The core values or company values are the set of ideas or guiding principles that dictates the way an organization functions.
Without well-defined core values, no company can build and lead teams, deliver value and ensure customer satisfaction. They direct the company towards a common goal.
Integrity, Responsibility, Excellence, Pioneering, and Unity are the company values of the Tata Group, one of the largest conglomerates in India. These values define the way this conglomerate is run.
The management requires to be careful when developing the core values as they decide the way the organization will progress. Core values are at the core of any organization and are derived from core beliefs and philosophies.
The importance of well-defined core values or corporate values is extensive, however, listed below are a few –
- Talent acquisition – Employees today are looking for companies that fit their personal goals and philosophies. Research by McKinsey states that 70% of employees state that their sense of purpose is largely defined by their work. This means that the candidates are likely to choose to work for companies that reflect their sense of purpose of fulfil their goals and ambitions.
- Employee retention & employee satisfaction – If the employees lose confidence in the vision of the organization, it leads to dissatisfaction and creates a purpose gap between the employees’ goals and the organization’s objectives if the internal communication is flawed. Thus, corporate values and a strong company culture decide the future of employees in the organization.
- Brand image – How customers perceive the brand is called brand image. In today’s world where customers are more conscious about sustainability, green living and a healthy lifestyle, they expect their preferred brands to reflect and support the same ideologies.
- Company culture – The principles on which the company works resonates deeply with the company culture and work environment. Inclusiveness, diversification, equity and harmonious work culture create a positive work environment and enhance the employer’s brand image.
- Growth & Sustainability – A company that sticks to its core values and the same is reflected in its operations has a positive impact on its customers and vendors. Core values give the company a proper direction and lay out the roadmap towards growth. Core values that give an impetus to learning, innovation and focus on human resources have higher chances of sustainable growth.
The pandemic prompted many companies to revisit their core values and redefine them to suit the changing priorities and operations.
Understanding of an organization’s functioning and adapting to the changes is crucial for any manager to work towards a brighter future for the brand.
Here are a few examples of company values –
- Google –
- Focus on the user and all else will follow.
- It’s best to do one thing really, really well.
- Fast is better than slow.
- Democracy on the web works.
- You don’t need to be at your desk to need an answer.
- You can make money without doing evil.
- There’s always more information out there.
- The need for information crosses all borders.
- You can be serious without a suit.
- Great just isn’t good enough.
- Marriot –
- Put People First
- Pursue Excellence
- Act with Integrity
- Embrace Change
- Serve our World
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