THE POWER OF HUMAN CAPITAL

Reading Warren Bennis recently on leadership and management in the context of business, he quoted Mayer, head of MGM Studies, who said many, many years ago, “The inventory goes home at night.” And from that idea Bennis then wrote: “The only capital that really counts is human capital.”

Back in the 1960s when Mayer wrote those words, that idea was radical, “crazy,” and considered way out there. Today it is pretty much common knowledge. Do you believe that? “The only capital that really counts is human capital.” Do the people you work with believe that? Do the leaders and managers of your organization believe that?

Human capital— this is the capital that’s within people, their innate wealth-creating powers of understanding, imagination, thought, intention, creativity, commitment, dedication, persistence, resilience— all of the fundamental human “powers” that gives people the “energy” to do what they do and to take effective action in the world, which is the theme of this series on Empowerment.

At the personal and psychological level, human capital describes the richness and resourcefulness of your basic assets—your mind, emotions, speech, and behavior.

What’s in your mental capital? In that treasury there are such assets as your understandings, meanings, frames, creativity, visions, dreams, etc. Within your emotional capital there are your relationships, care, values, ethics, compassion, heart. Within your linguistic capital there such assets as your abilities to inspire, validate, correct, instruct, inform, encourage, confirm, negotiate, etc. Within your behavioral capital there is your competencies for implementing, executing, taking effective action, being efficient, etc.

That’s a lot of capital, isn’t it? And what is the power of such human capital? Is it not that from this living capital of what you can do with these powers of thinking, emoting, speaking, and doing come every skill and competency that makes up any and every set of competencies for every demonstration of expertise and excellence? “Genius” lies not in a static possession, in the human and social world it lies in what we can do with what we have. It lies in the expression and use of the capital. It lies in the energetic use of this capital as we invent new ideas in our imaginations, communicate that with others, and collaborate with them to bring those ideas to market.

This is the energy within an individual or an organization that makes the person or the company dynamic, growing, and increasing in its capacities —in its creative capacities, innovative capacities, its wealth-creation capacities. Conversely, when this is missing, the person or the company seems and feels stagnant, dead, not-alive, sitting on its capital and not using it.

Today the capital of individuals, companies, and businesses does not lie primarily in stuff— the things that we own: buildings, equipment, money on hand, cash flow, ability to borrow, etc. Yes that is capital— financial capital. The capital we would put down on profit and loss statements in a financial document regarding assets. But the real capital, the living capital, the human capital that actually creates the value and worth lies in the people— in their intelligence, their relationships, their creativity, their emotional-intelligence, their social intelligence, their passions, their problem-identifying and solving skills, and perhaps most surprisingly, in their ability to have fun and to enjoy what they do. This is the power that causes a particular business to thrive and grow. When that happens, it’s because of the mental-emotional capital which people are exerting and investing.

Enough description, now for some application. How are you doing in terms of appreciating, identifying, and developing your own human potential? Obviously, as always, it begins with your four core powers of thinking, emoting, speaking, and acting. That’s the heart of your treasury for true wealth and richness. So how much capital do you have there? How precious does that capital seem to you?

If you don’t think and feel yourself as your core powers is a treasure-chest of immense wealth and wealth-creating energy, it’s time to meta-state yourself with the beliefs, understandings, decisions, intentions, identities, permissions, and frames that will do precisely that. That would be the first step.

After setting the frames that enable you to appreciate those energies or powers, now identify and develop them. That’s what personal development is all about. And to assist with that there’s a whole industry these days about personal development: books, tapes, videos, CDs, workshops, trainings, coaching, etc. Are you taking advantage of those? Are you on a self-development journey? What are you developing in yourself this month? This quarter? This year? Got a plan? If not, then my recommendation is: Call up a Meta-Coach and schedule an appointment!

Next, take action. Do not make the Perfectionist’s Mistake of Seriously Procrastinating until you won’t make a mistake and your first steps will be flawless, perfect, excellent, and the finish product. Your treasury of human capital is a living, growing, developing set of competencies that are refined in the fire of experimentation and risk. So go for it!

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