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Embedding Purpose into Leadership

Embedding Purpose into Leadership

In 2019, Business Roundtable, an association for CEOs of America’s leading companies— including nearly 200 CEOs of brands such as Amazon, Apple, Microsoft, McDonald’s and Target— made a significant change to their Statement on the Purpose of a Corporation. Before this change, their Statement of Purpose reflected a common belief that the only purpose of a corporation is to benefit shareholders. However, in August of 2019, the group adopted a new philosophy, declaring that the purpose of a corporation is to deliver long-term value to all stakeholders through a commitment to customers, employees, suppliers, communities and shareholders. This shift in purpose is an important one, but only if it is truly embedded into the culture of the companies and the actions of their leadership.

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