When we talk about team purpose, it’s easy to think of it as some philosophical statement—a lofty, feel-good phrase that lives on a wall or gets brought up during a marketing event. But in reality, a purpose statement is one of the most practical tools a leader can use to manage a team or organization.
At its core, the purpose is the reason work gets done, not the “what” of the work itself. When it’s clear and understood, it becomes a guiding light that steers everyone in the same direction. Leaders who consistently remind their teams of this purpose don’t have to micromanage because their team knows why they’re doing the work, and that “why” helps them make better decisions on their own.
A purpose statement also serves as a source of inspiration. When a team really connects with the deeper meaning behind their work, it taps into something much more powerful than just going through the motions. People want to contribute to something meaningful. That’s the first reason why purpose is more than just a nice thought—it inspires action.
The second reason is that a clear purpose helps align all the little decisions made every day. If your team truly understands the “why,” they’re more likely to stay on course, even when they’re making decisions independently. Without that understanding, even the hardest workers can be putting in effort that doesn’t move the needle in the right direction.
So, the clearer the purpose, the less you’ll need to control the day-to-day details. Your team will take initiative, knowing they’re working on the right things because they get the bigger picture. And that’s when real progress happens. To that end, in the words of Verne Harnish, “a CEO needs to repeat the purpose so often that people’s eyes start to roll back in their heads when they say it.”