{"id":29965,"date":"2020-12-29T09:00:00","date_gmt":"2020-12-29T07:00:00","guid":{"rendered":"https:\/\/www.euruni.edu\/blog\/?p=29965"},"modified":"2020-12-15T18:44:17","modified_gmt":"2020-12-15T16:44:17","slug":"why-we-need-a-why","status":"publish","type":"post","link":"https:\/\/www.euruni.edu\/blog\/why-we-need-a-why\/","title":{"rendered":"Why We Need a Why: The Importance of Purpose to Business Strategy"},"content":{"rendered":"\n

It\u2019s easy to explain what we do;\u00a0it\u2019s harder to explain\u00a0why we do it. However, having a clear sense of our purpose is fundamental to\u00a0achieving\u00a0happiness and\u00a0success. This was the focus of an inspiring presentation delivered by Alex Dilme<\/a>, whose expertise lies in corporate purpose, culture and sustainability. In his talk, he reflected on examples from the business world and his own varied work experience to provide an insightful commentary on the importance of fine-tuning your \u201cwhy\u201d,\u00a0before moving on to the \u201chow\u201d and \u201cwhat.\u201d\u00a0<\/p>\n\n\n\n

Alex began by directly addressing the unique position students occupy at the early stages of their career. He shared five crucial lessons learned during this phase of his own life, designed to help students take full advantage of opportunities available at this time. <\/p>\n\n\n\n

Five Lessons for Your Early Career<\/strong> <\/h2>\n\n\n\n
  1. Iterate and explore<\/strong>. To find what you really love, you must first try many things. Introspection is beneficial, but this has to be paired with experimentation and new experiences. This will help you to avoid becoming stagnant or stuck in a job \u201cjust because\u201d.\u00a0<\/li>
  2. Set yourself up for failure<\/strong>. This means you should\u00a0create\u00a0circumstances in which it\u2019s safe to fail.\u00a0For example, if you have high expenses, you\u2019re likely to stay in a job just to maintain yourself. At this stage, it\u2019s far better to live cheaply in order to preserve your freedom.\u00a0<\/li>
  3. Trade money for learning<\/strong>. In your early career, many things are more important than money: a great work environment, a supportive boss and opportunities for development, to name a few. These are the years to gain lots of knowledge, not necessarily lots of money.\u00a0<\/li>
  4. Know yourself<\/strong>. This is not an easy task\u00a0and you must find out what works for you. This may include meditation, retreats, sabbaticals, volunteering and travel. Working to know yourself at this early stage is beneficial as it will help inform later career decisions.\u00a0<\/li>
  5. Direction is more important than speed<\/strong>. Once you find direction you can find speed. The reverse does not apply. Don\u2019t compare yourself to people who seem to be ahead of you. Instead, focus on where you\u2019re going. You\u2019ll get there at your own pace.\u00a0<\/li><\/ol>\n\n\n\n

    Why\u00a0\u201cWhy?\u201d\u00a0Is So Important<\/strong>\u00a0<\/h2>\n\n\n\n

    The key message of\u00a0Alex\u2019s\u00a0presentation was that purpose is an essential consideration for personal fulfillment and business success alike. With a clear sense of why, we are able to choose careers that we don\u2019t dream of retiring from<\/strong>. When a business has a clear sense of\u00a0its \u201cwhy\u201d, it is able to meet customer needs more comprehensively and therefore make more profit. This point was illustrated through the analysis of various\u00a0case studies\u00a0of\u00a0well-known international businesses.\u00a0<\/p>\n\n\n\n

    Disney<\/strong><\/h3>\n\n\n\n

    At first glance, the Disney business model appears complex or even random, incorporating a range of disparate elements such as theme parks, movies and merchandise. What created synergy between these diverse branches of the company was a clear uniting purpose. Walt Disney began with a mission: to make people, and especially children, happy. This \u201cwhy\u201d led to the \u201chow\u201d.<\/strong> He could have defined the company from the offset with a \u201cwhat,\u201d saying it would simply make movies. However, this approach wouldn\u2019t have resulted in the reach that Disney now has.<\/p>\n\n\n\n

    Microsoft and\u00a0LinkedIn<\/strong><\/h3>\n\n\n\n

    When Microsoft bought\u00a0LinkedIn, this confused those who defined Microsoft by its \u201cwhat\u201d – a software company – instead of by its mission, which is to empower every person and organization on the planet to do more. When the \u201cwhy\u201d is taken into consideration, this business move makes complete sense<\/strong>. This is how a focus on purpose strengthens businesses. Leaders are empowered to see potential in the unconventional and to adapt according to context instead of being restricted to a label. In this way,\u00a0starting\u00a0from\u201cwhy\u201d opens up greater possibilities for growth and diversification.\u00a0<\/p>\n\n\n\n

    Decathlon vs Nike<\/strong>\u00a0<\/h3>\n\n\n\n

    A comparison was drawn between sports companies Decathlon and Nike, which have very different purposes and so very different approaches to their operations. Decathlon\u2019s mission – to make sports accessible to the many – perfectly aligns with the \u201chow\u201d of the company: low prices, technical products and innovation. To find the \u201chow,\u201d Decathlon simply had to break down the\u00a0\u201cwhy\u201d\u00a0by asking \u201cwhat is needed to improve accessibility?\u201d\u00a0Nike, another sports retailer, has a distinct motivation: to bring inspiration and innovation to every athlete. This connects with its chosen \u201chow\u201d – high-profile sports sponsorship – because the focus is not accessibility but instead inspiration. In both cases, a clear sense of purpose was the starting point for a strong business model.<\/p>\n\n\n\n

    IKEA<\/strong><\/h3>\n\n\n\n

    IKEA shows how purpose can inform deep strategy because its \u201cwhy\u201d incorporated accessibility, which necessitated low costs. This led to a business model based on limited staff, where customers self-select their products. Low manufacturing costs were also crucial to IKEA\u2019s purpose, which is why many IKEA products have transferable pieces. They are sourced from the same long-term suppliers. These elements make IKEA unlike any other furniture retailer, not simply \u201cdoing it better\u201d than the competition,\u00a0but in fact doing it completely differently.\u00a0<\/p>\n\n\n\n

    Finding Your Why<\/strong> <\/h2>\n\n\n\n

    Alex shared a simple tool for discovering your own personal purpose. It requires reflection on three aspects, using the acronym TAP.<\/p>\n\n\n\n