Why does our organization exist?

The first of five fundamental questions:

A Cause Greater has started a new series of blogs in 2022 called “Five Fundamental Questions That Unlock Your Organization’s Future Value.” Last month we unpacked why these questions are fundamental and created space to understand more about what we mean by future value. 

This month we are going to tackle one of the most foundational questions in all of organizational development: Why does our organization exist?

Peter Drucker’s seminal work The Five Most Important Questions You Will Ever Ask Your Organization starts with this question, and Simon Sinek believes in the primacy of this question so strongly that he put it at the center of his Golden Circle.

For me, the question “Why does our organization exist?” carries deep meaning, one with vocational motivation. It’s the reason why I named my blog A Cause Greater and why I agreed to become CEO of an organizational development company whose mission is helping organizations and their leaders transform for a vibrant future. (Read more about Design Group International’s mission here.)

Asking Why Keeps Us Connected to Our Mission

Each organization, regardless of profit motive, has a central purpose or reason that defines why they were created. It is their core, from which all organizational life emanates. It is the sun at the center of their universe. 

So why is continually asking this question fundamental to the organization? When running a business, a non-profit, or a university, over time we develop routines, processes by which we achieve our stated objectives and fulfill our mission.

Over time, these systems can become disconnected from our mission, perhaps inadvertently at first, and begin to take on a life of their own. We begin to focus on the system rather than why it exists. We begin to feed these systems resources (often scarce resources) that could be used in other places. We might even begin to protect these established systems from criticism, harm, or change. 

But when we know why we exist, we are better positioned to understand how to do things and determine what are the right things to be doing to advance our mission. This is the connection to the future value of our organization and how the systems we create to support that value either impede that value from being created or propel us towards it.

Asking Why Keeps Us Connected to Our “Customers”

Returning to Drucker’s book, his second and third questions are, “Who is our customer?” and “What does our customer consider value?” 

Customers (insert your word here: clients, students, alumni, members, patients, etc.) are not static beings. They each live in a world that is changing, expanding, growing. Therefore, their needs change, what they consider value changes, and what they need to achieve their own “why” changes. Periodically answering Drucker’s questions is vital to staying connected to your customer. 

Here’s a simple example. Let's say your nonprofit is looking to develop a younger donor base (donor is another word for "customer," by the way) that are tech-savvy and in their 40s. These prospective donors pay their bills electronically and rarely send snail mail.

Should you send them an appeal letter with a donation envelope that requires writing a check and applying a stamp like you do donors over the age of 65? Or are there other ways to invite them to give that better fit who they are and how they like to use technology?

If it’s been a while since you asked who your customer is and what they truly value, then it’s time to take a close look at these questions. You may be surprised by what you learn!

If you would like to talk about more about how to go deeper into reviewing your organization’s mission and purpose, please feel free schedule a high-value 30-minute discovery call with me. I'd be honored to listen and learn more about the value your organization provides.

As always, please feel free to call me at 616.516.9870 or email me at lons@designgroupintl.com.

Walking alongside you,

Lon L. Swartzentruber
CEO, Design Group International
Senior Design Partner