Quick Summary

Building a purpose-driven business starts with identifying your ideal customer (WHO), understanding your core purpose (WHY), setting a bold mission (WHAT), and defining guiding principles (HOW).

Takeaways

  • Start with Who – Identify your ideal customer first.
  • Clarify Your Purpose – Define why your business truly exists.
  • Set a Bold Mission – Establish a clear, measurable goal.
  • Live Your Values – Build a culture around guiding principles.

Have you ever stopped to ask yourself ‘what is the bloody point?’

I do it quite often.

Before you refer me to counselling, I’m not talking about an existential crisis (though I have my moments…). I’m talking about your business, the reason it exists. Not the profits it makes, not the people it employs, but its actual, underlying purpose.

What is your company’s purpose? It’s a short sentence, but a big question.

Most companies stumble because they treat purpose as a buzzword and confine it to promotional materials and PowerPoint slides. In my experience, the best leaders are those who transform purpose from empty words into the guiding light for every decision, action and interaction.

How starting with WHO can take your business to the next level

Hopefully, this blog can help you become such a leader. I’ve worked with many companies struggling to identify their purpose, helping them to guide their discussions so that purpose stops being an intangible buzzword and takes its rightful place at the heart of the organisation.

My solution borrows from Jim Collins’ clear definitions – by focusing on your ideal customer (your WHO), understanding why you exist (your WHY), defining what you aim to achieve (your WHAT) and living by a set of values (your HOW), you can create an integrated vision based on purpose that transforms your business. Simon Sinek says that defining purpose should start with your WHY, but I say b*ll*cks to that – the answer can be found quicker and more accurately if you start with WHO your ideal customer is.

Let’s explore how we move this thinking from statement to strategy.

The problem: Purpose without practice

I’ve seen countless companies invest significant time in defining their purpose, only to be left with a flimsy, powder-puff set of guidelines that even they themselves don’t believe translate into impact. Why? Because they confuse purpose with mission or values, leaving it to become a vague slogan rather than the driving force behind their every action.

When purpose exists on paper but not in practice, it breeds disillusionment among employees and customers alike. Without that connection, your organisation becomes just another faceless profit-chaser, with disengaged staff pushing products or services to ambivalent customers. And it sucks.

The solution: A clear framework for purpose-driven leadership

The answer is to adopt a clear, structured approach that distinguishes purpose from other strategic elements. I rely on Jim Collins’ framework to avoid the trap of seeing purpose, mission and values as one and the same thing. Here’s how it breaks down:

  • WHO – Your ideal customer: The very reason your business exists.
  • WHY – Your purpose: The deep, emotional reason that matters to both your customers and your organisation.
  • WHAT – Your mission: The bold, measurable goal (often a Big Hairy Audacious Goal, or BHAG) you strive to achieve.
  • HOW – Your values: The guiding principles that dictate how you operate.
  • VISION – The integrated picture: The combined image of WHO, WHY, WHAT, and HOW that guides your strategy.

This isn’t academic mumbo jumbo, nor is it a collection of glossy buzzwords. It’s a practical blueprint that can help you build your business so that it lives its purpose every minute of every hour of every day. Let me explain how you can do it.

Start with your WHO: Know your ideal customer

Too many businesses try to service everyone. Be different. Start by asking: ‘Who is the customer we really exist to help?’ Think beyond demographics – dig into their pain points, their aspirations, their daily challenges. Your ideal customer profile (ICP) should describe someone who most values what you do. It’s not the same as identifying your current best customer and chasing more people like that – you might not have a single existing customer who fits ‘the dream; but once you’ve identified what they look like, attracting customers who fit the bill should become your number one goal.

I’ve seen companies shift from a product-centred mindset to a people-centred approach as a direct result of this simple exercise. By focusing on your ideal customer, every strategic decision – from product development to customer service – can be designed to solve real problems. When you know who you serve, your purpose naturally follows.

Define your WHY: The real reason you exist

Once you understand your customer, the next step is to articulate why your business exists. This is where purpose comes into play—it’s not a catchy tagline but the emotional core of your organisation. 

Take Patagonia as an example. They exist to sell outdoor clothing, right? Wrong. From its very inception, Patagonia has had a clear WHY, captured in the statement: ‘We’re in business to save our home planet.’ Think about what Patagonia is serving, not what it is selling. They are here to help us explore the wonderful planet we live on. How can they do that if the products they sell contribute to destroying it?

A clear WHY like this connects with customers on a personal level and galvanises employees. It answers the fundamental question: “What difference are we here to make?” 

A purpose that speaks to human need—not market share—can be the rallying cry for your entire business.

Craft your WHAT: The ambitious mission

If the WHY tells you why you exist, then the WHAT defines what you aim to achieve. This is your mission or BHAG (Big Hairy Audacious Goal). It should be a bold, ambitious target that turns purpose into measurable outcomes. A strong mission isn’t just a list of goals; it is a call to action that inspires everyone in the organisation.

Live your HOW: Values in action

The HOW represents the values that guide your everyday actions. These are the principles and behaviours that shape your company’s culture. They make sure that that your purpose is realised in practice. Living your values means more than writing them on a wall; it means embedding them in every decision, every meeting, and every customer interaction.

For example, Best Buy redefined its approach by becoming “an inspiring friend” to its customers. Employees were trained to listen and empathise rather than simply upsell. When values like authenticity, care, and responsiveness are lived by everyone, they transform how your business operates. Customers can sense the difference, and a strong, value-driven culture builds trust and loyalty.

Unifying it all: The vision that guides

When you align your ideal customer (WHO), your purpose (WHY), your mission (WHAT), and your values (HOW), you create a vision—a clear, integrated picture of what your business aspires to be. This vision isn’t just a statement; it’s the roadmap that guides every decision.

A compelling vision challenges you to think beyond the short term. It requires you to constantly question how every aspect of your business contributes to the greater good. This integrated vision is what drives innovation, fosters resilience, and creates lasting value for all stakeholders.

Putting purpose Into practice: A step-by-step approach

Defining your purpose is only half the battle. The real work is in making it a living, daily reality. Here are some practical steps to operationalise your purpose:

1. Involve your team

Purpose must be owned by everyone, not just dictated from the top. I have found that when employees share their personal stories and discover how their values align with the company’s purpose, they become passionate ambassadors. Consider workshops or team sessions where your staff can explore what your purpose means to them. When people feel personally connected to the vision, they’re likely to drive it forward in ways you’d never even considered.

2. Embed your purpose in your strategy

Make your purpose the foundation of every strategy session. Review your products, services, and processes with these questions:

  • Stop: What activities no longer serve our purpose?
  • Evolve: How can we refine our approach to better serve our customers?
  • Start: What new initiatives align with our WHY?
  • Continue: Which successful practices reinforce our purpose?

This exercise forces you to take tough decisions and ensure that every part of your business supports your core purpose.

3. Remove operational hurdles

Implementing a purpose-driven strategy comes with challenges. Daily pressures often distract from long-term goals. Think about how you can free people from the daily grind to think about the bigger picture. You might create an innovation lab (or you can come and use ours!) or a strategic team focused solely on piloting projects that align with your purpose. Prepare for resistance and be patient—change takes time, but the payoff is worth it.

4. Align management practices

Your leadership practices should reflect your purpose. If your own behaviour as a leader reflects the purpose of the business, you’ll be sending a strong message that will resonate with employees at every level. Purpose comes first. Rethink your metrics: develop performance indicators that measure customer satisfaction, employee engagement, and community impact alongside financial results. This balanced approach ensures that every decision reinforces your purpose.

5. Nurture a fertile environment

Finally, remember that purpose is like a seed that needs nurturing. Create an environment that fosters autonomy, encourages continuous learning, and supports innovation. It will help everyone buy into what you’re doing.

A final challenge to you

Still with me? Good. Up for a challenge? Even better. I want you to take a hard look at your business today. Ask yourself: Is your purpose more than just a slogan or a section on your website? Does it genuinely guide every decision, every action, and every interaction within your organisation?

Consider what truly drives you and your team. Why does your company exist beyond making a profit? Is your purpose a living, breathing force that continually inspires your work and delivers real value to your customers, employees, and the community at large?

I challenge you to examine whether your purpose is being actively lived out each day. Does it inform your strategy, shape your culture, and lead to measurable outcomes? Or has it become a vague idea that’s lost its impact amid the pressures of day-to-day business?

Take this opportunity to reassess and, if needed, redefine your purpose so that it resonates deeply with the real needs of your ideal customer. 

Your purpose is not just an abstract concept—it is the core of what makes your business matter. So, I challenge you: make your purpose count. Let it be the guiding light that transforms your organisation from within, ensuring that every effort you make truly contributes to something greater than the sum of its parts.

The challenge is set. The solution? It’s over to you.


Written by business coach and CEO mentor Dominic Monkhouse. Read his new book, Mind Your F**king Businesshere.