WHAT IS PUBLIC VALUE AND WHAT IS CONTRIBUTION TO THE COMMON GOOD?
“Free enterprise cannot be justified by saying that it is good for business. It legitimizes itself through its social benefit. "
- Peter Drucker, founder of modern management
More and more companies are thinking about the benefits they have for society and how they can live up to their responsibility, for example for the environment and the climate, or for their employees. Do they help to make the world a little better? Start-ups in particular are often based on this idea.
We believe that there is a lot of potential in start-ups in particular to advance our society and solve social challenges. You take social responsibility seriously and put it at the core of your business purpose. We call this: making a contribution to the common good or "public value" . It's not just about environmental awareness, employee satisfaction or great charity projects. It's about the core of the company. Is the business model designed in such a way that it is viable in the long term and creates values for society? Do the products and services contribute to overcoming social challenges?
The public value of your start-up is about the overall package. What idea is your start-up based on?
and what effects does this have on society?
In theory, there are five key questions.
FIVE PUBLIC VALUE DIMENSIONS
An organization creates public value when it leaves a lasting impression with its products, services or behavior on various dimensions in its social environment. These dimensions are derived from central individual or societal needs and include, for example, the need forClarity, orientation and functionality, afterrecognition and belongingor the pursuit of onepositive self worthand onehigher quality of life. If your start-up positively addresses these central needs in its social environment, public value and a contribution to the common good are created.
factual - in terms of content
task completion
Does your start-up solve a relevant problem? This includes the quality, the degree of innovation or the functionality of your offers. To what extent does the offer contribute to overcoming societal challenges?
PUBLIC VALUE SCORECARD
How much your start-up contributes to the common good is evaluated using the Public Value Scorecard (PVSC):
TASK PERFORMANCE
Does your start-up offer new solutions to relevant problems?
ECONOMICS
Does your start-up make economic sense from a social point of view?
MORAL
Does your start-up promote moral and ethical values?
LIFE QUALITY
Does your start-up enable positive experiences in a special way?
Cohesion
Does your start-up strengthen cooperation and relationships in and between groups?