“Having a guiding light is extremely helpful when you are dealing with massive complexity, huge amounts of change, and things going on that are outside anyone's experience.”
Francesca Lagerberg, CEO of Baker Tilly International, knows that businesses can’t go very far without having a unifying goal in mind. What differentiates a business is not only what you’re doing but also the reason you’re doing it. For her, this is the purpose behind a business.
“It's an anchor in a crazy world,” says Lagerberg. “It's a driving force behind our organization, and it's also hugely impactful in terms of showcasing what you're really trying to do for clients and for people.”
For our fifth annual CEO Purpose Report, we discovered that although 89% of businesses say they have a purpose, the number one challenge for purpose-driven CEOs is making it actionable and relevant.
For Lagerberg, implementing purpose through the heart of the organization is incredibly important.
“We do our best at Baker Tilly International and try to make sure that we follow through with our purpose in everything that we do. I'm a big fan of walking the talk.”
We have seen time and again that when purpose is driven by leadership and when it’s embedded in decision-making, employees, at all levels, are more likely to feel closely aligned to that purpose and the business.
“There’s something very powerful about aligning yourselves around a common direction of travel. And it gives you focus; if you have a couple of choices that are equally valuable, your purpose can help you determine which is the one that's closer to what you're trying to achieve. That sits within our decision-making.”
Our findings showed that 63% of leaders use purpose to guide strategic decision-making. Like Lagerberg, purpose can be an incredibly helpful tool for CEOs who face multiple challenges and must make a decision, and that means sometimes making tough choices that aren't always the best commercial choice.
“Purpose is part of making sure you're doing things in the best possible way to achieve your business purpose.”
For Lagerberg, purpose goes beyond helping leadership make business decisions. It can also be incredibly rewarding for employees to work at an organization that is actively trying to shape a positive future.
“When young talent are looking for jobs, they look at what the business is about. They look for organizations that have a meaning, that have a purpose, that have a sense of doing something that feels bigger than a functional, transactional piece.”
And CEOs agree with this statement – in fact, in 2023, employees have become the most important stakeholders for the majority of leaders. This shows that CEOs are recognizing society and future generations as important in the long-term success of their business.
“It's so much more exciting to be in an organization where you truly believe in what they’re trying to do.”
Lagerberg was quick to point out that whatever your purpose, it must come from a place of authenticity, and if you’re an organization that’s not putting your purpose to work, it will be difficult to entice young talent and to win new business.
“If you're doing the right thing, good things tend to happen. And it works on all levels, both in terms of people's enjoyment and fulfilment in the role they're in, but also in terms of how they service clients,” she says.
Her final advice for CEOs looking to put purpose to work?
“Does it resonate? Does it work? It also needs to evolve from time to time to reflect the fact that your business is changing or the people are changing. If it speaks to your heart and to your head, then you've probably got it right.”
Read our latest CEO Purpose Report to see what CEOs think about the evolving role of purpose.
Brandpie CEO Purpose Report 2023
Find out what CEOs think about the evolving role and importance of purpose.
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