{"id":679,"date":"2024-04-21T06:59:46","date_gmt":"2024-04-21T06:59:46","guid":{"rendered":"https:\/\/petrasc.codemonkeys.dev\/?p=679"},"modified":"2024-12-07T13:27:38","modified_gmt":"2024-12-07T11:27:38","slug":"psychological-capital-leadership","status":"publish","type":"post","link":"https:\/\/petrascoaching.gr\/en\/psychological-capital-leadership\/","title":{"rendered":"What is Psychological Capital and Why Leaders Need It"},"content":{"rendered":"

Leaders are officers, people with abilities, intelligence, knowledge, skills, experience, ideas. At the same time, they hold a special position in their industry and have formed important relationships. In other words, they have human and social capital that they can use to carry out their work successfully. However, we always forget the most important variable in the equation: the factor psychology<\/strong> Or, as we say, more accurately, psychological capital<\/strong>. <\/p>\n\n\n\n

The investment of their human and social capital in the specific position they hold is not a given, it depends on the psychological capital available for this position. Thus, between (a) their abilities, skills, ideas, experiences, acquaintances, their prestige and (b) the expenditure of all these to achieve the goals of the organization, a mixture of psychological characteristics is inserted that determines their performance.<\/p>\n\n\n\n

In short, it is the mental strength of the leader that will make a difference in the critical and demanding environment that organizations are called upon to grow. <\/p>\n\n\n\n

What are the elements of psychological capital?<\/h3>\n\n\n\n

The psychological capital of leaders consists of four elements that coexist as characteristics of the self and are the following: Hope, confidence, resilience, optimism.<\/strong> Joining these elements causes a positive momentum forward that activates all the forces and capabilities of leaders to do their work.<\/p>\n\n\n\n

Hope<\/strong><\/h4>\n\n\n\n

Hope is often confused with a wish list where people passively \u201chope\u201d that something will change for the better. Of course, this approach is not appropriate for leadership. Psychological science defines hope as an active attitude toward the undesirable, toward the difficulties that threaten development. <\/p>\n\n\n\n

Hope is the positive and energetic response of leaders to challenges and includes two functions: a) the vision of a better and attractive future and b) the study, preparation and design of specific initiatives that will lead to the desired future. These two functions are part of the goal setting. Hope is the mental state that precedes and follows goal setting. <\/p>\n\n\n\n

Self-confidence<\/strong> (self-efficacy)<\/h4>\n\n\n\n

Self-confidence means a deep belief in oneself that one will realize what is needed to achieve the goal. That is, that I am capable of bringing about the result to which I am committed. It is an internal situation in which the leader is confident that he can do whatever it takes to succeed within the limits of his values of course. <\/p>\n\n\n\n

Self-confidence is built through small and big successes. It is only about what has actually been conquered, and it is not a blind certainty that I can accomplish everything. The enemy of self-confidence is complacency. Leaders who feel confident in their abilities have spent a lot of time trying without being sure of anything and are not complacent as they constantly want to improve.<\/p>\n\n\n\n

Durability<\/strong><\/h4>\n\n\n\n

Leaders who maintain their performance over time are resilient people. That is, after the failures and after the successes, they return to their stable level of functionality. They do not overreact under any circumstances. They do not remain in frustration or excitement for a long time. Resilience is the situation in which leaders, after a period of reduced or particularly increased work, return to normality with knowledge and experience. Thus they achieve consistently high performance over time avoiding burnout. <\/p>\n\n\n\n

Optimism<\/strong><\/h4>\n\n\n\n

Similarly to hope, optimism is not just a passive belief that everything will be fine. Quite the opposite. Leaders' optimism involves an active attitude toward things and results from their focus on what they can control. That is, in each situation they study what they can control to bring about the result they want and what they don't. And they focus on the first. Thus, each success is associated with conscious efforts, while in each failure they refocus on what they can correct or change. This attitude and behavior shapes an inner state of optimism, that they will achieve what they seek.<\/p>\n\n\n\n

Results in practice<\/h3>\n\n\n\n

According to research data, the existence and utilization of psychological capital at work correlates with the following positive results: <\/p>\n\n\n\n

    \n
  • Higher performance.<\/li>\n\n\n\n
  • Higher activation and engagement with the organization's goals.<\/li>\n\n\n\n
  • Higher degree of job satisfaction.<\/li>\n\n\n\n
  • Lower search rate for another location<\/li>\n\n\n\n
  • Lower burnout rates<\/li>\n\n\n\n
  • Improved health and well-being<\/li>\n\n\n\n
  • Lower rates of psychological problems and substance abuse<\/li>\n<\/ul>\n\n\n\n

    Psychological capital <\/strong>Cultivated, can be obtained<\/h3>\n\n\n\n

    The good news is that this capital, like the other kinds of capital (human, social, economic) can be acquired through education and specific practices on an organizational and individual level. Thus, experienced and extorted leaders can be supported with the appropriate tools, cultivate their inner psychological strength and positively influence the overall operation of businesses. <\/p>\n\n\n\n

    Systematic training of executives in the theory and practical application of psychological capital by specialist psychologists is associated with the acquisition of and <\/strong> its utilization. As the training takes place on a group level, both the individual and the capital of the organization are strengthened.<\/p>\n\n\n\n

    In terms of practices and strategies, organisations can do the following:<\/strong><\/p>\n\n\n\n

      \n
    • To support and encourage the personal development of leaders through proper evaluation and feedback, appropriate educational programs and of course coaching<\/strong>. <\/li>\n\n\n\n
    • To cultivate a culture of continuous improvement (growth mindset).<\/li>\n\n\n\n
    • Recognize and applaud the achievements and contributions of leaders in the organization.<\/li>\n<\/ul>\n\n\n\n

      In terms of practices and strategies, executives can do the following:<\/strong><\/p>\n\n\n\n

        \n
      • Set demanding growth goals that make sense to them.<\/li>\n\n\n\n
      • Seek opportunities to learn, develop and acquire new knowledge and skills. <\/li>\n\n\n\n
      • To implement with personal responsibility every project and goal they undertake.<\/li>\n\n\n\n
      • Regularly apply self-observation and self-reflection methods to identify areas of improvement. <\/li>\n\n\n\n
      • When things find it difficult to discern what they can control, what they can't, and to focus on what they can control by designing the right plans for the desired future. <\/li>\n\n\n\n
      • Create and maintain a support network between friends, colleagues and mentors. <\/li>\n\n\n\n
      • Take advantage of coaching. <\/li>\n<\/ul>\n\n\n\n

        The acquisition and utilization of psychological capital is a long-term process and is a long-term investment for executives and organizations. However, the positive results are proven and boost their performance. <\/p>\n\n\n\n

        Indicative bibliography<\/h4>\n\n\n\n
          \n
        • Avey, J.B., Reichard, R.J., Luthans, F., & Mhatre, K.H. (2011). Meta-analysis of the impact of positive emotional capital on employee attitudes, behaviors, and performance.\u00a0Human Resource Development Quarterly<\/em>,\u00a022<\/em>(2), 127\u2013152.\u00a0<\/li>\n\n\n\n
        • Loghman, S., Quinn, M., Dawkins, S., Woods, M., Om Sharma, S., & Scott, J. (2023). A comprehensive meta-analyses of the nomological network of psychological capital (PsyCap).\u00a0Journal of Leadership & Organizational Studies<\/em>,\u00a030<\/em>(1), 108\u2013128.\u00a0<\/li>\n\n\n\n
        • Lupsa, D., Virga, D., Maricutoiu, L.P., & Rusu, A. (2020). Increasing increased capital: A pre-registered meta-analysis of controlled interventions.\u00a0Applied Psychology: An International Review<\/em>,\u00a069<\/em>(4), 1506\u20131556.\u00a0<\/li>\n\n\n\n
        • Luthans, F., Avolio, B. J., Avey, J. B., & Norman, S. M. (2007). Positive Psychological Capital: measurement and relationsihp with performance and satisfaction.\u00a0Personnel Psychology, 60,<\/em>\u00a0541-572.<\/li>\n\n\n\n
        • Luthans, F., & Youssef-Morgan, C. M. (2017). Psychological capital: An Evidence-Based Positive Approach. Annual Review of Organizational Psychology and Organizational Behavior, 4<\/em> 339-366.<\/li>\n\n\n\n
        • Luthans, F., & Youssef, C. M. (2004). Human, Social and Now Positive Psychological Capital Management: Investing in People for Competitive Advantage.\u00a0Organizational Dynamics, 33(2)<\/em>, 143-160.<\/li>\n\n\n\n
        • Luthans, F., Youssef, C. M., & Avolio, B. J. (2007).\u00a0Psychological capital: Developing the human competitive edge.<\/em>\u00a0Oxford University Press.<\/li>\n\n\n\n
        • Luthans, F., & Youssef, C. M. (2004). Human, Social and Now Positive Psychological Capital Management: Investing in People for Competitive Advantage.\u00a0Organizational Dynamics, 33(2)<\/em>, 143-160.<\/li>\n<\/ul>","protected":false},"excerpt":{"rendered":"

          Leaders are officers, people with abilities, intelligence, knowledge, skills, experience, ideas. At the same time, they hold a special position in their industry and have formed important relationships. In other words, they have human and social capital that they can use to carry out their work successfully. However, we always forget the most important variable in the equation: [\u2026]<\/p>","protected":false},"author":2,"featured_media":1534,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[8],"tags":[22,10,75,111,113,20,110,112,11,109],"class_list":["post-679","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles-petrascoaching-gr","tag-coach","tag-coaching","tag-coaching-","tag-psychological-capital","tag-113","tag-20","tag-110","tag-112","tag-11","tag-109"],"blocksy_meta":[],"acf":[],"_links":{"self":[{"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/posts\/679","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/comments?post=679"}],"version-history":[{"count":5,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/posts\/679\/revisions"}],"predecessor-version":[{"id":718,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/posts\/679\/revisions\/718"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/media\/1534"}],"wp:attachment":[{"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/media?parent=679"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/categories?post=679"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/petrascoaching.gr\/en\/wp-json\/wp\/v2\/tags?post=679"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}