Is psychological value a missing building block in societal sustainability?

Abstract

Value creation is a constitutive and defining aspect in organizational ventures. This is unsurprising, as it is required for organizational survival and sustainability. Approaches based on the creation of economic, social and ecological value draw attention to the multiple and multiplicative nature of value creation. While academia still acknowledges the conceptual value of such approaches, a framework that add a psychological dimension to the established Elkington's triple-bottom line model seems particularly refreshing and inspiring. Relying on the concepts of psychological value and sustainability, this paper presents the outcomes of an exploratory empirical study involving managers and users/customers of four organizations in the social sector in Portugal. This study discusses how managers and users/customers of these organizations make sense of and value psychological value. The outcomes of the interviews with both managers and users/customers shed light into the unexplored, hazy and neglected analytical links that may exist between psychological value and broader perspectives on sustainability. We conclude that this novel approach enhances our understanding about the impact that a social product can have in societal sustainability.