Four Ways to Build Organizational Purpose

 Purpose is often cast aside as a non-essential to an organization’s success. Finances, IT, sales and product are discussed far more often than purpose. Yet purpose is the driver – without an employee feeling a sense of purpose, the salesperson would be listless and the product engineer would lose creativity. In times of crisis, purpose is more important than ever. It inspires employees to move beyond inertia to action. But what is organizational purpose and how can a manager strengthen it?

What is Purpose?

David Packard, Co-Founder, Hewlett-Packard said:

“Purpose; it’s like a guiding star on the horizon —forever pursued but never reached. Yet 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.”

So, what does that mean in real life? Well, have you ever had to drag yourself out of bed, to go to a job that you hated? It’s like 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. And the same thing is true for organizations. You can feel when an organization is animated by purpose. And that’s a feeling that people want to have. It’s also a feeling that drives better performance.

Annie McKee, the founder of Teleos Leadership Institute, studied dozens of big organizations, and interviewed thousands of people who work there. What she learned is that when we feel negatively about work, we don’t process information well. We don’t think creatively or make the best decisions. But when our feelings about work are positive, the opposite is true. McKee also found that the thousands of people she interviewed listed three things that made them feel good about work.

Things that makes people feel good about work:

1.    First is a meaningful vision of the future. People want to contribute to a future that matters to themselves and others.

2.    The second thing that makes people feel good about work is great relationships. Whether people are leaders, managers or employees, “close, trusting, and supportive relationships” are a big part of what motivates them to contribute.

3.    The third thing that made McKee’s subjects feel good about their work was — wait for it! — a sense of purpose. And if their personal purpose is intertwined with their organization’s purpose — whether it’s ending hunger or creating better widgets — that’s even more positive.

What is Organizational Purpose?

So, if purpose is so important, what exactly is it? An organization’s purpose 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 the work important?” It conveys what the organization stands for in historical, ethical, emotional and practical terms. In other words, purpose is central and enduring to an organization’s culture.

Purpose, Mission, Vision and Values

It’s easy to confuse the difference between purpose, mission, vision and values. Here is a simple way to remember:

Purpose	=	Why	:	Why the organization exists
Vision	=	Where	:	Where the organization aspires to go in the future
Mission	=	What	:	What business the organization is in
Values	=	How	:	What the organization values and how those values are manifested in a workday

Here’s an example for a fictional startup called Connecto:

Purpose	:	Create a globally connected community
Vision	:	Connect 23% of the world by 2025
Mission	:	Build an online platform that allows people to post local news
Value	:	Speak Up! (this allows people to speak up and disagree if they see something going astray)

Why is Purpose Important?

Now that we know what purpose is, why is it so important?

Many studies have shown a strong link between purpose and performance. When employees embrace purpose—when the organization lives it, and not just creates colorful posters about it—the performance shoots up. A survey of the leaders, employees and customers of 50 companies in the fields of technology, media and telecommunications; consumer products; and financial services was carried out by the Boston Consulting Group.

The results of this survey were analyzed using measures such as total shareholder return (TSR), revenue, and EBITDA growth. The results showed that when the organizational purpose was truly ingrained, it correlated strongly with ten-year TSR.

Another reason that purpose is important is because employee expectations are changing. Along with it, the demands of always-on transformations have exposed the limitations of using carrots and sticks to influence employees. To counter this, organizations are understanding the need to appeal to head and heart with not only the extrinsic motivators but intrinsic motivators as well. These Intrinsic motivators include employees’ desire for meaning, connection, and joy in the work, as well as the desire to contribute, develop, and achieve. Purpose is one of the most powerful intrinsic motivators because it speaks to both the head and the heart.

Benefits of Purpose

A 2016 poll by the Gallup Organization shows that only 13% of employees worldwide are engaged at work. The reason why most engagement efforts fall short is that they’re designed to cultivate employees’ commitment in generic, general ways and not attach any purpose to them. Employees must internalize the organization’s purpose, so they make decisions that clearly support those priorities. Ultimately, they design and deliver on brand customer experiences that strengthen the brand’s competitive position and build equity in the brand.

Below are four benefits of organizational purpose:

1. Instill Purpose in Employees

Employees may be very good at compliance, but in today’s global competitive marketplace, going through the motions is not good enough. Organizations need employees who are engaged and come to work with a sense of purpose that comes from knowing that what they do matters to others. When employees are engaged in their work, they enjoy what they do and tend to be more productive.

2. Provide Clarity

Fearing ambiguity leads to narrow thinking and reactionary behaviors. Embracing clarity can open the door to allowing employees to see possibilities that they wouldn’t have otherwise seen. Purpose then drives clarity because it “connects the dots” for employees. They know what is expected of them and why.

3. Stimulate Innovation

Knowing what an organization stands for can open the door to purposeful teams. It enables employees to think of new ways of doing things for a reason — that is, to meet the mission of the organization. That depends upon purpose.

4. Groom the Next Generation of Leaders

Organizations that survive more than a generation are typically those that have developed a leadership cadre who inherited the mission and have been shaped by core values. Purpose leads to intentional employee development.

What Does Purpose Look Like?

You may wonder what organizations claim for their purpose statements. Here are some examples:

“The purpose of Disneyland is to create happiness for others. And you see, the beautiful thing about saying, “We’re going to create happiness” was then I could say, “Look, you may park cars, clean up the place, sweep the place, work graveyard and everything else, but whatever you do is contributing to creating happiness for others.”

– Van Arsdale France, Founder, University of Disneyland

Purpose is like the roots of a tree. Strong roots — strong purpose — provide the tree with nourishment, good health and the ability to sustain itself. If the roots go deep, your tree, and its entire corner of the forest, will prosper. But if roots are shallow, and starving — because you never feed them with purpose — eventually, your tree will fall down. And it won’t just fall down by itself. It’ll take other trees down with it.

We would love to hear from you! What’s your organizational purpose? How is purpose driving your motivation levels and enhancing the business performance? Let’s share experiences. Leave a comment below, send us an email, or find us on Twitter.

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Diversity and Inclusion: A Simple Break Down

As someone who worked with different Kenyan tribes when running hotels and safaris, diversity and inclusion is a topic that is important to me.

And it should be important to you too. Why? Because employee diversity has measurable, positive effects on organizational success. Plus, on a macro level, due to the global political environment, employees are personally concerned with diversity and inclusion (D&I) issues (including gender pay equity) and want their employers to offer perspective on those issues. In this way, D&I now touches employee engagement, human rights and social justice.

Today I want to break down D&I simply, for those who see diversity and inclusion as an insurmountable challenge to tackle. We’ll start with outlining how D&I benefits company performance, including information which can be used to urge leaders to take D&I initiatives more seriously. Then, I’ll discuss how to foster inclusion at work—because what’s the point of a diverse workforce if employees don’t feel included in company culture, decision-making and upward mobility? Lastly, I’ll review some challenges that diversity brings to company culture and performance.

Four Ways Diversity Benefits Company Performance

Here are four examples of the measurable, positive effects that employee diversity has on organizational success:

1. Women increase equity, sales and ROI

Catalyst took a look at Fortune 500 companies with women on their board of directors and found that these which co? those that focus on D&I? companies had a higher return on equity by at least 53%, were superior in sales by at least 42%, and had a higher ROI, to the tune of 66%. Those are not small numbers.

2. Diverse top teams = top financial performers

McKinsey quarterly reported that between 2008 and 2010, companies with more diverse top teams were also top financial performers.

3. Diversity and inclusion identified as key driver of innovation

When 321 executives at large global enterprises ($500 million plus in annual revenues) were surveyed for the Fostering Innovation Through a Diverse Workforce study, diversity and inclusion were identified as the key driver of not only internal innovation, but also business growth.

4. Diverse groups are superior problem solvers

Groups of diverse problem solvers outperformed groups of high-ability problem solvers, according to a study by Lu Hong and Scott E. Page.

Creating a diverse staff and culture is only the first step. It doesn’t do much good without inclusion, which takes effort. Because what’s the point of a room full of diverse thinkers when no one feels empowered to share their thoughts? Here are three tips to foster a sense of inclusion amongst a diverse workforce:

How Managers Foster A Sense Of Inclusion Among A Diverse Workforce

1. Coach People To Listen More and Interrupt Less

Listening is a key element of inclusion, and while it sounds simple, it actually requires practice and intention. Leaders and managers need to coach people to listen more and interrupt less. They need to listen with their whole selves—taking into account the words, body language and energy of the communicator.

2. Encourage Equal Stage Time in All Meetings

We’ve all been in meetings that were dominated by the person with the loudest voice. And unfortunately, the “squeaky wheel” strategy does sometimes garner results in the business world. This is the opposite of inclusion. Encourage meetings where all speak up equally. This will take some careful management at first, but with time the culture of the meetings will change, and more voices will be heard.

3. Work On Your Own Bias

Our own bias can greatly influence decision-making, often preventing inclusion unconsciously. Here are six quick tips for working on our own biases.

• Start by taking the IAT test to identify biases you have that yet may be unaware of: https://implicit.harvard.edu/implicit/takeatest.html
• Watch your language. Biased language is ingrained in how we speak, but can exclude diverse employees. For example, “Okay you guys, let’s get down to work,” does not include female members of the team.
• Identify particular elements in company processes that function as entry points for bias. For example, is your hiring committee all male? People tend to be drawn to others like themselves. If you identify your hiring committee as largely dominated by one gender or ethnicity, change it up.
• Include positive images of diverse groups in the workplace such as posters, newsletters, videos, reports and podcasts. This helps our brains make positive associations with groups we may otherwise be unconsciously biased toward.
• Visualize a positive interaction with toward with those you have a bias against. Visualization is powerful and can actually alter the brain.
• Encourage workers to call out bias and hold each other accountable. Yes, that means calling out leaders too.
  
  

The Challenges Diversity Brings To Company Performance Or Company Culture

Diversity increases different ways of seeing the world and how people work. For example, how a person from the U.S. views time versus how a person from China views time may be drastically different. Learning the cultural differences between team members strengthens team understanding.

In addition, the complexity of ideas increases with more diverse teams. This is more difficult to manage than homogenous ideas, which require less debate to come to agreement and make decisions. While diversity breeds innovation, it can also present a challenge and requires careful communication skills.

Welcoming diversity and inclusion into your organization is critical. I urge all leaders to take an honest look at where diversity and inclusion stands in their organization, and make it a strategic priority.

Share your questions about diversity and inclusion in the comment section below, via email, or on Twitter. Myself or members of my community will do our best to answer!

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Why Leadership Training Fails

It happens all the time. Senior leaders seek leadership training to strengthen the leadership team. Yet they don’t know exactly what will make their individual leaders better in their roles.
Some will base their leadership training on the flavor of the month, such as emotional intelligence. They have heard in leadership circles how powerful emotional intelligence is for leaders, so think training in that capacity will improve their individual leader’s abilities. And while that might be true, it might also be true that a particular leader is actually not lacking in emotional intelligence, and there are other skills that would maximize the results of their training. This is how leadership training fails.
For effective leadership training, we must know what the leader needs. This need should also be aligned with the organizational vision and mission, which requires foundational work. And in order to do that work, competencies must first be established.

The Foundational Work Needed for Leadership Training to Succeed

Sometimes referred to as ‘KSA’, competencies are the things people need to know (knowledge), do (skills) and have (abilities) to be successful in a specific role. Competencies can be grouped into technical, foundational and leadership areas. They are defined by specific behaviors that describe what that competency would look like if someone were using it effectively. These behaviors are often laid out across a proficiency scale so the employee can clearly assess her current behaviors and understand what behaviors are needed for the next level.
Some examples of competencies are problem-solving, conflict management, technical skills and speaking up. While some competencies will be applied to every employee, others are role dependent. The CEO of a large organization likely won’t need to have specific technical competencies, and a coder on the tech team likely wouldn’t need to be competent in sales communication.
Once competencies are defined, the next thing to do is identify five clearly defined proficiency levels. For example, for problem-solving skills, level one might be, ‘asks questions and looks for information to identify and differentiate the symptoms and causes of every day, defined problems’. Level five might be, ‘anticipates problem areas and associated risk levels with objectivity; uses formal methodologies to forecast trends and define innovative strategies in response to the implications of options; and gains approval from senior leadership to solutions of multi-faceted problems".

After competencies and proficiency levels are clearly defined, the next steps are:

1. Determine the expected proficiencies by job position.
2. Assess the employee’s competencies using a standardized process, on a regular basis. Competing an assessment will help the leader know which competencies to focus on for future leadership training.
3. Facilitate career conversations with employees to match organizational needs, career aspirations, and current employee proficiency to a leadership development program.
4. Track progress using accountability measures in the leadership development training.

Read in depth about each step here.

Using this process will prevent your leadership training from failing. You seek training because you are invested in your employee development. If you’re willing to make that investment, it’s worth doing all the foundational work necessary to get effective training that elevates your leaders.

People Analytics Certification Online - An Easier Way to Better Your Career

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Organizations must hire professionals who have the talents and expertise to cope with information, and these experts are described as big data analysts or big data specialists.

Advantages of People Analytics Certification

1. Carrier Growth

How to Intern At A Top Management Consulting Firm in Alexandria

Being selected for a management consulting internship is the most effective manner to break into the management consulting area at the top-tier firms. Top management consulting firms in Alexandria like CHCI, McKinsey, Bain, and AT Kearney has the common exercise of hiring maximum in their interns as full-time experts. 

Internships are an extraordinary way for you and the company to make sure the fit is right. As an intern, you'll be working with specialists on consultants and will understand if the organization culture, workload and various commitments are right for you - all while not having to make a long-term profession commitment.

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Before than making any choice, it's imperative to have proper plans and techniques. This will permit people to ensure that their goals are executed well and easily. Those plans and strategies also are critical while running a business. However, there are instances when your commercial business team cannot cater to your wishes, which may be a massive trouble and can cause critical costs or bankruptcy.

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Hiring inexperienced or new human capital management consulting firms

When it comes to consulting services, it's miles critical to hire seasoned corporations to achieve exact techniques from their beyond experience and customers. Hence, hiring inexperienced or new specialists is a big mistake due to the fact these specialists lack in experience to offer dependable business strategies.

Strategic Human Capital Consulting Services - A Great Way for Businesses to Increase Their Investment Returns

Running a commercial enterprise organization is not an easy mission. A variety of things need to be kept in view from the very establishment of the business enterprise. The owners and other individuals of the organization want to have super knowledge about various aspects of commercial enterprise. 

This is very essential for making sure an easy operation of the business. But there may be certain things which might not be part of the knowledge of the enterprise owner and on the same time the issue is extremely crucial for the survival of the business. In such situations, the owners need to be seeking help from a specialist which has knowledge in a particular subject.

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Numerous corporations which have experience in the field of marketing, information technology, human resources, sales, finance and banking and etc. provide human Capital Management Training.

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The structures and forms of management vary from one corporation to some other. While it's approximately ensuring an organization’s success, its leadership has to manage the business each strategically and tactically. Most of the times, a management method has a few roadblocks that turn out to be deadlocks if they are not removed. And lots of a time, agencies lack the expertise to dispose of those roadblocks.

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