I was recently talking to a dear friend who is in the process of setting up her business. She is smart, highly educated, very successful, deeply ambitious, and yet when I asked her how her new company would contribute to the wellbeing of planet, she looked at me in dismay. She said: ”What do you mean how can I contribute to the wellbeing of the planet?. I just want to run my business where I feel there is a market gap and make profit.” I guess this would be the answer of the majority of people and companies.
WHY THE BAR IS SET TOO LOW
Companies today operate to survive and not to create. There is a fundamental difference in the two positions. Surviving means trying to outlive others, stay as long as we can in the race, competing for market share, being a winner of a loser. The battle is against each other. What if we changed that perception and moved from a place of survival to a place of creation. Just by pronouncing these words, you can already feel the different energy vibration attached to them. So how can companies achieve this shift? The answer is purpose.
The first and most important question we need to ask is:” What is the company’s contribution to the planet and humanity for its long-term thriving and wellbeing?”. This question is the backdrop for everything else a company does whether it is framing long term strategy or dealing with smaller tactical questions. It must always be formulated and spoken out loud.
THE ANSWER TO THE QUESTION
The answer to this question will define the company’s purpose. Once the purpose is defined, it must be embedded into a coherent strategy with a long-term view of how the company wants to operate in the global context. Nobody is saying that a company needs to solve all the problems of the world. All you need to do, is find what is your company’s contribution, no matter how big or small, to people and planet.
A company’s purpose is its north star and the foundation of all stakeholder relationships. People connect to purpose because it gives them a valid reason for existing, for investing personally into something. If your purpose is great and truly lived by the company and its senior management, employees will become your strongest advocated and customers will pledge loyalty in good times and bad times. Shareholders will stand by you in difficult times if you can demonstrate the value and strength of your purpose in driving vision and mission.
THE FORMULA FOR LONG TERM SUCCESS
At GHAYA, we believe that companies perform better when they consciously define their contribution to society and approach decisions which have considered all stakeholders. Stakeholders have different interests and, most of the times, these interests are at odds with one another. This is the reason why purpose should be the guiding principle for leaders and management in driving their business.
Define your purpose, map out your stakeholder ecosystem, consider all stakeholder interests when making decisions, focus on the long term and adapt to the changing and disruptive environment in which we operate in today. This is the way to deliver sustainable returns for shareholders, people and planet without getting lost in thick fog that permeates our world today.
