Leadership and Internal Relational Capital of Enterprises

Rafal Drewniak, Urszula Slupska, Iwona Posadzinska
European Research Studies Journal, Volume XXIII, Special Issue 1, 373-388, 2020
DOI: 10.35808/ersj/1766

Abstract:

Purpose: The paper aims to identify the actions that foster the development of positive relationships between employees and the company and help build internal relational capital. The authors also attempted to describe the patterns of formation of intra-organizational relations by identifying the actions that contribute the most to the development of internal relational capital. Design/Methodology/Approach: Two studies conducted in 2018-2020 focused on the importance of relational competencies in creating company value and the role of leadership. The first study concentrated on the managers (N=10), whereas the second one focused on the analyzed companies' employees (N=185). The obtained information was used to perform structural analysis, based on structural indicators expressed as percentage values. Factor analysis was also carried out as part of the data analysis to determine the relationships between factors. The principal component analysis was used. Findings: The results indicate that in the process of creation and development of intellectual capital in an enterprise, the role of a leader involves mainly the establishment of values desired for the company's success, creation of a corporate culture that helps to accomplish goals, and assistance in reaching the targets by employees, as well as support for workers and their activity. The analyzed enterprises are engaged in developing proper internal relations and apply different methods to build relations between the company and the employees. Practical Implications: The results indicate the directions for building internal relations. Identification of the actions that demonstrate a greater impact on the development of positive relationships between employees and the company and those with a lesser impact. Originality/Value: Concentration on effective relational management and creation of relational capital are the key elements of modern leadership. The development of positive relationships between employees and the company contributes to the company's relational capital, which considerably affects an enterprise's growth and competitive position.


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