Social capital, structural capital, human capital, spiritual capital, and cooperative performance: A path model
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Abstract
Cooperatives were created to foster productivity, food security, and safety. However, the literature revealed a significant number of non-operating cooperatives. It can also be noted that cooperatives have weaknesses in terms of sustainability and are unable to account for the role of intangible resources in the organization. Thus, this study investigated the effect of social capital, human capital, structural capital, and spiritual capital on cooperative performance as the basis for the strategic priorities of the cooperatives. Survey questionnaires were distributed among 201 randomly selected officers and members of six farmers’ and producers’ cooperatives in District I, Davao Oriental. Multiple regression analysis was utilized to determine the most influencing factors that affect performance, while path analysis was employed to generate the best fit model. Based on the findings, this study proposed a best fit model for cooperative performance which is based on intangible assets. In the best fit model, structural capital (0.37), social capital (0.29), and spiritual capital (0.11) showed a direct effect on cooperative performance. The model also showed that structural capital and social capital have an indirect effect on cooperative performance through spiritual capital. The findings of this paper would guide the cooperative sector to improve its performance by taking into account the role of intangible assets like structural capital, social capital, human capital, and spiritual capital, which are found to have direct and indirect effects in improving cooperative performance, thus helping the government in realizing its national economic goals.
How to Cite
Mantog JA, Deriada AL. 2024. Social capital, structural capital, human capital, spiritual capital, and cooperative performance: A path model. The Palawan Scientist. 17(1):83–96. https://doi.org/10.69721/TPS.J.2025.17.1.09.
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Keywords
cooperative performance, human capital, social capital, spiritual capital, structural capital
References
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Abulela MA and Harwell MM. 2019. Data Analysis: Strengthening inferences in quantitative education studies conducted by Novice researchers. Educational Sciences: Theory and Practice, 20(1): 59-78. https://doi.org/10.12738/jestp.2020.1.005
Adler PS and Kwon SW. 2002. Social capital: Prospects for a new concept. The Academy of Management Review, 27(1): 17–40. https://doi.org/10.2307/4134367
Ahmad Khan H. Yaacob M. Abdullah H and Abu Bakar Ah S. 2016. Factors affecting performance of co-operatives in Malaysia. International Journal of Productivity and Performance Management, 65(5): 641-671. https://doi.org/10.1108/IJPPM-05-2014-0077
Ardales VB. 2008. Basic concepts and methods in research (3rd Edition). Manila: Educational Publishing House. 415pp.
Ariawan, Sudarma M, Djumahir and Ghozali. 2016. The role of spiritual capital, human capital, structural capital, and relational capital of cmall and medium enterprises (SMES) to improving on performance: Study Literature. South East Asia Journal of Contemporary Business, Economics and Law, 11(2): 87-94. https://doi.org/10.31219/osf.io/9ehdv
Ariyanto A and Chalil RD. 2017. The role of intellectual and spiritual capital in developing Halal Tourism. Proceedings of the 7th Annual International Conference (AIC) Syiah Kuala University and the 6th International Conference on Multidisciplinary Research (ICMR) in conjunction with the International Conference on Electrical Engineering and Informatics (ICELTICs), Banda Aceh, Indonesia. https://jurnal.usk.ac.id/AICS-Social/article/view/11007/8654. Accessed on 05 March 2020.
Azzahra K. 2018. The influence of human capital, structural capital and relational capital to the performance of cooperation with competitive advantage as intervening variable of cooperation in South Tangerang: Economics and Accounting Journal, 1(1): 24-34.
Badakhshani F. 2017. Spiritual capital and its Influence on Organizational Performance. Book of Mehrban Publishing, Tehran. 135pp.
Banudan KP, Abrahan NL and Mantog JA. 2023. Amoda Gayud Ngini, Mupadayon Kita: A Phenomenological Study of the Lived Experiences of Displaced Farm Laborers Due to Rice Farm Mechanization. Psychology and Education: A Multidisciplinary Journal, 6: 995-1011. https://doi.org/10.5281/zenodo.7574692
Beh-Pajooh A, Soleymani M, Ali Afrooz G and Gholamali Lavasani M. 2010. A study on the impact of social skill training on social adjustment and academic performance in slow learners. Educational Innovations, 9(1): 163-186.
Bhandari H and Yasunobu K. 2009. What is social capital: A comprehensive review of the concept. Asian Journal of Social Science, 37(3): 480-510. https://doi.org/10.1163/156853109X436847
Birhane M, Borji B, Amenti C and Kant S. 2024. Mediating effect of human capital on the relation between capital structure and firm performance. Horn of African Journal of Business and Economics (HAJBE), 7(1): 135-154.
Buang M, Samah AA, Rosnon MR and Burhan NAS. 2023. Does the board's human capital, social capital and participation affect co-operative performance? The case of Program Desa Lestari. Revesco: revista de estudios cooperativos, 143: 1-23. https://doi.org/10.5209/reve.84397
Castillo ET. 2003. Cooperativism in agriculture: The case of top four cooperatives in Region IV. Philippines Asia-Pacific Economic Cooperation (APEC) Study Center Network, pp. 1-179.
Cisneros MAI and Perlines FH. 2018. Intellectual capital and organization performance in the manufacturing sector of Mexico Management Decision, 56(8): 1818-1834. https://doi.org/10.1108/MD-10-2017-0946
Creative Research Systems. 2020. Sample Size Calculator. https://www.surveysystem.com/sscalc.html. Accessed on 04 March 2020.
Crossman A. 2019. Understanding Path Analysis. https://www.thoughtco.com/path-analysis-3026444. Accessed on 13 June 2020.
Cruz ED and Sabado JRF. 2022. Credit risk and performance evaluation of cooperatives in region xi using data envelopment analyses (DEA). European Journal of Economic and Financial Research, 6(1): 101-120.
Deriada A. 2005. Assessment of Cooperative Movement in a Developing Country: The Philippine Experience, Forum of International Development Studies, 28: 81-101.
Edvinsson L and Malone M. 1997. Intellectual capital: Realizing Your Company’s True Value by Finding Its Hidden Brainpower. HarperCollins Publishers, New York.
Ettehadi and Seyyedi. 2016. Study of effect of intellectual capital on organizational performance in Iranian organizations. The Social Sciences, 11(24): 5969-5972.
Florin J, Lubatkin M and Schulze W. 2003. A social capital model of high-growth ventures. Academy of Management Journal, 46(3): 374-384.
Ferreira A and Franco M. 2017. Strategic alliances, intellectual capital and organisational performance in technology-based SMEs: is there really a connection? International Journal of Business and Globalisation, 18(1): 130-151. https://doi.org/10.1504/IJBG.2017.081024
Grootaert C, Narayan DJ, Jones VN and Woolcock M. 2004. Measuring Social Capital, An Integrated Questionnaire. The World Bank, Washington DC. 51pp.
Hammad Ahmad Khan H, Yaacob M, Abdullah H and Abu Bakar Ah SH. 2016. Factors affecting performance of co-operatives in Malaysia. International Journal of Productivity and Performance Management, 65(5): 641-671. https://doi.org/10.1108/IJPPM-05-2014-0077
Hui CH, Wai Ng EC, Ying Mok DS, Ying Lau EY and Cheung SF. 2011. “Faith Maturity Scale” for Chinese: A Revision and Construct Validation. International Journal for the Psychology of Religion, 21(4): 308-322. https://doi.org/10.1080/10508619.2011.607417
Hashim M, Osman I and Alhabshi SM. 2015. Effect of Intellectual Capital on Organizational Performance. Procedia - Social and Behavioral Sciences, 211: 207-214. https://doi.org/10.1016/j.sbspro.2015.11.085
Hu L and Bentler PM. 1999. Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural Equation Modeling: A Multidisciplinary Journal, 6(1): 1-55. https://doi.org/10.1080/10705519909540118
Khalique M, Nassir Shaari JA, Isa AHBM and Samad NB. 2013. Impact of intellectual capital on the organizational performance of Islamic banking sector in Malaysia. Asian Journal of Finance and Accounting, 5(2): 75-83. https://doi.org/10.2139/ssrn.2327407
Khalique M and Mansor SA. 2016. Intellectual capital in Malaysian hotel industry: a case study of Malacca. International Journal of Business Performance Management, 17(1): 103–116. https://doi.org/10.1504/IJBPM.2016.073348
Kenton W. 2019. Social Capital. https://www.investopedia.com/terms/s/socialcapital.asp. Accessed on 02 March 2020.
Leal CTP, Marques CSDE, Marques CP and Braga-Filho E. 2014. The role of intellectual capital in a credit cooperative: a multivariate analysis. Polytechnic Institute of Santarém, 2: 578-585.
Li Y, Song Y, Wang J and Li C. 2019. Intellectual capital, knowledge sharing, and innovation performance: Evidence from the Chinese construction industry. Sustainability, 11(9): 1-20. https://doi.org/10.3390/su11092713
Liang Q, Lu H and Deng W. 2018. Between social capital and formal governance in farmer cooperatives: Evidence from China. Outlook On Agriculture, 47(3): 196-203. https://doi.org/10.1177/0030727018778603
Lv B and Han D. 2015. The relationship between intellectual capital and corporate performance in Chinese bio-pharmaceutical industry. International Conference on Modern Economic Technology and Management, 17(1): 1-7. https://doi.org/10.1051/shsconf/20151701024
Masuku TA, Masuku MB and Mutangira J. 2016. Performance of Multi-Purpose Cooperatives in the Shiselweni Region of Swaziland. International Journal of Sustainable Agricultural Research, 3(4): 58-71. https://doi.org/10.18488/journal.70/2016.3.4/70.4.58.71
Maheshwari VK. 2018. Causal-comparative research. http://www.vkmaheshwari.com/WP/?p=2491. Accessed on 13 March 2020.
Mellor JW. 2009. Measuring Cooperative Success, New Challenges and Opportunities in Low- and Middle-Income Countries. United States Overseas Cooperative Development Council (OCDC) and United States Agency for International Development (USAID), pp. 63-69.
Moghadam AK and Makvandi R. 2019. Investigating the relationship between spiritual capital and job performance with organizational citizenship behaviors in employees (evidence from Iran). Cogent Business and Management, 6(1): 1692484. https://doi.org/10.1080/23311975.2019.1692484
Muhammad NMN and Ismail MKA. 2009. Intellectual capital efficiency and firm’s performance: Study on Malaysian Financial Sectors. International Journal of Economics and Finance, 1(2): 206-212. https://doi.org/10.5539/ijef.v1n2p206
Nakhata C. 2018. The relationships between human capital, entrepreneurial competencies and career success of SME entrepreneurs in Thailand. AU Journal of Management, 5(1): 17-26.
Namvar M, Fathian M, Gholamin M and Akhavan P. 2011. Exploring the role of human capital on firm’s structural capital in Iranian e business industry. Social Science Research Network Electronic Journal. http://dx.doi.org/10.2139/ssrn.2187267
Neubert MJ, Bradley SW, Ardianti R and Simiyu EM. 2017. The role of spiritual capital in innovation and performance: Evidence from Developing Economies. Entrepreneurship Theory and Practice, 41(4): 621–640. http://dx.doi.org/10.1111/etp.12172
Obeidat BY, Abdallah AB, Aqqad NO, Akhoershie-dah AHOM and Maqableh M. 2017. The effect of intellectual capital on organizational performance: The Mediating Role of Knowledge Sharing. Communications and Network, 9(1): 1-27.
http://dx.doi.org/10.4236/cn.2017.91001
Republic Act 9520. 2009. An acct amending the Cooperative Code of the Philippines to be known as the “Philippine Cooperative Code Of 2008”. https://cda.gov.ph/issuances/republic-act-9520/. Accessed on 02 November 2019.
Saifuddeen SM, Rahman NN, Isa NM and Baharuddin A. 2014. Maqasid al-Shariah as a complementary framework to conventional bioethics. Science and Engineering Ethics, 20(2): 317-327.
Sharabati AA, Jawad SN and Bontis N. 2010. Intellectual capital and business performance in the pharmaceutical sector of Jordan. Management Decision, 48(1): 105-131.
Sis YS, Mohammadi SHM and Hedjazi Y. 2013. Analyzing effect of social capital on performance of Taram City olive farmers cooperative. International Research Journal of Applied and Basic Sciences, 6(5): 592-597.
Soumyananda D. 2016. Interrelationships between Social and human Capital, and Economic Growth. Munich Personal RePEc Archive Paper 89646. University Library of Munich, Germany. 6pp. https://ideas.repec.org/p/pra/mprapa/89646.html. Accessed on 05 March 2020.
Sullivan PH. 2000. Value Driven Intellectual Capital: How to Convert Intangible Corporate Assets into Market Value. Wiley & Sons, Inc. New York. 308pp.
Tastan S and Davoudi SMM. 2015. An Examination of the relationship between leader-member exchange and innovative work behavior with the moderating role of trust in leader: A Study in the Turkish Context. Procedia - Social and Behavioral Sciences, 181: 23-32. https://doi.org/10.1016/j.sbspro.2015.04.862
Utami H and Alamanos E. 2023. Resource-Based Theory: A review. In: Papagiannidis S (ed). TheoryHub Book. https://open.ncl.ac.uk / ISBN: 9781739604400. Accessed on 05 March 2020.
Abulela MA and Harwell MM. 2019. Data Analysis: Strengthening inferences in quantitative education studies conducted by Novice researchers. Educational Sciences: Theory and Practice, 20(1): 59-78. https://doi.org/10.12738/jestp.2020.1.005
Adler PS and Kwon SW. 2002. Social capital: Prospects for a new concept. The Academy of Management Review, 27(1): 17–40. https://doi.org/10.2307/4134367
Ahmad Khan H. Yaacob M. Abdullah H and Abu Bakar Ah S. 2016. Factors affecting performance of co-operatives in Malaysia. International Journal of Productivity and Performance Management, 65(5): 641-671. https://doi.org/10.1108/IJPPM-05-2014-0077
Ardales VB. 2008. Basic concepts and methods in research (3rd Edition). Manila: Educational Publishing House. 415pp.
Ariawan, Sudarma M, Djumahir and Ghozali. 2016. The role of spiritual capital, human capital, structural capital, and relational capital of cmall and medium enterprises (SMES) to improving on performance: Study Literature. South East Asia Journal of Contemporary Business, Economics and Law, 11(2): 87-94. https://doi.org/10.31219/osf.io/9ehdv
Ariyanto A and Chalil RD. 2017. The role of intellectual and spiritual capital in developing Halal Tourism. Proceedings of the 7th Annual International Conference (AIC) Syiah Kuala University and the 6th International Conference on Multidisciplinary Research (ICMR) in conjunction with the International Conference on Electrical Engineering and Informatics (ICELTICs), Banda Aceh, Indonesia. https://jurnal.usk.ac.id/AICS-Social/article/view/11007/8654. Accessed on 05 March 2020.
Azzahra K. 2018. The influence of human capital, structural capital and relational capital to the performance of cooperation with competitive advantage as intervening variable of cooperation in South Tangerang: Economics and Accounting Journal, 1(1): 24-34.
Badakhshani F. 2017. Spiritual capital and its Influence on Organizational Performance. Book of Mehrban Publishing, Tehran. 135pp.
Banudan KP, Abrahan NL and Mantog JA. 2023. Amoda Gayud Ngini, Mupadayon Kita: A Phenomenological Study of the Lived Experiences of Displaced Farm Laborers Due to Rice Farm Mechanization. Psychology and Education: A Multidisciplinary Journal, 6: 995-1011. https://doi.org/10.5281/zenodo.7574692
Beh-Pajooh A, Soleymani M, Ali Afrooz G and Gholamali Lavasani M. 2010. A study on the impact of social skill training on social adjustment and academic performance in slow learners. Educational Innovations, 9(1): 163-186.
Bhandari H and Yasunobu K. 2009. What is social capital: A comprehensive review of the concept. Asian Journal of Social Science, 37(3): 480-510. https://doi.org/10.1163/156853109X436847
Birhane M, Borji B, Amenti C and Kant S. 2024. Mediating effect of human capital on the relation between capital structure and firm performance. Horn of African Journal of Business and Economics (HAJBE), 7(1): 135-154.
Buang M, Samah AA, Rosnon MR and Burhan NAS. 2023. Does the board's human capital, social capital and participation affect co-operative performance? The case of Program Desa Lestari. Revesco: revista de estudios cooperativos, 143: 1-23. https://doi.org/10.5209/reve.84397
Castillo ET. 2003. Cooperativism in agriculture: The case of top four cooperatives in Region IV. Philippines Asia-Pacific Economic Cooperation (APEC) Study Center Network, pp. 1-179.
Cisneros MAI and Perlines FH. 2018. Intellectual capital and organization performance in the manufacturing sector of Mexico Management Decision, 56(8): 1818-1834. https://doi.org/10.1108/MD-10-2017-0946
Creative Research Systems. 2020. Sample Size Calculator. https://www.surveysystem.com/sscalc.html. Accessed on 04 March 2020.
Crossman A. 2019. Understanding Path Analysis. https://www.thoughtco.com/path-analysis-3026444. Accessed on 13 June 2020.
Cruz ED and Sabado JRF. 2022. Credit risk and performance evaluation of cooperatives in region xi using data envelopment analyses (DEA). European Journal of Economic and Financial Research, 6(1): 101-120.
Deriada A. 2005. Assessment of Cooperative Movement in a Developing Country: The Philippine Experience, Forum of International Development Studies, 28: 81-101.
Edvinsson L and Malone M. 1997. Intellectual capital: Realizing Your Company’s True Value by Finding Its Hidden Brainpower. HarperCollins Publishers, New York.
Ettehadi and Seyyedi. 2016. Study of effect of intellectual capital on organizational performance in Iranian organizations. The Social Sciences, 11(24): 5969-5972.
Florin J, Lubatkin M and Schulze W. 2003. A social capital model of high-growth ventures. Academy of Management Journal, 46(3): 374-384.
Ferreira A and Franco M. 2017. Strategic alliances, intellectual capital and organisational performance in technology-based SMEs: is there really a connection? International Journal of Business and Globalisation, 18(1): 130-151. https://doi.org/10.1504/IJBG.2017.081024
Grootaert C, Narayan DJ, Jones VN and Woolcock M. 2004. Measuring Social Capital, An Integrated Questionnaire. The World Bank, Washington DC. 51pp.
Hammad Ahmad Khan H, Yaacob M, Abdullah H and Abu Bakar Ah SH. 2016. Factors affecting performance of co-operatives in Malaysia. International Journal of Productivity and Performance Management, 65(5): 641-671. https://doi.org/10.1108/IJPPM-05-2014-0077
Hui CH, Wai Ng EC, Ying Mok DS, Ying Lau EY and Cheung SF. 2011. “Faith Maturity Scale” for Chinese: A Revision and Construct Validation. International Journal for the Psychology of Religion, 21(4): 308-322. https://doi.org/10.1080/10508619.2011.607417
Hashim M, Osman I and Alhabshi SM. 2015. Effect of Intellectual Capital on Organizational Performance. Procedia - Social and Behavioral Sciences, 211: 207-214. https://doi.org/10.1016/j.sbspro.2015.11.085
Hu L and Bentler PM. 1999. Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural Equation Modeling: A Multidisciplinary Journal, 6(1): 1-55. https://doi.org/10.1080/10705519909540118
Khalique M, Nassir Shaari JA, Isa AHBM and Samad NB. 2013. Impact of intellectual capital on the organizational performance of Islamic banking sector in Malaysia. Asian Journal of Finance and Accounting, 5(2): 75-83. https://doi.org/10.2139/ssrn.2327407
Khalique M and Mansor SA. 2016. Intellectual capital in Malaysian hotel industry: a case study of Malacca. International Journal of Business Performance Management, 17(1): 103–116. https://doi.org/10.1504/IJBPM.2016.073348
Kenton W. 2019. Social Capital. https://www.investopedia.com/terms/s/socialcapital.asp. Accessed on 02 March 2020.
Leal CTP, Marques CSDE, Marques CP and Braga-Filho E. 2014. The role of intellectual capital in a credit cooperative: a multivariate analysis. Polytechnic Institute of Santarém, 2: 578-585.
Li Y, Song Y, Wang J and Li C. 2019. Intellectual capital, knowledge sharing, and innovation performance: Evidence from the Chinese construction industry. Sustainability, 11(9): 1-20. https://doi.org/10.3390/su11092713
Liang Q, Lu H and Deng W. 2018. Between social capital and formal governance in farmer cooperatives: Evidence from China. Outlook On Agriculture, 47(3): 196-203. https://doi.org/10.1177/0030727018778603
Lv B and Han D. 2015. The relationship between intellectual capital and corporate performance in Chinese bio-pharmaceutical industry. International Conference on Modern Economic Technology and Management, 17(1): 1-7. https://doi.org/10.1051/shsconf/20151701024
Masuku TA, Masuku MB and Mutangira J. 2016. Performance of Multi-Purpose Cooperatives in the Shiselweni Region of Swaziland. International Journal of Sustainable Agricultural Research, 3(4): 58-71. https://doi.org/10.18488/journal.70/2016.3.4/70.4.58.71
Maheshwari VK. 2018. Causal-comparative research. http://www.vkmaheshwari.com/WP/?p=2491. Accessed on 13 March 2020.
Mellor JW. 2009. Measuring Cooperative Success, New Challenges and Opportunities in Low- and Middle-Income Countries. United States Overseas Cooperative Development Council (OCDC) and United States Agency for International Development (USAID), pp. 63-69.
Moghadam AK and Makvandi R. 2019. Investigating the relationship between spiritual capital and job performance with organizational citizenship behaviors in employees (evidence from Iran). Cogent Business and Management, 6(1): 1692484. https://doi.org/10.1080/23311975.2019.1692484
Muhammad NMN and Ismail MKA. 2009. Intellectual capital efficiency and firm’s performance: Study on Malaysian Financial Sectors. International Journal of Economics and Finance, 1(2): 206-212. https://doi.org/10.5539/ijef.v1n2p206
Nakhata C. 2018. The relationships between human capital, entrepreneurial competencies and career success of SME entrepreneurs in Thailand. AU Journal of Management, 5(1): 17-26.
Namvar M, Fathian M, Gholamin M and Akhavan P. 2011. Exploring the role of human capital on firm’s structural capital in Iranian e business industry. Social Science Research Network Electronic Journal. http://dx.doi.org/10.2139/ssrn.2187267
Neubert MJ, Bradley SW, Ardianti R and Simiyu EM. 2017. The role of spiritual capital in innovation and performance: Evidence from Developing Economies. Entrepreneurship Theory and Practice, 41(4): 621–640. http://dx.doi.org/10.1111/etp.12172
Obeidat BY, Abdallah AB, Aqqad NO, Akhoershie-dah AHOM and Maqableh M. 2017. The effect of intellectual capital on organizational performance: The Mediating Role of Knowledge Sharing. Communications and Network, 9(1): 1-27.
http://dx.doi.org/10.4236/cn.2017.91001
Republic Act 9520. 2009. An acct amending the Cooperative Code of the Philippines to be known as the “Philippine Cooperative Code Of 2008”. https://cda.gov.ph/issuances/republic-act-9520/. Accessed on 02 November 2019.
Saifuddeen SM, Rahman NN, Isa NM and Baharuddin A. 2014. Maqasid al-Shariah as a complementary framework to conventional bioethics. Science and Engineering Ethics, 20(2): 317-327.
Sharabati AA, Jawad SN and Bontis N. 2010. Intellectual capital and business performance in the pharmaceutical sector of Jordan. Management Decision, 48(1): 105-131.
Sis YS, Mohammadi SHM and Hedjazi Y. 2013. Analyzing effect of social capital on performance of Taram City olive farmers cooperative. International Research Journal of Applied and Basic Sciences, 6(5): 592-597.
Soumyananda D. 2016. Interrelationships between Social and human Capital, and Economic Growth. Munich Personal RePEc Archive Paper 89646. University Library of Munich, Germany. 6pp. https://ideas.repec.org/p/pra/mprapa/89646.html. Accessed on 05 March 2020.
Sullivan PH. 2000. Value Driven Intellectual Capital: How to Convert Intangible Corporate Assets into Market Value. Wiley & Sons, Inc. New York. 308pp.
Tastan S and Davoudi SMM. 2015. An Examination of the relationship between leader-member exchange and innovative work behavior with the moderating role of trust in leader: A Study in the Turkish Context. Procedia - Social and Behavioral Sciences, 181: 23-32. https://doi.org/10.1016/j.sbspro.2015.04.862
Utami H and Alamanos E. 2023. Resource-Based Theory: A review. In: Papagiannidis S (ed). TheoryHub Book. https://open.ncl.ac.uk / ISBN: 9781739604400. Accessed on 05 March 2020.
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