Insights

4. Middle management is the key to success

The fourth and last finding from the largest study into corporate purpose and financial performance is that one group in particular need to be fully on board: Middle management. Too often, corporate purpose is underutilised and poorly implemented. Most executives agree that a strong sense of collective purpose can positively impact both employees and customers. […]

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Jaimie Ratten
Posted by Jaimie Ratten

3. Purpose + Clarity is the key driver of financial performance

The third finding from the largest study into corporate purpose and financial performance is that there is one component that’s absolutely critical for success: Clarity. First and foremost is management’s ability to provide clarity of purpose, “… a clear view of where the organisation is going and how to get there”, which is fundamental in […]

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Jaimie Ratten
Posted by Jaimie Ratten

2. A friendly culture has zero impact on financial performance

The second finding from the largest study into corporate purpose and financial performance is that a friendly culture has zero impact on financial performance. Yes, you read that right. According to Peter Drucker, culture is critical to organisational performance. So critical in fact that he is often quoted as saying, “Culture eats strategy for breakfast”.2 On […]

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Jaimie Ratten
Posted by Jaimie Ratten

1. Purpose is not the pursuit of profit

This is the first of four articles where we take look at how purpose drives company performance. It comes from research by three professors from NYU Stern School of Business, Columbia University and Harvard Business School have collaborated on the largest study of corporate purpose in relation to financial performance ever conducted1. Over a period of six years, […]

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Jaimie Ratten
Posted by Jaimie Ratten

Finding clarity amongst the chaos

These are extraordinary, unsettling and uncertain times. Everything is an unknown unknown and every business and political leader now finds themselves in unchartered territory with COVID-19. While leadership is a lonely and unforgiving place, people in leadership roles have the ability to make choices and take action in the midst of this global crisis. The […]

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Jaimie Ratten
Posted by Jaimie Ratten

Purpose and profit

There has been five-fold increase in the public conversation about corporate purpose over the past two decades. Larry Fink, CEO of BlackRock, the world’s largest investor with $9 trillion in assets under management stated in his annual letter to shareholders that ‘purpose is not the sole pursuit of profits but the animating force for achieving […]

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Jaimie Ratten
Posted by Jaimie Ratten