Chapter 3 in Conscious Capitalism is all about purpose. Highly recommend reading this section on purpose. Here's how purpose is defined in the book:
Why do we exist?
Why do we need to exist?
What is the contribution we want to make?
Why is the world better because we are here?
Would we be missed if we disappeared?
A firm's purpose is the glue that holds the organization together, the amniotic fluid that nourishes the life force of the organization.
You can also think of it as a magnet that attracts the right people.
A compelling purpose reduces friction within the organization and its ecosystem because it gets everybody pointed in the same direction and moving together in harmony.
It also makes the case for how purpose, mission, and vision are different. Here's how they describe them:
- Purpose refers to the difference you're trying to make in the world.
- Mission is the core strategy that must be undertaken to fulfill that purpose.
- Vision is a vivid, imaginative conception or view of how the world will look once your purpose has been largely realized.