Shortlist: 3 core benefits of organisational purpose

BP’s former group HR director Helmut Schuster considers what organisational purpose can help us achieve.

Writing this piece, I began by asking myself “what is the purpose of having a purpose?”. This process made me realise that my thinking around purpose has evolved significantly over recent years.

Organisational purpose has gone from being a very theoretical concept – a nebular afterthought — to being essential to strategy. Nowadays, it’s so important that the UK Corporate Governance Code requires company boards to engage closely with their organisations’ development and articulation of purpose. 

I firmly believe – and have seen plenty of evidence to proving – that a purpose-led organisation enjoys three core benefits: 

1. Purpose brings people together from all works of life. 

By breaking down barriers and silos, purpose allows people to have real and open conversations — sadly rare in today’s real and virtual offices and extremely underrated. It unites people in a common goal.

2. Purpose inspires people and allows us to pursue meaningful work. 

This is work that aligns with our own personal ambitions as well as the dreams of society. It’s powerful for existing employees and key to attracting bright new talent, as well as holding on to our existing people.

3. Purpose provides a guiding north star and long-term direction for a company.

This is vital in an ever-changing world. Being able to adapt quickly, while maintaining our central reason for existence, is critical. Having spent much of my career in the energy industry, I speak from experience as we deal with the current energy transition. 

Work gives us meaning

Taking a step back, there are two wider questions for all of us to consider:

• As more companies embrace purpose, what possibilities will this create for businesses and society over the next 10 years?

• Following on from this, how do we assess whether purpose is truly impactful and does not just constitute polished words and slick presentations? 

Albert Einstein allegedly once said: “Work is the only thing that gives meaning to life”. When I was in my early 20s, this quote didn’t resonate with me at all. However, as I matured and mostly made career choices that led to meaningful jobs, I increasingly understood what he was saying. 

Nowadays. purpose is becoming more than just an afterthought; it will become an expectation; an expectation that work will not feel like work, that companies will help to create a better world.

We will be invited to dream together and to reinvent. Purpose will be measured over decades and it will be the actions, not the words, that will be counted.