Company core values. They have the ability to transform a company and be the reason for its success. I’ve seen the creation and adoption of company values drive pivotal growth and success for companies in multiple industries. But at the end of the day their simple existence is no guarantee. How do you know if your company values are the linchpin of your company’s success or a laughable distraction? Your company core values might suck, if:
1. No one knows what they are.
If you asked an employee to name the company values, could she? Bueller? Plain and simple, if employees don’t know the values, it’s impossible that the values have any impact on the company, culture, or results. What’s the cause of their core values amnesia? The values perhaps aren’t relevant, aren’t memorable, but most likely are not woven into the fabric of the organization. Walking through the halls you should be able to see the values in action, and hear the values woven into the language during conversations, meetings, emails, decision making etc. in a very organic way. It’s not necessarily about them being posted everywhere.
If you walked into the halls of H.G. Fenton Company, a prominent real estate and development company in San Diego, you likely wouldn’t see any shiny posters of their company values. At a quick visual glance, you might not think they have any. The reason you don’t see these shiny posters is actually quite intentional. They believe the values are so internalized that no one needs the visual reminder, although they can be found in print when looked for. Spending some time there, you’ll find that is true…ask any employee the company values, and while they may not rattle off the exact verbiage, the concepts are clearly discussed, thought of, and incorporated into everything they do from HR practices (hiring, performance support, promotions, training, etc.) to executive strategies in the boardroom.
2. They know what they are, and they laugh.
The employee may know them very well because they can’t walk a few steps without seeing the posters on the wall and it’s touted in their customer communications. But what happens when the company values are brought up to an employee or customer? Eye rolls. It’s the idea that if we write it, it will happen. Unfortunately values don’t quite work that way as evidenced by one of Enron’s core values, “Integrity – We work with customers and prospects openly, honestly, and sincerely.” Hmmmm…. Let that settle.
I get it. Sometimes we write core values that aren’t quite exactly who we are but maybe are closer to who we want to be. Aspirational values are a legit approach to creating company core values. To ensure that your company values don’t result in eye rolls and sarcasm, balance that aspiration with a little of “what is”. When they are written solely as a marketing pitch, as in Enron’s case, but are not role modeled by the key executives, leaders and employees in the organization, having written values actually seems worse than having none at all.
3. They could be any company’s values. #Generic
Integrity. Service. Teamwork. Honesty. Quality. Financial Success. Are you asleep yet? #Yawn. I can’t tell you how many companies have some form or another of these and it makes me die a little inside. Well written values are uniquely suited to the company, and are values that likely wouldn’t make sense in any other company but yours. Incorporate key company language and your unique value proposition.
Red Robin, the gourmet burger restaurant chain, defined their company values with an acronym, B.U.R.G.E.R. Now, normally values pulled into an acronym make me throw up a little, because usually it’s a company trying to fit values into a catchy (or cheesy) acronym, rather than determining what their true values are. However, in this case, it really works, makes it memorable, and they are far from generic. Instead of “Service,” the “G” in B.U.R.G.E.R is “Genuine spirit of service. We go above and beyond to meet our guests’ needs. Unbridled hospitality and personal connections are in our DNA.” It differentiates them and truly defines what service means to their company. Again, in no way am I suggesting that you find a catchy acronym for your values (in fact, I beg you not to) but find a way to move from generic to values that speak to your company uniqueness.
4. They don’t tie to your business strategy.
The other fault with #generic values is that they don’t specifically tie to the business strategy. The best company values explicitly link to their business strategy. In other words, if we live these values to their fullest, we will be wildly successful as a company. If we don’t live these values to their fullest, well, we probably won’t be successful.
Think Southwest Airlines, the most financially successful airline, # 1 in customer satisfaction, ranked on the Best Places to Work. While you may love them or hate them, the fact that they truly understand and are passionate about who they are, and live their core values is what has led to their unbridled success. One of their values is Low Cost. This is their differentiator, their market, their no frills and no apologies approach that completely disrupted the marketplace and is the guiding force behind their key strategies. LUV, another value, is not only their stock ticker, but it represents the fun, not take yourself too seriously type of attitude that is encouraged and creates a unique customer experience not found often in the airline industry. Their success would clearly not have been the same if these two values were “Financial Success” and “Customer Service,” do you agree? What’s your business strategy, and what kind of culture would support it? That’s your question to ask when creating company values.
5. They don’t inspire understanding and/or action.
The #generic values statements sit there begging to be understood. What does Integrity really mean? What does Service mean? Ask 10 people and get 10 different answers. Neither of these words create mutual understanding among the employees on how to behave, act, or think. Make those values action oriented so that people are compelled to behave in a certain way. A certain way that aligns with your company strategy, of course.
Consider Hard Rock Hotel San Diego, who created their own company values to reflect the unique service experience they deliver to their guests. One of their Core Values is “Create Raving Fans.” Think about how that inspires action. It’s one thing to be courteous and friendly. That’s good service. But that won’t create “raving fans.” This value creates discussions throughout their team, challenges employees to dare to be different, and sparks an internal competitive vibe of who can deliver the most amazing service experience that creates a raving fan. Not to mention, with music as the business theme, this value is very much “on brand,” as they aspire to create raving fans of their company who are as loyal and passionate about their brand as a Beatles fan.
Another company, Red Door Interactive, a San Diego marketing agency, passed over the generic “Teamwork” value and truly defined what it meant for their company, in 2 of their 5 values. One value, “Share” really helps people understand the vibe of their culture, and calls employees to action so much so that if you use the restroom, you’ll find a newsletter taped to the back of the stall that gives you all sorts of fun information and insights while you’re doing your thing. Sharing with a captive audience! Their other value, “100% Jerk Free,” speaks to their informal and supportive environment, and gives people a gut check before they let their emotions run wild. Sure beats “Teamwork,” doesn’t it?
Values matter.
It’s clearly not enough to just slap some values together and check the box that they are done. Creating the right company values that differentiate your company and support your business strategy is a critical strategic business activity. Don’t know where to begin to draft or revise your company values? Have them written but not sure how to truly weave them into your organization? We’ve been at it for 20 years and are happy to partner with you so that your company values don’t suck.