People Over Profits
Doing Good Is Good Business
TL;DR: Whether you are the CEO of a Fortune 500 company or the sole founder of an early-stage startup, putting people over profits will be absolutely crucial for long-term success.
I’m tired of companies taking advantage of their customers.
I’m tired of banks making ungodly profits from hidden fees and interest rates. I’m tired of utility companies preying on the people they serve by charging whatever they want for basic needs like water, gas, and electricity. Hell, I’m even tired of phone companies charging out the ass for the ability to stay in touch with loved ones.
How did it come to this? Who gave these companies, and the people that manage them, the ability to do this?
We did.
The moment we gave them our credit card information or checking account number, we also gave them permission to continue acting this way. We are the ones who reinforced this negative behavior.
What are we supposed to do? In many cases, we don’t have another option. Some of these companies have essentially monopolized their industries.
How do we change this vicious cycle?
We appeal to people building the companies of tomorrow.
We go straight to the source and speak directly to the entrepreneurs who are solving problems by creating companies. These individuals (and many others) know that profit is an inevitable part of creating and sustaining a company.
After all, it takes money to make money.
However, making money should never be the sole or even main focus for starting a company.
Profits should come after people, both inside (employees) and outside (customers and users) of the company.
If you truly focus on the people you serve and create effective solutions for problems they have, profit will surely come.
It may not be right away. It might even take years of patience in order to see any return on your investment. This comes with the territory.
Sure, there are plenty of companies out there that focus on short-term profit. After all, the bonuses and incentives of their executives are tied to short-term, quarterly performance. All they care about is making money for their shareholders.
I can’t help but wonder, how many of them will exist five years from now? 10 years? How many of them will get to see long-term success?
Business should be more than making money. It should focus on creating the largest positive impact possible.
Otherwise, what’s the point?
William Frazier is a designer, writer, and founder who blogs about making ideas happen at The Imperfectionist. You can find him on Twitter.
