For Profit and Fun

The objective of a company is not an infinte game, as some, like Sinek, postulates.

This is explained below and is also elaborated in the book "Pragmatic Management For Results", which you can read an extract from here:

Introductory

The saying "for Fun and Profit" pertains to leisurely activities, which as a byproduct facilitates a profit. That does not fit a business setting.

However if it is reversed, it does fit very well. 

That is, "for Profit and Fun". This has a direct relation to business, which will be explained in the following.

Origin of the phrase "for Fun and Profit"

The phrase "for Fun and Profit" is normally an expression of the idea of turning a hobby one engages in for personal pleasure into a source of income.

The first mentions in literature centers on angling, which fits this description very well.

The expression has been around for a long time. It seems that it has been common at least since the beginning of the 1800's. 

J. A. Porter writes about the reprehensibility of using gambling for earning charity - even when it is for God.

Here he uses the expression "for fun and profit".

"It matters not if you call it a "fish pond" for fun and profit„ or a five cent chance to get a quilt at a draw or a raffle given by a Ladies' Aid Society"

J.A. Porter M.D., "Running Churches by Amusements", Pamphlets, Religious: Miscellaneous, Vol 13, 1847,  Chapter VI, page 26

In a novel by Paul de Kock three men set out to construct a monster, which they can earn some money from displaying in the market.

"I will undertake to construct one with three or four broomsticks and a few yards of strong stuff. The three travellers went to bed delighted with their scheme which promised both fun and profit "

Paul de Kock, "The Modern Cymon", Carey, Lea and Blanchard, 1833

Setting the term "fun" in front of "profit" indicates that the activity undertaken has "fun" as its primary objective, and then afterwards the goal is "profit". 

This is pertinent for leisurely activities undertaken primarily for fun, but which can also turn a profit or at least some income to cover part of the expenses - such as; gardening, collecting wine, playing music, fishing, writing etc.

The reversal

In business we in general invest capital to get a return on that capital taking various degrees of risk. So the main objective here is profit, and long-term profits in general.

This is the normal modus operandi for business, and that transmits from the shareholders to the Board, and from the Board to the management, and finally from management to employees.

However also as employees, disregarding the goals superimposed on us, the motive of profit is present.

We all want to be part of a success, and profit is a direct measure of this. All employees recognize that making money is part of business, and that if that is not the case this is not good. Both because the company is then not performing as it should, but also because eventually without profits there are no jobs and no employees.

Even the most philanthropic socialism-inclined employee knows in their heart, that nothing comes from nothing. At least until society fully crumbles, there is a need for turning a profit, otherwise there is no job and no resources to live off.

In addition, we all want to do a good job. And again profit is the most direct measure of doing a good job, all employees in unified effort. You may ascribe negative results to others in the team, however your own good results are more satisfying if the overall outcome is positive.

So therefore the order is reversed, it is profit first, and then fun in second place - as there is no fun, if there is no profit.

The Fun

So why at all have "fun" as part of the equation in the expression - why not simply "for Profit" and not "for Profit and Fun"?

An organization is nothing more than a number of people, working together. So any company starts with employees, or rather it starts with the deployment of capital to take risk in order to gain a return on the profits. However, there will be no activity and no profits from the invested capital without human beings exerting effort to gain profit. Therefore an organization is in essence the people it employs, and therefore a company must aim at having fun as well. 

As humans we enjoy our work more when we also have fun, and then as such bring our whole selves into the workplace. Having fun as one go about the business of creating and sustaining profits will both make work life more enjoyable and it will increase productivity. There is a retention factor to be had from fun, even though there are naturally also a trade off between profitability and fun.

However, as explained - without good performance it is not fun to work. If we do not achieve what we set out to do, then we are not a success.  Not being a success will make it hard to have fun. There is no fun in a deficit. 

For Profit and Fun

Profit as a goal is directly tied to living. You need resources to live, and you need more resources to live well.

When resources become not important, as with billionaires, then you might reverse the phrase again with 'fun' in front, or perhaps some altruistic measure instead of profit.

You may read my book “Pragmatic Management For Results” if you want my arguments for why the why of a company is not an infinite game, as Simon Sinek likes to advocate. And this goes along the same lines.

However, until the irrelevance of resources becomes widespread, i.e. we all become billionaires, profit is the main objective of any business.

And therefore the maxim is to lead by  "Profit and Fun", and in that order!