Capital Elements Research Articles

The effect of servant leadership on organisational sustainability: the parallel mediation role of creativity and psychological resilience

PurposeThe main concern of this research is to examine the indirect effects servant leadership on organisational sustainability (OS) through creativity and psychological resilience in the hoteling sector in Malaysia.Design/methodology/approach A survey method based on a questionnaire was employed to gather data from 441 employees working in the hotel industry in Malaysia. The partial least squares technique, SmartPLS3.3.7, was employed to examine the hypotheses.Findings The result of the study found support for effect of servant leadership on creativity and psychological resilience. In addition, the effect of creativity and psychological resilience on OS was supported. Moreover, the mediation role of creativity and psychological resilience between servant leadership and organisational suitability was also supported by data.Originality/value This is a pioneering study that has combined human capital elements (i.e. servant leadership, creativity and psychological resilience) to examine their impacts on OS. Besides, this work has established comparatively new relationships, i.e. the impact of servant leadership on OS through the mediating role of creativity and psychological resilience. In addition, this study has developed relatively new link between psychological resilience and OS. In addition, it has confirmed the validity and reliability of servant leadership and OS at first and second orders.

COMPARATIVE ASPECTS REGARDING THE TAXATION SYSTEM IN THE CONTEXT OF SUSTAINABLE DEVELOPMENT

This article reveals the comparative analysis of the tax system from Denmark and Norway which, although have a progressive tax system, also have a high level of social and economic well-being. The premise for the welfare state in Denmark and Norway lies in the awareness of all economic agents, including households, that taxes and fees contribute to ensuring sustainable development. Sustainable development represents all forms and methods of socio-economic development, focused on ensuring the balance between social, economic, ecological aspects and the elements of natural capital. Furthermore, there are researched ways to bond the tax system in the Republic of Moldova to international practices in order to ensure a high level of quality of life and sustainable development.

The Myth of Social Capital in Development of Small and Medium Enterprises: A Case Study of Handloom Industry at Peshawar Valley

The purpose of this study is to analyze the role of social capital in development of small and medium enterprises in Peshawar Valley. Relational capital such as business relational capital and social relational capital is used as tools of social capital. Firm performance is measured using attributes like profitability and future viability. A cross sectional, descriptive and analytical research design is adopted using a representative sample of 169 manufacturing weavers. Data is collected using a self-administered questionnaire. The findings reveal a significant and positive relationship between relational capitals, firm performance. It is recommended that investment in social capital improves firm performance with a positive impact on wellbeing of overall community. Therefore, managers should intensify initiatives to encourage greater understanding and acceptance on relational capital elements, employ a viable relational capital composition that includes building strong social relational ties with the community and government and pay attention to customers and employees in order to identify their needs and provide them with optimal values. This is likely to increase firm performance and development the small and medium enterprises.

The Influence of Social Capital on Youths' Anti-Epidemic Action in the Field of Epidemic-Preventative Social Distancing in China.

Social distancing restrictions for COVID-19 epidemic prevention have substantially changed the field of youths’ social activities. Many studies have focused on the impact of epidemic-preventative social distancing on individual physical and mental health. However, in the field of social distancing for epidemic prevention, what are the changes in youth anti-epidemic action and states caused by their interpersonal resources and interactions? Responding to this question by studying the impact of the elements of social capital in youths’ anti-epidemic actions and anti-epidemic states could help identify an effective mechanism for balancing social distancing for effective epidemic prevention and sustainable social-participation development among youth. Bourdieu’s field theory holds that the elements of social capital change with a change in the field. Therefore, we introduced the specific elements of social capital as independent variables and used a multinomal logistic model to analyze and predict the levels of youth anti-epidemic action through an empirical investigation of 1043 young people in Guangdong Province, China. The results show that, first, level of social distancing for epidemic prevention shows differences by occupation status and income level and correlates with social support. Second, social support and social norms play positive roles in promoting youth participation in anti-epidemic activities when social distance is certain. Third, social capital has a significant positive effect on youth social satisfaction and core relationships; however, social trust has a significant negative effect on youth physical and mental health. This study emphasized that social distancing for epidemic prevention is a special social situational state, which is a field where social capital has an impact on the differential changes in the public-participating actions and habitus of youth.

IMPROVING THE COMPETITIVENESS OF THE SMALL AND MEDIUM ENTERPRISES (SME) OF TROSO WEAVING CRAFT IN JEPARA REGENCY USING CAPITAL INTELLECTUAL ANALYSIS

The aim of the research was to analyze the management of the SMEs of Troso Weaving Craft in Jepara Regency in relation to the human resources. In order that the SMEs can compete with today’s industry, the SMEs are required to be able to run their businesses professionally and to innovate, as well as to implement new breakthroughs. Therefore, the management of the SMEs needs to develop their intellectual ability and competitive advantage for their products. Intellectual capital is the intangible resource that can be used as the source of sustainable competitive advantage. The measurement of IC associated with competitive advantage was made against the elements of human capital, structural capital and costumer capital. Hence,this research discussed a model that relates the intellectual capital of the SMEs to the competitive advantage of the SMEs of Troso Weaving Craft in Jepara Regency. For the development of the model and hypothesis, the research used the Structural Equation Modelling (SEM), by taking the samples of 157 SMEs of Troso Weaving Craft selected in simple random sampling. The analysis results show that human capital, structural capital, and customer capital have the effect on competitive advantage. It means that the improvement of the competitive advantage for Troso Weaving Craft requires trainings in the managements of production, distribution, marketing and finance for all individuals and employees of the SMEs.

Social Sustainability in Micro and Small Enterprise Supply Chains: Empirical Insights from the Clothing Industry

This paper argues that micro and small enterprises (MSEs) can address social supply chain sustainability using social capital elements. Through a nested case study at José Avelino fashion center, results show the prominence of internal social sustainability performance and strong elements related to a friendly and familiar connection among members of the MSE’s supply chain, but their relationships remain transactional. It was established that while structural and cognitive capital exists, relational capital is limited due to a lack of trust and commitment between suppliers. This paper demonstrates how social issues can be addressed to support the pathway to a balanced response to sustainability in MSE supply chains.

Latent profile analysis in recovery homes: A single quantitative dimension captures most but not all of the important details of the recovery process

Background: Our study explored whether latent classes adequately represented the social capital recovery indicators at the resident level and whether latent class membership predicted subsequent exits from the recovery homes. Method: Our sample included about 600 residents in 42 recovery homes. Over a 2-year period of time, every 4 months, data were collected on eight elements of recovery capital. Results: We found 5 latent classes were optimal for representing 8 elements of recovery capital. Representing 79% of the sample, 3 of the 5 latent class profiles of the means of the 8 recovery indicators were roughly parallel and differed only in level, but the remaining 2 latent class profiles, representing 21% of the sample, were not parallel to the first 3, suggesting that a single quantitative dimension of perceived recovery may capture most but not all of the important details of the recovery process. Next, using longitudinal data from homes, the distal outcomes of resident eviction and voluntary exit were found to be related to latent class membership. Resident level pre-existing predictors (e.g., employment status, educational attainment, gender, Latinx ethnicity) and house level pre-existing predictors (e.g., financial health, poverty level of typical population served, new resident acceptance rate) significantly discriminated the classes. In a model that combined both pre-existing predictors and distal outcomes, latent class membership was still the strongest predictor of evictions controlling for the pre-existing predictors. Conclusions: These classes help to clarify the different aspects of the recovery latent score, and point to classes that have different ethnic and gender characteristics as well as outcomes in the recovery homes. For example, the high levels of self-confidence found in class 3 suggest that Latinx might be at higher risk for having some difficulties within these recovery communities.

Analysis of Social Capital in the Women Farmers Group of Dorang Cinta, Surabaya City

Social capital is one of the capitals that can be used for farmers to strengthen their groups. This social capital is one aspect that can make people join so that they can achieve common goals based on the aspect of togetherness, bound by trust, based on norms and values ​​that are upheld and adhered to by the community as well as a good communication network. The aims of this study are: (1) To describe the social and economic conditions of the members of the Dorang Cinta Women's Farmer Group in Surabaya. (2) Analyzing social capital in the Dorang Cinta Women's Farmer Group, Surabaya City. The location of the research was carried out purposively, namely in RT 10 RW 03, Perak Barat Village, Krembangan District, Surabaya City in the Dorang Cinta Women's Farmer Group. The data used in this study are primary data and secondary data. The data analysis method in this study is a descriptive method using a questionnaire containing a list of questions that have been compiled in the form of a Likert scale. Analyzing social capital consists of several elements, namely: (1) Trust and Norms. The conclusion of this study is that the social capital of members of the Dorang Cinta Women's Farmer Group is included in the high category, namely 3.66. The assessment of each element of social capital which consists of trust and norms is included in the high category.

HEALTH CARE AS A SYSTEM-CREATING ELEMENT OF HUMAN CAPITAL: STRATEGIES OF ITS DEVELOPMENT BY THE CASE OF UKRAINE

The main purpose of the paper is to analyze the process of the health care development as the system-creating factor of human capital. Methodology. This study combines economic and managerial analysis of healthcare and human capital. The background for this analysis is the data of the 2020 Human Capital Index in Ukraine and other developed and developing countries. The method of historical and logical analysis of the literature was used. The functional and structural analysis was used with purpose to research the main tools of human capital’s development. Methods of comparative and statistical analysis and their synthesis were used to study dynamics of human capital. Method of summarization was used to make conclusions and recommendations for improving human capital in developing countries. Works of scientists in the sphere of human capital were used as the informational basis for the conducted study. Findings. In the paper it was analyzed the Human Capital Index in Ukraine and its components from the period of 2010-2020. The problems of the development of Ukrainian healthcare sector as the system-creating element of human capital are viewed. Formation of a new model for organizing medical care based on the development of the four P’s model of medicine (predicting, prevention, personalization, participation) is considered as the main basis for developing effective healthcare sector in Ukraine. The authors of the article see the following key areas of necessary actions in Ukrainian healthcare sector: technological breakthrough, strengthening a healthy lifestyle, ensuring the availability of high-quality medical services, developing human resources, creating a system of effective drug provision, increasing the efficiency of financing. Practical implications. The results of this study form the methodological and practical basis for improvement of the state regulation system of Ukrainian healthcare as a system-creating element of human capital. The results of conducted research could be a framework for formation of effective healthcare system in Ukraine, ensuring its constant development. The main proposals could be used by the Ministry of Healthcare of Ukraine while working out the Concept of national healthcare system development, they should be taken into consideration by state and municipal Health Departments for implement them during the process of Ukrainian healthcare sphere’s reformation.

DOES HUMAN CAPITAL PREDICT RESOURCES: EVIDENCE FROM DENOMINATIONAL INSTITUTIONS IN GHANA?

Life processes cannot continue in the absence of a means of survival. This explains why people continue to look for ways to make a living and satisfy their insatiable desires This study aims to investigate the relationship between human capital and financial resources in selected denominational institution in Ghana. This research is applied a questionnaire to measure and assess the mentioned relationship. The sample size is 368 persons who were chosen through purposive sampling technique. A Minitab 20.3 software was used to generate the required results. According to findings of empirical analysis, it is demonstrated that there is a significant and positive relationship between human capital and resources. The results also revealed that human capital elements of education, training and succession planning were predictors of resources. It recommended that human capital must be improved for better management of denominational resources.

FORMATION OF THE MECHANISM OF TRANSFORMATION OF ORGANIZATIONAL CAPITAL OF ENTREPRENEURSHIP ENTITIES

The article considers the essence of the concept of organizational capital. It is established that organizational capital is an integral part of the intellectual capital of the enterprise along with social and consumer (client) capital. The main features inherent in organizational capital are considered. The formation of the mechanism of transformation of organizational capital of business entities is studied. The mechanism of transformation of organizational capital of business entities is offered and substantiated. The peculiarity of the proposed mechanism is the separation of three blocks of technological processes of organizational capital: the organization of labor, which determines the content of labor, responsibilities of employees, the system of remuneration, etc .; organization of production, which carries out the interaction of different technological processes into a single system; management organization, which analyzes the external and internal environment, and which allows for effective distribution of available resources of the enterprise. There is a transformation of organizational capital, ie the transformation of these technological processes into a single system and the formation of appropriate types of labor relations. It is established that the interaction of these systems directly affects the economic efficiency of production and competitiveness of the enterprise. The inefficiency of one element of organizational capital can negatively affect all interacting processes. It is revealed that the level of development of each block of organizational capital affects the efficiency of production of the enterprise as a whole. Problems associated with the development of elements of organizational capital affect the quality of products or services provided, which leads to a decrease in financial performance of the enterprise, and subsequently to the loss of such a valuable resource as staff. That is why in order to avoid crisis situations and eliminate possible risks, planning and analysis of the company's activities must be carried out comprehensively, starting with the analysis of the labor relations system, because it is in this area creates added value. Keywords: organizational capital; structural capital; intellectual capital; social capital; transformation.

A comparative analysis of human capital information opaqueness in South Korea and the UK

PurposeHuman capital is considered by many to be a firm's most important asset. However, because no international human capital reporting framework exists, firms can decide to include/exclude human capital details on annual reports. Based on legitimacy theory, firms that disclose high levels of human capital information can be considered congruent with the expectations of society. However, firms can also choose to include human capital information on annual reports for symbolic purposes as an image management strategy.Design/methodology/approachUsing 2018 as a sample period, content analysis is used to evaluate the annual reports of the 25 largest British and 25 largest Korean firms to demonstrate the propensity of British/Korean firms to disclose human capital information as numerical and textual data.FindingsThe authors report that South Korean firms provide high levels of human capital information using narrative and numerical data, including value added human capital elements included on integrated reports. British firms on the other hand tend to use primarily positive narrative and limited numerical human capital data to present human capital information.Originality/valueThe results imply South Korean firms provide robust human capital information on annual reports as a legitimacy strategy. On the other hand, the UK's human capital reporting requirement can be considered as a form of image management. The results therefore have important policy implications for legislators, labour unions and firm stakeholders with incentives to enhance human capital information transparency.

Public Service Competition，Factor Flow and New Regional Economic Pattern

In the past 40 years, local government competition has played a very important role in China’s economic growth. However, the rapid economic growth has been accompanied by challenges in public health, public education, resources and the environment, etc. How to improve the level of public services and gather innovative elements such as human and capital with a better capacity of carrying is a realistic problem that urgently needs to be considered. The outbreak of COVID-19 epidemic is a major test for the national and local governance system. While forcing the improvement of local public service capabilities, the competition for public services around the prevention and control of the epidemic becomes visible. To clarify the realistic background and institutional constraints that lead local competition to economic growth rather than public services, and to guide public services to become a new competition yardstick for local governments through new institutional arrangements, can provide new impetus for China’s regional coordinated development, which is also the internal requirement of the modernization of national governance for local government reform.Firstly, this paper adopts a two-region model to show that the failure of local public services to coordinate with economic growth is a natural result of local government behavior choices. Under the new incentive and restraint mechanism, it is possible to move from economic growth competition to public service competition. Secondly, based on the typical facts of local public services, around the current major adjustments in China’s productivity layout, the empirical tests find that the full flow of population and capital elements in the new era relies on the spatial network system with infrastructure and public services as carriers, and public services have become a carrier for central cities and urban agglomerations to attract core resources. Furthermore, from the central-local-social perspective, based on a two-regime spatial Durbin model with fixed effects, the results show that reforming the performance evaluation index system, expanding local government information disclosure, enhancing public opinion supervision and public participation, and stimulating the vitality of social organizations provide a realistic and feasible way to promote the establishment of a competitive relationship of “racing to the top” and “aiming high” to improve the overall public service level and promote the equalization of public services.

Does country environment matter in the relationship between intellectual capital and innovation performance?

This paper examines how country environment shapes the relationship between firm intellectual capital and its innovation performance. Using survey data from 649 firms in Finland, Spain and Russia complemented by archival IMD World Competitiveness Ranking data, we find that when country environment is characterised by greater availability of skilled labour and a stronger appropriability regime, a firm’s human and structural capital have a lower impact on its innovation performance. The effect of relational capital does not depend on these contextual variables. This study enriches the intellectual capital-based view of the firm by demonstrating that country-level factors moderate the performance effects of firm-level intellectual capital. It also adds to the strategic management literature by exploring the explanatory power of a combination of country-level variables and firm-level resources in understanding firm-level performance. Our findings can help practitioners focus on the elements of intellectual capital that have the greatest impact in their environment.

The practice of womens social capital as the pillars of the family economic in rural area

This study aims to find various forms of women’s social practices as the pillars of the family economic in rural UIK. The research employs qualitative research method which involves a study case at Kacang Tore Small Enterprise. The data of the research were collected by using triangulation method covering observation, interview, and documentation, and those data obtained in this research were then analyzed using a forward stepwise model from Spradley. From the findings, it is stated that social capital is formed by the presence of several elements of social capital which created through social interactions between economic actors, and women workers. Its form can be seen through various forms of social capital such as beliefs, networks, norms, values of life based on religious teachings and ancestral cultural heritage which passed down over generations to generations by exchanging kindness. The practice of women’s social capital, the pillars of the family economy, is found in terms of (1) building trust in a working relationship in all activities of the small business unit; (2) establishing social capital network which emerges from relationships between family members and friends; (3) maintaining kindness and reciprocity embedded in free knowledge sharing and giving loan; (4) preserving the values of life as having been explained in religious teachings and in cultural heritage passed down from the generation to generation; (5) implementing norms as the guideline for all economic actors to conduct their economic activities. These practices are essential to strengthen the existence of small business unit at the rural area, which then provide the recommendation for other small business units throughout Indonesia to empower women as the pillar of the family. Empowering women is believed to increase the family economy because women serve as the ideal capital resources for maintaining the economic resilience of the family.

Social capital and income of cocoa farmers in peta village, Sendana District, Palopo City, South Sulawesi Province

Social capital has been tested by history as an important mechanism in achieving economic growth and equity in society. In terms of farmers’ income, one that can be used as an alternative in changing the farmer’s standard of living is through social capital. There are three elements of social capital that can be examined in this study, namely the element of trust, the element of network and the element of reciprocity. Research on the relationship between social capital and income of cocoa farmers aims to determine how strong the relationship between the three elements of social capital is to the income of cocoa farmers. This research was conducted from December 2018 to March 2019 in Peta Village, Sendana District, Palopo City, South Sulawesi Province. This location was determined by purposive sampling. The results of the study found that the recapitulation of the elements of social capital, trust, network and reciprocity of cocoa farmers were in the high category, with the income of cocoa farmers in the high category. For the relationship between social capital and income of cocoa farmers, the trust element has a sufficient coefficient value, while the network and reciprocity elements have a weak coefficient value. The relationship between social capital and income of cocoa farmers for the element of trust is in the quite significant category, while for the network elements and reciprocity on the income of cocoa farmers, it is in the weak category.

The impact of internal marketing on 'green' management of intellectual capital

The purpose of this paper is to explore the relationship between internal marketing and “green” management of intellectual capital by testing correlations between internal marketing and knowledge capital, the development of “green” employees, “green” organisational culture and the “green” reputation of the organization.
 A questionnaire of 20 items was sent by e-mail via Google docs, to firms that employ more than 250 employees and have received awards for their working environment. Data collection lasted from July to November of 2020 and 609 questionnaires were collected.
 Results strongly confirmed the correlations between facilitation of flow information and maintenance of knowledge capital, informal communication and the development of “green” employees, participatory and supportive character of internal marketing programmes and the adoption of a “green” culture and internal customers’ satisfaction and the development of the organization’s “green” reputation, thus indicating a new perspective in a macro-level management.
 Managers need to adopt a contemporary perspective of managing the intangible assets of the organization. Integration of internal marketing practices can foster the maintenance of knowledge capital, the development of “green” employees and achieve the reinforcement of “green” organisational culture and the reputation of the organization.
 There is no previous research attempting to explore how the “green” management of specific elements of intellectual capital are correlated with internal marketing.

Accounting for benefits from natural capital: Applying a novel composite indicator framework to the marine environment

Increased emphasis on the natural capital approach in the UK has led to greater demand for methods that link economic sectors with elements of natural capital, and that can provide evidence for sustainable management of the environment. However, factors describing the supply of benefits, and their links with economic sectors, are not well defined.This study develops a novel framework that investigates how the combination of different forms of capital (natural, financial, social, manufactured or human) provide a potential supply of benefits, and how changes in quality or extent of natural capital affects supply. Factors affecting the delivery of benefits are analysed, and indicators for each factor are selected. Indicators are ranked and weighted, and benefit supply is represented as a novel, composite index. The composite supply index is then linked as an input to a related economic sector.This framework is applied for the first time to four benefits from the marine environment in the UK: seafood, offshore wind energy, wildlife watching and water sports. The approach is compatible with national accounts, natural capital accounts, and established ecosystem service classifications. This study shows how linking economic sectors with benefits can provide new evidence in support of marine management.

ТРАНСФОРМАЦИЯ ПОНЯТИЯ ЧЕЛОВЕЧЕСКОГО КАПИТАЛА

Today, the whole world is at the stage of transition of the transformation of human capital intodigitalization. Digitalization affects the economic, social and technological way of life of humanity, changingits standard attributes. The main moderator of the digital process is a person who modernizes and improvestheir intellectual capital. The article discusses theoretical approaches to the content of the term “humancapital”, identifies the attributes of human capital, depending on the time frame of the scientists ‘ views. Thepaper highlights the factors that form the main elements of human capital, as well as their modernizationassociated with digitalization. Keywords: human capital, digitalization, cyberphysical systems, informationand socio-technological infrastructure.

Influence on Corporate Performance by Determinants of Working Capital

Working capital (WC) determinants play a crucial role in operating activities and corporate performance in a routine firm. This paper examines the influence of WC determinants on corporate performance employing a sample of thirty-one metal and mining firms listed on the National Stock Exchange (NSE), India for 10 years from 2010-2019. Pearson's correlation and fixed effect regression models were used to estimate the explanatory variables regression coefficients on the outcome variables. ROTA, ROEQ and ROCE variables were used to ascertain performance of sample firms and results revealed a significant negative influence of WC – inventory period (INVP) and accounts receivable collection period) on corporate performance (ROTA,ROEQ & ROCE). No significant influence was observed between Corporate performance (ROTA, ROEQ & ROCE) and account Payable (AP). Moreover, Control variables corporate size (CZ) results revealed significant negative influence on corporate performance (ROTA,ROEQ & ROCE), & Debt ratio(DR) result revealed a negative significant influence on ROTA, ROEQ .The result of sales Growth (SG) indicated a positive significant influence of corporate performance (ROTA,ROEQ & ROCE). From the result of this study, it has been inferred that by reducing the INVP & ARCP the management can enhance corporate performance & eventually creating value for firm's shareholders. Through a meticulous reduction of the inventory period (INVP) & account receivable collection period (ARCP), firms can demonstrate the effective and efficient utilization of financial resources, mitigating default & liquidity risk thereby enhancing its profit. Thus, systematic utilization of working capital elements positively influences firm's performance.