The Rear View Mirror: Do you have a company purpose?
By David Josephs
It’s easy to describe what your business does, right?
But can you articulate clearly why your company exists? And whilst it may be clear in your head, can the rest of the leadership team do the same? And will their ‘why’ look the same as your ‘why’?
Already I sense you might be feeling a little concerned. If the management team is unable to articulate why the company exists, there is very little chance that the rest of the workforce will be able to do so. Yet alone potential investors, future employees, journalists and analysts.
People working for the best companies are able to describe effortlessly and succinctly the purpose of the organisation . What the company aims to be, and aims to deliver. That consistency gives people confidence. At a very basic level, it means that people joining a company know the kind of organisation they will soon be a part of. And that leads to more successful hires.
This might seem obvious. Of course a company needs have a clearly articulated vision of its purpose, understood by everyone. But through my 35 years of work in the public relations industry, it’s remarkable how many organisations struggle with this.
When I’m helping a company to define its positioning, or when I’m working with a group of executives to help them make the most of their media interviews, I will usually ask the participants to write down their company’s purpose. The ‘why’. Just to be clear, the answer is not ‘to make a decent profit’. That’s a business objective. It doesn’t define a purpose.
I’ll give people four of five minutes to define their company’s purpose. Then we share. It’s quite amazing how many people will say something along the lines of:
“That was way more difficult than it should have been. I kind of know why the company exists and what we want to achieve, but it’s so hard to write it down”.
And therein lies the problem. The company vision may be clear in your head. But it might not be the same vision held by your co-founder, or your CFO, or your head of marketing.
It’s possible to do this in-house, but I would argue that it’s easier having an external facilitator to guide you through the process. Someone who can warn you when you are diverging from the task at hand, or flag when you revert to industry speak. The vision statement should be clear and concise, easy to read and remember, and free from jargon or cliché.
The process should not take long. Initially, the meeting should involve a small group of key company personnel. It should take no longer than two hours. The facilitator draws together the findings, highlighting any inconsistencies. The group reconvenes soon afterwards to see if the statement needs to be revised.
Once the leadership team is happy that the company’s purpose has been eloquently defined, it must be explained to all relevant stakeholders, first and foremost being the staff group. And it must be reviewed regularly to ensure it remains fit for purpose.
But above all else, my advice is to keep it short and simple. We all have to process so much information every waking hour of every day.
Short is memorable.
ABOUT ME: I’ve worked in the PR industry for 30 years, and have advised tech companies of all shapes and sizes ever since. My experience extends across Europe, the US and the Middle East. My posts for Laika aim to share some of those experiences to help you make the most of your investment in PR. I’m proud to serve on Laika’s Board of Advisors, and support the team through training sessions and one-to-one guidance.