When company leaders intend to boost their sales and have more efficient and competitive teams, it sets business objectives and develops a strategy to achieve them. These objectives are not always aligned with the company’s purpose, which is why the strategies fail.

Other times, leaders confuse business purpose with business objectives, and the path to follow is therefore unclear.

What Is The Purpose of a Company?

The purpose is what guides employees in the creation of strategies and changes, which marks the path to follow, the course. It is the compass that should guide and inspire all members of the organization. It is the reason for being of the company.

The purpose must be present in every action every member of the company undertakes and in every decision that is made. It must serve to attract and keep the right staff and collaborators. These will feel that they are part of something bigger, aiming to leave a mark or inspire environmental changes.

The purpose serves to feed the sense of positive contribution.

If you are still not clear about the purpose of your project, answer these questions:

  • Why does it matter what you do?
  • What do you contribute to the world with your work?
  • What impact do you generate on your customers?

Consciously defining a purpose can help you determine strategies and ways of acting consistently with the impact you want to generate. Don’t make the mistake of building your argument on the sound of sounding phrases from other organizations. Based on your essence, define the valid reason for being of your company.

If you ask the employees of most organizations or even business owners, they will know what their company does and possibly how they do it. But very few really understand the “why” of what they do and the real purpose and value they bring to their clients or society.

According to Simon Sinek, successful brands are those that first define the why, then the how, and finally the what, while most companies do just the opposite.

As a leader in your business Do you know what your purpose is?

What prevents you from defining it now?

Here’s an example:

Save souls, grow saints, serve suffering humanity. (Salvation Army)

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Purpose has proved to be a valuable corporate asset for employee retention during unsettled moments like the Great Resignation and the COVID-19 global health crisis. via Purpose Under Pressure: Employees Have Spoken. Is Your Company Listening?