The necessary social amendments of Creating Shared Value: producer's perspective

Abstract

The purpose of this paper is to carry out a conceptual analysis of Creating Shared Value (CSV) as an approach that is said to grant a simultaneous rise in competitiveness and profitability, as well as evolution of the social conditions that can be realistically observed through the producer’s perspective. However, it has not yet been done, and even though a simultaneous social and economic progress is still of urgent need in so many countries, the idea has not been developed enough to respond to this urgency and profits mostly to already powerful multinational companies. We shall therefore focus on, first, the origins of CSV, then on the nature of its economic efficiency through the introduction of a social dimension and, finally, we will consider the necessary amendments of CSV regarding the current needs of the society.

The approach used is that of a critical conceptual review with a focus on the need of finding some practical guidance for improving the connection between the economic and social efficiency of this concept.

Practical implications can be expected regarding the process of implementation of the CSV strategy, guidance regarding the elements that might have been currently overlooked but must be considered and valued to ensure the full potential of CSV as a specific two-direction driving force where economic progress supports social progress and social progress supports economic progress.

The value of this paper lies in the original focus on the producer that can represent the results of CSV social implications, as it is most concerned by bringing about its efficiency through the economic activity, by revisiting its process and trying to affect the very society and its actors that are directly involved in this economical process.

Keywords: creating shared value, social efficiency, productivity, producer’s profitability, business process innovation.

Classification: conceptual paper.