A company’s core values consist of its belief, philosophies, and the principles that guide its business and employees. These values influence the business’s conduct and interaction with its partners, clients, shareholders, and society. A recent LinkedIn survey found that 46% of employees care about whether companies positively impact society. This indicates that, in addition to caring about their own job satisfaction and compensation, employees also think about the company’s core values.
An organization’s culture starts with what people do and how they do it, and it must align with the company’s core values. The best performing organizations differentiate themselves in how they do it, even if their products or services may not differ substantially from others. Company culture encompasses observable behaviors, such as how the senior management interacts with junior employees and how people interact in groups, as well as things below the surface, such as shared beliefs and ethos.
When it comes to business performance, organizational culture is one of the key factors that can determine success. n The product and services can be copied by competitors, but the organization’s values and culture can’t be replicated easily, which acts as a competitive advantage. According to a study, more than 90% of corporate leaders believed company culture was essential to their firm, and improving the firm’s culture would enhance the company values. The right company culture enables them to attract talented individuals, leading to 33% higher revenue.
The concepts of core values and company culture are fluid and vary from one organization to another. It is challenging to create a standard set of core values that apply to all businesses. We have curated a list of eighteen core values that you can use as a starting point for creating a solid company culture.
A company’s purpose is its reason for existing–the fundamental reason it does what it does. A company with a clear purpose is more likely to have a positive influence on the world around it. Its purpose is one of the key driving factors for customer retention and engagement. According to a survey, when a brand has a strong purpose, customers are four to six times more likely to purchase from the brand and recommend it to family and friends. A company’s purpose is also crucial for employee satisfaction. The purpose should be rational, emotional, and resonate with your employees.
- Commitment to customers
When a customer has positive feelings and opinions about a brand, customer commitment is formed. Customers now have more choices than ever, and online channels have improved their access, giving more power to the customers. A good customer experience drives customer loyalty and success in the marketplace.
Customers are ready to pay a premium price for good experiences, and almost 86% of the customers are willing to leave a brand due to poor customer experience. A good customer experience enables your brand to get word-of-mouth publicity. A company’s commitment to customers encourages its employees to give their best for the organization’s growth.
It is defined as a firm belief in a company’s reliability, ability, or strength and is the core or foundation of any relationship. Trust is built over time and requires companies to conduct their business professionally and honestly. To build trust, a company has to consistently deliver value to customers across their entire purchase lifecycle.
Integrity means a company is truthful and honest in all spheres of its business. Even in adversity, a company with integrity will always make the ethically right choice, even if it is not the most profitable. Companies with the highest standard of integrity have strong punitive measures for employees breaching the integrity principle.
Ownership means taking the initiative to bring about positive change in the organization without waiting for others to act. It is about taking responsibility for execution and owning up to the outcome, even if it is contrary to expectations. Employees are willing to take ownership if you have a reasonable and considerate policy for failures; else, it may deter them for fear of being reprimanded and punished.
Everyone in the organization is expected to uphold the commitment to each other and the customers. It is commonly referred to as having a “culture of accountability”. It takes hard work and dedication across the organization’s ranks to build a culture of accountability.
Leadership remains at the forefront of setting examples of accountable behavior in the organization, which then percolates down to the bottom-most layer in the hierarchy.
- Constant Improvement
There must be continuous efforts to improve products, services, and processes to enhance efficiency and reduce cost. Digital technologies have disrupted the business value chain, and the fast-paced innovations continue to drive the evolution of the economy and business landscape. An organization must commit itself to continuous improvement to remain competitive in the marketplace.
Quality as a core value enables you to set industry benchmarks and attract high-value customers willing to pay a premium price. A high-quality standard requires sustained efforts across all processes and at every stage of the business value chain. Consistent high quality enables you to create a positive perception in the customer’s mind and differentiate your brand from competitors.
Innovation is the process of improving products and services by leveraging new technologies to maintain the competitiveness of the organization. Innovation as a core value enables you to remain ahead of the competition and charge a premium for your enhanced product and services.
- Continuous Learning
Continuous learning is vital to keep your employees’ skills updated. However, you should not limit learning to formal training but create an enabling environment for peer learning and knowledge sharing among employees.
Teamwork helps overcome challenges and reduces tension in a stressful work environment. Teamwork enables organizations to bring together complementary skill sets to meet client expectations efficiently and effectively. It is important even from an employee perspective, as approximately 75% of employees consider collaboration and teamwork as necessary in a workplace.
Diversity as a company’s core value means the organization intentionally employs people of different gender, ethnicity, race, religion, and other attributes. The objective is to represent different sections of the society for inclusive growth. Diversity in the workplace also refers to open discussions by encouraging employees to voice their opinions without fear. It helps to bring a varied perspective and enhances organizational knowledge.
With the proliferation of digital channels, there is too much noise and clutter concerning customer communication. Proper communication enables you to respond to your customer queries concisely and also adequately address any negative news circulating about your brand. Besides, the clear and precise internal employee communication provides clarity to employees and removes any ambiguity, which helps to improve engagement.
Transparency implies openness and conveying information truthfully without hiding any facts. It fosters growth and motivates the team. When employees follow transparency in their client dealings, the organization’s credibility improves.
It comprises several attributes such as integrity, morality, and dependability. Your organization should not overpromise knowingly and act in good faith when things go wrong. You should have the ability and courage to say “No” when it is the right answer without worrying about offending anyone. A proactive display of honest behavior by employees and the organization strengthens the value and credibility of the brand.
Passion is an internal drive that motivates individuals and groups to follow goals with utmost dedication. A company must strive to hire employees who genuinely care about its clients and are self-motivated to deliver the best quality work to mitigate client challenges. This is a reflection of the employees’ passion for their work.
Humility is being respectful towards others, such as clients, employees, or business partners. It is about confidence without arrogance. Humility is not about the absence of pride but false pride, which is detrimental to individuals and organizations.
Leonardo Da Vinci has stated that “simplicity is the ultimate sophistication”. The essence of simplicity in the business context is the removal of complexity to make products and services simple to use. It requires extreme focus and significant efforts to make simplicity the core value of your organization.
Company culture is shaped by its core values and helps to create a loyal customer base and highly engaged employees. Integrity, accountability, passion, humility, and simplicity are some of the most important business values that every organization should try to incorporate to establish a growth-oriented company culture.