Turning Into Organizational Performance - the role of passion in business management and leadership

Training & Development, May, 2001 by Richard Chang

Passion is not a privilege of the fortunate few; it is a right and competitive advantage that all organizations can leverage.

* A solid business plan and high-profit margin are critical to an organization's success, but passion can help turn good organizations into great ones.

* A number of private and public-sector organizations have incorporated passion as a key ingredient in their business strategies, such as Ben & Jerry's Homemade and Southwest Airlines.

* All approaches-- communication, education, environment, policies, and practices-contribute to building a passionate outlook within an organization.

What does your organization have that makes it better than the competition? How does it distinguish itself in an increasingly complex and competitive economy? Does it exude enthusiasm to clients and customers? Are your clients and customers excited about and loyal to your products and services? Does it attract and retain high-performing employees and strategic partners? If not, then it may be missing out on the greatest competitive advantage an organization can claim: passion.

Though skeptics will argue that a solid business plan and high-profit margin are of greater benefit, they are wrong. Certainly, both are critical to an organization's success. But while many companies have the technology and financial backing to succeed, few have the sheer emotional force to be the best. Essentially and fundamentally, passion is the competitive advantage that an organization can't buy. Passion can help turn good organizations into great ones.

Passion is the underlying force that fuels our strongest emotions. It is the intensity we feel when we engage in activities that interest us deeply. It fills us with energy and enables us to perform at our peak. Just as people can be guided and inspired by their personal passions, so can organizations be driven and defined by their collective passions. Organizations that are driven by the collective passion of their associates reap those same rewards.

A number of private and public-sector organizations that have incorporated passion as a key ingredient in their business strategy are featured in my new book, The Passion Plan at Work: Building a Passion-Driven Organization (Jossey-Bass: A Wiley Company, 2001). Consider the examples offered by Ben & Jerry's Homemade and Southwest Airlines. Both have achieved tremendous success because their businesses are passion driven. They acknowledge the importance of tried-and-true business principles, but they focus on the forces that truly motivate them rather than those that might seem more logical. These companies prioritize passion over protocol and are unwilling to compromise it to earn a quick buck or gain the approval of critics.

Passion in action

Ben & Jerry's Homemade. When Ben Cohen and Jerry Greenfield opened their first ice cream shop in 1977, they wanted to create something different. They hoped to establish a profitable business, but, more important, they wanted to make a difference in the world. They wanted to give something back to their community. They started small by throwing a local festival and giving away free ice cream cones. As their business grew, they expanded their efforts by donating an unparalleled percentage of profits to charity, forming partnerships with minority suppliers, and developing environment-friendly packaging.

Ben's and Jerry's unrelenting passion for social responsibility shaped all aspects of their business. From product development to marketing to human resources to operations, the company's leaders are guided in their decision making by the social impact of their efforts, even when doing that meant slimmer profit margins. The results were remarkable. The business that began in an old gas station in Vermont sold hundreds of millions of dollars worth of ice cream every year and was recently named by the Wall Street Journal as one of the most respected U.S. companies.

Southwest Airlines. This company's passion also defied conventional business wisdom. Founders Rollin King and Herb Kelleher agreed that the major airlines were charging far too much money for what was poor service. So, they decided to create an airline that would charge markedly lower fares and offer friendly, fast service. Despite an onslaught of legal battles from their larger, more powerful competitors, Southwest prevailed and opened up the skies to thousands, if not millions, of people who had previously considered air travel too expensive.

Employees of Southwest Airlines are united and driven by their passion for freedom. Not only do they provide it to customers, but they also nurture it within the company. Everyone from senior executives to baggage handlers has the freedom to make on-the-spot decisions. Employees are encouraged to be creative and "color outside the lines" in their work. They make improvements on their own initiative, serve customers in their own unique ways--singing, dancing, and cracking jokes--and shun the rigid formality of their competitors. Guided by its passion for freedom, Southwest turns a profit even when other airlines post huge losses.