Laying the foundation for a purpose-driven business

What is a purpose-driven business?

A purpose-driven business operates on the belief that profit should be a byproduct of a broader, more meaningful mission. These businesses aim to create positive change through operations, products and services from the supply chain right through to the customer.

Aligning your personal and professional purpose

In discussions with global leaders, Kate Anderson found a recurring theme: their purpose often centered around fostering connection, facilitating learning and encouraging continuous improvement.

Aligning personal purpose with their business goals created a powerful synergy that drove both high engagement and performance for their company. For entrepreneurs, the lesson is clear—integrating personal values with professional objectives isn't just good ethics, it's good business.

Building a culture of business that prioritizes wellbeing along with wealth building

Starting a business with a purpose-driven model involves more than just defining your company mission. It takes that mission and weaves it into every aspect of the business and its operations. This lays the foundation for a culture of business that prioritizes wealth building, but not at the expense of wellbeing.

Define your core values

Clearly articulate the values that drive your business and use them to guide every decision and action within your business.

Patagonia’s narrative is an example of how core values shape a brand's identity. Its commitment to environmental sustainability and ethical manufacturing are evident at every touch point, from the way the brand selects materials to its marketing campaigns.

Anyone who comes across the brand will clearly see Patagonia’s commitment to the planet.

Engage with stakeholders

Regularly engage with everyone impacted by your business. This includes employees and contractors, customers, suppliers and the community. This builds relationships founded on trust and mutual respect, which are crucial for a thriving purpose-driven organization.Take Ben & Jerry's, for example. More than just crafting delicious ice cream, embodying social activism is a part of the brand's DNA.

The company fosters genuine connections that go beyond simple consumerism, by hosting vibrant community events and backing causes that resonate with their customers. Ben & Jerry’s commitment to social responsibility extends into their supply chain practices, from partnerships with local suppliers and emphasizing fair trade.

ACTION

What steps will you take this week to incorporate purpose into your business?

Measure impact beyond profit

Measuring your financial performance is easy, with tools like Quickbooks and Xero to automate reports, but how will you measure the impact of your business on people and the planet?

TOMS Shoes uses an impact report to detail their contributions to social causes and community development. This report includes metrics on the number of shoes donated, investments in mental health and the impact of their sustainability practices in production.

Your impact report may be as simple as tallying the number of in-kind donations or income-based price adjustments you extend in a year.

This holistic view of success can inspire more sustainable business practices and innovations.

Anderson’s article is an inspiring call to action for today's entrepreneurs: use purpose as a lever of success. Not only can this shift result in a more sustainable and innovative business, it sets entrepreneurs on a path to bring about a more equitable world.