Leadership in Economy of Communion Companies Contr

Humanistic Management Journal (2021) 6:77–101
https://doi.org/10.1007/s41463-020-00095-6
ORIGINAL RESEARCH
Leadership in Economy of Communion Companies.

Contribution to the Common Good through Innovation
Ma Asunción Esteso-Blasco 1 & María Gil-Marqués 1 & Juan Sapena 1
Received: 1 November 2019 / Accepted: 22 September 2020 / Published online: 2 October 2020
# Springer Nature Switzerland AG 2020
Abstract
Innovation is strongly associated with survival and growth of all kind of organizations in
a global competitive economy. Moreover, nowadays companies are increasingly
questioned on how they deliver innovative solutions to deep-seated problems, such as
poverty. Our research aims to understand how Economy of Communion (EoC) compa-
nies respond to this challenge by applying the logic of gratuitousness and giving. This
paper examines the altruistic behaviour of EoC leaders and the connection with organi-
zational innovation, necessary for firm’s survival in the long-term. We analyse these
connections through a qualitative descriptive case study of three Spanish EoC companies.
The findings reveal altruistic behaviours of leaders seeking the Common Good. Innova-
tion derives from the desire to help others, such as employees and customers. Moreover,
the findings reveal that a culture of dialogue among employees, managers and the whole
organisation enhances risk-taking and, therefore, innovation The paper contributes to our
understanding of how EoC companies are able to reconcile innovation with the ideal of
altruism, distinctive of the Economy of Communion. We believe that this study opens up
a wide range of future research opportunities on the antecedents of an innovative
organizational culture.
Keywords Altruism . Leadership . Economy of communion . Innovation
* Juan Sapena
juan.sapena@ucv.es
Ma Asunción Esteso-Blasco
ma.esteso@ucv.es
María Gil-Marqués
maria.gil@ucv.es
1
Faculty of Economics and Business, Catholic University of Valencia, Calle Corona 34, E-46003,
Valencia, Spain
Content courtesy of Springer Nature, terms of use apply. Rights reserved.

78 Humanistic Management Journal (2021) 6:77–101
Introduction
The intensification of global competition requires an effort on the part of organizations to

promote innovation at the same time as improving quality as a means of survival and growth
(Cho and Pucik 2005). Change is considered a pre-requisite for survival, not only of individual
human beings, but also of all type of organizations. Innovation is also associated with growth,
as new business is created by new ideas, by the process of creating competitive advantage in
what a firm can offer (Tidd and Bessant 2018).
Relevant scholars have called for a deeper understanding of the complexity of innovation,
embracing incremental as well as radical innovation (Linton 2009; Chang et al. 2012). Radical
innovation occurs in entirely new products or processes that require new knowledge, allowing
them to satisfy new customers or emerging markets (Herrmann et al. 2006), while incremental
innovation implies progressive improvements in characteristics of already existing products
and processes (Green et al. 1995; Chang et al. 2012). Our study adopts a wide perspective of
innovation embracing incremental as well as radical innovation.
Moreover, as Margolis and Walsh (2003) state, no matter economic theory instructs
managers to focus on maximizing their shareholders’ wealth, society makes appeals to
corporations to provide innovative solutions to deep-seated problems, such as poverty. The
need for companies to address critical social and global issues is growing constantly (Dawson
and Daniel 2010).
Margolis and Walsh (2003) propose to embrace the tension between economic and broader
social objectives as a starting point for systematic organizational inquiry, pointing out to the need of
research to reveal the corporate responses to misery and discern the value of those responses
(Margolis and Walsh 2003). As Donaldson and Walsh (2015) concluded, the purpose of business
is to create optimised collective value that builds a world of business honouring the dignity of those
who affect and are affected by its activity. Despite this, small business, in general, experiences more
difficulties when engaging in socially responsible actions (Lepoutre and Heene 2006) and more
research is required in this field (Fassin et al. 2011).
Our study responds to this need, as we take on board Economy of Communion (EoC), as a
business experience to which more than 800 companies around the world adhere along the
lines of all the initiatives that try to humanise the economy (Bruni and Héjj 2011). The EoC is
built on experience. However, a vibrant intellectual ferment has accompanied the growth of
EoC businesses, with graduate, Masters and PhD theses, and scientific papers covering its
anthropology, sociology, economics, philosophy, psychology and theology (Linard 2003). The
most relevant contributions in the field of economic theory are driven by the researchers
Luigino Bruni and Stefano Zamagni.
Companies adopt the EoC project by applying the logic of gratuitousness and giving as an
expression of universal fraternity. The EoC believes that the market can become an instrument
which can reinforce social ties (Zamagni 2014). Not only are part of the profits shared to
contribute to eliminate poverty (Bruni and Héjj 2011), but EoC companies also promote
ethical behaviour and an organisational culture of reciprocity (Del Baldo and Baldarelli
2015).1
1
The EoC company aims to meet three objectives: (1) creating new businesses, increasing and strengthening
existing ones through productivity, employment and sustainable development, and supporting the State in
helping the most vulnerable; (2) training employees and managers in the values of brotherhood and reciprocity
with a special focus on the new generations and (3) helping the poor at local and global level, giving them
assistance with basic needs in emergency situations (Baldarelli 2007; Argiolas 2014).

Humanistic Management Journal (2021) 6:77–101 79
The EoC leadership style should be participative according to EoC Business Guidelines
(See Appendix 1). Communication must be open and sincere, favouring the exchange of ideas
and information at all levels of responsibility. Following the EoC principles, work has a
meaning not only for professional growth, but also for spiritual and ethical development
among its members, which will enhance the sharing of talent, ideas and skills. Particular
attention is devoted to the quality of relationships, promoting mutual support to become a real
community.
The Economy of Communion seeks to put the human being in the forefront, starting with
the entrepreneur, to whom have the power to mould their company according to their values
and beliefs. For the Economy of Communion, the figure of the entrepreneur, is not well
represented by the “Homo economicus”, whose unique goal is individual utility, with the
unique logic of rational self-interest.
According to the famous metaphor of traditional liberal thought first coined by Adam Smith
(Smith 1776), the market’s “invisible hand” turns entrepreneurs’ private interests into national
wealth. This approach was highlighted in a 1970 Times magazine article, in which the
economist Milton Friedman (Friedman, 1970) defended the identification of profit maximiza-
tion as the company’s only purpose. Moreover, he maintained, companies that did adopt
“responsible” attitudes could eventually be faced with more binding constraints than compa-
nies that did not, rendering them less competitive.
However, the formal development, in recent decades, of the concept of Corporate Social
Responsibility (CSR) reflects the demand, from civil society, calling on firms to work
voluntarily for social development. CSR moved to a new level with the concept of shared
value that emerged from a series of Harvard Business Review articles written by Porter and
Kramer (see Kramer and Porter 2006, 2011). For these authors, society’s shortcomings
(poverty, elderly care, etc.) can be considered as business opportunities.
The Economy of Communion presents an example of how these structures can create well-
being and at the same time foster authentic human encounters and development (Bruni and
Uelmen 2006). As highlighted at Bruni and Héjj (2011), an economy of communion requires
us to move from the communion of goods to communion between people. It is an equality in
dignity.
As Zamagni (2014: p. 16) states, “contrary to what it might be believed, economic
phenomena have a primary interpersonal dimension”. Leaders who lead with purpose, values
and integrity are needed in order to restore trust, hope and optimism through more ethical and
transparent relationships, and inclusive structures (Avolio and Gardner 2005). We aim shed-
ding light on the role that altruistic leadership plays in driving innovation in EoC companies.
This is relevant due to the need to reconceptualise business based on the unconditional
commitment to be at the service of human dignity and the flourishing of human life (Melé
and Dierksmeier 2012).
The interconnections between the altruistic behaviour of leaders and innovation in EoC
firms are our subject of analysis. In EoC company’s innovation is necessary in order to survive
in the long-term, but also innovation is needed to achieve a bigger aim: eliminating poverty.
The role of committed leaders is essential for innovation, as they create a shared vision and
guide the improvement and innovation efforts of people, encouraging employees to participate
actively (Adams et al. 2006; Amabile 1998; Maidique and Zirger 1985). According to Alegre
and Chiva (2013), leaders that promote and contribute to the generation of an environment of
cooperation, trust, support and autonomy, enhance innovation. Along the same lines, Mallén

et al. (2015) point out that innovative leaders show an empirical trend towards altruistic
behaviour.
Our research aims to provide answers to the following questions: 1) In what manner is the
altruistic behaviour existing in EoC firms? 2) How do EoC firms reconcile innovation with the
ideal of altruism? By answering these questions, we aim to contribute new knowledge by
providing an examination of altruistic behaviour and innovation in EoC firms. We aim to
describe bot concepts, altruism and innovation in EoC firms, and to understand their
connections.
As far as we know there is no research that has explicitly examined the influence of altruism
on innovation in the context of social companies, such as EoC firms. We present a literature
review on altruistic leadership and innovation, and a theoretical review of their relationships.
Moreover, the paper’s main contribution to managerial practice is to provide altruistic leaders
with enhanced knowledge on how to improve organisational innovation. Our empirical
research analysed three representative Spanish EoC companies with extensive business expe-
rience. These three EoC companies belong to different sectors and were selected because of the
learning opportunities they offer.
The paper proceeds as follows: firstly, we present the state-of-the-art on the relationships
between altruistic leadership and innovation. Secondly, we introduce the methodology used in
the empirical research. Thirdly, we present our findings, and finally, we conclude by
discussing the theoretical and practical implications of the study.
Literature Review2
Altruistic Leadership
Recent trends in leadership altruism reflect a new business environment that emphasises ethics,
teamwork, and cooperation through a more transparent decision-making process (Avolio and
Gardner 2005). In this context, several theories based on human values have been gaining
ground, such as authentic leadership (Avolio and Gardner 2005), servant leadership (Greenleaf
2002) and spiritual leadership (Fry 2003), all of which share the dimension of altruism (Brown
et al. 2005).
Although the need for global ethical standards is strongly felt (Dierksmeier 2016), there is
no consensus on what constitutes the field of leadership ethics, as knowledge and approaches
are fragmented (Ciulla 2005). There are few studies that deliver an exhaustive consideration of
altruistic behaviour in organisations, basically because the dominant behaviour up until now
has been an individualistic one (House and Aditya 1997). A literature review shows coinci-
dences among authors that have carried out research into the concept of altruism. Helping
others selflessly, even at the cost of one’s own good, is a constant in the definition of the
concept (Kaplan 2000; Eisenberg 1986; Johnson 2001; Simmons 1991).
However, the concept is not without controversy. Problems arise concerning the different
ways to measure the concept in empirical studies (Batson 1991) as well as the different degrees
2
The criteria used to select articles for the literature review is based on the main research question, and hence
those connecting innovation an altruistic leadership. Included studies were ordered by relevance and articles
published in English, mainly those published during the last 10 years.

of altruistic behaviour (Jencks 1990; Oliner 1992). Moreover, some authors claim that
altruistic behaviour may include some kind self-interest (Elster 1990).
Despite this debate, the majority of the literature refers to altruistic leadership without
questioning, defining it as a behaviour that has no other purpose but to help others (Eisenberg
and Miller 1987; Grusec and Redler 1980; Wagner and Rush 2000). According to Guinot et al.
(2015), the concept implies a long-term trend towards thinking about the wellbeing and rights
of others, feeling concern and empathy for them, and acting in a way that benefits them
(Guinot et al. 2015). In this context the term “others” refers to any interlocutor to whom the
altruistic action is directed and who is a beneficiary of it. Following Guinot et al. (2015), we
use the expression “altruistic behaviour” or “altruism” rather than “altruistic leadership”
because this concept has not been explained scientifically.
Altruistic Behaviour of Leaders in EoC Firms
Lopez et al. (2013) stated that the EoC leadership model is similar to spiritual leadership
because it focuses on altruism, social justice, and sustainable praxis that seeks the Common
Good and a commitment to reducing poverty. For Catholic social teaching, common good is
the complete development of all the people of the world. Following John XXIII encyclical
“Mater et Magistra” (John XXIII 1961), common good can be described as the conditions of
social living whereby each person is enabled to reach his or her own full potential, making the
community stronger. In the same vein, Cui and Jo (2018) highlighted the empirical association
between a company’s human rights practices and Christian religiosity in its local community
as well as individual CEO religiosity. Argandoña (2011) states that in the EoC phenomenon
we cannot forget that strong spirituality is behind, fostering and enhancing behaviour, based on
Catholic Social Teaching.
EoC has attracted the attention of CSR researchers. Del Baldo and Baldarelli (2015)
highlighted that EoC companies are very close to CSR, focusing their attention on their
mission, governance and accountability models. As Gold (2003) stressed, the focus of EoC
is not only alleviating poverty, but also building relationships based on mutual care and
solidarity.
According to the Economy of Communion’s founder, Chiara Lubich, the project involves
employees, managers, consumers, citizens, researchers, and economic agents committed to the
promotion of praxis and an economic culture characterised by communion, gratuitousness and
reciprocity (Lubich 1999). As Dierksmeier (2011) stated, the humanistic conception of
business rests on personal freedom. The original name of the EoC highlights the freedom
aspect: “EoC in Freedom” (Gold 2003).
As the EoC Identity Card3 states, those who adhere to the EoC project commit themselves
to living the values and culture of communion in the light of the charism of unity, both as
individuals and in the organisations in which they work. The Guidelines to Running an
Economy of Communion Business4 were written based on the experience of entrepreneurs
and workers, and are divided into seven areas, which include the following lines to guide
action. The business must be managed in a loyal and civil way, holding quality relationships
3
http://www.edc-online.org/en/businesses/the-eoc-identification-card.html consulted on 04/09/2018
4
http://www.edc-online.org/en/businesses/guidelines-for-conducting-a-business.html consulted on 04/09/2018

with all stakeholders, including competitors, suppliers, clients, civil society and public
administration.
The Guiding Principles of the EoC project highlight the importance of relationships
promoting mutual support to become a real community. In the context of EoC companies,
learning, creativity and innovation should play an important role. A participative environment
must be fostered, and harmony in the working environment and mutual respect and trust
should be promoted. Along these lines, Bernacchio and Couch (2015) stated that the impor-
tance of employee participation in governance practices provides employees with experiences
that call for the exercise of virtue and mitigate the conflict between the individual and common
good. Moreover, the EoC is also close to the concept of Human Quality Treatment which
means dealing with people with respect, authentic care and fostering development (Melé
2014).
Altruistic Behaviour of Leaders in EoC Firms and their Impact on Innovation
Innovation is relevant for all different sorts of firms, small as well as large. As Schumpeter
(1942) underlines, innovation “strikes not at the margins of the profits and the outputs of the
existing firms but at their foundations and their very lives” (Schumpeter 1942: 84). Innovation
is important for survival, not only for new firms introducing new products or creating new
markets (Utterback 1994), but also for mature companies trying to maintain their competi-
tiveness (Christensen 1997).
Innovation is an ambiguous term, and lacks a single definition or measure. For the last
twenty-five years, the Oslo Manual (OECD-EUROSTAT 2005) has provided definitions of
innovation for use in statistical measurement in the business sector. We define innovation
following the Oslo Manual, produced by the OECD, as the “implementation of a new or
significantly improved product (or service), process or method of marketing or organizational
practices in the organization, in the workplace or in external relations (OECD-EUROSTAT
2005). Innovation must have been implemented. Therefore, new or improved products have to
be introduced on the market. New processes, marketing methods or organizational methods are
implemented when they are brought into real use in the firm’s operations (OECD-EUROSTAT
2005; Gault 2018).
Our study adopts a wide perspective of innovation embracing incremental as well as radical
innovation (Linton 2009; Chang et al. 2012). Radical innovations require high degree of new
knowledge or technology and represent revolutionary changes in products or processes while
incremental innovation require a low degree of new knowledge producing minor improve-
ments or simple adjustments in current products or processes (Dewar and Dutton 1986).
Organisational innovation can be accomplished in relation to products, services, operations,
processes, and people. Innovation is tied to change (Damanpour 1991). Nevertheless, it may
include a variety of diverse types of change depending on the organization’s resources,
capabilities, strategies, and requirements. We can differentiate diverse types of innovation
depending on the results of innovation: new products, new processes, new services, and new
organizational forms (Ettlie and Reza 1992; Baregheh et al. 2009). According to Baregheh,
Rowley & Sambrook (2009: pp. 1334) innovation “is the multi-stage process whereby
organizations transform ideas into new/improved products, service or processes, in order to
advance, compete and differentiate themselves successfully in their marketplace”. Innovation
is recognised as playing a central role in creating value and sustaining competitive advantage
through renewal and growth (Bessant et al. 2005).

Research on innovation has devoted increasing attention on the effects of leadership (Sastry
1999). West et al. (2003) found that leadership had strong influence on creativity and
innovation. The literature shows the leader’s values affect organizational innovation (Hage
and Dewar 1973). The leader in the organisational context plays a vital role in establishing an
environment that enhances the capabilities required to encourage organisational innovation
(Van de Ven 1986; Zaabi et al. 2017).
Altruistic leader behaviours have been little studied despite being present in many relevant
leadership styles, such as transformational, authentic, spiritual, servant or ethical leadership in which
altruism is a main feature (Dinh et al. 2014; Dominguez-Escrig et al. 2016; Aragón-Correa et al.
2007). Altruistic leaders empower employees and foster an atmosphere of trust and cooperation
(Van Dierendonck 2011). On the other hand, altruism also facilitates dialogue, communication,
experimentation, risk taking and participative environments. These elements have been highlighted
in the academic literature as potential elements that enhance innovation (Escrig et al. 2016).
Although they are not fully aware of it, many innovators show an empirical tendency toward
altruistic behaviour (Mallén et al. 2015). Altruistic behaviours favour contexts that are participative,
cooperative and open to learning (Yen and Niehoff 2004). When a participative environment is
fostered, business objectives need to be shared and verified in a transparent way, as employees will
be actively involved in the company, thus encouraging responsibilities to be taken on. In learning
organisations, people are empowered to achieve a clearly articulated vision and are continually
learning together to expand their capacity to improve performance (Senge 1990).
The EoC itself can be characterised as a social innovation not only in terms of the idea of
sharing profits, but also in the way in which it is carried out: looking for reciprocity and
communion (Blasco et al. 2018). We believe that two key aspects of the EoC must be pointed
out. Firstly, the reason why it was created, i.e. the desire to eliminate poverty (Bruni and
Uelmen 2006; Bruni and Héjj 2011). Secondly, the core features of its originality, focusing on
the basis of communion: reciprocity, gratuitousness and generativity (Zamagni 2014).
According to the EoC Guiding Principles, business objectives need to be shared and
verified in a transparent way. Leaders should commit themselves to create jobs through
creativity and innovation, building open relationships with customers to offer quality goods
and services at a fair price. Leaders who participate in the EoC must commit themselves to
create a climate of trust where sharing talents, ideas and competences is natural. In the same
way, the goal is to provide opportunities for updating skills and continuous learning,
supporting professional and general training in the culture of communion.
Our proposal, based on the literature review, suggests that altruistic behaviour of leaders favours
organisational innovation in the context of EoC companies. Leading innovation remains one of the most
challenging facets for contemporary leaders, but very little has been done in addressing the link between
leader’s altruistic behaviour and innovation. To understand how and why the altruistic behaviour of
leaders impacts innovation in EoC firms and what type of innovation takes place in these businesses we
analysed three representative Spanish EoC companies with extensive business experience.
Research Methods
The paper’s aim of this descriptive case study research is to contribute to the knowledge
regarding altruistic leadership and innovation in EoC firms. The case study method is widely
used in organizational studies in the social science disciplines. Yin (2003) defines a case study
as an empirical inquiry investigating a contemporary phenomenon within its real-life context.

Gummesson (2000) argues that an important advantage of case study research is the oppor-
tunity for a holistic view of the process, considering the detailed observations needed in the
case study method allows us to study different aspects, examine them in relation to each other,
as well as understanding the process within its total environment. Case studies can be useful in
capturing the emergent and immanent properties of life in organizations (Noor, 2008).
To explore our research questions, we developed an inductive multiple case study in the
setting of EoC firms. The case study method is a respected research tool and its main strength
is that it measures and records behaviour (Yin, 1989; Chetty 1996). A further strength of the
case study method is that it allows the researcher to use a variety of data sources, including
documentation, archival records, interviews, direct observation and physical artefacts (Chetty
1996; Yin 2003). The choice of data collection procedures should be guided by the research
questions and the choice of design (Yin 2003). As stated by Yin (2003) qualitative case study
methodology enables researchers to discover organisations through complex interventions,
relationships, communities, and programmes. Moreover, case studies are ideal when contex-
tual conditions are relevant to the phenomenon under study and the boundaries between the
phenomenon and the context are not clear (Yin 2003). As Cassell (2004) stated, case study
research is useful to understand people and the social and cultural contexts and circumstances
in which they live. A common criticism of the case study method, however, is that it provides
small basis for scientific generalisation. Yin (1989, p21) refutes this: “case studies, like
experiments, are generalizable to theoretical propositions and not to populations or universes”.
Therefore, the case study should be regarded in the same way as the experiment (Yin, 1989;
Chetty 1996).
The reliability of the case studies is supported by the use of case study protocol (see in
Appendix 2). The study was organised in three stages. During the first stage, an interview
guide was drawn up and the companies were selected. We chose 3 firms from a population of
about 40 EoC firms operating in Spain. The three companies selected belonged to different
sectors and offered major learning opportunities, considering these were the most representa-
tive firms of the EoC movement because of their broad trajectory in different sectors and their
size. EoC firms are generally very small, as they do not aim for a rapid growth. All the
companies invited to participate in the research confirmed their wish to participate. One of the
authors had experienced previous connections with the EoC movement several years prior to
this study. This background both eased our access into the firms and appeared to give
managing directors of these firms some security in participating in this study. Thus, we
contacted the Spanish EoC Association to ask for their collaboration as providers of informa-
tion for the empirical part of the research. Table 1 summarizes characteristics of the sampled
firms.
During the second phase of the study, we collected as much information as possible about
the firms and a schedule of visits was established. We were able to use data from EoC reports
published by the central committee in Rome. We gratefully thank all the companies that
participated in the research, offering their time and support, as well as the Spanish EoC
Association for their help and advice. We used several data sources such as archives (corporate
materials, Internet sources, business publications). We scheduled several semi-structured
interviews with managers and workers of the companies. The interviews were recorded after
consent was given by the interviewees. All of them where transcribed within 24 h of their
occurrence.
We interviewed three types of informants in each company. The managing director was
always interviewed. The other types of informants where at least one middle manager and one

Table 1 Case study businesses main facts
Quality consultancy Day centre Pharmacy
Location Madrid Seville Cordoba

Year founded 1994 2002 1914
Year joined 1994 2002 2006
Revenues €1,000,000 50 users €2,300,000
No. employees 18 18 8
Scope National Local Local
No. interviews 6 6 5
worker. Visiting the companies allowed us to better understand their specific contexts through
direct observation. Subsequent queries were solved by telephone. We maintained a tone of
sympathetic objectivity throughout the study, trying to minimize any social desirability bias in
what interviewees reported to us (Kahn and Cannell 1957). Table 2 gives the number of
interviews conducted at each firm in the sample and the titles of informants.
Analysing data started writing individual case studies including interview, observational,
and archival data (Eisenhardt 1989; Yin, 1994). We triangulated data collected from various
sources at different times reinforcing confidence in the exactitude of findings. Therefore, we
could emphasize themes that were supported by different data collection methods and con-
firmed by several informants (Jick 1979). We followed up with e-mails and calls to fill in
missing details. Two researchers reviewed all the data to form independent views of the
portfolio formation process. We synthesized these views with the case for each firm.
Innovation was measured on the basis of the Oslo Manual created by the Organisation for
Economic Co-operation and Development process and organizational innovation. This manual
provides guidelines for the collection and interpretation of innovation data. The new measure-
ment framework, provides greater coverage of the most central points emphasized in recent
Table 2 Case analysis interviews
Companies Interviewees Interviews Total time
Quality consultancy Managing Director 1 face-to-face, 40′

1 virtual 30′
Financial Director 1 face-to-face 30′
1 virtual 15′
Consultant 1 face-to-face 35′
1 virtual 20′
Total: 6 interviews Total: 170′
Day centre Managing Director 2 face-to-face 90’
1 virtual 20’
Governess 1 face-to-face 30’
Psychologist 1 face-to-face 50’
Assistant 1 virtual 30’
Total: 6 interviews Total: 220’
Pharmacy Managing Director 2 face-to-face 90’
1 virtual 15’
Pharmacist 1 face-to-face 40’
Assistant Technician 1 face-to-face 40’
Total: 5 interviews Total: 185’

innovation literature, providing a suitable measurement framework to capture the substantial

innovation activity within services (Bloch 2007; Gault 2018). The concept of innovation is
broadly defined to include incremental improvement in products and processes, knowledge
and technology, as well as radical innovations, such as launching completely new products,
complete redesign of processes and the incorporation of new knowledge and technology into a
business. This measure has been used in previous innovation research (Benner and Tushman
2002, 2003; Jansen et al. 2006; Gil-Marques and Moreno-Luzon 2013; Damanpour 1991;
Moreno-Luzon et al. 2013).
Altruism is a common feature to several leadership styles and has grown in interest recently,
with many articles being published in management journals (Brown & Treviño, 2006; Salas-
Vallina and Alegre 2018; Salas-Vallina et al. 2018; Domínguez Escrig et al. 2016). Following
this literature altruistic behaviour of leaders was measured according to Guinot et al. (2015) as
a long-term trend towards thinking about the wellbeing and rights of others, feeling concern
and empathy for them, and acting in a way that benefits them. Guinot et al. (2015) uses a
subscale for altruism developed by Barbuto and Wheeler (2006) to measure servant leadership.
The behaviours that reflect altruistic values are the following. Firstly, an altruistic leader puts
subordinate’s interests ahead of his or her interests. Secondly, this leader goes beyond the call
of duty to help others. Thirdly, this leader sacrifices his or her interests to meet the needs of
others.
We created a provisional list of codes prior to the fieldwork determining the main categories
to code the data. This list come from the conceptual framework and research questions (Miles
and Huberman 1994). Innovation; incremental innovation/market launch of improved prod-
ucts; incremental innovation/improvement of processes; incremental innovation/improvement
in existing knowledge and technology; radical innovation/market launch of completely new
products; radical innovation/complete redesign of processes; radical innovation/incorporation
of new knowledge and technology into the business. Altruistic leaders’ behaviour; altruistic
leaders’ behaviour /putting subordinate’s interests ahead, altruistic leaders’ behaviour /helping
subordinates without expecting anything back; altruistic leaders’ behaviour /helping customers
without expecting anything back; altruistic leaders’ behaviour /going beyond the call of duty to
help others; altruistic leaders’ behaviour /sacrificing own interests to meet the needs of the
community.
Following Siedel and Kelle (1995) we used coding to notice relevant phenomena; gathering
examples of those phenomena; and analysing those phenomena in order to discover common-
alities, dissimilarities, patterns and structures. The cross-case analysis considered similar
constructs and themes in the cases, and begun after most data had been collected in order to
preserve the integrity of replication logic across cases (Eisenhardt 1989; Yin, 1994). We used
tables to highlight similarities and differences and then we formed tentative relationships
between constructs, frequently returning to each case to corroborate the occurrence of rela-
tionships and logics (Eisenhardt 1989). Finally, we engaged in repeated iterations among data,
literature, and theory until we had a match between theory and data.
Findings
In this section, we present the case study findings, explaining the evidence we gathered about
the altruistic behaviour and innovation, and the connections between them.

Innovation and Altruistic Behaviour in the Quality Consultancy Case
The quality consultancy company approaches innovation broadly, aiming to evolve constantly
through new products, processes and organisational innovation. They are a national reference
laboratory. Some of its clients are: Laboratory of the Ministry of Industry, National Food
Centre of the Ministry of Health, Agrofood Laboratory of Santander (a reference in dairy
products), Algete Animal Health Laboratory (national reference), Forensic Science Laborato-
ry, Civil Guard’s Laboratory, Ertzaina’s Laboratory (Basque Country Police), among others.
They collaborate with Research Centres of large companies such as Repsol or Cepsa, as well
as with large networks of Public Health laboratories in various Autonomous Communities
(Madrid, Valencia, Andalusia etc...). And all its consultants have been authors for ENAC (the
National Accreditation Entity).
They consider innovation to be fundamental, and their aim is to maintain a constant pace of
change. Evidence shows a constant internal rate of change, both in terms of product and
internal processes, such as computer applications. The Managing Director explained:
“We were the first to offer a validation course on biological methods in Spain. The
customer pulls you forward...that is the key, and if you can grasp this, you will be able to
face challenges. We are one of the few companies offering inter-comparative tests on the
web.”
In one of its main innovative services “Inter-comparison Tests”, the Consultancy is the first in
Spain that was accredited in the agro-food field (microbiology, physic chemistry, and oil
tasting) and the second in water inter-comparison tests collaborating with large entities such as
the Spanish Ministry of Agriculture.
Likewise, the Consultant we interviewed explained how the company is continually trying
to adapt to change and especially on very technical issues when there is new legislation. The
company has innovated launching completely new consulting services to support their clients
in their effort to take advantage of change, being their best innovation partner. To better serve
customers the company incorporates new knowledge and technologies. The Financial Director
also explained day-to-day innovations.
“We try to update our resources to ensure the wellbeing of our employees. Machinery,
materials and furniture have been improved … and we also provide training to improve
processes.”
These innovations have taken place to better serve customers. Managers and employees
explain innovation streams thanks to constant dialogue. Having a genuine interest to under-
stand other visions can be considered as a way to show altruism in a business context in which
time is a scarce resource for managers. All the interviewees agreed on the importance of spaces
and climate for dialogue to create a positive working environment and a culture that can
generate the conditions for learning and for innovation. We realised that this company’s
leaders sought the development of people at work and also encouraged teamwork. As the
Financial Director explains:
“From time to time, all the consultants meet up and establish project monitoring,
harmonisation of criteria, definition of technical assistance processes and follow-up
audits. We maintain a culture of dialogue. Dialogue always helps, it is necessary and
there must always be communication to move forward”.

This company has an open-door policy that fosters communication and informal spaces where
people can strengthen interpersonal relationships. As a Consultant explained:
“The Managing Director makes you a part of the business at all times, and networks well
with everyone. Every day at 11.15 we all stop for coffee together, and we talk about
everything: politics, religion, soccer…”.
Delving deeper into the idea of altruism was interesting. The Managing Director explained
how the tried not to make employees redundant during the recession. At the start of the crisis
they had a relevant drop in turnover (from over €1.4 M to €0.9 M). The Managing Director
explained workers that the company’s priority was not to fire anyone. Some people were
willing to lower their salary. This fact was important, as the workers understood what the
company was trying to do and made an effort.
The Managing Director showed us detailed worksheets with data about workers´ perfor-
mance. This showed employees whose performance was not satisfactory. Faced with this
situation, he told us how he decided to find a more motivating job for a particular person,
based on the vision of an EoC company:
“Somebody was not performing well and I asked her what job she could do for the
community, for the company, that could give something back. Now she is in charge of
social networks. In the end, the experience has been positive and she has begun to
increase the self-esteem that she had lost.”
The Financial Director told us about the small gestures of altruism. He always devotes time to
listen, to take know well the employees. The Managing Director reflects on the balance
between altruism and justice. In his opinion, it is important to be close to the person but
attentive to the group as well.
“Someone was stealing documents from the business and selling them. He pleaded for
his family and I decided to forgive him, but in the end I had to fire him ... I cannot
sacrifice the group for an individual. If you are moved to act for the good of others, you
can move with more serenity than if you are driven by fear. This is altruism, but it is
collective altruism.”
Innovation and Altruistic Behaviour in the Day Centre Case
The Day Centre for the Elderly, according to data from the Andalusian Dependency Forum
(FADE) had 100% of its places occupied. It is the most demanded Day Centre, as the
remaining centres are not complete in terms of number of users. This company has developed
different innovations that put them at the forefront of the sector, such as its computer-based
cognitive stimulation programmes. Most day centres do not have as broad a range of services.
The day centre’s Psychologist explained the stimulation programmes:
“The computer-based cognitive stimulation programmes need very expensive software
which has to be validated. We have the software and an expert that can create individual
sessions. Some public institutions have a budget and have the equipment, but they are
underutilised because they do not have people trained to use those resources. We do not
depend on subsidies, yet we are lucky to be a profitable company.”

One of the innovations in this company came from the management’s desire to improve the
working conditions of one of the employees. This occurred when they launched a new service,
offering workshops led by the Psychologist. According to the Managing Director, this was an
innovation that was introduced to improve a worker’s job. This constant search for innovation
has also led the company to offer services such as transport and providing cover at the
weekend. The day centre also has an extended weekend schedule to offer a better service to
families. The Managing Director explains:
“To offer a more comprehensive service, we had to provide transportation. It has worked
well. Another important innovation not offered by other day centres is providing
services at the weekend.”
For the Governess, these innovations are a consequence of the climate of dialogue which
stimulates creativity and an interest in finding new ways of doing things so as to improve.
There is a willingness to take risks. This is how the Governess explained:
“When we have a meeting if anyone proposes an innovation we try to implement it, and
the opinion of everybody is taken into account. People do not feel as though they are
under pressure.”
The Psychologist also stresses the importance of meetings for continuous improvement, and
the effort of all staff and managers to ensure there is always time for dialogue to talk about the
improvement of processes related to better service for customers.
“In a meeting, we check between 1-2 Individualised Care Programmes in the morning.
Other prestigious day centres check 15 reports in an hour. This means they can’t go into
any kind of depth. We believe in internal communication as a source of innovation.”
In this company, the EoC project is openly discussed, especially at annual meetings. The
interviewees emphasised the importance of participation. The Psychologist, for example,
values not having controlling managers and admits that he is very independent in his work.
Non-controlling managers are those who promote participation and the exchange of ideas and
information at all levels of responsibility; they believe in mutual respect and promote trust. The
Managing Director, highlighting his concern for transparent communication, explained the
following:
“The idea of seeing ourselves as an EoC company in its purest sense does not mean there
are no difficulties in understanding the project. My main function is to create those
spaces where everyone feels that they are an important part of the company and can
contribute their ideas, their way of seeing things... Twice a year, we have a meeting with
all our workers to share our thoughts: where we are going, how to distribute profits, how
they can participate, how to solve any existing conflicts … this is often the most difficult
issue. This is important to overcome problems and difficulties.”
We find a multitude of experiences based on extra attention to people which do not exist in any
contract of employment. For example, lending a car to somebody who needs it, advancing
money to a worker, facilitating training, supplementing sick leave with extra money, or seeing
the best way to distribute days off. The crisis was also tackled altruistically and there are
examples of gratuities, such as the request for loans personally endorsed by management. The
Managing Director explained:

“The company paid the workers’ bonus in 2014. We asked for a loan to do so. The
bank’s director supported us. He told us that no company asks for a loan to pay a
bonus.”
The employees positively value managers deciding to make the effort to pay their legal
Christmas bonus when it is due, instead of delaying the payment. As the Governess explained,
the values of the EoC are relevant to develop a caring context.
“Altruism is something we all have in mind. Beyond work, beyond the execution of
tasks, for us, the person is central. This is one of the values of the EoC. We try by all
means to meet everyone’s needs, not only professionally. From the recruitment and
selection process the first thing that is explained is how our company works and what we
commit to. Information is fundamental for us.”
This way of living is understood not only within the organisation but also by other agents, such
as suppliers and customers. They also become altruistically involved in reciprocity. Such is the
case of experiences with transport companies and catering firms. The Psychologist highlights
this climate of altruism, mentioning gestures made by his colleagues that do not go unnoticed
and show that they are natural.
“We live altruism naturally because it is a part of what we do. For example, other centres
pick users up at a particular transport point. We go to the user’s house. Our driver goes
into the house of the patient, and often helps the person to get into the van.”
Innovation in the Pharmacy Case
Regarding this case of the Pharmacy we rely on data from the Official College of Pharmacists
of Cordoba. The Pharmacy’s sales of prescriptions from the Andalusian Health Service
amounted to three times compared to the average for the rest of the pharmacies in the same
area (considering the postal code to which the Pharmacy belongs). The same is true when
comparing annual sales in the mutual insurance section. The Pharmacy’s sales in for mutual
prescriptions are five times the average for the rest of the Pharmacies in the Official Associ-
ation of Pharmacists of Cordoba of the postal code where the Pharmacy is located in Cordoba.
In this case, we found different types of product innovations: new product lines such as
products for sportspeople, compounding, and homeopathy. The Managing Director
emphasised the importance of their innovations in compounding and homeopathy, explaining
that the effort to change came from “wanting to help the person in front of you.” In this
company, the most modern means available are used to provide customers with useful goods
and services. As the Managing Director remarked, the search for the best solution for the
patient is the driving force behind innovation. As he explains: “The EoC gives you another
vision of the business, of the person; you see the reciprocity in others, in how to improve, how
to do things or how not to do things.”
The innovation in products for sportspeople derived initially from the personal interest of an
employee who suggested the idea to the Managing Director. Other innovations come from the
need to adapt to new regulations. The Assistant Technician’s interest in keeping up-to-date is
patent, as his explanations show:
“We all have to try to help; everyone does their bit. For example, we brought out a
specialist orthopaedic product line for sportspeople. The idea came from a group of

employees, because we often do sport and we saw that there was demand for this. The
Managing Director is the first person to encourage us to carry out responsible
innovation.”
In this case, we also found evidence of altruism in internal and external relations, revealing the
key role played by ethics in the management’s approach to business. Internal relations are
strengthened by the high ethical standards. The Managing Director points out that he is
concerned about paying fair salaries; thus this company pays more than the law stipulates.
In addition, although sales went down during the recent economic crisis, nobody was
dismissed. It is also important to underscore the climate of communication.
“At the beginning of every year I have a chat with everyone; we talk about the pharmacy
and also about things other than the pharmacy. I like to reach agreements about all
decisions. For example, I don’t like doing the purchasing on my own and I always ask
someone for their opinion.”
These altruistic external relations even extend to the competition, which is not viewed as an
enemy in the EoC. Altruism is also reflected in the relationship with customers, bringing
something extra that goes beyond the requirements of a purely business relationship. As the
Managing Director explained:
“We get along well with our competitors; they even lend us things we need. Regarding
customers, they rely on us, we sort out prescription problems for patients, and we don’t
do it for money but because they need help. We work in a company with customers who
come to us because they’re ill. I think that getting involved with the patient and their
problems is crucial. I don’t want occasional customers, but those who tell you their
problems and you can help them like family.”
We found the climate of dialogue in the company was promoting creativity and empowering
workers to engage in organisational changes. Dialogue allows coming up with solutions when
there is an issue. The term “family” is used for the relationship with co-workers and superiors,
as the Pharmacy employee explains:
“As far as I’m concerned, working consists of helping us 90% of the time. Here we have
a climate of dialogue; we think this is the only way to do things...”
We might say that this climate of trust has shaped the desire to improve work, looking for new
products. Innovation comes from wanting to help patients, such as, for example, finding
solutions for dermatological problems through compounding.
Findings from the Comparative Analysis of the Case Studies
The use of a qualitative approach begins to build a clearer understanding how and why the
relationship between innovation and altruism takes place. The case studies analysis has shown
an interest in enabling the integration of all employees of EoC firms, which is achieved by
devoting efforts and resources to maintain ongoing and in-depth dialogue. The business is
managed in a loyal and civil way, establishing quality relationships with diverse stakeholders,
such as competitors, suppliers, clients, civil society and public administration.
In Tables 3, 4 and 5, we present the main findings when performing the comparative
analysis among three business cases: quality consultancy, day centre and pharmacy. Table 3

reveals the existence of several similarities in altruistic behaviours among three case studies,
such as the existence of informal spaces for people to communicate, and group meetings for
discussions with managers.
In Table 4 we present main innovation results achieved by each one of the three companies
analyzed.
Finally, in Table 5 we show main findings regarding similarities in the relationship between
altruistic behaviours and innovation. The desire to better serve customers appears as trigger for
innovation (new products and services; improved products and services; new and improved
processes; new and improved knowledge) consistently in all interviews. Moreover, the
intention to help customers extends to their families in the Day Centre and the Pharmacy.
Table 3 Similarities in altruistic behaviours among three case studies
Existence of formal and informal Workspaces where everyone feels Fluid communication, and decisions
spaces for people to meet. important and can contribute are shared.
ideas.
Group meetings and individual Weekly meetings on the company’s In addition to the daily
discussions among leaders and progress and two more in-depth communication, personal meeting
employees. annual meetings (leaders and with each worker once a year. A
employees; collective and indi- list of new improvements to the
vidual meetings). pharmacy is drawn up.
Open-door leadership of Leadership based on a climate of Leadership based on reciprocal help
management and middle encounter. Authority based on that is transferred to the
managers with employees. service and dialogue. client-patient.
Follow-up on on-the-job training of The company provides employee Opportunities for continuing
the employee (new employees) training through schedules. education highlight homeopathy.
Reciprocity in difficult situations Assumption of additional functions Workers are willing, as a result of
(voluntary reduction of salaries by the workers as a result of free management, to carry out
in the face of the crisis). reciprocity. functions that are not part of the
pharmacy (for example, helping
the elderly with bureaucracy).
Creative search and design of more Rotation of the auxiliary workers to Value each worker’s strengths over
motivating jobs for people who have better performance. the negative. Workers become
have lower performance. Creation of complementary problem solvers.
services for employees and
extension of their working day
and salary to have better working
conditions.
Search for justice. Collective Seeking the common good doing Keep the person at the centre of the
altruism. Priority objective not to everything possible not to organization despite the crisis
dismiss in crisis. dismiss in the crisis through with zero layoffs
creating new projects.
Dialogue, investment of time to One of the annual meetings is to Importance of living legality and
communicate and justify learn about workers’ concerns justice deeply (wages above law
decisions to facilitate and explain how benefits will be collective agreement)
understanding (e.g. reduction of shared.
expenses in crisis)
Constant search for individual and Daily experiences based on a plus Relationships based on mutual
collective good without fear. of attention to people inside and respect and trust with customers,
outside the company (specially suppliers and society. Even
employees and suppliers). sharing orders with competitors.
Communication of the altruistic Communication of the altruistic Communication of the altruistic
vision of the company from the vision of the company from the vision of the company from the
moment of contract hiring moment of contract hiring moment of contract hiring

Table 4 Innovation results in the three companies
Pioneer company in its sector on courses Pioneering company in its Pioneering company in its city in
of validation of biological methods and region on cognitive homeopathy, dermatological
intercomparative tests in Spain. stimulation through master formulas and sports
software. medicine (orthopedics).
Moreover, the desire to help workers has fueled the interest to grow and to launch new
products and services. Managers devote time to understand worker’s needs. The feeling that
managers are interested in listening and helping subordinates promotes participation and
creativity; moreover, it allows time to find ways to innovate.
It should be noted that in all three cases we find leaders that promote and contribute to the
generation of an environment of cooperation, learning, support and autonomy. The fact of not
having controlling managers is highly rated, which in a way is also closely linked to the
climate of trust, the principle of fair treatment and even-handedness. This trust encourages
people to overcome their fear of taking risks, experimenting and working independently.
Employees learn to be proactive and know that their team efforts are valued and recognised.
Knowing they are driven by the common good gives them strength and enables them to
innovate. In all the case studies, companies tried not to make employees redundant during the
recession. This fact also created a positive working environment and a culture that generates
the conditions for innovation.
Table 5 Similarities in the relationship between altruistic behaviours and innovation
The desire to better serve the The desire to help patients and their The desire to respond to the
customers leads to generate new families has led to a more patient-client problems is the
services on an ongoing basis. comprehensive offer of services driving force of improvements.
such as transportation or For example, the case of derma-
cognitive stimulation workshops. tological master formulas or ho-
meopathy.
Spaces for dialogue create a positive Being able to dedicate the enough The spontaneous dialogue as well as
climate for knowledge sharing, time to the weekly study of the the meetings on new legislation
joint problem solving and patient’s evolution allows us to on medicinal products make
harmonization of criteria. offer a better service. possible to discuss the different
points of view in order to act
according to the new rules.
Participation climate and The climate of freedom created by A non-authoritarian leader allows
communication makes people leaders and managers allows proactivity and creativity. This is
feel free to contribute. Workers employees to take risks and the case of innovation in sports
feel that they are listened. innovate. For example, auxiliary medicine that arises from a hob-
nurses are also drivers or the by of some of the employees.
research work taken by the
phycologist
Relocating an unmotivated worker The desire to help workers Living ethics beyond the strictly
to his or her job to new functions completing schedules brings legal requirements (wages above
such as the person in charge of about innovations such as new agreement) to consider the
following Social Networks. workshops for patients. A better person is at the centre of the
distribution of timetables to organization. This leads to a job
auxiliary nurses allows an satisfaction where everyone
improved service. gives the best in the company.

Moreover, to better serve customers, new products and services are launched, processes are
reorganised and there is investment in advanced machinery. Research is conducted into what
else can be offered to customers to attend their needs. Innovation appears as a result of the
desire to help others. It seems the altruistic behaviour of leaders fosters the values and culture
of communion, creating a favourable context for innovation.
Conclusions, Limitations and Future Lines of Research
Innovation is recognised as playing a central role in creating value and sustaining competitive
advantage through renewal and growth (Bessant et al. 2005). Firms that do not innovate and
adapt to rapidly changing business environments are less expected survive in the long-term.
Therefore, innovation is in the organization’s best interest. Nevertheless, innovation is not
easy. Many small and medium-sized enterprises fail because they don’t see or recognize the
need for change (Tidd and Bessant 2018). As innovation is risky, related to many uncertainties,
it is important to find out which mechanisms help companies to successfully develop innova-
tive projects (Mallén et al., 2019).
Moreover, society requests corporations to deliver innovative solutions to problems critical
social and global issues, such as poverty (Margolis and Walsh 2003; Dawson and Daniel
2010). Organisations are addressing new challenges that arise as a result of new market
demands, technologies, emerging competition and ethical meltdowns. These challenges have
precipitated new needs in the field of leadership. Melé and Dierksmeier (2012) highlight the
reconceptualisation of business towards generating total commitment to being at the service of
human dignity. This need requires leaders who lead with purpose, values and integrity in order
to restore trust, hope and optimism through more ethical and transparent relationships, and
inclusive structures (Avolio and Gardner 2005).
Our study provides an examination of how altruistic leadership can contribute to innovation
(House and Aditya 1997). As far as we know there is no research that has explicitly examined
the influence of altruism on innovation in the context of social companies, such as EoC firms.
We explain how altruistic behaviours in EoC companies take place. Leader’s behaviour has
the purpose to help others (employees, customers, suppliers … even competitors). There are
plenty of descriptions in the case studies on how EoC altruistic behaviour (Guinot et al. 2015)
aims for others wellbeing and rights. Feeling concern and empathy is a long-term trend in EoC
leaders.
We found EoC leader’s altruistic behaviour contributes to innovation as it creates a climate
of trust, dialogue, cooperation and autonomy, encouraging employees to participate actively
and to take risks launching new products, improving processes and technologies (Adams et al.
2006; Alegre and Chiva 2013; Mallén et al. 2015). The integration of all employees of EoC
firms is achieved by devoting efforts and resources to maintain an in-depth dialogue, estab-
lishing quality relationships with diverse stakeholders, such as competitors, suppliers, clients,
civil society and public administration.
It could be stated that the kind of managerial behaviours exhibited at the companies that
constitute the object of our study are also present in many organizations today. But, as
highlighted in the literature on strategic games, under imperfect information, agents need to
gain credibility on their maintenance (or not) of their current policies. A key issue here is the
development of their reputation about the consistency of their actions and their true prefer-
ences. In the case of the EoC companies, as the values behind the policies are part of the core

of the companies, that reputational issues make more credible the time-consistency of the
policies.
This study can also help other economic approaches based only on profit maximi-
zation to be aware of the importance of the centrality of the person to achieve better
contexts for human relationships in companies without sacrificing innovation, but on
the contrary, enhancing it. Nevertheless, our findings reveal altruistic behaviours of
leaders imply an important effort to solve complicated problems. In all the case
studies, companies tried not to make employees redundant during the recession. This
fact also created a positive working environment and a culture that generates the
conditions for innovation. Leaders highlight the strength to overcome the obstacles
derives from knowing they are seeking for Common Good. As stated by Argandoña
(2011) in the EoC phenomenon we cannot forget that strong spirituality is behind,
fostering and enhancing behaviour, based on Catholic Social Teaching. As highlighted
at Bruni and Héjj (2011), an Economy of Communion requires us to move from the
communion of goods to communion between people. It embodies the deepest and
truest vocation of human beings in all the areas in which human qualities are
exercised.
The paper’s contribution to managerial practice aims to provide altruistic leaders with
enhanced knowledge on how to create a human business culture and how to foster
organisational innovation. Managers should be aware of the power of working for the good
of others. We found evidence pointing out to the fact that this behaviour empowers people to
take risks, avoiding fear and uncertainty. We have empirically shown the importance of taking
into account the relevance of creating spaces and climate for dialogue where people can
strengthen interpersonal relationships, and a culture that generates the conditions and contexts
for innovation. If leaders wish to move toward a culture that fosters altruism, they will certainly
have to empower company staff and intensify communication to generate trust and breed
confidence, providing rich explanations of policy.
This qualitative study has enabled us to gain greater insight into the reality of EoC
companies, although it has its limitations. The first limitation lies in the use of a descriptive
case study methodology. Descriptive studies do not allow us finding and measuring a cause
and effect relationship between altruism and innovation in EoC firms. An explanatory case
study is hence desirable to further test the proposed relationship in the research framework.
The three companies selected for the case study are leading EoC businesses. Therefore, we
would suggest some lines of research for the future that may broaden the scope of our study
taking into account EoC companies with less experience in the movement. Likewise, we
consider that it would be valuable to carry out studies in EoC companies in other countries
such as Italy and Brazil, as the EoC is a global phenomenon. This would enable a comparison
of the findings in EoC firms in different countries, with a greater variety of firms of dissimilar
sizes and in diverse industries. Conducting the study in other countries will also enable us to
include a higher number of companies to allow us to conduct quantitative studies; a large scale
survey could provide more empirical support for the propositions in the present research.
Acknowledgement We gratefully acknowledge the support provided through the Management and Human
Resources 2017/18–238 Research Grant, awarded by the Universidad Católica de Valencia “San Vicente
Mártir”; the support from the Spanish EoC Association, and from the three companies that participated in the
research.

Compliance with Ethical Standards
Conflict of Interest On behalf of all authors, the corresponding author states that there is no conflict of interest.
Appendix 1. EoC Guidelines. Source: Lopez et al. (2013)
Principle 1 A participative environment is encouraged.

Business Leaders and Workers Capital investment decisions favour job creations initiatives.
The human person, not capital, remains at the centre of the
business.
Employees are provided competitive benefits packages and
help in times of hardship
Principle 2 The most modern means available are used in order to offer
Relationship with customers, suppliers, the customers useful quality goods and services at fair prices.
public, and others outside the company Relationships with suppliers, customers, and public
administrators are based on mutual respect and trust.
The true value of one’s goods and services are presented
without negative portrayals of the competition.
“Relationship capital” is regarded as important for stable and
resilient economic growth.
Principle 3 Personal growth.
Ethics Compliance with laws and ethical dealings with tax authorities,
regulators and labour unions.
Legal and ethical behaviour towards employees.
The wellbeing of customers is considered when establishing
quality standards of products.
Principle 4 The quality of interpersonal relationships within the
Quality of Life & Production organization is important; the goal is to become community.
Health and well-being are important—provisions are made for
those with special needs.
Working conditions are appropriate for the type of business
Excessive hours/days of work are avoided; vacations are pro-
vided.
Safe and environmentally friendly products are produced.
Principle 5 Mutual respect and trust are promoted.
Harmony in the Working Environment Teamwork and personal development are fostered.
Clean, orderly environments are maintained.
Principle 6 Personnel selection criteria and professional development
Training and Education programs foster mutual support and the sharing of talents
and ideas.
Opportunities are provided for continuous learning to enable
individuals to achieve personal and corporate objectives.
Principle 7 Open and honest communications are fostered; input is valued.
Communications “Culture of giving” principles are shared.
Communication among EoC participants is maintained at local
and international levels.

Appendix 2 Case Study Protocol
1. Introduction to the Research Topic
In this research we are interested in deepening in the altruistic behaviours of EoC leaders in
such organisations. Specifically, the connections with innovation.
2. Characteristics of the Cases to Be Selected and the Selection Process
Three representative companies of the EoC with a long history of involvement in the project
will participate in this study. Their general managers will be contacted to find out if they are
willing and interested in participating in the study.
3. Material Collection Procedures
Interviews: The general manager and two other subordinates will be interviewed, preferably if
they are middle managers. The interviews will last approximately one hour and will be
structured by means of a general guide, although it will always be encouraged that the
interviewee can add any topic of interest not included in the guide. If possible, and provided
that the interviewee agrees, the interviews will be recorded.
Documentation:
We will collect additional documentation to expand on the information obtained in the
interviews, so we will consult the company’s website, documents that reflect their adherence to
the EoC project as well as organization charts or projects they are currently carrying out that
reflect innovation and their performance.
Treatment of the information.
With the information collected, he will build a case study. In any case, permission will be
requested to use the company’s identity in the publications of the research results.
4. Topics to Be Covered in the Interviews
4.1 EoC
How they decide to take the approach?

How the EoC principles are lived in the company?
4.2 Altruistic Behaviour
How altruism is understood and put into practice?

What specific aspects/facts/attitudes of altruistic behaviour?
Is this behaviour shared among the people in the organisation?
Is this behaviour shared with suppliers, clients, institutions, competition...?
What specific consequences may altruism have on the company?
4.3 Innovation
Considering the last 3 years.
Market launch of completely new products?

Market launch of substantially improved products?

Complete redesign of processes?
Incremental process improvement?
Incorporation of new knowledge and technologies into the company?
Improvement of the existing technologies and knowledge in the company?
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Humanistic Management Journal (2021) 6:77–101

Leadership in Economy of Communion Companies.

Ma Asunción Esteso-Blasco 1 & María Gil-Marqués 1 & Juan Sapena 1

Keywords Altruism . Leadership . Economy of communion . Innovation

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The intensification of global competition requires an effort on the part of organizations to

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Altruistic Behaviour of Leaders in EoC Firms

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Altruistic Behaviour of Leaders in EoC Firms and their Impact on Innovation

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Table 1 Case study businesses main facts

Quality consultancy Day centre Pharmacy

Location Madrid Seville Cordoba

Table 2 Case analysis interviews

Companies Interviewees Interviews Total time

Quality consultancy Managing Director 1 face-to-face, 40′

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innovation literature, providing a suitable measurement framework to capture the substantial

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Innovation and Altruistic Behaviour in the Quality Consultancy Case

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Innovation and Altruistic Behaviour in the Day Centre Case

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Innovation in the Pharmacy Case

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Findings from the Comparative Analysis of the Case Studies

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Table 3 Similarities in altruistic behaviours among three case studies

Quality consultancy Day centre Pharmacy

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Table 4 Innovation results in the three companies

Quality consultancy Day centre Pharmacy

Table 5 Similarities in the relationship between altruistic behaviours and innovation

Quality consultancy Day centre Pharmacy

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Conclusions, Limitations and Future Lines of Research

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Compliance with Ethical Standards

Appendix 1. EoC Guidelines. Source: Lopez et al. (2013)

Principle 1 A participative environment is encouraged.

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Appendix 2 Case Study Protocol

1. Introduction to the Research Topic

2. Characteristics of the Cases to Be Selected and the Selection Process

3. Material Collection Procedures

How they decide to take the approach?

4.2 Altruistic Behaviour

How altruism is understood and put into practice?

Considering the last 3 years.

Market launch of completely new products?

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Market launch of substantially improved products?

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