Are you putting your profits before your purpose?
There’s this odd tension in business.
On one level we need money. We need finances to pay bills, provide for our employees, and grow the company.
Yet, at the same time, it’s all too easy to make money the main thing. Before we know it, revenue increase has become the driver for everything we do. In pursuit of the almighty dollar we minimize employees, forget our vision, and neglect customers.
Over time, this focus actually DECREASES the one thing we now want the most – profitability.
Here’s the irony that most people don’t realize: when organizations put their purpose over their profits, they actually make more money.
You can look this up. Lots of studies show companies that actually believe in their vision and live out their values are more profitable than those whose primary goal is simply increased revenue.
So how do we keep “purpose” the main thing?
We believe it starts with “leader clarity.”
The founder or CEO of the organization must lead with a clear and compelling conviction about the organization’s vision and values. These two foundational components create a Brand Identity, which employees can follow and customers can embrace.
Over time, as the organization makes good on its Brand Identity, it creates a connection with customers and employees, and fosters loyalty. As the organization stays true to their purpose and takes care of their people, profits generally follow.
Leaders who are clear on their purpose and lead accordingly set the company up to achieve limitless results.
So, do you know who you are?
Do you lead based on clear vision and values? If you’re lacking clarity of vision, certainty of values, or simply struggling to live them out, we encourage you to think through these gut-check questions:
Gut-Check Questions to consider:
1. On your vision:
- Do we have a long-term vision?
- Does anyone believe in it?
- It is regularly communicated?
- Do we make decisions based on it?
2. On your values:
- Do we have core values, which are lived out every day?
- Would our customers be able to identify our distinct values?
- Is there accountability around what we choose to prioritize?
- Is there a daily intentionality around the few things we value most?
Takeaways & Next Steps
Think through your vision and values. They’re essential if you’re going to create a great Brand Identity. Think through: Are they known? Do I believe them? Are we chasing after them?
Questions for the owner, founder, or CEO:
- Do I actually believe and live out my vision and values?
- Do I regularly communicate my vision and values?
- Do I hold people in my organization accountable to the vision and values?
If you are not saying, “Yes” to the above questions, there’s a disconnect. You’re potentially leaving significant employee productivity and profitability on the table.
Brand clarity eliminates the disconnect, creating focus, demanding results and delivering its promise to the customer.
Bottom line: when you’re clear on your purpose, you get your highest potential profits.
Here are a couple downloadable resources that will help:
- Resource #1: The Vision / Values Matrix – assess where you are at as an organization.
- Resource #2: The Five Vs Worksheet – a tool to get you thinking through the five areas of purpose.