Executive SummaryExecutive Summary

Researchers at the Gallup Leadership Researchers at the Gallup Leadership Institute study the role that positive Institute study the role that positive psychological capacities play in psychological capacities play in authentic leadership and human authentic leadership and human resource development/performance.resource development/performance.

We call these positive capacities We call these positive capacities “Psychological Capital” or simply “Psychological Capital” or simply PsyCapPsyCap because they represent because they represent individual (and team) resources that individual (and team) resources that can be invested in and developed for can be invested in and developed for increased performance.increased performance.

Two main studies indicated that Two main studies indicated that PsyCap: PsyCap: Can be reliably and validly measuredCan be reliably and validly measuredDeveloped using relatively short two-hour Developed using relatively short two-hour

micro-interventionsmicro-interventionsHave a positive impact on performance Have a positive impact on performance

and satisfactionand satisfactionUtility analysis of these results Utility analysis of these results

indicated:indicated:Substantial return on development (ROD)Substantial return on development (ROD)Gained from the investment in and Gained from the investment in and

development of PsyCapdevelopment of PsyCap

Sample Items from the PsyCap Sample Items from the PsyCap Questionnaire (PCQ)-24Questionnaire (PCQ)-24

Below are statements about you with Below are statements about you with which you may agree or disagree. which you may agree or disagree. Using the following scales, indicate Using the following scales, indicate your level of agreement or your level of agreement or disagreement at the present time.disagreement at the present time.(1 = Strongly disagree, 2 = disagree, 3 (1 = Strongly disagree, 2 = disagree, 3

= somewhat disagree, 4 = somewhat = somewhat disagree, 4 = somewhat agree, 5 = agree, 6 = strongly agree)agree, 5 = agree, 6 = strongly agree)

1.1. I feel confident helping to set I feel confident helping to set targets/goals in my work area.targets/goals in my work area.

2.2. I feel confident presenting information to I feel confident presenting information to a group of colleagues.a group of colleagues.

3.3. There are lots of ways around any There are lots of ways around any problem.problem.

4.4. I can think of many ways to reach my I can think of many ways to reach my current work goals.current work goals.

5.5. When I have a setback at work, I have When I have a setback at work, I have trouble recovering from it and moving on.trouble recovering from it and moving on.

6.6. I usually take stressful things at work in I usually take stressful things at work in stride.stride.

7.7. When things are uncertain for me at work When things are uncertain for me at work I usually expect the best.I usually expect the best.

8.8. I’m optimistic about what will happen to I’m optimistic about what will happen to me in the future as it pertains to work.me in the future as it pertains to work.

Key Initial Research Findings Key Initial Research Findings on PsyCapon PsyCap

Psychological Capital (PsyCap) Psychological Capital (PsyCap) measurement was found to be measurement was found to be reliable and valid.reliable and valid.

PsyCap seems to have a significant PsyCap seems to have a significant positive relationship with positive relationship with performance and satisfaction.performance and satisfaction.

PsyCap seems to be a core capacity PsyCap seems to be a core capacity that is greater than the sum of its that is greater than the sum of its parts (hope, optimism, efficacy, and parts (hope, optimism, efficacy, and resiliency), i.e., PsyCap appears to be resiliency), i.e., PsyCap appears to be synergistic.synergistic.

It was found that PsyCap can be It was found that PsyCap can be developed through a short, highly developed through a short, highly focused training session.focused training session.

Increases in training participants’ Increases in training participants’ PsyCap leads to increases in their PsyCap leads to increases in their performance.performance.

Both the development and performance Both the development and performance of those with relatively low levels of of those with relatively low levels of initial PsyCap are more greatly affected initial PsyCap are more greatly affected by the PsyCap training intervention.by the PsyCap training intervention.

Investment in the development of Investment in the development of PsyCap can lead to a very high return.PsyCap can lead to a very high return.

Implications for Practical Implications for Practical Application of PsyCapApplication of PsyCap

PsyCap can be developed in human PsyCap can be developed in human resources through a short training resources through a short training intervention.intervention.

Enhancing the levels of human Enhancing the levels of human resources’ PsyCap leads to increased resources’ PsyCap leads to increased performance.performance.

Investing in and developing PsyCap Investing in and developing PsyCap can result in very high returns.can result in very high returns.

PsyCap of groups/teams may PsyCap of groups/teams may determine how agile and adaptable determine how agile and adaptable groups/teams are in challenging groups/teams are in challenging contexts.contexts.

PsyCap and other human capital PsyCap and other human capital dimensions in combination can help dimensions in combination can help account for the human “intangibles” account for the human “intangibles” in organizations that contribute to in organizations that contribute to sustainable, veritable performance.sustainable, veritable performance.

PsyCap may be an important input PsyCap may be an important input and outcome of authentic leadership and outcome of authentic leadership development (ALD).development (ALD).

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