This chapter addresses the underexplored domain of institutionalized compassion by examining ways in which it becomes organized in organizations. While previous studies have conceptualized organizing compassion as a processual and relational construct, few studies have theorized the dynamics of the institutionalization of compassion. Drawing inspiration from Nussbaum, this study conceptualizes institutionalized compassion as a form of reasoning and a social-emotional response to alleviating suffering. Through the analysis of a faith-based healthcare organization focusing on the organization of compassion and values work, this study identifies processes that enhance the institutionalization of compassion. The approach includes compassion-in-work through processes of value inquiry, time and remembering, and sacred storytelling. The research highlights how emotional awareness supports processes of work on values via forms of reasoning as part of social-emotional responses and as a way of bridging connections between individuals and the community.