Idea 1
Building Vanguard Companies That Do Well by Doing Good
How should a company thrive amid global turbulence while also improving the world? In SuperCorp, Rosabeth Moss Kanter argues that the best companies of the twenty-first century—the “vanguard companies”—succeed not by separating profit from purpose, but by intertwining them. They are profitable, innovative, and global—but also guided by explicit values and a humanistic mission. These firms demonstrate that moral purpose can generate strategic advantage when aligned with strong execution and learning cultures.
Defining the Vanguard Model
Vanguard companies are not saints; they are pragmatic innovators who embed values in operations and measure success through both societal and financial outcomes. Kanter compares IBM’s global reorientation, P&G’s value-led renewal in emerging markets, Banco Real’s community financing, and Cemex’s social ecosystem programs. Despite spanning technology, banking, and manufacturing, they share a pattern: purpose integrated into strategy. Service to society becomes a source of innovation, reputation resilience, and employee motivation.
The Role of Values as a Compass
Values, when truly lived, guide thousands of daily decisions that can’t be programmed from headquarters. IBM’s “ValuesJam” crowdsourced its three company principles from 350,000 employees worldwide, giving it global legitimacy. P&G’s ‘Purpose, Values, and Principles’ (PVP) system became more than a poster: it shaped hard calls, such as prioritizing disaster relief and sustainability investments even at immediate cost. Values-based companies accelerate decisions under uncertainty because every employee understands the moral framework supporting them.
Innovation as a Values Dividend
Kanter reframes innovation as an outcome of empowerment and empathy. When employees are encouraged to solve social problems, they discover new markets and technologies. The P&G Brazil “Básico” line was born from empathy for low-income consumers, yet it became a global product template. IBM’s Reading Companion, designed for literacy, improved its voice-recognition software. When a company sees customers and communities as co‑innovators, it broadens its creative base and strengthens both financial and social returns.
Ecosystems and Inclusive Growth
Vanguard companies view business as participation in ecosystems rather than control of supply chains. Cemex’s Construrama empowers small hardware shops and low-income families through training and micro-credit. Banco Real treats suppliers and even local trouble spots as partners in improvement. IBM’s corporate service corps links the firm’s engineers and data scientists to humanitarian missions with NGOs, creating a global network of trust. These partnerships extend reach, build resilience, and achieve sustainable impact.
Leadership for Turbulence
Kanter identifies four global forces—uncertainty, complexity, diversity, and transparency—that overwhelm old-style management. Leaders like Sam Palmisano (IBM), A.G. Lafley (P&G), and Fabio Barbosa (Banco Real) show how to respond: use values as filters, build empathy across cultures, delegate authority, and rely on connectors and networks rather than bureaucracies. They demonstrate that the greatest lever of control in a turbulent world is a trustworthy culture, not top‑down command.
The Core Message
Business, Kanter insists, is society’s most powerful platform for change when guided by principle rather than greed. The vanguard model proves that humanistic capitalism—profitable yet dignified—can outperform cynical competition. For leaders and citizens alike, the book is a call to make organizations that don’t just make money, but make meaning and progress simultaneously.