A purpose needs to be real. Here are four relevant elements:
“A good purpose is ennobling.” There needs to be a level of inspiration; it delivers meaning to the people in the organization and the work they do.
“A good purpose puts a stake in the ground.” It defines what the organization will be and not be. It is about trade-offs.
“A good purpose sets you apart; it makes you distinct.” It is not about generic descriptions – software company or non-profit organization. It is what makes the organization different from others and what may drive innovation and approach.
“Above all, a good purpose sets the stage for value creation and capture.” It must create good economic outcomes.
The ultimate question: “If your company disappeared today, would the world be different tomorrow?”
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