{"id":8392,"date":"2021-01-15T07:19:47","date_gmt":"2021-01-15T12:19:47","guid":{"rendered":"https:\/\/flevy.com\/blog\/?p=8392"},"modified":"2021-01-14T15:24:55","modified_gmt":"2021-01-14T20:24:55","slug":"the-5-ps-of-purpose","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/the-5-ps-of-purpose\/","title":{"rendered":"The 5 Ps of Purpose"},"content":{"rendered":"

\"\"Most of us have experienced a uniqueness in some organizations.\u00a0 <\/strong>These organizations stand out, exude fervor and zeal.\u00a0 Their customers are pleased with the Customer Centric Design<\/a> of the company, Employee Engagement<\/a> is high, and investors and shareholders take pride in being part of it.\u00a0 It is not their exceptional product or service that is the base of Value Creation<\/a> rather the Purpose<\/a> that makes organizations unique\u2014their reason for existence and the resulting impact it makes on the world.<\/p>\n

Stakeholders identify with organizations that genuinely follow their Purpose.\u00a0 Leadership allocates resources in-line with the Purpose.\u00a0 Employees keep the Purpose front and center while making decisions for the company.\u00a0 On the other hand, in-genuine Purpose may harm the reputation of the company by turning away the stakeholders.<\/p>\n

In order to be genuine, Purpose has to be embedded in the company\u2019s DNA, which is no mean task.\u00a0 The \u201c5 Ps of Purpose Framework\u201d shows how this can be successfully achieved.\u00a0 The 5 Ps Framework identifies 5 areas of focus:<\/p>\n

    \n
  1. Product Portfolio Strategy<\/strong><\/li>\n
  2. People & Culture<\/strong><\/li>\n
  3. Processes & Systems<\/strong><\/li>\n
  4. Performance Metrics<\/strong><\/li>\n
  5. Positions & Engagement <\/strong><\/li>\n<\/ol>\n

    \"\"<\/a><\/p>\n

    There are numerous benefits to transforming into a Purpose-driven Organization<\/a>.\u00a0 The 5 Ps Framework contributes to unlocking the sources of value for the company and detect points of weakness.\u00a0 Purpose can pay lots of dividends, but it has to be authentic and imbued in the organization\u2019s business model.<\/p>\n

    Let us delve a little deeper into the first P of the 5 Ps of Purpose.<\/p>\n

    Product Portfolio Strategy<\/strong><\/h2>\n

    An organization\u2019s Product \/ Service offerings and the associated modalities of market and position planning that best cater to the target market ought to imbibe the Purpose of the company in order to appeal to the stakeholders.<\/p>\n

    The 1st<\/sup> step for achieving this objective has to be the alignment of business portfolio with the company\u2019s Purpose–i.e. we need to integrate Purpose with our Portfolio Strategy<\/a>.\u00a0 Companies already in existence may not be able to start afresh but they can surely reshape their business mix in a dynamic and resolute manner.<\/p>\n

    In step 2, the business portfolios are filled out with Products or Services that match the Purpose, and the ones that do not are rooted out.\u00a0 Certain key actions are needed to embed Purpose into the Product or Service offering, they include:<\/p>\n