Purpose is not a mere tagline or marketing campaign
April 2, 2019
Many people think capitalism is the root cause of all inequalities, of the overexploitation of our planet’s resources and climate change. Others believe capitalism could be the solution.
We at Amani Institute, believe that to face today’s complex challenges, we need everyone’s help to address pressing social and economic issues. Companies – along with civil society and government – can play a significant role if their leadership focuses on their purpose, long-term growth and shared value, rather than short-term returns.
This 2019 letter from Larry Fink, CEO of BlackRock – the world’s largest global investment corporation – is an interesting call to action to global CEOs, to make them rethink their businesses: “Every company needs a framework to navigate this difficult landscape, and it must begin with a clear embodiment of your company’s purpose in your business model and corporate strategy. Purpose is not a mere tagline or marketing campaign; it is a company’s fundamental reason for being – what it does every day to create value for its stakeholders. Purpose is not the sole pursuit of profits but the animating force for achieving them. Profits are in no way inconsistent with purpose – in fact, profits and purpose are inextricably linked”.
In our work at Amani, we focus on developing better leaders, from the social and private sectors, who can have a positive impact on the world. Larry Fink writes: “The world needs CEOs’ leadership. As divisions continue to deepen, companies must demonstrate their commitment to the countries, regions, and communities where they operate, particularly on issues central to the world’s future prosperity.”
Are you ready to take up the challenge?