Purpose: The simple factor that drives profitability, employee engagement, and company success.

Having a clear purpose is more than just a nice-to-have; it’s a strategic imperative that drives profitability, employee engagement, and overall company success.?

This fact was reminded of in our?latest podcast episode?when I met with?Lamisse Muhtaseb, HR Director and Purpose, Culture and Inclusion Lead of Deloitte Middle East.

With a title like that, I think you'll agree that Lamisse knows what she's talking about!

Lamisse reminded me of Deloitte's purpose statement: "To make an impact that matters to our people, clients, and society."

Lamisse passionately explains how Deloitte’s purpose strategic pillars are embedded in its branding, market strategy, and internal culture–in short, they live and breathe purpose; it’s not just lip service.??

However, one of the standout benefits of a clear team purpose is its direct and indirect impact on profitability.

Research by Harvard Business Review found that companies with a strong sense of purpose outperform the market by 5-7% annually. 5-7%!!

Additionally, a study by Ernst & Young and the Harvard Business Review Analytic Services revealed that 58% of companies with a clearly articulated purpose experienced growth of 10% or more over three years.

But the good times don't stop there folks......

Purpose-driven companies also see higher levels of employee engagement. Gallup’s research shows that only 13% of employees are engaged at work globally. However, companies with a well-defined sense of purpose see this number soar to 73% (2019 Gallup Workplace Report). An engaged workforce is more productive, innovative, and loyal, which translates directly into competitive advantage and financial performance.

In addition to engagement, a clear purpose also helps align your people by giving common ground for team members across all levels of an organization.

It helps align goals, strategies, and actions, ensuring everyone is working towards the same end. A McKinsey study noted that companies with a shared purpose are more unified, and their employees are better able to navigate the complexities of modern business environments.

But wait, there's more...

Purpose-driven companies tend to build stronger relationships with their customers, too! According to a Cone/Porter Novelli Purpose Study, 79% of consumers are more loyal to purpose-driven brands, and 73% would defend such a company if it makes a misstep. This kind of loyalty is invaluable, especially in today’s competitive market. Who doesn't want a customer fighting their corner? (I know we do!!)

But it's also fun.... because purpose inspires innovation and creativity.

Deloitte's own implementation of purpose, reflected in its strategic pillars such as corporate responsibility, sustainability, and public interest, has shown significant results. When employees feel connected to a bigger mission, they are more likely to take initiative and develop creative solutions to challenges.

Conclusion

The evidence is clear: a well-defined purpose isn't just about lofty ideals or cool e-mail banners—it’s about tangible business outcomes. Companies like 德勤 illustrate that purpose can catalyze growth, enhance employee engagement, align organizational goals, and drive innovation. As the business landscape continues to evolve, those who anchor their strategies in a clear, compelling purpose will lead the way.

Call to reflection!?

I? invite you to reflect on the following questions:?

• How clear is your company and individual team's purpose??
• Do you even have a team purpose??
• How can your team’s purpose be more deeply integrated into your company culture and strategy?

Visit our website to explore free resources to help you build a purpose-driven and inclusive workforce.

And if you like the podcast, give it a like, subscribe and share it with your mates!

Thanks for reading, ciao for now, see you next week

Sam