Effect of social capital on organizational performance: A study of Benue State Board of Internal Revenue Service, Makurdi

Abstract

This study examines the effect of social capital on organizational performance in Benue State Board of Internal Revenue Service, (BIRS) Makurdi. The study specifically examines the effect of structural capital, relational capital and cognitive capital on the performance of Benue State Board of Internal Revenue Service, Makurdi. A survey design was adopted for the study and
questionnaire was used for data collection. A sample of 186 was used through convenience sampling technique. Data collected were presented and analyzed using correlation and regression analysis with the aid of Statistical Package for Social Sciences (SPSS 21). Formulated hypotheses were tested at 0.05 level of significance. Findings of the study reveal that structural capital significantly affects the performance Board of Internal Revenue Service, Makurdi. The study also indicated that relational capital and cognitive capital have a positive significant effect of the performance Board of Internal Revenue Service. The study concludes that social capital plays a fundamental role in building relationship between employees and customers which ultimately improves organizational performance. The study recommends that management BIRS should encourage employees to participate actively in affairs of the organization to enhance its performance.