Developing Core Values for Your Organization

Every organization has a personality. No matter the size, leadership shapes the core values. These values form the foundation of the organization’s culture. But what does this mean, and why are core values so crucial? This article will explore the importance of core values and the steps organizations can take to create their own. 

The Importance of Core Values 

Core values set the tone of your organization, both for your clients and employees. These values are the basis for your reputation and success and align with the goals and objectives of the business.  

Your organization's image is closely linked to your core values. Communicating what you bring to the industry lets the community get to know your organization and understand your value proposition. Your core values should be clearly stated so employees, clients, and prospects can differentiate you and determine whether your organization is the best fit for their needs. 

Integrating Core Values into Organizational Culture 

Recruiting and retaining personnel who represent your core values is an important first step to creating an effective workforce. Keeping your employees engaged and allowing them to grow and feel accomplished creates a loyal and dedicated team. 

Employees do not create your culture and values; you do. If you feel that your organization's values do not align, you need to act. The workplace environment is a good place to begin. Have you created a positive work environment that encourages employee growth and independence and nurtures respect and teamwork? 

If your organization has never fully articulated your core values, now is the time to start. Choose five to seven top employees from various parts of the business who understand the organization well. These employees can work together to brainstorm a list of values and explain what each one means. 

Seven Steps to Develop Your Organization’s Core Values 

Step 1. Assess your current organizational culture

Evaluate your organization’s existing culture by identifying prevalent behaviors, attitudes, and values among colleagues. Observe patterns in how people make decisions, resolve conflicts, and reward behaviors. Conducting employee surveys, focus groups, and interviews can also help you gain insight into potential areas for improvement. 

Step 2. Review your strategic plan 

Your strategic plan outlines your organization’s long-term goals and the strategies to achieve them. Your core values should guide your actions and help you reach your goals. Reviewing your plan often is important. Consider how your values can influence key areas such as customer service, innovation, and operational efficiency. 

Step 3. Determine the culture needed to achieve your plan 

Based on your strategic plan, identify the type of culture that will best support your goals. For example, if your plan focuses on innovation, your culture should support creativity and risk-taking. If customer satisfaction is important, you may need a culture of empathy and excellent service. Define the specific cultural attributes that will help your organization succeed. 

Step 4. Determine if your current values need to change 

Look at your current values and the culture you want. Check for gaps or misalignments that need attention. You may need to update or change your existing values completely. 

Involve your leadership team in these talks. This way, any changes will be meaningful and match the organization's shared vision. 

Step 5. Define what your chosen values mean 

Once you have identified your core values, clearly define what each value means in the context of your organization. Give clear examples of behaviors that link to each value. Therefore, everyone in the organization can see what the values look like in action. For instance, if one of your values is “integrity,” describe how this translates into everyday actions. 

Step 6. Incorporate your values into all your organization’s processes and practices 

Make sure your core values are part of everything in your organization. This includes hiring, onboarding, performance evaluations, and reward systems. Your values should be clear in your policies, procedures, and daily operations. This may mean updating job descriptions, making interview questions based on values, and creating employee training programs. 

Step 7. Develop a communication plan so all stakeholders can learn about your values 

Create a comprehensive communication plan to share your core values with all stakeholders, including employees, customers, and partners. Regularly reinforce these messages through storytelling, recognition programs, and leadership actions, and maintain consistent and ongoing communication to keep your values in mind. 

Maintaining and Reviewing Core Values 

The exercise of articulating and writing an organization’s core values can be a powerful and illuminating exercise. It’s important to check your core values often to make sure your practices, policies, and procedures match these values.