Purpose, ambition, and strategy framework

We have used the purpose, ambition, and strategy framework to develop our EO 4.0 transformation blueprint. Why have we used this framework? The purpose, ambition, strategy framework is used by many businesses today, large and small, and it has proved to be very effective. The framework was first developed by Dave Allen, the CEO and founder of Brandpie, to help reposition the oil and gas multinational, BP, and give it a new purpose of moving beyond petroleum. Simon Sinek was influenced by this work and developed his “Why, How and What” elements to talk about identifying the purpose behind a business idea.

In simple terms, purpose captures why an organization exists. Ambition defines what it wants to achieve. Strategy summarizes how the organization will support its purpose and achieve its ambition.

The purpose, ambition, and strategy framework is simpler and more effective than the vision and mission model. It is less open to misinterpretation. Vision and mission can cause confusion in boardrooms and create frustration between marketing and the core business.

Vision also seems to capture an idea that has not quite been realized. Purpose is a much more confident assertion of the reason a business exists. We have also seen several examples of vision statements that are not quite visionary.

We have based our EO 4.0 transformation on this framework for these reasons.