The Negative Effects of Social Capital in Organizations: A Review and Extension

Numerous studies have examined the positive effects of social capital in organizations, whereas the possible negative effects have attracted considerably less scholarly attention. To rectify this imbalance, this paper first undertakes a rigorous review of the published scholarly empirical evidence p...

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Vydané v:International journal of management reviews : IJMR Ročník 19; číslo 1; s. 97 - 124
Hlavní autori: Pillai, Kishore Gopalakrishna, Hodgkinson, Gerard P., Kalyanaram, Gurumurthy, Nair, Smitha R.
Médium: Journal Article
Jazyk:English
Vydavateľské údaje: Oxford Blackwell Publ 01.01.2017
Blackwell Publishing Ltd
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ISSN:1460-8545, 1468-2370
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Abstract Numerous studies have examined the positive effects of social capital in organizations, whereas the possible negative effects have attracted considerably less scholarly attention. To rectify this imbalance, this paper first undertakes a rigorous review of the published scholarly empirical evidence pertaining to the negative effects of social capital in organizations through a search of Web of Knowledge and Scopus, and then enumerates six potentially negative effects arising from increased levels of social capital. The review focuses on negative effects arising from bonding social capital and those arising from dense networks and closure, advancing new theory to elucidate the generative mechanisms that give rise to the proposed negative effects. Finally, the authors identify potential moderators of the negative effects thus theorized. Using the lens of social identification theory, the authors argue that dysfunctional identification processes restrict the processing of information and stimulate over‐commitment to established relationships, diluting in turn the dialectical process, and inhibiting individual learning within organizations, culminating in groupthink, the postponement of structural adjustments, the non‐rational escalation of commitment, and the blurring of firms’ boundaries. This review thus furthers the agenda of a more balanced inquiry into the effects of social capital in organizations.
AbstractList Numerous studies have examined the positive effects of social capital in organizations, whereas the possible negative effects have attracted considerably less scholarly attention. To rectify this imbalance, this paper first undertakes a rigorous review of the published scholarly empirical evidence pertaining to the negative effects of social capital in organizations through a search of Web of Knowledge and Scopus, and then enumerates six potentially negative effects arising from increased levels of social capital. The review focuses on negative effects arising from bonding social capital and those arising from dense networks and closure, advancing new theory to elucidate the generative mechanisms that give rise to the proposed negative effects. Finally, the authors identify potential moderators of the negative effects thus theorized. Using the lens of social identification theory, the authors argue that dysfunctional identification processes restrict the processing of information and stimulate over‐commitment to established relationships, diluting in turn the dialectical process, and inhibiting individual learning within organizations, culminating in groupthink, the postponement of structural adjustments, the non‐rational escalation of commitment, and the blurring of firms’ boundaries. This review thus furthers the agenda of a more balanced inquiry into the effects of social capital in organizations.
Author Kalyanaram, Gurumurthy
Hodgkinson, Gerard P.
Nair, Smitha R.
Pillai, Kishore Gopalakrishna
Author_xml – sequence: 1
  givenname: Kishore Gopalakrishna
  surname: Pillai
  fullname: Pillai, Kishore Gopalakrishna
  email: Kgopala1@bradford.ac.uk
  organization: Bradford University School of Management
– sequence: 2
  givenname: Gerard P.
  surname: Hodgkinson
  fullname: Hodgkinson, Gerard P.
  organization: University of Warwick
– sequence: 3
  givenname: Gurumurthy
  surname: Kalyanaram
  fullname: Kalyanaram, Gurumurthy
  organization: Tata Institute of Social Sciences
– sequence: 4
  givenname: Smitha R.
  surname: Nair
  fullname: Nair, Smitha R.
  organization: University of Sheffield
BackLink http://www.econis.eu/PPNSET?PPN=894036351$$DView this record in ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften
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Notes The authors thank Akbar Zaheer for helpful comments and suggestions on earlier versions of this paper.
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2008; 51
2012; 33
2007; 15
2014; 43
1999
2007; 16
2014; 42
2004; 55
1993; 57
1984; 30
2010; 48
1989; 53
2006; 40
1994; 19
1995; 48
1993; 55
2011b; 32
1997; 34
2003; 24
2014; 35
1984; 9
2005; 10
2003; 28
2014; 39
1998; 73
2005; 16
2012; 46
2005; 17
2012; 43
2005; 11
2003; 21
2012; 41
2001; 91
1996; 39
2013; 20
2011a
2011; 12
2008; 72
2011; 17
2005; 26
2007; 31
1998; 41
1938
2007; 36
2007; 28
2001
1978; 23
2000
1999; 19
2015; 40
1991; 44
1995; 68
1999; 16
1997; 14
2011; 20
2005; 30
2002; 107
1997; 18
1983; 61
1994; 37
2011; 26
2005; 39
2011; 29
1937; 4
1998; 27
1998; 29
2015; 6
1986; 50
2002; 30
2000; 26
2010
2013; 45
2011; 40
2008
2005; 41
2006
2011; 32
2005
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2003
1999; 2
2007/8; 122
2011; 37
2002
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1989; 26
2005; 48
1999; 8
1972; 6
1998; 23
2003; 76
2007; 58
1998; 24
2002; 27
2001; 80
1993; 14
2009; 30
2013; 36
2013; 33
2004; 15
2013; 31
1963
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1961
1985; 30
2011; 49
1976; 16
1989; 14
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SubjectTerms Effects
Management theory
Organizational behavior
Social capital
Studies
Title The Negative Effects of Social Capital in Organizations: A Review and Extension
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Volume 19
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