Purpose: Social capital (SC) has been studied in economics, politics and organisations. Understanding SC can help the leadership of state-owned companies (SOC) foster quality relationships with multiple stakeholders. By 2019 the cost of corrupt relationships had reached R1 trillion in South Africa. The study develops and validates a model for SC underpinned by cooperative behaviours required by leadership from the perspective of multiple stakeholders. No literature exists when evaluating SC from a multiple stakeholder perspective in an SOC. The leadership of SOCs desperately needs to turn around current ineffective performance through mutually cooperative behaviours. SC found in quality relationships can contribute to SOC effectiveness.Design/methodology/approach: A sequential exploratory qualitative approach. Phase 1 collected data through focus groups and interviews for a deeper understanding and to develop a model. In phase 2 a Delphi survey determined the level of consensus by experts and reach validation. Responses were solicited by using purposive sampling from five stakeholder perspectives. Adapted grounded theory and qualitative content analysis provided the foundation for the strategy of enquiry.Findings/results: Multiple stakeholders want qualities such as trust to be present in their relationships with the SOC for SC to have value impact.Practical implications: The validated model of behaviours to adopt will significantly help the SOC leadership, who are the main catalyst for the success of the SOC.Originality/value: This study addresses a gap in literature and contributes to the scientific body of knowledge applicable to an SOC.

The research aims to build and validate a conceptual model of relationships between perceived leadership attributes (PLAs), social capital (SC) and organisational effectiveness (OE).Motivation for the study: State-owned companies (SOCs) in South Africa are under enormous pressure and plagued by issues such as mismanagement, poor leadership and poor service delivery. Central to these issues is the relationship between leadership and its stakeholders, and how it affects OE. There is lack of theory about the relationships between the concepts PLAs, SC and OE from a multiple stakeholder perspective.Research approach/design and method: Adapted grounded theory, using a two-phased exploratory qualitative approach, with purposive sampling was implemented. Phase 1 included collecting data through focus groups and interviews. A Delphi technique was used to validate the model. Main findings:Multiple stakeholders hold the leadership accountable for demonstrating desirable PLAs such as trust, which builds quality relationships found in SC and factors that lead to OE. Courage, trust and reputation received the highest level of consensus, and several relationships are validated.Practical/managerial implications: Opportunities exist for the SOCs to strengthen important tangible and intangible attributes, quality relationships and factors that will create a successful turnaround.Contribution/value-add: This is the first study to investigate the relationship between PLAs, SC and OE in an SOC by multiple stakeholders, culminating in an actionable, validated model.