How To Write a Purpose Statement That Inspires Action in Your Organization

Today, organizations are no longer defined solely by profits, products, or services. More than ever, purpose-driven organizations are thriving because they tap into something deeper — their “why.” 

One of the most effective approaches to identifying this “why” is to go through the process of writing a company purpose statement. If you’re a leader seeking clarity for your company and wanting team members to feel more connected to your organization’s mission, crafting a clear purpose statement will help your organization reach the hearts of its people and ultimately achieve meaningful outcomes.

In this post, we’ll share what a purpose statement is, how it relates to company culture, why it matters, and how you can create one that resonates with your audience — whether that be your team, your stakeholders, or your customers. We’ll also look at several examples of purpose statements and provide step-by-step guidance so that you can create a powerful purpose statement of your own.

What Is a Purpose Statement? (And How It Differs From Other Statements)

A purpose statement is a concise declaration of an organization’s core reason for being. It answers the question: “Why does this company exist?” Unlike mission statements, which focus on what the company aims to do, a purpose statement states why these goals matter in the first place.

While closely related to other organizational elements, purpose statements differ from value statements, beliefs statements, and employee value propositions. Let’s look at the differences:

• Value Statements name the principles that guide behavior within an organization. These may describe a company’s commitment to creativity, boldness, or social responsibility, but they don’t explain the deeper reason for the company’s existence.
• Beliefs Statements reflect what the organization stands for in a broader, philosophical sense — what the company believes to be true about the world and the company’s role in it.
• Employee Value Propositions (EVPs) outline what employees can expect in return for their contributions, including benefits, work culture, and career growth opportunities. EVPs are more focused on internal stakeholders than on the external mission.

Each of the above plays an important role to shape company culture, but a purpose statement goes beyond them by defining the core motivation behind everything the company does.

How Purpose Statements Contribute to Thriving Workplace Cultures

Across industries, we’re seeing an increasingly purpose-driven marketplace. Having a clear company purpose statement is more than just a good idea — it’s critical for success. Research by Blue Beyond Consulting shows that 82% of employees feel more motivated when they believe their company has a strong sense of purpose. Moreover, organizations with a clear purpose statement experience increased customer loyalty and attract top talent, especially as younger generations of workers seek out employers whose values align with their own.

Another study from Deloitte shows that purpose-driven companies grow three times faster than their competitors and have higher levels of innovation and employee satisfaction. A purpose statement offers companies a guiding light, providing clarity on their direction and inspiring employees to bring their best selves to work.

For leaders, a purpose statement can serve as a north star for decision-making, ensuring that choices are aligned with the organization’s broader goals and values. For employees, it provides a sense of meaning and fulfillment in their day-to-day work.

Examples of Excellent Purpose Statements

To demonstrate what makes a great purpose statement, we’ve shared some of our favorite examples from leading companies:

1. Patagonia: “We’re in business to save our home planet.”

This statement is direct, powerful, and clearly ties to the company’s mission of environmental conservation. Because the company was founded to encourage people to explore nature, founder Yvon Chouinard knew that its consumers had a vested interest in protecting the environment. 

When this new purpose statement was launched in 2021, it allowed the company to spotlight the environmental causes it cares about. From building a brand new organic supply chain to combat environmental harm caused by chemical conventional cotton to their environmental activism, Patagonia’s purpose continues to resonate with and grow its cult consumer following. And, with their value-led recruiting, they continue to shine as a Top 100 Most Loved Workplace® in Newsweek.

2. Tesla: “To accelerate the world’s transition to sustainable energy.”

Tesla’s purpose statement is ambitious and future-oriented, making a strong declaration of the company’s reason for existing — to drive transformative change. 

By speaking to tech-savvy consumers who value prestige and sustainable transportation, the company actively promotes their vision of enabling the global shift to electric vehicles and reducing the world’s reliance on fossil fuels. 

Because it steers from conventional marketing strategies, Tesla relies on customer loyalty and buzz generated by their word of mouth. And, according to Consumer Reports, Tesla garners the highest owner satisfaction among automotive brands. It’s evident that Tesla’s success is supported by customers who are not just buying a product, but the set of values inferred in its purpose statement. 

3. IKEA: “To create a better everyday life for the many people.”

IKEA’s purpose statement centers on improving quality of life, highlighting its customer-centric approach and focus on accessibility. By marrying the what they do (selling home goods and furnishings) to their why (offering function and affordability to many), IKEA is able to reach the masses and meet a real social need. 

The proof of their success is in the ubiquity of their products — from office spaces, college dorm rooms, young family homes, eateries, and more.

4. Google: “To organize the world’s information and make it universally accessible and useful.”

Google’s purpose statement directly links to its function as a tech giant while highlighting the broader impact of its work. The company is a sought-after employer by top talent and has earned its reputation through leading with purpose and focusing on employee engagement. 

Google’s perks, flexible work policies, and opportunities for creativity, such as the “20% time” for personal projects, keep employees motivated and engaged, while connecting their work to a noble, larger purpose, contributing to the company’s success. Employees appreciate these values and the direct impact they can make, which leads to high satisfaction and retention​.

5. Disney: “To entertain, inform, and inspire people around the globe through the power of unparalleled storytelling.”

Disney’s purpose statement captures the magic of its brand and emphasizes its global reach and creative influence. The corporation drives its success by aligning employees with a common purpose, fostering happiness, and empowering its workforce to deliver exceptional customer experiences. 

This sense of purpose strengthens employee engagement and loyalty, contributing to the brand’s global reputation. Disney’s focus on talent management and listening to employees further enhances satisfaction and motivation, ensuring employees are both happy and productive, which ultimately benefits customers, too.

Notice what these companies have in common? Their purpose statements do three things well: align with their companies’ core missions, motivate employees, and resonate with customers.

How To Write a Purpose Statement

Writing a purpose statement can feel daunting, but with a structured approach, you can craft one that inspires and drives your organization.

Here’s a step-by-step guide to get started, using similar steps we took during our work with a leading global ingredient solutions company (read the full case study here):

1. Identify Your Core Values

Start by asking, “What values guide our organization?” Core values are often simple one- or two-word concepts that answer this question. As examples, your core values could be “integrity,” “diversity,” “innovation,” “customer satisfaction,” or any other qualities that make you, you. ​To identify your company’s core values, start by actively listening to employees to assess the current culture and understand their aspirations for the future. Do this through a combination of surveys, interviews, or focus groups. These methods will help uncover what they envision for the organization’s shared future.

Ensure that your listening efforts are inclusive, representing a diverse cross-section of the organization. Include employees from different demographics, regions, functions, and job levels to capture a comprehensive perspective of the organizational culture.

Knowing your company values is a crucial first step because it impacts everything from audience engagement to brand reputation and strategic direction.

2. Define Your Audience

Who are you here to serve? Is it your customers, employees, or the broader global community? An excellent purpose statement can resonate with multiple important audiences. Plus, knowing who you’re speaking to primarily is essential to shaping a meaningful and impactful purpose. 

Listening to employees plays a key role in this process. Not only does it help you understand their needs and wants, it also provides valuable insights into what your customers want too. Since employees often have the closest relationship with customers, they can offer key and nuanced insights on your customer base’s desires and expectations.

3. Ask Why” Multiple Times

Why does your organization do what it does? Go deeper than the surface level. For instance, if you sell software, ask why that technology matters to your customers’ lives. When you learn that answer, ask why again. And then again. 

To answer these questions effectively, partner with leadership to align on the company’s core “why.” Urge your leaders to investigate why your organization needs to exist in the world. These conversations take time, so consider including them in your next leadership summit or full-day retreat itinerary. 

Leadership alignment ensures that the purpose statement reflects the organization’s vision and strategy. Take it a step further, and you can involve other key stakeholders, such as employees and loyal customers through surveys or a listening tour. Employees, especially those on the front lines, often know best their daily impact on customers and the community. Customers themselves can also provide a unique perspective on the value your organization brings to their lives. Engaging a variety of perspectives will refine your purpose statement to resonate across all levels and accurately reflect your organization’s true mission.

4. Keep It Simple and Clear

Your purpose statement should be easy to understand and remember. Avoid jargon, niche language, or complicated phrasing. Aim for one or two sentences that capture the essence of your purpose.

Use imagery and storytelling to make the statement resonate emotionally. They say a picture is worth a thousand words, and partnering with a talented visual communications team can bring your purpose and story to life. A well-crafted purpose should tug at heartstrings, connect employees to a shared mission, and be powerful enough to stick in people’s minds. Visualizing the purpose through relatable concepts ensures it’s not just words on paper but something employees and stakeholders feel.

Once you’ve created a simple and impactful purpose statement, find ways to reinforce it. You might launch it with a company-wide event or implement a “value of the month” campaign to continuously tell and reinforce the story behind your purpose. This will keep your newfound purpose front and center and fully embed it in the company culture.

5. Ensure It’s Future-Oriented

A purpose statement should look beyond the present and focus on the long-term impact of your organization’s work. It needs to be forward-thinking, conveying where the company is headed and the positive change it hopes to create in the future.

Aim to make your purpose both inspiring and relevant, motivating employees and stakeholders to work toward a shared vision. At the same time, it should be adaptable enough to remain meaningful as markets, industries, and sociopolitical environments evolve. A strong purpose transcends short-term goals and trends, serving as a guiding light that can navigate your organization through growth, challenges, and shifts in the business landscape.

6. Align It With Your Company Culture

Your purpose statement must align with the values and behaviors your company already embodies or aims to adopt. It should feel authentic and relevant to your organizational culture.

To help embed your purpose, create a “culture ambassador” network of internal champions who can promote and reinforce the message. Host interactive workshops with fun activities to help employees connect with the purpose and integrate it into their daily work.

Lastly, leaders need to “walk the talk,” consistently demonstrating the purpose through their actions. When leadership leads by example, it sets the standard for the entire organization.

From Purpose to Action: Making Best Use of Your Purpose Statement to Drive Results

Once you’ve created your purpose statement, the next step is to integrate it into the fabric of your organization. Here are key strategies we use to create purpose statements that move organizations forward:

1. Communicate It Effectively

Every employee should understand and feel connected to the purpose statement. Remember that storytelling and visuals are powerful tools to demonstrate how you live your purpose every day. Start by weaving your purpose into your onboarding materials to set the foundation for new hires. Be sure to incorporate your purpose via branded visuals in all-hands meetings and other internal communications to keep the purpose top of mind. 

You can also create an internal and external campaign, leveraging personal stories shared by employees about how the company’s purpose resonates with them. This helps create a culture of shared values that can also make for a great marketing strategy to share with customers.

2. Model the Purpose Daily

Leaders should exemplify the company’s purpose in their actions and decisions. Have leadership teams reference the purpose in management meetings often and tie it directly back to the business strategy. 

In day-to-day operations, make the purpose visible by aligning team goals and key performance indicators (KPIs) with it. Encourage managers to use the purpose as a guide for decision-making, from developing new products, to handling client relationships. 

3. Refine When Needed

Organizations evolve, and so should their purpose statements. Regularly review your purpose to ensure it reflects the current direction of the company. When there are major shifts — like mergers or acquisitions, new leadership, or expanding into new markets — gather a cross-functional team to assess whether the purpose still aligns with the company’s vision and goals. Surveys or focus groups can help gauge whether employees and customers still connect with the statement. Adjusting it when necessary ensures ongoing relevance and impact.

Create a Culture Where Both the Business and the People Thrive

Both consumers and the workforce have evolved to become increasingly purpose-focused, caring more and more about supporting and investing in organizations that show alignment with their values. Well-written purpose statements help organizations stand out, strengthen workplace culture, and drive desired business outcomes. 

Ready to start defining or redefining your organization’s purpose? Get started with our values assessment and let us help you align your company’s core values with a powerful purpose statement.