AmerisourceBergen Threads Purpose Across Brand, Leadership, And ESG

Over the past couple of decades, there’s been an evolution of how the purpose of an organization is defined. For many, the view that the primary purpose of any organization is to maximize profits for its owners/ investors has given way to a more expansive definition that recognizes that a business should deliver both economic and social value. And that these different values do not have to be at odds. 

AmerisourceBergen, a global pharmaceutical leader, is one organization that has succeeded financially while working towards a higher purpose. Theirs – We are united in our responsibility to create healthier futures – encompasses all their stakeholders: investors, associates, customers, partners, and the communities they serve and reside in. 

The organization’s purpose guides decision-making throughout the organization, whether it’s responding to COVID, acquiring a new company, evaluating a proposal, or determining how to promote the company. 

As Chairman, President and Chief Executive Officer of AmerisourceBergen Corporation Steve Collis told us in a recent Learning Visit, corporations today are required to do more than maximize profits.  “...we  have a much more complex view of who our stakeholders are.” 

Executive Vice President and Group President of AmerisourceBergen Corporation, Bob Mauch underscores the point that growth and earning per share goals aren’t in conflict with being higher-purpose driven.

“The more we grow, the more we grow our profits, the more we grow our enterprise, the more good we can do. And, for a lot of associates, that’s very motivating.”

Here’s are some examples of how AmerisourceBergen threads purpose throughout the organization: 

Branding: Rather than leading with products and services, AmerisourceBergen leads with the elements of its purpose: improving health and well-being, promoting global sustainability, inspiring team members. Commercial messaging still covers core capabilities and solutions, but the overall brand emphasis is on the impact that the company creates when they pursue a higher purpose.

Environment, Social, Governance (ESG): For AmerisourceBergen, purpose, and ESG are inextricably linked. Environmental efforts – such as a recent manufacturing plant’s switch to recyclable packaging – drive savings.  Being a higher-purpose organization is a key to employee recruitment and retention. With governance, embracing a culture of transparency, ethics, and integrity helps the organization in a closely regulated environment. 

Leadership Development:  AmerisourceBergen’s leadership model revolves around the company’s purpose and guiding principles. The company pulls all the levers here, aligning purpose to its selection process, performance management, career development, succession planning, and more. For AmerisourceBergen’s leadership learning journey, one of the core competencies is making sure that their leaders are “purpose activists” who activate purpose every day and cascade it throughout the company.

Employee engagement:   AmerisourceBergen believes that communication is one of the most critical elements of purpose. The company continually reinforces the purpose message with daily news stories on their intranet and in other communications streams that their associates engage with. And it’s working. Associates have adopted the hashtag #NeverProuder, using it in their emails and on social media to talk about problem-solving moments during the pandemic when they’ve never been prouder of where they work. 

“Pride in what you do only comes from a purpose-driven organization”

— GINA CLARK, EXECUTIVE VICE PRESIDENT, AND CHIEF COMMUNICATIONS & ADMINISTRATION OFFICER, AMERISOURCEBERGEN.