How To Radically Outperform Your Competition as a Pioneer Business – A Four Part Blog Series –

Part I – How to Create An Adventurous Business Purpose that Serves as a Call to Action

This four part blog series provides business owners and leaders with some of the main tenets of business success through becoming an employer of choice which has been the subject of one of my previous blogs (see the link at conclusion of this blog) tracking the DNA of business achievement. This series of blogs works up into a 4 stage plan supporting you to develop even stronger business performance.

Part I – How to create an adventurous business purpose that serves as a call to action

Part II – How to engage everyone in the adventure of business growth

Part III – How to recruit and retain top talent for the business growth journey

Part IV – How to track tangible business growth success  

Part I – How to Create An Adventurous Business Purpose that Serves as a Call to Action

‘How we spend our days is of course how we spend our lives’

Annie Dillard

Creating A People-Oriented Purpose

What is the reason your business exists, what is it’s deeper purpose?  It can been clearly demonstrated that businesses with a clear and bold business purpose are likely to be up to ten times more successful than those that have not. According to PwC 79% of business leaders believe that business purpose is central to success. Your business purpose is highly likely to be much broader than the product or service offered and may connect to a calling for the business and its place in the world.

People are at the heart of every successful pioneer business purpose. There may be much debate about how and why the leading global brands throughout the world have dominated the way in business success, from the large conglomerates to the tech giants. However, in various guises and expressions, at the heart of those successful businesses is ‘people’. This may seem an over simplification but in paying attention to the people that the business serves and in recognising and valuing its own people then this is a clear formula and cornerstone principle of business success no matter what the size of the organisation concerned. The creation of a bold business purpose will engage not only those people that the business wishes to serve but also those people that work for it or who are closely aligned to it.

At whatever level and size of business the opportunity exists to learn from those pioneer businesses and to create environments that nurture a growth mindset. The undeniable financial pressures of the  current economically challenging climate mean that as business leaders and owners we have an obligation more than an opportunity to consider how we get an edge, create legacy business success and develop approaches that attract the best new talent and retain top performers already present within our organisations. This does require bravery and resolve but is an essential part of creating growth within businesses that boosts profitability and credibility for customers and clients of our enterprises. The true spirit of an entrepreneur should be of a pioneer, the ability to engage employees, customers and community alike to create a business that has a purpose beyond its brand and that resonates for all of those that work for or use the products of their pioneering companies.

Reflecting The Purpose and Values of Leadership

In coaching I often begin by working with business owners and leaders to construct their personal and deeper purpose and values. This is a useful starting point for any existing business or for a new business considering purpose and values by capturing the purpose of leadership. This is important as our authenticism as leaders can only be enhanced by then clearly tracing and developing the link between the individual or collective purpose and values of the whole team as well as the leaders. This can also then form the basis of a wider engagement that can understand how all the employees of the business identify with those values and how they can be enhanced even further through consultation.

So, individual purpose is best pursued by the deep and life motivating approach of understanding our reason for being, our IKIGAI. This is a Japanese concept and interestingly it has been traced in various iterations throughout many of the blue zones of the globe. In these zones there is evidence of lives well lived and of the longest lifespans in recorded history. The engagement of our deeper purpose is an energising source of growth, sits at our core, and therefore is a huge part of our motivation, our signal strengths and how we show up as leaders in the world.

This is the westernised iteration of a methodology to consider individual life purpose, the IKIGAI.

There is a parallel and useful translation of this approach having gathered together the individual leadership purpose and values and developed a common ground of understanding. This translation then enables the leadership and workforce view of purpose and values to be developed even further into a Business IKIGAI template. The following graphic provides an overview of how this can be considered. Working with businesses and leadership teams can very quickly illuminate their fundamental core purpose and values and these then become the pivot for business growth and authentic leadership.

Eight Reasons Why Creating An Adventurous Business Purpose Is The Key To Success

1.Employee Engagement

Creating high levels of employee engagement for leaders is a golden strand of success. Being able to clearly involve our people in the creation and maintenance of an adventurous business purpose has been proven to also create extremely high levels of engagement. When our employees feel that their work contributes to a meaningful purpose, they are more engaged and more motivated. This in turn leads to higher productivity and creativity. The broader principle of employee engagement will be returned to in Part II of this blog series.

2. Customer Loyalty

Purpose-driven businesses often resonate with customers who share similar values. This can lead to increased customer loyalty and long-term relationships. It has been clear even through a cost of living crisis that customers will still look to see that the corporate and social values of the businesses that they give their custom to are compatible with their own values.

3. Innovation and Inspiration

A strong sense of purpose can inspire innovation as employees are more likely to seek creative solutions to address meaningful challenges. This broader meaning and purpose is an energy source for all employees and as such will create the fuel for their innovation and ideation.

4. Talent Attraction and Retention

Purpose-driven organisations tend to attract top talent who are aligned with their mission. Moreover, employees are more likely to stay with a company that provides a sense of purpose. This create a bond that connects the potential recruit and the existing employee to the business through its broader purpose.

5. Reputation and Branding

Purpose-driven businesses often enjoy a positive reputation, which can enhance their brand and differentiate them in the market. This is not exactly akin to directly donating to charity but discerning customers will often build loyalty to brands through reputation, particularly when an organisation can clearly demonstrate the social value that it adds.

6. Business Resilience

A clear sense of purpose can help businesses navigate challenges and setbacks more effectively, as they are driven by a long-term mission. This also becomes a means in the best organisations to test decisions and to challenge the business direction. This ensures that those decisions are indexed to the broader purpose.

7. Stakeholder Buy-In and Developed Trust

Purpose-driven companies tend to build trust with stakeholders, including investors, suppliers, and communities, leading to stronger partnerships and support. This of course is a vital element of business growth in that through successful business partnerships then each individual can grow and diversity and it is purpose that will often be the shared catalyst for stakeholder support and funding.

8. Ethical Decision-Making

A sense of purpose can guide ethical decision-making, ensuring that a business operates with integrity and sustainability. This links closely to business resilience and ethical decision making frameworks can support leadership to create processes by which all key decisions are taken with reference to business purpose and to business values.

Top Performing Purpose Driven Companies

The evidence is clear for the success of purpose driven organisations. These include such companies as Patagonia, an outdoor clothing and gear company which is renowned for its commitment to environmental and social responsibility. Tesla, the electric car manufacturer has a mission is to accelerate the world’s transition to sustainable energy. Unilever has a Sustainable Living Plan that aims to improve the health and wellbeing of people while reducing environmental impact. Microsoft has committed to a “carbon-negative” future by 2030, meaning they aim to remove more carbon from the atmosphere than they emit. Salesforce emphasises its core values, including a commitment to social and environmental responsibility. They also have a 1-1-1 model, donating 1% of products, 1% of equity, and 1% of employee time to charitable causes. This article primarily focuses on two of the torch carrying businesses that show clear purpose, Patagonia and Spotify.

Spotify’s Purpose Driven Success

The following core strands detail the ways in which Spotify has become a market leader based on their mission and their purpose:-

Innovation and Creativity: Spotify encourages innovation in the music streaming industry. They constantly seek creative solutions to improve user experience, discover new artists, and support new musicians.

User Centric Approach: Spotify places a strong emphasis on user-centric design. They aim to provide a personalised and enjoyable listening experience, tailoring recommendations and playlists to individual preferences using intuitive algorithms.

Music Accessibility: Spotify’s mission is to make music accessible to as many people as possible. They offer both free and premium subscription options, making music available to a wide range of users.

Diversity and Inclusion: Spotify values diversity and strives to create an inclusive workplace. They have initiatives and partnerships aimed at promoting diversity in the music industry and technology sector.

Support for Artists: Spotify has faced both praise and criticism for its approach to compensating artists. They argue that streaming helps artists reach broader audiences though the definition of fair compensation is perhaps a moot subject.

Podcast Expansion: In addition to music, Spotify has been aggressively expanding into the podcasting space. They aim to become a leading platform for podcasts, investing in original content and exclusive partnerships.

Technology and Data: Spotify heavily relies on technology and data analytics to curate playlists and recommendations for users. Their algorithms are at the core of their service’s success.

Global Presence: Spotify is available in numerous countries, and they aim to provide a global platform for both music and podcast creators. Their global presence sets them apart in the streaming industry.

Patagonia’s Strong Commitment to Purpose and Values

Patagonia distinguishes itself by integrating its commitment to environmental and social responsibility into every aspect of its business, from product design to activism. This unwavering dedication to its values has earned Patagonia a reputation as one of the most purpose-driven and socially responsible companies in the world.

Environmental Stewardship: Patagonia’s dedication to environmental sustainability is central to its identity. The company actively supports environmental causes, donates a significant portion of its profits to grassroots environmental organizations, and has pledged to donate at least 1% of its annual sales to environmental causes through the “1% for the Planet” initiative. This also includes donating its entire sales income of ‘black Friday’ to recognised climate causes.

Product Quality and Durability: Patagonia promotes the idea of “Buy Less, Demand More.” They design and manufacture high-quality, long-lasting outdoor clothing and gear, encouraging customers to invest in durable products that reduce waste and the need for frequent replacements.

Worn Wear Program: Patagonia’s Worn Wear program encourages customers to buy used Patagonia products or trade in their old Patagonia gear in exchange for instore credit. This initiative promotes a circular economy and reduces the environmental impact of clothing consumption.

Transparency: The company is transparent about its supply chain and the environmental impact of its products. They actively work to improve supply chain ethics and sustainability, setting an example for greater industry transparency. This has cost the organisation at times on a financial level leading on using socially and environmentally friendly non-cotton products in their garments.

Activism and Advocacy: Patagonia is known for its activism on environmental and social issues. They have taken legal action, elevated their commitment to developing campaigns, and used their platform to advocate for climate action, public land protection, and many other important causes.

Corporate Social Responsibility: Patagonia became one of the first companies to become a Certified B Corporation, which reflects their commitment to meeting high social and environmental standards in their business practices.

Employee Wellbeing: The company places a strong emphasis on the wellbeing of its employees, offering on-site childcare, flexible work arrangements, and numerous opportunities for outdoor activities.

Social Investment: Patagonia’s venture capital fund, Tin Shed Ventures, invests in environmentally and socially responsible start-up companies, furthering their commitment to positive global impact.

Walking the Talk: Patagonia’s founder, Yvon Chouinard, is a well-known advocate for sustainability and ethical business practices. His leadership has helped shape the company’s unique approach to values and purpose and in all of the processes and policies of the business Yvon role model’s those values and takes them further to inspire his colleagues and his clients.

Six Step Process To Developing An Adventurous Purpose

Business leaders, their employees and stakeholders can all engage in a 6 step process that ultimately will not only develop the business purpose but also, in completing the process, enhance business leadership, top team synergy and employee engagement more widely.

• Consider what values and beliefs are important to your leadership team and how they align with business goals.

This reflection will help shape the purpose of the business. The use of the IKIGAI process and a few other revelatory techniques can greatly help to identify the values that will create the drive and determination for rapid business growth.

• Consider and Define Business Impact

Think about the positive impact the business can have on different stakeholders, such as customers, employees, and the community. Identifying this impact will give a clear purpose to strive for.

• Seek Business Inspiration

Look for inspiration from other successful businesses or leaders who have a strong purpose. Analyse their mission statements, values, and actions to generate ideas and inspiration for your own business. Even if those are from global tech giants there will be strands that resonate and together as a top team can soon be developed into a unique flavour for your business.

• Allow Your Team To Own The Purpose

Involve your employees, stakeholders and in some cases this may easily extend to your customers and clients in discussions about the purpose of the business. Their perspectives and insights can contribute to a collective understanding and commitment to the bold purpose. Many of these insights will be ground breaking and revelatory. The top team have no monopoly on good ideas and adventurous purpose.

• Embrace Innovation and Ideation

Encourage creativity and innovative thinking within the business. Sometimes the boldest purposes emerge from thinking outside the box and challenging the status quo. This can also be supported by truly understanding the value of cognitive diversity and how as a business this can be gauged and then developed. Creating rebel causes and ideas is a huge aspect of this process and the evidence is strong that using the power on innovation to create an adventurous purpose then goes on to harness deeper and more long lasting business growth. You may be interested in this article on cognitive diversity.

Are You Really Comfortable with Difference?

• The End of The Beginning – Test and refine the adventurous purpose 

Once a purpose is identified, test it against the reality of the business. Evaluate if it aligns with the products or services offered, the target market, and the overall vision. Refine the purpose if necessary to ensure it is both adventurous and achievable. Make sure you have a process to continually review and update this purpose.

Conclusion – To Business Purpose and Beyond!

Having developed the adventurous business purpose you and your leadership team will have been heavily engaged with the whole business and as a result of that the quality of the product developed will have been significantly enhanced. Having looked at methods to develop that purpose you may wish to delve more deeply into how to continue and extend your employee engagement so that your business is one that attracts the best people and through the engagement process recognises the power of people to innovate and to create the energy and passion to drive business growth at all levels of the enterprise. Developing and enhancing recruitment and selection processes can also support your business to better understand the culture of your potential recruit, and this may be more significant to the business than some of the trainable skills. In all of this activity it is vital to track and to understand the various strands of change and to create a transparent performance cycle that demonstrates the value of these interventions to the business as a whole and also to any stakeholders, which may very will include customers and clients.

In the coming series of blogs these principles will be explored further. If you are interested in similar articles to this please visit the attached link, and subscribe on this blog page to receive only the blog posts from me at Applebright Coaching.

‘Getting an Edge in 2023’ as an SME – Part IV – People are Gold