Purpose is the motor behind organizational performance. Yet organizations that are higher purpose-driven are still a rarity. In this article I will explain what the benefits are of becoming a (fully) purpose-driven organization. In this article you can read about the levels of purpose-driven organizations and the levels of purpose-driven leadership. They go together as the level of development of the leader determines the level of organizational development.
The corporate benefits
Customers are more likely to buy from purpose-driven organizations
Consumers are 4 times as likely to buy from brands that are purpose-driven and in a similar way it influences B2B buying decisions beyond the logic of transaction or making money. I believe this will accelerate as Generation Y and Z are increasing earning power and a position in society – and for them its important.
Purpose fuels growth
Purpose-driven businesses grow faster; they are up to 38% more likely to report double-digit growth over a 3-year period. As Deloitte concluded from an independent, 10-year study of 50 companies, “Purpose-driven companies witness higher market share gains and grow three times faster on average than their competitors, all while achieving higher workforce and customer satisfaction”.6
Increases production, innovation and people engagement
Leaders and employees with a personal performance are much more productive, innovative and willing to lead through the status quo. Research from Bain & company suggests 50% more productive. Potential is enormous given that 23% of the workforce is engaged according Gallup.
Retaining toptalent and attracting toptalent
Talent scarcity is one of the main challenges for organizations. For generation Y and Z, this is important in choosing a new employer. Purposewashing will not cut it anymore. It will improve retention and (ease) of talent acquisition.
Purpose-driven Organizations
Our leadership development programs help the c-level leadership to become a purpose-driven organization. So they elevate their organization and value for all their stakeholders. Feeling growth, increasing production, retaining toptalent and living a legacy – to engage in a healthy fight for mankind and our planet.
Read more about purpose-driven leadership and purpose-driven organizations