A company’s purpose is broader than its mission statement, brand, products or financial performance – it articulates the company’s inherent reason for being and its ultimate ambition for sustainable success.
Successful organizations today have articulated and activated a unique purpose that gives focus and meaning to everything they do. They ensure that this purpose is understood and embraced by all stakeholders – employees, customers, suppliers and investors alike.
Purposeful companies outperform their competition
A strong purpose sets an organization apart from its competitors, and the CFO has a role. [See a transcript of this video]
Leading CFOs understand that purpose-led organizations outperform their competitors. CFOs are integral to the team that drives their company’s transformation strategy and supporting programs. They are critical to ensuring that decision-making across the whole organization is aligned with purpose.
The finance chief also translates the purpose into financial and commercial targets and outcomes. For these organizations, purpose is more than having the largest market share or achieving a particular financial result. Their purpose inspires and motivates people to act.
There is growing momentum behind purpose-led organizations, and conversations are taking place within and between businesses at all levels, including at the World Economic Forum in Davos, Switzerland.
Purpose-led transformation drives performance and growth. By uniting people behind a common goal it creates new opportunities – to improve efficiency, identify new markets and enhance customer service. Purpose can be harnessed to motivate people throughout the organization, and the CFO has a core role in driving this transformation.