C C B B A You help me and I help you. A You help me and I help someone else. (pay it forward)

Project Management at IDEO “Designers call these meetings to seek the help of other designers at IDEO who are not already involved in the project…. The designers who attend brainstorming sessions do so because they believe they can contribute distinctive technical solutions to the problem and because, if they don’t help with others’ projects, the favor will not be returned. ” “These interactions made visible the norms for asking for help, sharing knowledge, and giving help…. ” Hargadon and Sutton 1997

"Always go to other people's funerals, otherwise they won't come to yours. " -Yogi Berra

Reciprocity Ring™ – a positive network building tool – Improve problem solving, information sharing – Strengthen team development – Model generous behavior – Build habits of cooperation – Improve cohesiveness of groups – Scalable from small groups to organizations 31

Reciprocity Ring™ Results Dollar Value and Time Saved in Representative Applications Source: Humax

5. Building Positive Social Capital Now · · · · Organize into a small group; bring pen & paper Jot down your request (SMART criteria) One person starts by making a request Group pauses and considers how they can help, making notes (2 types of contributions) Next person makes request Group pauses and thinks of ways to help Continue rotation until all are done

Examples of Personal Requests 1. My teenaged daughter needs tennis lessons with a pro in the Chicago suburbs. 2. My request is to see a Bengal tiger in the wild. 3. I was adopted at birth and I am looking for my biological parents’ last name. 4. My request is two tickets to be on Emeril Live! in NYC to celebrate my 10 th anniversary. 5. My son has just been arrested. I need someone to watch my two Great Danes tomorrow while I go bail him out.

Examples of Business Requests 1. I am looking for a civil engineer with project management experience to relocate to Florida. 2. I want advice on how to become the wealthiest and most productive commercial loan officer at my bank. 3. I need advice on how to manage and improve my relationship with my boss. 4. I’m about to pay an outside vendor $50, 000 to synthesize a strain of the PCS alkaloid. I need a cheaper alternative. 5. I need a recommendation for an online project management system for a dispersed team.

A SMART request S - Specific M - Meaningful and important to you A - Action-oriented R - Real need (big or small) T - Time bound (when do you need it? )

Sources of Contributions · You have the resource - knowledge, information, expertise, budget, product, emotional support, etc. · You have contacts to the resource someone you know has the resource, and you can connect the requestor to this person.

Building Positive Social Capital Now · · · · Organize into a small group; bring pen & paper Jot down your request (SMART criteria) One person starts by making a request Group pauses and considers how they can help, making notes (2 sources of contributions) Next person makes request Group pauses and thinks of ways to help Continue rotation until all are done

Applications How can you apply what you learned this evening? · Follow up from our group activity · Identify an opportunity to build HQCs via task enabling, play, respectful engagement, or trust. · Identify an opportunity to engage in reciprocity (e. g. , rotating requests) · Experiment at work and/or home

Agenda 1. 2. 3. 4. 5. What is positive social capital and why does it matter? Building high-quality connections Creating human energy Tapping the power of generalized reciprocity Building positive social capital this evening

wayneb@umich. edu www. waynebaker. org (web page) www. Our. Values. org (blog)