September 6, 2016
Four Reasons Core Values Matter
If you work in an organization, chances are you are familiar with the term “core value” – a timeless guiding principle that dictates behavior and action. The tougher question to answer is often why are core values important? Why should a company instill them?
Here are four specific reasons why core values matter:
- They ensure you bring the right talent in the door. Well-articulated values help attract people whose personal values are compatible with the company’s values. Hiring employees who understand and exemplify a company’s values helps reinforce the organization’s mission and vision and foster a great work environment.
- They help change behavior. When you hold others accountable for behaviors that align with the core values, you create a values-based culture. By incorporating them into your performance evaluation process, you can ensure employees are aware of the expectations when it comes to perpetuating these values. If their behavior isn’t aligned with them and the expectations have been made clear to the employee, a manager would have no trouble addressing the shortfalls in order to modify the behavior.
- They guide decision-making. Taking the time to step back from a situation and examine the circumstances in light of organizational values allows people to reach objective outcomes. For example, if one of our company’s core values is safety, and a suggestion is made contrary to that value, we would challenge that decision by asking how it aligns with our core value.
- They build a high-performance culture. As Richard Barrett so articulately wrote in The Importance of Values in Building a High Performance Culture, “Values and behaviors drive culture. Culture drives employee fulfillment. Employee fulfillment drives customer satisfaction. Customer satisfaction drives shareholder value.”
When well-articulated and understood, core values have the ability to positively transform your culture. They can build great organizational resilience, serve as inspiration for employees, and build a sustained advantage that’s hard for competitors to match.
At Faith Technologies, we recognize the importance of creating a values-based culture, and have identified the following four core values:
Has your organization identified its core values? If not, maybe it’s time to consider building a “values-based” culture.