Leadership in Social Enterprises: A Paradigm for Purpose-Led Organizations

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Social Innovation and Social Enterprises

Part of the book series: Issues in Business Ethics ((IBET,volume 62))

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Abstract

We propose an integral model of leadership for social enterprise that incorporates three conceptually distinct dimensions. First, achieving complex organizational results, which require from leaders an empathetic sensitivity to opportunities, measuring and monitoring social goals, and embodying a paradox mindset; second, motivating and develo** people, which involves balancing learning and inclusion; and third, inspiring a transcendent purpose, which requires genuinely committing to the organization’s social purpose, making the positive impact of the organization visible, and fostering transcendent values in the culture of the organization, thus reinforcing its unity. We further elaborate four integrating principles for leaders to effectively connect the three dimensions above: balancing across leadership dimensions, experimenting with win-win strategies, giving primacy to purpose, and establishing mechanisms for the governance of purpose. While this model of leadership is perhaps more relevant to social enterprise organizations, it applies more broadly to all businesses, especially in the current environment where society expects them to fulfill a higher purpose rather than simply making money for their shareholders. By drawing lessons from this integral model of leadership, organizations can contribute more to society’s ability to thrive.

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Notes

  1. 1.

    No relation to Christopher Columbus (in Spanish Cristobal Colon), who arrived in the New World in 1492.

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Acknowledgements

We are grateful for the insights and feedback from Nino Vaccaro and Carlos Rey as well as for the writing and editorial support of Anthony Salvia, Emmalee Moffitt, and Nana Yaa A. Gyamfi. We are grateful for the support of the Juan Antonio Perez Lopez Chair at IESE Business School. 

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Almandoz, J., Lee, YT. (2022). Leadership in Social Enterprises: A Paradigm for Purpose-Led Organizations. In: Vaccaro, A., Ramus, T. (eds) Social Innovation and Social Enterprises. Issues in Business Ethics, vol 62. Springer, Cham. https://doi.org/10.1007/978-3-030-96596-9_5

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