BELOW is my conversation, where Professor Michael Pirson (MP) shares his perspectives on integrating humanistic values into management, its application in emerging economies, and how it shapes a resilient, inclusive global business landscape. This week, Business Compass is honoured to feature Prof Pirson, a prominent figure in humanistic management, in our question-and-answer segment. He holds the James AF Stoner chair for Global Sustainability and leads the Leading People and Organisations area at Fordham University in New York, United States. He also serves as director of Fordham’s Centre for Humanistic Management, president of the International Humanistic Management Association, editor-in-chief of the Humanistic Management Journal, and is a full member of the Club of Rome. With an impressive background in promoting ethical and dignified business practices worldwide, Pirson shares his insights on fostering human dignity and well-being in business and explores how these principles can drive sustainable economic and social growth, especially in contexts like Zimbabwe.
AJ: Why do you believe dignity and well-being are critical to sustainable business practices, and how can leaders cultivate them in their organisations?
MP: Dignity represents that which we value intrinsically and is foundational to our well-being, including a healthy environment, strong relationships, and life itself. Dignity and well-being transcend ethical imperatives; they are essential for building resilient, innovative, and adaptable organisations. When leaders prioritise these values, they create a workplace culture that values people holistically, not merely as resources. This enhances engagement, trust, and creativity, all of which are crucial for long-term success. Leaders can foster dignity and well-being by promoting authentic communication, empowering employees, ensuring fair treatment, and fostering inclusive decision-making that respects individual contributions.
AJ: How do you think humanistic management can be applied in contexts like Zimbabwe to drive economic success and social well-being?
MP: Human beings everywhere seek well-being, with prosperity as an important component. Yet, the quality of human relationships and the pursuit of meaningful purpose are even more critical. In Zimbabwe, where socio-economic challenges persist, humanistic management can be transformative. By prioritising stakeholder well-being over mere profit, companies can address local issues, such as unemployment and inequality. Initiatives such as community investment, ethical employment practices, and sustainable resource management contribute not only to economic success but also to social stability and progress. Humanistic management encourages leaders to see profit as a means to an end, not the end itself, fostering inclusive, community-supportive economic models.
AJ: Could you share examples of organisations that have successfully implemented humanistic management principles and the impact on their performance?
MP: Several organisations worldwide are leading the way with humanistic management practices. Patagonia, for example, is committed to environmental sustainability and employee well-being, integrating social responsibility with business operations. This focus has not only bolstered its brand but also resulted in a loyal customer and employee base. Tata Group in India demonstrates how long-term community investment supports profitability and social progress, proving that humanistic values and economic success can coexist. Many such organisations are not in the headlines as their focus is not power or wealth, but sustainable growth. Small and family-run businesses also often lean towards humanistic management practices.
AJ: How do you see the shift from profit maximisation to stakeholder value creation playing out in traditionally profit-driven industries, such as mining and manufacturing?
MP: Industries like mining and manufacturing often face criticism for their environmental and social impact, especially in resource-rich countries like Zimbabwe. However, by shifting towards stakeholder value, these industries can set an example in responsible production and sustainable practices. This shift could include adopting cleaner technologies, prioritising worker safety, investing in community development, and establishing fair trade practices. When these industries focus on stakeholder well-being, they lay a foundation for sustainable development that benefits local economies, ecosystems, and global markets, enhancing community acceptance and building reputational capital.
AJ: What role can educational institutions, particularly business schools, play in advancing humanistic management?
MP: Educational institutions play a pivotal role in shaping the future of business by instilling humanistic values. Business schools can redefine curricula to emphasise dignity literacy, ethical leadership, social impact, and sustainability alongside traditional business skills. In Zimbabwe, integrating local economic realities and cultural contexts into the curriculum prepares future leaders to address specific societal needs. By fostering empathy, responsibility, and ethical decision-making, schools can equip graduates with the tools to lead with integrity and social impact.
AJ: How can businesses strike a balance between financial performance and long-term value for all stakeholders, especially in challenging economic climates?
MP: The biggest myth is that creating value for stakeholders involves trade-offs. It requires clarity of values and strategic thinking. In challenging economies, aligning financial and social goals requires a strategic, values-driven approach. Companies can adopt a phased approach, starting with small initiatives that show the viability of stakeholder value creation, scaling up as success builds momentum. Transparent performance metrics that assess both financial and social outcomes help maintain accountability.
Businesses can align goals with local needs, using corporate social responsibility to address pressing issues, fostering community support, customer loyalty, and employee satisfaction—all contributing to financial resilience.
AJ: How has the Covid-19 crisis influenced the adoption of Humanistic Management principles, and what lessons can we take forward?
MP: The Covid-19 pandemic underscored the importance of quality social relationships that honour our dignity. It also reinforced the relevance of resilience, adaptability, and compassion in business. Companies that prioritised employee well-being, mental health, and flexibility weathered the crisis more effectively than those focused solely on profit. This experience highlighted humanistic management’s relevance in crises, proving that employee-centred policies are crucial for long-term survival. Going forward, organisations can retain these lessons by integrating health and safety practices into core strategies, prioritising employee development, and fostering flexible, adaptive work cultures.
AJ: What advice would you give to leaders wanting to integrate humanistic management into their organisations?
MP: The most critical advice is for leaders to reflect deeply on their true commitments. Once clear about these commitments, they can engage their organisation in a dialogue where human values emerge. This conversation can help redefine the organisation’s mission and values around dignity, respect, and well-being. It’s essential to engage employees, customers, suppliers, and investors in this process, fostering a sense of co-creation and ownership. Leaders should prioritise collaboration, active listening, invest in empathy and ethics training, and develop KPIs measuring both financial and social impact. Starting small and building momentum through achievable goals can ease the transition and prove the model’s effectiveness over time.
AJ: What are your hopes for the future of humanistic management, and how do you envision it shaping the global business landscape?
MP: Over the next decade, I hope humanistic management becomes a widely adopted framework, helping redefine success in ways that value all stakeholders. As awareness grows, I envision a shift where businesses tackle societal challenges, from poverty to climate change.
By prioritising well-being and dignity, companies can contribute to a global economy that supports sustainable development and social equity.
This movement has the potential to inspire future leaders to see business not merely as a means of personal gain but as a force for the greater good.
- Jongwe is an experienced business consultant with extensive expertise across various industries in Southern Africa, including higher education. — WhatsApp at +27 82 408 3661/ +263 788 016 938 or by e-mail at [email protected]
