Managing conflicting objectives of social enterprises

Abstract

Purpose Most strategies for managing conflicts between social and commercial objectives of social enterprises are discussed either at the individual or at the team level of analysis. This paper aims to argue in favor of taking into account both levels of analysis at the same time. It furthermore aims to unravel how management strategies at the individual and the team level reinforce one another. Design/methodology/approach This study adopts the theoretical lenses of personal values (at the individual level of analysis) and stewardship (at the team level). The authors have conducted 23 semi-structured interviews across three Belgian social enterprises. Primary data collection was complemented with secondary data of 12 annual reports and 314 newspaper articles. The variety of cases and the richness of primary and secondary data proved useful to elaborate on the mechanisms of managing conflicting objectives. Findings This paper highlights four bridging mechanisms that facilitate the mitigation of conflict between social and commercial objectives, i.e. fit of values, agile structure, partnerships and communications. It also shows how these mechanisms reinforce each other at the individual and team levels of analysis and thus form an iterative process for managing the conflicting objectives of social entrepreneurs. Originality/value This paper contributes by bringing the level of analysis on managing conflicting objectives at the intersection of the individual and team performance. It argues that social entrepreneurs should target both individuals and teams at the same time, to manage effectively conflicting objectives. The four mechanisms create an alignment and reflection iterative process for managing conflicting objectives.