The most significant positive impact of being purpose-driven is its effect on employee experience. 

An organization with a clear purpose and uses it as a focus for everything it does has an enormous impact on the entire employee lifecycle. This includes finding talent, pre-boarding, and onboarding new hires to employee performance, productivity, loyalty, retention, advocacy, and even offboarding. If you lead by purpose, you will create a better and more efficient working atmosphere for yourself and your employees. 

 

The steps include:

1. Talent acquisition

Companies like Patagonia typically have thousands of applicants for each position they advertise. Why is that? When the purpose of an organization is so clear, candidates whose individual purpose aligns with the company will want to work for them. Being purpose-driven means you’ll be able to choose the best fit from a range of high-quality candidates. This without having to spend thousands on finding and convincing them to work for you. 

2. Onboarding

 Everything becomes easier when people know what you stand for as a company from the outset. Organizations that don’t have a clear and compelling purpose need to spend extra time and resources to explain their values, mission, vision, etc.. to their new hires. 

People joining purpose-driven companies already know that which makes onboarding so much easier.

A study from Jobvite shows that 33% of new hires leave within their first  90 days. That’s shocking! Some 88% of people say culture makes or breaks someone’s experience. The best way to create a great company culture is to make sure they know why your company exists and the impact you are trying to make on the world.  

3. Performance

Working with a purpose produces more motivated and energized employees. Currently, 71% of millennials report feeling not engaged or actively disengaged at work. But if you can create a situation where employees derive meaning from their work, it can change everything. 

A recent Harvard Business Review study found that employees who derive meaning from their work have almost double job satisfaction. They are also three times more likely to stay with their organization to fuel business success.

4. Retention

Returning to Patagonia, founder Yvon Chouinard hired an external psychologist some years ago to analyze if the brains were doing the right jobs in their company. After talking to many employees, the psychologist reported back to him and said: