By Michael Armstrong, Stephen Taylor

From an the world over revered specialist on administration subject matters comes this totally revised 10th anniversary version of his vintage textbook.

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Extra resources for A Handbook of Human Resource Management Practice

Example text

The World Bank (2000) offers the following definition: Social capital refers to the institutions, relationships and norms that shape the quality and quantity of a society’s social interactions... Social capital is not just the sum of the institutions that underpin a society – it is the glue that holds them together. It is necessary to capture individual knowledge through knowledge management processes, as described in Chapter 12, but it is equally important to take into account social capital considerations, that is, the ways in which knowledge is developed through interaction between people.

This means taking steps to assess and satisfy future people needs and to enhance and develop the inherent capacities of people – their contributions, potential and employability – by providing learning and continuous development opportunities. It involves the operation of ‘rigorous recruitment and selection procedures, performance-contingent incentive compensation systems, and management development and training activities linked to the needs of the business’ (Becker et al, 1997). It also means engaging in talent management – the process of acquiring and nurturing talent, wherever it is and wherever it is needed, by using a number of interdependent HRM policies and practices in the fields of resourcing, learning and development, performance management and succession planning.

It consists of the knowledge derived from networks of relationships within and outside the organization. The concept of social capital has been defined by Putnam (1996) as ‘the features of social life – networks, norms and trust – that enable participants to act together more effectively to pursue shared objectives’. The World Bank (2000) offers the following definition: Social capital refers to the institutions, relationships and norms that shape the quality and quantity of a society’s social interactions...

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