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Date: 2018-11-20 Page is: DBtxt001.php L070-PU-What-is-the-PURPOSE-of

What is the PURPOSE of?

INCOMPLETE ... WORK IN PROGRESS

Economic and financial metrics show growth and therefore considered good

World GDP growth

US GDP growth
Using GDP as the measure, economic growth has been robust

Stock market
Stock markets recording strong price increases

Intangible value

Money supply
However, most of the recorded value add is intangible
A significant part of the economic growth comes from modern financial engineering which has allowed the creation of massive amounts of intangible value. Whether or not this constitutes real wealth has really not been challenged, but it is a framing of wealth that is very different from gold and tangible physical assets.
... but social metrics are not keeping pace ... not getting better ... even deteriorating

GDP v GPI
Though profits and productivity have continued to rise during the past 50 years, wages have flatlined.
... and environmental metrics are deteriorating rapidly ... and dangerously

Temp v CO2

Inpage Navigation to Main Sections
Financial Performance Go to Financial Performance
Economic Activity Go to Economic-Activity
Products / Goods and Services Go to Products-Goods-and-Services
People Go to People
Place Go to Place
Go to Education
Food and agriculture
Government
Health
Infrastructure
Manufacturing
National security
PEOPLE
Personal service
PROFIT
Religion
Restaurants
Retail
Sports

What is the PURPOSE of FINANCIAL PERFORMANCE go to TOP
The conventional wisdom in some circles is that the purpose of business is to make profit, and if a business makes profit, then there will be an optimization of the economy and the maximum of benefit for society. This is the basic premise of the Adam Smith argument for a laissez faire market economy, and it has worked better for most of the last three hundred years than the alternatives.
The modern version of this argument is that business has to optimize its performance relative to the interest of the owners … the stockholders. Some executives have argued that to do anything else is a breach of trust and executives could be held accountable in law for their actions.
This idea has been challenged. Whether or not the law requires optimization of business for the benefit of stockholders, there are initiatives to make it clear that the 'purpose' of the business is to make a contribution to society using the resources of the business. One such initiative in the United States is the B Corp movement, which specifically has articles in the Bye Laws to ensure that social benefit is a legitimate goal of the business.
Whether or not there is a problem in law to do things that are valuable for society … for people and planet … the metrics of state, progress and performance may be structured so that it is possible to see what is going on and understand the implications.
Earning PROFIT has been the main PURPOSE of investor owned business organizations for a very long time ... though there is evidence that many of the biggest success stories have been for companies that conbined a great social purpose as well as giving return for the investors. For example, in the late 19th century, Lever Brothers (which eventually became Unilever) started as a business to produce low price soap to make it possible for poor people to wash themselves better and be more healthy.
in a large multinational corporation
in an owner operated small business

What is the PURPOSE of ECONOMIC ACTIVITY go to TOP
from the perspective of an operating business
from the perspective of an owner / investor
from the perspective of a worker
from the perspective of a consumer

What is the PURPOSE of PRODUCTS / GOODS AND SERVICES go to TOP
The purpose of a company, an organization, is to provide a structure within which products ... that is, goods and services ... can be produced efficiently.
It is important to
from the perspective of society
from the perspective of owners / investors
from the perspective of employees
from the perspective of consumers
The many categories of PRODUCT
Food
Clothes
Services
Housing
Knowledge

What is the PURPOSE of PEOPLE go to TOP
PEOPLE
as individuals
as members of a family
as children in a family
as parents in a family
as elders in a family
as members of society
as elders in a society
as producers
as consumers
as employers
as employees

What is the PURPOSE of PLACE go to TOP
from the perspective of a company
from the perspective of an individual or family

Infrastructure go to TOP

Infrastructure
A house
A road
Water mains
Sewers
Electricity distribution
Electricity transmission (the Grid)
Oil and gas pipelines
Gas distribution
Airports
Seaports
Railroads
Bus terminals
Train terminals
Communications
Data centers
Military intelligence satellites
Research satellites
GPS satellites

Religion go to TOP

Religion What is the purpose of religion The purpose of religion is
A church
A synagogue
A mosque
A temple

Retail go to TOP

Retail
A department store
A discount store
A supermarket
A bodego
A convenience store
A liquor store
Big box general store
A clothing store
Jeweler
Flee market
A computer store
A furniture store
A food market
A butcher
A baker
A general store
A bar
A sports bar
A gentleman's club

Restaurants go to TOP

Restaurants
A coffee shop
A chain restaurant
A fast food restaurant
A pizza place

Personal service go to TOP

Personal service
Hairdresser / barber
Hair stylist
Nails
Spa
Health club
Pawn shop
Shoe repair
Laundromat
Dry cleaners
Service
Automobile service
Residential heating and air conditioning
Landscaping and lawn service

National security go to TOP

National Security
The army
The navy
The air force
The coast guard
Special forces
Intelligence

Government go to TOP

Government
Civil service
Administration
Executive
Legislative
Judiciary
Regulators
Ministry of Finance
Ministry of Housing
Ministry of Public Works
Ministry of Defense
Ministry of Foreign Affairs
Ministry of Home Affairs
Ministry of the Environment
The budget
The courts
The prisons
Statistics
The census

Health go to TOP

Health
Medical research
Hospitals
Clinics
Doctor's offices
Training
Doctors
Doctor certification
Nurses
Nurse assistants
Community health workers
Advertising
Pharmaceutical research
Pharmaceutical patents
Drug prices
Health Insurance Company
National health system
Specialists

Education go to TOP

Education
Pre school education
Kindergarten
Primary school
Secondary school
Community college
Vocation training
University
Post grad study
Special education
Financing students
Financing educational establishments

Manufacturing go to TOP

Manufacturing
Supply chain
Logistics
Workplace safety
Payroll
Employee benefits
Robotics
Inventory control
Quality control
Marketing
Advertising
Trade shows
Brand PR
Risk management

Food and agriculture go to TOP

Food
Agriculture
Genetically modified seeds
Fertilizers
Pesticides
'Roundup'
Soil conservation
Permaculture
'Natural'
Irrigation
Antibiotics
Growth hormones
Managing runoff
Localization
Greenhouses
Hydraponics
Aquaponics

Sports go to TOP

Sports
For some people, sports is a business
For some, it is all about playing the game and winning
For some it is spectating.
A professional team
A star player
A stadium
Children's sport
High school sport
College level sport
Gambling on sports
Drugs in sports

Art and culture, music and dance go to TOP

The Purpose of Arts and Culture. Music and Dance is to help make life worth living.
There is value in these things for those that are the creators.
There is value in these things for those that are the spectators.
Music
Music seems to have been hard wired into the human conditions and a part of quality of life from early times.
Music seems to be everywhere
A symphony orchestra
A choral group
A music ensemble
A jazz group
Percussion
Drums amd rhythm facilitate dance
Drums have also been used to enable communication.
Opera
Dance
Classical ballet
Contemporary dance
Ballroom dancing
Art
Art galleries
Museums
The purpose of a museum is to provide a window on the past, and to help people have a better understanding of the past.
The artifacts of a museum are an important resource for ongoing research into history.
TO DO
Complete this paper
Flesh out this paper with a complete set of statements of purpose for all the elements listed
Develop an app
Develop a mobile app to build a database of statements of purpose that can be used for analysis
Incorporate purpose into the MDIA framework
Make purpose a part of the analysis of each of the main elements of MDIA



The text being discussed is available at


TrueValueMetrics (TVM) is an Open Source / Open Knowledge initiative.
It has been funded by family and friends plus donations from well wishers who understand the importance of accountability and getting the management metrics right.
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