Social Capital: What is it and how can we leverage it for good?

We hear a lot about social capital these days. At Women’s Impact Fund, we talk about our wealth of social capital and that we should leverage it to aid others. But what exactly is social capital? According to a recent article from McKinsey, it is “the presence of networks, relationships, shared norms, and trust.” The Institute of Social Capital located in Australia acknowledges that there is no one precise definition, but that social capital relates to social relationships that have productive benefits.

When I think about social capital, I think about my personal network and how I use it. I recently connected my daughter’s friend with the executive director of a nonprofit with whom I have a relationship. The friend is interested in the work of the nonprofit and needs to do a capstone project as part of his high school graduation requirements. Through this connection, he was successful in securing an internship. Moreover, he will start to build his own connections at this organization.

We do things like this all the time for friends and acquaintances. The question then becomes, how do we include more people in this network of ours; people who may not have the robust networks that we have. I think the answer may be rather simple. We need to be intentional in bringing more people into our network. Maybe the older sister of the student you tutor is looking for an internship. Maybe the friend you made when canvassing for a candidate last fall is looking to change jobs. Being intentional about sharing our social resources is another path toward being impactful. 

If you want to think more about social capital, come to WIF’s Women LEAD session on February 1: Social Capital, Using Your Voice for Influence. The event will be led by Sherri Chisholm, the Executive Director of Leading on Opportunity. Register now. On an organizational level, WIF is thinking about social capital too. In December, the Board of Directors and Advisors held their annual joint meeting. During that time, members discussed various forms of social capital and engaged in discussions about how WIF and its members could leverage social capital for social good. These discussions will be used as part of the strategic planning update that is being undertaken currently.