"Business exists to maximize profit, period." I've heard that many times over my life - but it's simply not true. "All businesses exist - first - to fulfill a human need."

In order to keep serving human needs, profits are necessary and, I would argue, good. But not at the expense of what it means to be "human!" Yes, Dodge v. Ford said that companies can't priortize "the broader social good" over shareholder interests. But I still find the more compelling perspective to be, "At all costs, but not at anyone's expense."

So, what about the broader constellation of stakeholders? Peter Drucker once said, “The purpose of a business is to create and keep a customer.” But in today’s world, it’s about more than just customers—it’s about purpose, principles, people, planet, and yes, profit. Let’s break it down.

Purpose: why are we here?
Before we ask “how” or “how much,” we need to ask “why.” Simon Sinek’s famous words ring true here: “People don’t buy what you do; they buy why you do it.” A clear purpose is the North Star that guides decisions, inspires teams, and attracts customers and partners. Without it, businesses risk becoming hollow shells chasing short-term wins. He went on to note that Apple's orientation has long been, "Everything we do, we believe in challenging the status quo."

Patagonia goes further: “We’re in business to save our home planet.” And that's fueled its growth and loyalty. Forbes delves into purpose and finds notable examples where "purpose-driven companies" outperformed their peers.

Principles: are we doing it right?
Success without integrity is failure in disguise. As Maya Angelou wisely put it, “Do the best you can until you know better. Then when you know better, do better.” Principles like transparency, accountability, and fairness aren’t optional—they’re essential.

Take the recent scandal at Wells Fargo, where profit was prioritized over ethics, leading to a multi-billion-dollar settlement and a tarnished reputation. Contrast that with companies like Salesforce, which has embedded ethical decision-making into its core. PWC's 2013 Report found that “Organizations that prioritize ethical behavior are more resilient in times of crisis.”

People: are our teams thriving?
A company is only as strong as its people. As Richard Branson famously said, “Take care of your employees, and they’ll take care of your business.” Yet, too often, employees are treated as expendable cogs in the machine.

The real question isn’t just, “Are they productive?” but “Are they thriving?” The entire well-being industry arose around this basic view. And today, companies are putting even more resources into mental and emotional health. Gallup has consistently found that companies with highly engaged employees outperform their peers in profitability. Thriving people drive innovation, loyalty, and long-term success.

Planet: are we sustainable?
As David Attenborough reminds us, “The truth is: the natural world is changing. And we are totally dependent on that world. It provides our food, water, and air. It is the most precious thing we have.”

Sustainability isn’t just a buzzword—it’s a business imperative. It's shocking to me that there are still large swaths of people who are in abject denial about this! Companies like Unilever and IKEA are leading the charge, building circular economies and reducing waste. A 2023 report from the World Economic Forum found that companies adopting sustainable practices see a 20% increase in brand loyalty. The bottom line? Business thrives when the planet thrives.

Profit: is it worth it?
Profit matters—it fuels growth, innovation, and stability. But as Howard Schultz of Starbucks once said, “Profitability is not the ultimate goal. It’s just a means to an end—the end being the ability to serve your customers and employees.”

The real question is not “Are we making money?” but “At what cost?” If profit comes at the expense of our principles, people, or planet, it’s a hollow victory. True profitability aligns with purpose, creating value for all stakeholders. As a 2023 Forbes article noted, “Companies that balance profit with purpose outperform their peers in the long term.”

A stakeholder constellation
In today’s interconnected world, businesses can’t afford to serve just one slice of their stakeholder pie. As John F. Kennedy once said, “A rising tide lifts all boats.” In my view, the future belongs to organizations that embrace complexity with clarity, measure success with courage, and lead with compassion across a broad constellation of stakeholders:

• Employees

• Colleagues & Culture

• Owners & Executives

• Suppliers & Vendors

• Customers & Clients

• Broader Community

The last word
Serving all stakeholders isn’t a burden—it’s an opportunity. It’s a chance to build institutions that are not just prosperous but proud. And in doing so, create a legacy that truly serves—today and tomorrow. Let’s embrace this new way of thinking—not because we have to, but because we can. And because the world deserves nothing less.

~ Mark Head
© 2025. All Rights Reserved.

Aspirations
“Profit in business comes from repeat customers, customers that boast about your project or service, and that bring friends with them.”

~ W. Edwards Deming

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