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Most companies have articulated their purpose — the reason they exist. But very few have made that purpose a reality for their organizations.
Consider Nokia. Before the iPhone was introduced, in 2007, Nokia was the dominant mobile phone maker with a clearly stated purpose — “Connecting people” — and an aggressive strategy for sustaining market dominance. Seeking to extend its technological edge (particularly in miniaturization), it acquired more than 100 startup companies while pursuing a vast portfolio of research and product development projects. In 2006 alone, Nokia introduced 39 new mobile-device models. Few imagined that this juggernaut, brandishing vast resources with such steely determination, could be quickly brought down.
In retrospect, it seems inevitable. Nokia was so immersed in executing its strategy that it lost sight of its purpose. When Steve Jobs introduced the first iPhone as “a leapfrog product that is way smarter than any mobile device has ever been, and super-easy to use,” Apple started “connecting people” at astounding new levels. Nokia’s purpose had been co-opted, making its myriad strengths irrelevant. The once-dominant Nokia soon lost much of its market cap and was eventually acquired by Microsoft.
Via The Learning Factor
SpaceX, Nestlé, and Apple all do it.