An organization striving for positive social impact looks beyond markers of financial value to consider the full value they can create through their products, processes, and purpose. This comprehensive view of value creation includes the social value they create in addition to the financial value. The metrics for each of these kinds of value creation are equally important to a virtuous organization.
The virtuous organization perspective does not discount the social benefits of generating wealth. It recognizes that businesses play a vital role in creating jobs and livelihoods for much of society. It also validates the importance of business sustainability, or a business being profitable for the duration of its life. The virtuous organization perspective validates all this, and pushes businesses to account for the value they create more comprehensively.
To maximize their value creation, a virtuous organization understands how it can use its signature strengths to help people and society reach their full potential. The expression of signature strengths is often captured in the product mix of an organization: the products and services a company creates to generate revenue. By mobilizing its signature strengths in line with the organization’s purpose, a virtuous organization can increase its overall value creation.Â