This morning, taking my annual May Pilgrimage* to one of my favorite shops, the Grafton Country Store, I was again overcome with pleasure for the success of this small business.
Each time I walk into the shop, I viscerally feel its success. I am always cheerfully greeted by the store owner, we chat it up – leaving me always impressed with her grasp on the business. It’s so refreshing. She bought the business and is now in her third year of revitalizing a once sloppy and uninspired brick & mortar “brand.”
She is obviously executing to plan. She is creating their brand.
*May Pilgrimage = 1.) Wedding Anniversary, 2.) Mother in-law's birthday, 3.) Wife's birthday, 4.) 5.) 6.) Mother's Day, 7.) My Mom's birthday. (Grafton, MA.)
Every business must have a clear purpose, no matter their size.
There’s a snobbery in thinking that purpose, mission and vision statements belong to the realm of senior managers in big organizations.
Of course, large organizations have a larger challenge of communicating a clear focus and purpose - to their swarms of employees - in a manner that creates a consistent company culture where everyone pulls in the same, defined direction. However, that’s only about the scale of the team, not the actual vison. Small business owners need to think about vision, at par, with big business.
The benefits of having a purpose for your business
What is the purpose of your business? What did you set out to achieve at the beginning? For me, purpose comes down to finding the right balance between two forces:
- What you want to do for your customers and clients.
- What you want to do for yourself.
Your mission and vision help to bring those two forces into alignment.
You want to give your customers great value for money but you also want to charge a high enough price to give you a big profit. (You also want to differentiate your business.)
How to create a purpose for your business
First, you need to agree on your purpose in terms of customers and your business. Also, you need to consider it that is sufficient. It is for most small business owners, however, your purpose may need to include influencers including other stakeholders i.e. employees, investors or the community environment.
The purpose statement for your small business defines your company's core goals and purpose. The statement also forms the basis for your small business's brand and the promises your company intends to make to consumers.
A purpose statement is not a vision statement – which states says what the organization wishes to be like in some years’ time. It’s usually drawn up by senior management, in an effort to take the thinking beyond day-to-day activity in a clear, memorable way. A purpose statement isn't as broad as a mission statement, which seeks to incorporate business strategies and procedures into the document as well as describe what business the organization is in (and what it isn’t) both now and projecting into the future. Its aim is to provide concentration for management and staff.
Instead, a purpose statement focuses primarily on the short message that will guide your company in formulating its business practices and procedures, without spelling out what those methods will look like when your business opens its doors.
Don’t be vague
Just because your small business's statement of purpose doesn't include your company's plans for business operations, doesn't mean you should be vague in crafting its language. Create a concise, sharp sentence that captures your purpose statement. Make sure that it is meaningful and specific.
It’s not… “Our purpose is to have many happy customers and for the owners to become rich.” That is meaningless and gives little or no direction.
The statement of purpose should describe the way in which your small business wants to become successful while carving out a place in the local business community. Focusing the statement with specific language can help your management team come up with strategies and methods to accomplish the goals your statement of purpose sets.
- What do we do?
- For whom do we do it?
- Why do we serve our clients in the way that we do?
- Why are we in this industry?
- Why did we start this business?
- What image of our business do we want to convey?
If you haven’t taken the time to sit down and figure out your business’ why statement, I highly recommend that you do so. Having a clear purpose and focus for everything your business does is key making the shift from business to brand. From how you speak to customers, to the connection your employees feel within the organization, to the decisions that are made along the way, an engaging purpose statement will bring it all together and insure your business’ success.
If you’re crafting a purpose statement, my advice is this: To inspire your staff to do good work for you, find a way to express the organization’s impact on the lives of customers, clients, students, patients — whomever you’re trying to serve. Make them all feel part of the success.