Unlock the Power of Purpose

I’m passionate about purpose. For me, it’s the key differentiator. It tells us why an organisation exists, what problems it’s here to solve, and what it aspires to be to everybody it touches.

The result? Purpose creates deeper connections with consumers, attracts talent, motivates employees, and helps us to do more for the communities in which we work. With a clear purpose an organization can achieve so much more.

And given the macroeconomic context facing businesses today, having a clearly defined organisational purpose is more vital than ever.

The impact of COVID-19 on health, wellbeing and financial security has changed the relationship between organisations and their customers and employees. The Cost of Living crisis has put increasing pressure on families who cannot afford essentials, and public pressure is growing towards companies that are perceived to be profiting from crises, instead of supporting customers.[1]

From the Black Lives Matter movement[2] and gender inequality to violence against women[3] and youth-led action for climate crisis[4], protests worldwide demonstrate society’s willingness to stand up against social injustices.

And the Russian invasion of Ukraine in early 2022 put a stark spotlight on organisations and who they are prepared to do business with. As a result of the conflict, many companies including McDonald’s and Netflix have ceased doing business in Russia[5].

All of these trends show us that people want to buy from and work for organisations who stand for something bigger and more meaningful than just making a profit. In short, the organisational authenticity that purpose brings is paramount. And those who don’t embrace it will be left behind.

‘How’ not ‘why’

Consequently, most of our clients don’t need to be convinced anymore. They ‘get’ that purpose is important because, quite simply, their customers, employees and investors[6] tell them that it is.

However, it’s the measuring and implementation part that they really struggle with. They want to know the ‘how’ rather than the ‘why’.

Those seeking purpose face three main challenges:

1. Low consensus about the purpose of their organisation, even amongst the c-suite.
2. A feeling that purpose is too ‘fluffy’ – an intangible concept that cannot be measured.
3. Even when everyone has clarity on the organisation’s purpose, nobody’s sure where to begin when it comes to embedding it into the business. For example, should they start with leadership, or product strategy?

It was back in 2019 when I came up with the idea of developing a process that would solve these challenges. One that would create a positive impact for clients, society, and the planet, as well as providing more opportunities for our own people to work on projects that align with their values.

So, we put together a fantastic team, and after three years of research, investment, and applying the breadth of Deloitte’s capabilities, we developed The Power of Purpose: an innovative approach to defining, measuring, and embedding purpose into every aspect of an organisation.

Finding a purpose together

The Power of Purpose is a holistic framework that lays out the various aspects of an organisation in which purpose should be embedded. It considers both internal factors and the way the organisation interacts externally.

We measure the extent to which purpose is embedded in every aspect of the framework. Using varying data sources, including bespoke data collection methods, we provide a numerical score for each aspect, based on our Power of Purpose maturity model. The highest level of the maturity model demonstrates best practice drawn from organisations in every sector and identifies opportunities to embed purpose further.

We gather information and insights via focus groups, surveys, workshops and data analysis. It is, by necessity, a highly collaborative approach which draws on input from stakeholders, considers the intended impact on the business and everything it touches, and ultimately creates a clear narrative that resonates with those stakeholders.

The process works in three stages:

1. Discover

First, we help to define the purpose. This might be from scratch, such as when we work with a start-up, or more likely a ‘refresh’ of an existing purpose.

Sometimes a larger, more complex organisation will ask us to help to define a specific purpose narrative for a business unit or department that’s struggling to connect to the organisation-wide purpose statement.

2. Assess

This second stage is all about measuring the extent to which the purpose is embedded in the business, and where gaps or opportunities can be found. For example, when the purpose is well-embedded in products, but not in the culture.

The results of the Power of Purpose assessment empower leadership to make informed decisions about which areas to focus on first, and where investment should be directed to deliver value for the business, society and the planet.

3. Embed

In the final stage, the assessment is used to develop a Transformation Plan with clearly defined goals for making a positive impact on the organisation and the wider world.

For example, imagine if your organisational purpose is set around sustainability and net zero, but hasn’t been properly embedded into your culture. That means your people will struggle to understand how the purpose is relevant to their role. Embedding makes it real for those people, allowing them to see how their everyday actions, and their interactions with customers and stakeholders, directly contribute to the purpose.

Taking our own medicine

Using all the Deloitte capabilities at our disposal, we can embed an organisation’s purpose into every aspect – from culture and branding to the supply chain and everything in between.

At Deloitte, we’ve already applied the Power of Purpose to our own business, and keep an eye out, as we will be sharing our progress journey.

We’re now working with organisations in different sectors to share the insights from our own journey and show the benefits of this innovative approach.

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[1] https://www.theguardian.com/business/2022/may/05/shell-profits-windfall-tax

[2] https://www.nytimes.com/interactive/2020/07/03/us/george-floyd-protests-crowd-size.html

[3] https://www.standard.co.uk/insider/reclaim-the-streets-sarah-everard-womens-public-safety-b923519.html

[4] https://fridaysforfuture.org/

[5] https://www.bbc.co.uk/news/business-60571133

[6] https://www.blackrock.com/corporate/investor-relations/larry-fink-ceo-letter