The first step in the key driver of organizational performance is purpose. In the current world, purpose provides clarity and stimulates innovation. Embracing clarity can open the door to allowing employees to see possibilities that they wouldn’t have otherwise seen. They understand the organization’s expectations of them and the reasons behind those expectations. It empowers them to deliberate new methods of doing their work to meet the organizational mission. Purpose provides clarity and stimulates innovation. Embracing clarity can open the door to allowing employees to see possibilities that they wouldn’t have otherwise seen. They understand the organization’s expectations of them and the reasons behind those expectations. It empowers them to deliberate new methods of doing their work to meet the organizational mission.
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Purpose: A Key Driver of Organizational Performance.pdf
1. Purpose: A Key Driver of Organizational Performance
Purpose
In the past, purpose has often been cast aside as non-essential to an organization’s success.
Finances, IT, sales, and products have traditionally been discussed far more often than
purpose. Yet purpose is actually one of the key drivers to organizational success. Without
employees feeling a sense of purpose, a salesperson would be listless, and product
engineers would lose creativity. Now more than ever, purpose is important to organizational
performance because it inspires employees to move beyond inertia to action.
Many people
ask how purpose differs from mission, vision, values, principles, and culture. An
organization’s mission describes what business the organization is in (and what it is not),
and its plans for the future. Its goal is to provide a focus for leadership and employees.
A
vision statement lays out where the organization is going in the future. It is usually drawn up
by senior management to take the thinking beyond day-to-day activity in a clear, strategic
way.
Values explain how the mission, purpose and vision will be achieved through the
expected culture of the organization. They serve as a compass of the expected norms,
behaviors, and mindset.
So what, then, is purpose?
According to David Packard, Co-Founder
of Hewlett-Packard, purpose is like a guiding star on the horizon- forever pursued but never
reached. Although purpose itself does not change, it does inspire change. The very fact that
purpose can never be fully realized means that an organization can never stop stimulating
change and progress.
Have you ever had to drag yourself out of bed to go to a job that you
hated? It’s like you’re pushing a heavy rock uphill. But when purpose is motivating your
actions, everything feels very different. You have a kind of lightness, even when things are
intense or tough. The same thing is true for organizations; you can feel when a company is
animated by purpose… and that’s a feeling that people want to have! It’s also a feeling that
drives better performance.
Organizational Purpose
The purpose of an organization is not the answer to the question, “What do you do?” which
typically focuses on products, services, and customers, but rather the answer to the question
“Why is your work vital?” It conveys what the organization stands for in historical, ethical,
emotional, and practical terms.
Below are the key characteristics of an organization’s ideal
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