Over the years, we’ve worked with countless mid-market businesses, each with unique challenges, goals, and strategies. One common thread we’ve found is that many organisations struggle with defining the very reason they exist. Time and time again, when we ask business leaders about their core purpose, we get answers focused on profit or market share.
But here’s the truth: core purpose goes beyond numbers and targets. It’s not about what you do or how well you do it, but why you do it in the first place. Your core purpose is the reason your business exists, and the difference you want to make in the world.
In this post, we’ll walk you through the importance of core purpose, how to define it, and how to inspire your team to rally around it.
What Is Core Purpose?
Core purpose is the fundamental reason for an organisation’s existence. It represents the motivations that drive the company forward, answering the question; what difference are we making in the world?
It is not to be confused with targets, customers, or even specific products. Instead, it encapsulates the broader societal impact that the organisation seeks to make, acting as the foundation of its identity and long-term strategy.
Why Is Core Purpose Important?
The importance of core purpose lies in its ability to inspire and guide an organisation towards meaningful, long-term success. Core purpose serves as the North Star, giving clarity to decisions, shaping company culture, and providing motivation to teams, especially during challenging times.
Companies that understand and embrace their core purpose tend to experience better financial and operational performance because they align their strategies with a higher, value-driven goal. Additionally, core purpose helps organisations create a unique identity that can differentiate them in crowded markets, offering both employees and customers a reason to connect emotionally with the brand.
Without a defined core purpose, companies risk becoming directionless, reacting to trends rather than proactively shaping them. By comparison, a well-defined purpose allows a company to grow sustainably and with a clear sense of direction, ensuring that every decision is aligned with the greater impact they seek to have.
How To Determine Your Core Purpose
To uncover your core purpose, ask yourself and your leadership team deep questions about the foundation of your organisation. It’s particularly helpful to revisit the early days of the company—why was it founded? What was the initial vision? Understanding the original passion can provide insights into your enduring purpose. Here are some guiding questions:
- What does our organisation do today?
- What contribution do we want to make to our industry and society at large?
- Why is it important?
- Why does it matter?
- What difference are we making in the world?
- Why is the world better because we are here?
It is important to check that the company strategy core elements are aligned to achieving your purpose in the long term.
How To Engage Your Team In Your Core Purpose
Successfully engaging your team in your core purpose starts with clearly communicating it. Every member of the organisation should understand and connect with the core purpose on a personal level. Here are some practical steps to bring your team along:
- Communicate Clearly and Often: Reinforce the purpose at every opportunity, whether during onboarding, team meetings, or performance reviews. Align your purpose with everyday business activities so that employees see how their work contributes to the larger vision.
- Align Roles with Purpose: Help team members understand how their specific roles contribute to fulfilling the company’s purpose. When employees see the direct link between their work and the company’s purpose, it increases engagement and job satisfaction.
- Encourage Purpose-Driven Decision Making: Empower your leadership and employees to use the core purpose as a lens through which they make decisions. This ensures that strategic choices are aligned with the company’s long-term goals.
- Celebrate Purpose-Driven Success: Recognise and celebrate achievements that reflect the company’s core purpose. Whether through internal awards, shoutouts in meetings, or company-wide communications, acknowledging purpose-aligned work reinforces its importance.
By engaging your team in this way, you create a unified workforce that is not just working for profit but is deeply connected to a higher cause. This drives performance, innovation, and loyalty within the organisation.
