Wisdom capital: definitions, meaning and a two-level model

Abstract

Purpose Anecdotal evidence suggests the growing need for wise people and organizations, which are fully dedicated to building up the greater good more than ever before. The purpose of this study is to broaden the role of wisdom by triggering an aware and genuine concern toward building wisdom capital (WC) within organizations. Design/methodology/approach First, this endeavor draws upon key issues of wisdom theory literature, namely, the nuances of its general aspects, basic components, other relevant issues and practical wisdom construct. Second, it suggests a conceptual model through which both workers and organizations may help to build up a solid WC. In addition, some research propositions are also suggested. Finally, it proposes some avenues of research and presents the conclusions. Findings The notion of WC may help individuals and organizations to keep the right path. To some degree, it reminds us that individuals exist to contribute to something greater than themselves through their potentialities, skills and capabilities. The theoretical background of WC urges the individuals to engage in meaningful projects and challenges to improve the human condition. Practical implications Seemingly, managers and CEOs still have a narrow view about what wisdom embraces. Accordingly, it is important to keep in mind that to enhance individual wisdom capital (IWC), concerted efforts are required toward human training and development to improve the organizations and their decision-making systems. Overall, this frame suggests that it is vital to accumulate a WC for the survival and thriving of individuals and organizations. As theorized, WC is a very useful, rich and sense-making form of capital to gather. Originality/value Overall, this article attempts to broaden wisdom theory within organizations by presenting the definition, meaning and scope of WC and its by-products, i.e. IWC and organizational wisdom capital. Hence, it focuses on two levels and describes specific means and ends related to each stance. At last, the proposed variables may be carefully managed and monitored to engender a new business paradigm, that is, the general well-being.