Super Agent

It’s All About Shared Value

Many agencies aren’t taking advantage of existing opportunities to create, communicate and deliver value to clients, but doing so remains a top objective of most. One of the best ways to build long-lasting, collaborative relationships with clients, maximize profitability and ensure sustainability is to focus on creating shared value. Shared value is a concept that was first introduced by Michael E. Porter and Mark R. Kramer and was discussed in depth in their Harvard Business Review article “Creating Shared Value”.

So, what is shared value and why is it an important idea to consider?

Shared value focuses on the connection between competitive business advantage and social or economic issues. According to the article “there are numerous ways in which addressing societal concerns can yield productivity benefits.” Some of the strongest shared value connections are the connections between company productivity and worker safety, employee skills, or employee health.

For agencies specializing in Workers’ Comp, the opportunity to create financial value for both parties increases if producers are also focused on workplace safety and risk management. Porter and Kramer assert that if business leaders are committed to “reimaging value chains from the perspective of shared value [it] will offer significant new ways to innovate and unlock new economic value that most businesses have missed.” Realizing the social impact of your day-to-day work will not only give you a sense of purpose and motivation, it will increase new business opportunities, lead to the development of innovative solutions and processes,  and help you create mutually beneficial partnerships with clients who are being financially impacted by problems or risks.

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One Response

  1. Susan,

    Thanks for the article and thoughts on shared value. I agree that we see many companies around the world fundamentally rethinking the what it means to to attract and retain workers and how issues like employee skills, health and safety are fundamentally tied to their business performance. Your readers can find more specifics on shared value at FSG’s website and ultimately at a new website we are developing for shared value content at sharedvalue.org. Thanks.

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