All businesses commence with a purpose and rarely is that purpose to become wealthy. Businesses are typically formed to meet a customer need – an opportunity that the founder believes will provide the cornerstone for a great business. But as the business grows and becomes successful that founding purpose is often lost and, with that, a key element of competitiveness is also weakened.

 

Review, Reflect, Refocus – 2018/19

It is year’s end. A time during which many business leaders seek to close out the year well and turn their minds to the one ahead. It’s a period to review, reflect and refocus. 

Each year, ‘Compete Weekly’ selects a theme to support business leaders in this process and provides a series of articles to challenge and extend their thinking. In 2018/19, the theme is ‘If Not Profit, Then What?’  

Around the world, we have seen businesses and industries challenged by regulators and communities for their profit-first focus resulting in significant impacts on their market value. 

For all business leaders, the simple question then becomes one of ‘what do I then focus on to drive the performance of my business, if not profit?’

 

 

Summer Series No. 2/7

Three Selected Articles:

 

‘I’m True To What I Believe’

Founders of businesses often have a great advantage. Their business is seeded with an authenticity, a personal passion they hold for what they are creating through their business. It allows them to remain true to their vision of what their business can and should become.

 

 

 

Active Knowledge Question: If you were to ask your leadership team and employees what they hold true to in your business, what do you think they might say?

 

 

Purpose Equals Strength

A well-articulated purpose statement for a business is its cornerstone and the first piece to be laid in building a great business.

 

 

 

 

Active Knowledge Questions:

Do you have purpose, mission or vision statements for your business?

Does it connect everyone in your business with customer need?

Does it connect everyone with the value you compete around, so you are the best of the best?

Does it support you to innovate, find new opportunities, and lead change?

Maybe it’s time to introduce or revisit the purpose for which your business exists?

 

 

Is Business Doing The ‘Right Thing’ By Society Today?

‘I know a lot of us are thinking about how we can make the most positive impact in the world right now. Are we building the world we all want?’ (Mark Zuckerberg)

It is a theme that many CEOs and business leaders struggle with today as employees and consumers are no longer willing to remain silent on how corporations act within their communities, while shareholders continue to agitate them for higher profits and dividends.

 

Active Knowledge Questions:

Is your business a giver or a taker?

Do you exist to profiteer from your market, or do you exist to meet the needs of your customers?

Is profit maximisation your prime goal, or is it delivering the greatest customer value you can, and thereby earning your profit?

Are you a purpose-led business whose purpose is aligned with customer need?

Have you built a competitive engine that allows all of the above to occur?

Are you acting strategically or are you focused on short- term gains for only a few of your stakeholders?

Are you building a great business?