Ethos either strengthens or decays. Daily.

A founder’s vision guides company building from its earliest days, showing up in the distance like the north star even when the going is rough. The fuel that keeps it burning brightly is organizational ethos – the consistent character that shapes every decision at every level of a company. Like physical health, ethos requires daily practice and constant discernment. Every day, it either strengthens or decays. There is no steady state. That’s why it needs to be protected. 

Organizations that seek to flourish over the long term can intentionally forge that kind of deeper protection by following the Incorruptible blueprint:

First, create something worth protecting. An incorruptible organization begins with an aspirational mission aligned with human flourishing, and a principled ethos that instills in everyone it touches the determination to see the mission through. Such mission-­driven organizations generate a high level of trust and loyalty among customers, employees, and investors. They resist the temptation to take shortcuts, exploit customers, or trade long-­term endurance for the temporary dopamine hit of short-­term rewards.

Second, build with structural integrity. The more successful an organization is at that first step, the more valuable it becomes as a target. Profits attract predators. This is where the gravity of our financial system buckles most standard structures. To resist requires powerful and carefully designed defenses, and a whole new theory of corporate governance to match. We must rethink corporate purpose, board composition, voting rights, and—­ eventually—embrace entirely new corporate forms.

Both parts are essential. In the long run, neither works without the other. Everything worth protecting will eventually need protection. The companies that master this blueprint build cultures of extreme alignment, practice superlative care, and pursue missions that maximize human flourishing (as they each define it). Then they protect them for the long-term. 

Costco has been showing how valuable this approach is for decades, in a multitude of ways. The company is beloved and trusted by customers, employees, and investors alike. It’s also built to withstand pressure from any direction. Most recently, it fended off a challenge to its inclusive business practices with zero drama. First, the board of directors voted unanimously to reject a proposal to weaken these initiatives made by one shareholder. Then, over 98% of Costco’s shareholders did the same. 

The board chair laid out both the company’s ethos and the business case it supports in one elegant statement:

When you build something people want to protect and give them the tools to do it, that’s total integrity.

SPECIAL ANNOUNCEMENT: Program for Early Stage Founders is now open

The best time to protect your ethos is before anyone threatens it. My team and I are opening a second cohort of our 6-week Incorruptible Blueprint program for early stage founders, starting October 16. It's for founders who want these protections built in from the start.

I’m excited to bring together another group of ambitious, thoughtful founders after our summer cohort was such a success. If you’re curious, more information is here.

Reply to this email if you have questions or forward to a founder who could be interested.

Incorruptible is the #1 Best Seller in Business Management on Amazon!

Amazon US has a promotion running for $1.99 Kindle and 21% off the hardcover. Hopefully it’s discounted similarly in other countries.

If you’ve been meaning to pick up a copy for yourself or a friend, the Amazon US link is here.

UK Incorruptible Book Tour Recap

Last month I had the UK leg of my Incorruptible book tour. Here are a few highlights from an incredible week of events. I’m grateful for all the attendees, hosts, and communities that welcomed me and engaged deeply in the concepts from the book.

I was hosted by The Startup Leap at an event for early stage founders who are intentional from day zero as they look to build massive and lasting companies. There were lots of questions from the room: What do I make non-negotiable? What leverage do I have if I don't control the cap table? Is this a pivot or a compromise? What is actually feasible?

I also got to meet some of the first participants in our Incorruptible Early Stage Founder Cohort, which was awesome. (Next cohort is now open - more info here.)

It was standing room only at Octopus Energy’s all hands meeting with employees. Quite the vibrant setting!

I had a blast meeting the Octopus Energy team while signing books.

For an event hosted by Disruptive Innovators Network, I was in a lively conversation with Ezechi Britton MBE in a packed room of social change leaders and entrepreneurs.