Future-Proof Branding from the Inside Out: Embedding Purpose in Your Workforce
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Transcript of Future-Proof Branding from the Inside Out: Embedding Purpose in Your Workforce
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Leading for Purpose
Winning Customers & Team Members with the WHY
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Here is a slide for plain text.
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Why is today important to you?Exchange & absorb exercise:
• Think about 2 – 3 reasons you chose to attend this workshop. What do you hope to learn? What challenges or opportunities are you/your organization facing at work? What do you hope to come away with?
• Find 2 other people in the room whom you do not know. (Form a triad.)
• Have each person share their reasons for being here today.
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What gets people to give you 150% of
their effort?
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How Team Members See Purpose
Why employees say their company has a purpose Deloitte Culture of Purpose Study 2014
When asked what makes a company purpose driven employees most likely to cite positive impact products and services have on customers (87%) and on society (84%)
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“When society makes up its mind about something you better be ahead of it not behind
it. And the environment (and purpose) is an issue upon which society has made up its mind.”
Jeffrey Immelt, CEO General Electric
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Purpose Revolution• Biggest gain 1995 – 2016
• A high reputation score vs.middling double buying, recommending, 25% greater investing
• 80% would buy CSR company but are confused as to whether companies are good
• B2B CSR/Sustainability demands growing FAST
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The Three Whys for Purpose
Recruit & keep the best talentDrives higher engagement & commitmentCorporate reputation-staff best ambassadors
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Talent Wants Purpose42% of workforce now want to work for organization that has a positive effect on the world according to research by Global Tolerance
62% of Millennials (those born between 1981 – 1996) want to work for a company that makes a positive impact.
53% of millennials would work harder if they were making a difference to others
Research says most desired talent are the MOST FOCUSED on Purpose
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Purpose Driven by Millennials
But Don’t Forget BoomersMore than 50% of millennials would take a pay cut to find work that matches their values
90% want to use their skills for good
7800 future leaders from 29 different countries say the business world is getting it wrong
75% feel businesses are focused on their own agendas rather than improving society
28% feel their current organization is making full use of their skills
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Purpose is Driving Talent to Companies
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What Matters Most to Employees
• Ethics• Green/Environment• Alignment of Mission & Reality• Aligns Personal Values• Meaningful Work
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Green Drives Engagement
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Purpose/Engagement Connection
Purpose Engagement Outcomes• Stock performance surges with nearly
150 percent higher earnings per share
• Employees generate significantly higher productivity, profitability and customer satisfaction, and fewer safety incidents
• A Hewitt & Associates of 230 workplaces with more than 100,000 employees and found that the more a company actively pursues worthy environmental and social efforts, the more engaged its employees are
• The Society for Human Resources Management compared companies that have strong sustainability programs with companies that have poor ones and found that in the former:
o morale was 55% bettero business process were 43% more efficiento public image was 43% strongero employee loyalty was 38% better
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Ethical Workplaces Critical Dimension
94% say it’s “critical or “important” that the company they work for is ethical82% would prefer to be paid less but for a company with ethical business practices than receive higher pay for a company with questionable ethics80% cite disagreement with ethics of employees, a supervisor or management as the primary ethics based reason for leaving a job21% cite pressure to engage in illegal activity56% of U.S. workers define current company as having an ethical culture, yet 1 in 4 say past 6 months they witnessed unethical & even illegal behavior, and only 11% were unaffected by it
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The Current State of Corporate Purpose
EY & Harvard Business Review Analytics Services global survey of 474 executives about organizational purpose showed:
• 90% understood that purpose could be a powerful lever in business• 89% of executives surveyed said a strong sense of collective purpose
drives employee satisfaction• 85% said I’m more likely to recommend a company with strong
purpose• 84% said it can affect an organization’s ability to transform• 81% said purpose-driven firms deliver higher quality
products/services• 80% said it helps increase customer loyalty
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The State of Corporate Purpose (EY Study)
The survey identified 3 categories of companies relative to purpose:
• Prioritizers – companies that already articulated and understood purpose (39%)
• Developers – companies that do not yet have a clearly articulated purpose but are working to develop one (48%)
• Laggards – companies that have not yet begun to develop or even think about purpose (13%)
• Prioritizers outperform on revenue generation, market expansion, and new product launches
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The Gap (EY study)While 90% of executives surveyed said their company understands the importance of purpose, only 46% said it informs their strategic and operational decision making
Barriers & Challenges to embedding purpose• Short term shareholder pressure• Poor communication from top leadership• Systems/infrastructure not aligned with purpose
How to better integrate purpose into the organization• Offer better leadership development and training. Develop the kind of
leaders who can communicate and align the organization around purpose• Performance metrics and incentives tied to purpose• Driven operationally and in depth from the top
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Purpose
Recruiting and
Onboarding
Connecting People Across Groups
Engaging Employee’s
Personal Values
Consistently Messaging Purpose
Purpose Metrics
Align Job with Purpose
Hands On PurposePurpose
Centered Talent
Key Success Factors
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How to Engage Employees
Clear Authentic PurposeRegularly CommunicatedDriven down to individual jobIdentify Employee ValuesHands on Purpose--engage them in what you are doingPurpose Benefits
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It All Starts with a Clear, Compelling &
Authentic Purpose
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How do we define purpose?
An aspirational reason for being that is about making life better now, and in the
future, for all stakeholders especially customers, society and planet.
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Inspiring Purpose…Why are we really here?
What is the reason for your business?
QUESTION How central is this in
recruiting & orientation?
Does it feel real?
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Focus on Higher Purpose
Work Task/Business Purpose
Higher or Noble Purpose
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Purpose: Advancing Every Company, Enhancing Every Home, Improving Every Life
• 3M Technology Advancing Every Company
• 3M Products Enhancing Every Home• 3M Innovation Improving Every
Life
Our Values• Act with uncompromising honesty and
integrity in everything we do.• Satisfy our customers with innovative
technology and superior quality, value and service.
• Provide our investors an attractive return through sustainable, global growth.
• Respect our social and physical environment around the world.
• Value and develop our employees' diverse talents, initiative and leadership.
• Earn the admiration of all those associated with 3M worldwide
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Mission statement: "To inspire and nurture the human spirit — one person, one cup and one neighborhood at a time."
Purpose statement: "To establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow."
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“The company’s objective is the manufacture and distribution of food products in such manner as to
promote a mutuality of services and benefits among all stakeholders.”
Forest E. Mars, Sr. 1947
Connect to the Founding Story
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A Purpose That MattersPart 1
Write down the purpose of your organization. Consider:• Why do we exist?• What good do we do? • What difference do we make in the world for
people, society, nature, the environment, etc.
• How do we make the world a better place?
Evaluate the quality of your purpose using the Purpose Quality Scale
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A Purpose That MattersPart 2
• Join with 2 other people • Have each share their purpose and checklist• Have a discussion about each Purpose
Statement. What makes the Purpose compelling – what grabs you? How might it connect to customers, employees, investors, other stakeholders?
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A Purpose That MattersPurpose Purpose Quality
Score1 = Not True5 = Very True
Authentic
Compelling
Congruent with what you really doScalable - employees at all levels of the organization can relate to it and make it their ownAttainable
Connects with our customers
Connects with the talent we want to attract and retain
Connects with our investors
TOTAL SCORE
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Communicate Purpose
Consistently
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As a leader we must dare to
inspire
The CEO matters
A LOT
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Balancing the Messages
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Balancing the Messages
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“We become the stories we tell”
Elie Wiesel
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Engage Employee’s
Personal Values
People are Driven by their own Values not
Company Values
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Align Jobwith Purpose
Purpose doesn’t matter if it’s
someone else’s purpose
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How we see our work matters…A LOT
A JobA CareerA Calling
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Helping people think of their job purpose rather than just a job
function
The job of every person in the park is to spread happiness
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Aligning Job With Purpose
Every job writes a missionLeaders connect job to the higher purposeConnecting recognition to purpose valuesRegular asking “how did you/we matter?”Role model purpose driven job
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Build It Into Recruiting &Onboarding
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Recruiting Talent to PurposeBuild It Into Recruiting/Make it Real
Benefits for Purpose
Involve them in Doing Good as Part of Interviewing
Interview to values – here is how you can live your values here!
Have videos of current employees talking about purpose (and connecting to their job)
Do a “Job Purpose” Audit
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Two Examples
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Hands on Purpose
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The CorporateService Corps
Carbon in the Rail Yard
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The State of Corporate Volunteering
78% of companies support employee volunteering71% provide time off without pay70% allow access to company facilities and equipment35% make information about volunteering available to employees31% allow time off without pay for volunteer activities29% allow time off with pay for volunteer activities
18% during regular business hours
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Purpose Benefits
Volunteering ideally on company dimeCharity Matching as opposed to charity givingSabbaticals for Purpose-the norm for those who want itCompany Change Initiatives- E.G. IBM Corporate Services CorpsPerformance Pay for Doing Good
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Volunteering Pays Twice
78% of people who volunteered in the last year reported lower stress levels
76% say that volunteering has made them feel healthier
Volunteers report coming back as better leaders and performers
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Purpose Metrics & Benefits
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Myth: What gets measured gets done
Fact: What gets measured & focused on gets
done
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Purpose Metrics
Do you have purpose metrics?3M every person has sustainability on performance appraisalMeasuring impact of purpose activities on important outcomes (e.g. volunteering impact on retention, leadership skills & engagement)Success breeds success. So measure and communicate purpose metric improvementsMeasure authentic connection to the purpose (is it real, do I feel my job is making a difference)
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Synergies Across
Functions
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Purpose
Recruiting and
Onboarding
Connecting People Across Groups
Engaging Employee’s
Personal Values
Consistently Messaging Purpose
Purpose Metrics
Align Job with Purpose
Hands On Purpose
Purpose Centered Talent
Key Success FactorsPart 1
Take a few minutes to review each success factor. For each factor write down:
• What are we doing now that’s working on this factor?
• What can you be doing to better connect purpose to this factor?
Score your organization. How strong is the link now between your Purpose and each factor?
• Very Weak 1-------------------------5 Very Strong
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Purpose
Recruiting and
Onboarding
Connecting People Across
Groups
Engaging Employee’s
Personal ValuesConsistently
Messaging Purpose
Purpose Metrics
Align Job with
Purpose
Hands On Purpose
Purpose Centered Talent
Key Success Factors
Part 2
• Join your Factor Group
• Share your findings with each other
• Record and be ready to report out:
• 4 – 6 key activities that best connect Purpose to your factor
• Challenges & opportunities
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Success Factor What are we doing now? What can we start doing?How strong is the link to purpose?1 = Very Weak 5 = Very Strong
Recruiting & Onboarding
Connecting People Across Groups
Engaging Employee’s Personal Values
Consistently Messaging Purpose
Purpose Centered Talent Key Success Factors
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If you want to drive
purpose…get
disciplined
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What the Ritz teaches about driving culture
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Discipline is Destiny• Build in reminders of mission (e.g. Every meeting begins with the Customer/Higher Purpose--Lullaby plays every time a baby is born, announce every time an employee collects a donation at Safeway)
• Balance every “margin” message with “mission”
• Share your personal higher purpose as a leader and ground it in stories
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Discipline is Destiny• Have a compelling noble purpose not only for the company but for each team—come back to it regularly (have each team member create personal mission connection)
• Retain a deep connection to your “founding story”
• Sell changes based on Values not just business imperatives
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“All airlines have airplanes. What customers and employees are looking for is something more
intangible, for a psychic experience, you might even call it spiritual. Spirit is hard to define but its
impact on a business is palpable.”
Herb KelleherSouthwest Airlines
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The Transforming Power of Purpose
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