“What Kind of Company are we Building”
As a kid, I remember when people protested the killing of Dolphins by Tuna Fleets. I remember when the Dolphin Safe logo was added to certain cans, and that those were the brands we would buy at the store.
For some reason, that moment has stuck with me, one of those childhood memories that remain. It speaks to me now of the power of the consumer. The power to drive decisions in businesses. Fishing in a less harmful way was not good for the bottom line. It costs more, it is not efficient. But if the company did not make the change, their sales would plummet. What began as a short-term economic negative became a long-term imperative.
If I am building a company I wish to hold forever, shouldn’t I think the same way?
Shouldn’t long-term results matter more than short-term?
An investment in doing things the right way, treating employees the correct way, and providing the best quality product. Don’t those investments, while costly today, maximize economic results in the long run?
Thinking about our obituary to live a better life.
We have all heard the lesson of imagining our obituary in order to make better decisions about how we live today. Allowing our future self to influence our present actions.
Shouldn’t we think the same about our companies?
What type of business will we be proud to look back on when we are finished?
Will it be the company that maximizes this year’s profit at the expense of the future?
The company that bought poor ingredients to eke out a couple more gross margin points?
The company that limited benefits to the mandated minimum to get the most efficient KPIs possible?
Or will it be a business that creates an environment where people treasure having their jobs? Where they would recommend a family member or close friend come and work.
Will it be a business that crafts quality products and services?
Delivering on their promises while owning up to mistakes and making them right with their customers.
Will it be the business that did all of this without waste, operating efficiently, and fairly? Achieving first-class returns while maximizing long-term relationships with employees and customers.
Focusing on the long-term goal, rather than the short-term prize will lead to better decision-making along the way. Will lead to building something we are proud of.