In the past five years, there has been an enormous increase in interest in purpose driven leadership. For many business experts and consultants, including our purpose expert Regina Rosenstatter, purpose driven leadership is the key to more success and satisfaction for companies, leaders and employees.

Why it is even more important to talk about Purpose in times of crisis

The current COVID crisis has made life even more challenging for both companies and their employees. The topic of self-leadership is currently in high demand. Evaluate your own leadership mission, your own leadership approach and be clear about what form of leadership is effective for your company.

Central questions are how to maintain the relationship with your team and individual team members in the virtual world and how to maintain the work performance and motivation over a prolonged period without physical contact. The challenge for managers is not primary to control goals, but rather to be able to maintain a sense of belonging in the team and to the company despite the distance.

And this is exactly where a common why, a common purpose – a common goal – can be more important than ever. Pulling on one string, knowing what each person can specifically contribute.

That is why companies and leaders need a very clear understanding of why they do what they do. A crystal-clear formulation of this. Because only this common goal – a common purpose – creates a bond and maintains the relationship.

Especially in difficult times, purpose functions as an ” inner compass” and can give hope and courage to leaders and employees.

What can “purpose” specifically do for you and your company?

On the one hand, purpose is understood as a source of energy and a motivator and, on the other hand, as the ultimate goal that we strive for together.

Purpose leads to motivation and energy

Meaning is a kind of natural human need. What is experienced as meaningful generates an inner strength and provides us with energy to act. When we are convinced of something, hours fly by like minutes, we get into a so-called flow state and are full of energy. And if we lack purpose, if we don’t believe in the project, in the task, in the supervisor – then we also lack energy and motivation.

Navigating with Purpose

Purpose offers orientation. It is a point of reference for the alignment of fundamental questions. Companies, leaders who have a very clear inner vision – create unity in turbulent times and complex situations. Purpose becomes a stabilising element in agile procedures and makes it easier to make good decisions in the interests of the organisation. Purpose offers navigational assistance.

Humans are incredibly sense-oriented beings. It is a primal drive of every human being to experience the time we invest professionally as meaningful. Quite like Viktor Frankl, who dedicated himself to this topic, says in a quote: “Whoever has a why to live, can endure almost any how”.

Purpose thus makes the following essential things possible:

It is an ENERGY PROVIDER, the greatest intrinsic MOTIVATOR and a navigator in turbulent times.

Aren’t these exactly the things that companies and us humans need in challenging times?

The two most important days in your life are the day you are born and the day you found out why. (Mark Twain)

More success through purpose

Companies that are very Purpose-centred grew four times faster than their competitors. It also showed that these companies not only outperformed in growth rate, but also performed better in other areas such as talent recruitment, employee engagement and loyalty.

Click here for the Korn Ferry Institute 2016 study 

Purpose Driven Leadership leads to more employee satisfaction and loyalty

How can Purpose be operationalised and applied in reality?

The 3 levels of Purpose

Regina Rosenstatter has developed the following model to show the 3 different benefit-levels on which PURPOSE works.

Company Purpose

The company purpose makes a contribution to society that goes beyond profit maximisation. And by stating this, but above all living it strongly internally and externally, the company purpose provides orientation in turbulent times. The more clearly companies communicate what their reason for existence is and which leadership values dominate, the clearer the profile. And this is the strongest driver for a powerful employer brand in order to be perceived as an appealing employer on the market in the long term. Our much quoted Generation Y not only demands room for development, but above all room for meaning in their work. Companies that succeed in bringing the best minds on board will be successful in the long term. And for this reason alone, it is worth giving Purpose space.

Personal Purpose

No matter whether your company has a purpose statement or not. The key to realising the full leadership potential of leaders lies in good self-leadership and self-reflection. By becoming aware of one’s own leadership DNA, one’s own professional essence, all that distinguishes leaders from others is the starting point for effective leadership. Self-reflection on one’s own stance and leadership personality leads to role clarity.

Purpose as a leadership tool

If it is possible, to convince employees of the common purpose, the sense of the project, the work as a leader, especially in difficult times, this is the greatest instrument to motivate people intrinsically. If we succeed in reinforcing the “why” in communication, in explaining to employees “why” various activities have to be done, “why” decisions are made the way they are, we increase the chance that we will convince them. And it is worth going that extra mile as a leader and translating it in a way that is understandable to the recipient.

There are different areas that are important for the success of a company. A lot of Consultants, management experts and authors discuss whether Purpose is a hype that is just being pushed forward. It is argued that perhaps in times of crisis, organisations and leaders need to focus on other issues. Regina Rosenstatter and we are convinced that it is a combination of both.

Author: Regina Rosenstatter

Author: Regina Rosenstatter

Co-Founder Purpose Matters, Trainer, Coach, Consultant & MDI Partner

Regina Rosenstater contributes more than 15 years of experience in top management. She is the founder of Purpose Matters, MDI partner, consults, coaches and trains leaders on the topics of purpose, empowerment, agility and change. She guides companies and people to become more effective and to develop their full leadership potential.

In-depth e-learning

Would you like to delve even deeper into the topic? The entire e-learning “Purpose Driven Leadership” for leaders and companies will be available soon!

If you have any questions, please contact us.


Be it a Purpose Quest, Leadership Journey or a Masterclass, we will be happy to consult with you individually. By the way: A comprehensive e-learning “Purpose Driven Leadership” for leaders will be available soon.

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