By Kerry Tucker and
Teresa Siles, Nuffer, Smith, Tucker, Inc.
Mistrust of
business, politics and nearly all traditional institutions is thick in the air
with American consumers, particularly millennials. While social distrust is a relatively
new norm, not all companies and brands are failing. Those that connect with
consumers on reasons for existence beyond the mighty dollar tend to thrive —and,
paradoxically, see soaring profits to boot.
These organizations —
Southwest Airlines, Starbucks and Hilmar Cheese to name a few — are gaining
competitive edge by defining what they stand for with values that transcend gender,
demographics, politics or other factors that tend to divide rather than unite. We
call them “purpose-driven” organizations. Their focus is on the end benefit
they provide to people or society at large.
While purpose-driven
organizations can’t be manufactured and must be rooted in authenticity, there
are tools to help define an organizational purpose. In our view, there could be
no better sector suited for purpose-driven planning than agriculture. After
all, food — healthy and sustainable food — is the foundation not only for health
and wellness, but also for allowing people and societies at large to thrive. Add
to that a growing food culture, and the opportunity is ripe for purpose-driven
food and agriculture organizations.
Dairy Council of
California, Wholesum Harvest, Duncan Family Farms, Growers Express and Markon
Cooperative are a just a few organizations in agriculture that are introducing
purpose-driven plans.
All of these organizations
are on a journey, tapping into their motivations and deeper reasons for their existence,
or what Jim Stengel, former global marketing officer of Proctor & Gamble,
calls “ideals.” It’s a pathway designed to build trust and align an
organization and the people it touches behind a strategic plan driven by
purpose, core values and a vision for success.
“It’s about linking
and leveraging the behaviors of all people important to a business’ future, because
nothing unites and motivates people’s actions as strongly as ideals,” said Stengel
in “Grow.”
The business case
for a purpose-driven company is not just about altruism or corporate social
responsibility, and defining an organizational purpose is no touchy-feely
exercise. Organizations driven by purpose (and core values) outperform the
general market by 15 to 1 and competitors by 6 to 1, according to Jim Collins
and Jerry Porras, authors of “Built to Last.”
In California, we
are in the midst of a journey to uncover the purpose of California agriculture
as part of a multi-year strategic plan called Ag Vision. This month, the Ag
Vision planning team will debate and come to consensus on agriculture’s
contribution to society. Is its purpose to fuel healthy people, a healthy
environment, a healthy economy? A quick answer to the question about social
purpose of agriculture often leads to some variation of “feeding the world.”
While this may very well be part of agriculture’s purpose, articulating it well
— and communicating it —is more important than ever, given the growing
propensity for distrust.
Whether fighting
perceptions of “big ag,” “factory farming” or the scientific advances behind
bringing food to market, digging deep into agriculture’s contribution to the
world at large is critical. Consumers are expecting more, and by aligning with the
fundamental reasons behind a product or company’s existence, and connecting
with consumers and the marketplace over shared values, success can be built.
If you’re not taking
this shift in consumer expectations seriously, you’d better rethink. The status
quo is no longer enough. We’re in a new era, where organizations can no longer
think solely about the benefits to owners, shareholders or supply chain
stakeholders. Instead, the consumer and society at large hold the keys for what
will or will not be a successful company. We’ve got to earn trust like no other
time before … is your company ready?
Nuffer, Smith,
Tucker is a strategic planning and public relations firm specializing in the
food and agriculture sector.
#30
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