Not long ago, I had a conversation with the hired CEO of a $200 million manufacturing firm, and I asked, “What’s your purpose?”

“Our purpose is to provide superior return for our stakeholders and market leading value for our customers” the CEO said.

“Ok, I get that. But tell me why this company exists. And tell me why you work here.” At this point, the CEO may have wondered if I was a lean consultant or communist. As our talk continued, it was clear that the CEO intellectually understood how his company’s products benefited society (every viable product does), but it was also clear that this was not that important for him personally. He was there mostly for the money and to build his resume. And his presence lacked passion (not to be confused with urgency – which he did express since he was not achieving plan).

So, why does an operations consultant ask questions about purpose? Over the years, I’ve discovered that one of the most telling leading indicators of success for a lean enterprise transformation (or just about any major change initiative, for that matter) is clarity of purpose.

For a senior executive, purpose is the answer to the question: Why? Why does your company exist? Why do you get up every morning and go to work? Why do you choose to lead this company?

It’s not a good indicator when the answer is some B-school gibberish about stakeholder return and value. As a front line worker, it’s just not inspiring to hear that your leadership team’s purpose is to make the owners richer.

My point is that a major change initiative requires engaging employees. Engaging employees requires a compelling, passionate purpose that your people can feel strongly about. It requires leadership that all stakeholders – employees, customers, investors, and suppliers - sense are genuine and authentic.

If you’re struggling with this message, then you will probably struggle with your lean transformation. Having a meaningful purpose really does make a difference.

So, what’s your purpose?