Wednesday, March 26, 2008

What is your social purpose?

I believe that every business, every organization must prove that it represents synergy.

Every organization takes three resources from the society, the communities it serves. Every organization absorbs land meaning, when you occupy a space, a footprint on the ground or an office in a tower, no one else can use it.

The same goes for human resources – when they are working or volunteering for you, they are taken from other enterprises, family life, and more. When organizations pull capital from the community, it is no longer available for other investment or spending options.

Organizations process those resources to produce products and services. Here is the first evidence that the organization is accomplishing something.

Sales and advertising efforts generate output, the point when the customer takes the products or services. This often means revenue to the organization. The output stage often defines success to people in organizations.

Yet, the return of customers depends on outcome, the realization by the consumer that the products and services actually made their lives better. If an organization does not generate an accumulative outcome that exceeds the cost of the inputs of land, labor and capital, the organization will collapse and die.

The highest level of planning, strategic planning, deals with outcomes. Where are the needs in the world, the US, your state, the communities you serve that are not being met? There are needs out there. If your organization can identify a need and make a difference, and it made sense based on what you already do well, shouldn’t you look at it carefully?

Analyze the broad market place on a regular basis, not just your niche but broader. Prove your worth by producing outcomes that benefit the communities you serve.

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