Value-Driven
Purpose and Performance

Providing a Business with Real Purpose

What is a Value-Driven Purpose?

What is Value-Driven Performance?

Why are They Important?

How Do You Make Them Happen?

What is Value-Driven Purpose and Performance?

A Value-Driven Purpose is a statement of Organizational Purpose that reflects the target markets or communities that you serve, the offerings and value that you provide and the ultimate impact that is intended. Value-Driven Performance is the commitment of your organization to that Purpose; the Creation and Delivery of Real and Distinct Value to your customers. Given the appropriate supporting tools (such as our FastTrack 3-D Mapping Tools and Knowledge Base), the relentless pursuit of creating and delivering real and distinct value is a vital contributor to business success (or to the early recognition that you need to diversify or exit).

Distinct Value That Drives Your Purpose

Distinct Value and Purpose are intertwined in defining a business.

Organizational or Business Purpose is all about the impact that you have on your marketplace; the marshalling of resources and competencies, in a distinctive manner, to help people or organizations accomplish their ends with less effort, less money, less time, greater pleasure, more convenience and so on.

That is why we say that, in general, the purpose of a business (or organization) is to "Create and Deliver Real and Distinct Value". If you can't do that, why would you exist?

So, based on this, the strength and meaning of your purpose will depend on the  nature, magnitude and distinctiveness of the value you provide.

Potential vs. Realized Value

Every market has Potential Value because the population of every segment has needs that are not yet addressed.

Some needs are obvious and recognized and some are not.

Some needs are tangible (eating) and some are intangible (being cool).

The ultimate purpose of innovation is discovering and developing offerings that turn potential value into real value. Real value that is created; understood; communicated to the marketplace; delivered; and realized by the customer.

At Interactive Insights, we use a variety of techniques to identify Potential Value and we then use proprietary FastTrack 3D Mapping Tools to build a knowledge base of the Realized and Potential Value in each of your target market segments.

How Do You Develop and Implement a Value-Driven Purpose and Value-Driven Performance?

First you have to understand the primary objectives or ends of your target markets. Because, ultimately, you want to provide them with an advantage in achieving these objectives or ends (organizational and/or personal) that they can't obtain anywhere else.

Then, you have to understand the environment in which they are trying to achieve these ends. This, in turn, helps you to understand  their needs and then, knowing how these needs are currently satisfied, you can understand the Potential and Realized Value in that market (see previous column).

FastTrack Navigator allows you to map out the environment for each market segment: their ends or objectives; SWOTS; trends; and needs. It allows you to consider potential Value-Driven initiatives and map them into the segment. Viewing, discussing and thinking about potential initiatives in this environment helps to develop strategies and offerings that can turn Potential Value into Realized Value.

Employees are an important source of customer needs and ideas for creating and delivering additional Value - especially those employees that interface with customers and prospects. Their ideas can also be mapped into the customers' environment in FastTrack Navigator to identify potential opportunities for innovation and the creation of Value.

As you can see in the Section on Our Approach, Navigator allows you to build a Markets and Strategies "Map Folder" of inter-related maps that stimulate, provide rationale for and document organizational strategies and goals.

The Importance of Value-Driven Performance

Everyone understands the impact that a sustainable competitive advantage (or delivery of Distinct Value) creates. The advantages are clear: the potential for clear differentiation in positioning and messaging; appeal to the customer; higher margins due to value-based pricing rather than competitive pricing; market leadership; company growth theoretically limited by only market size; etc.

High margins and sustained growth mean satisfactory or better profitability, increased company valuation and shareholder/owner satisfaction. Further, a clear Value-Driven Purpose based on Distinct Value and its impact on customers provides positive motivation for employees. Value-Based Performance, when the focus is Value for the customer, means added value for all stakeholders.