Company values (or core values) are your team’s fundamental beliefs. Company values are guiding principles that help your team work better together to accomplish common goals. Values help your company create a mission that drives your company. Most successful businesses have strong company values that the team shares and executes. Businesses with strong company values grow faster, produce more customer and employee satisfaction, and have better financial performance. Employees also prefer to work with organizations that share their values. This article will explore five important reasons to set company values.
1. Helps Teams Make Decisions
Setting company values helps navigate a world with environmental, social, technological, and privacy challenges. The values you choose to follow will guide your company’s decisions, and every project or activity should align with those values. Having clear values helps your team members know what you stand for and which actions are encouraged and which should be avoided. Employees should ask themselves, “Are we sticking to our company values by making or avoiding these decisions?” and use that to guide their next steps.
2. Aligns Your Team
Shared values increase team cohesiveness, reducing ineffective decisions and improving overall performance. It’s easier to communicate your company’s bigger purpose when the team has shared values. Teams that do not have shared company values have inconsistent communication, leading to confusion and disagreement. To avoid team disputes and wasted time, it’s best to set clear company rules, emphasize how important they are, and be consistent with your communication. This way, your team is aligned, and your company’s work gets done effectively.
3. Improves Motivation
Teams with a clear mission and values tend to be more engaged and motivated. The company’s values guide what behavior is encouraged, and its employees know what is expected and required of them. Employees are then motivated to get work done in a positive and secure environment.
4. Communicates Core Principles to Your Customers
Customers are most likely to choose companies that share their values. When you establish values for your company, they help educate customers and help them understand what your organization stands for. The customers who understand your company’s values become the most loyal and will spread the word about your company and your cause. Your customers then associate themselves with your company and the good you are trying to do.
5. You Hire the Right People
Company values help employers hire new people who will be a good organizational fit. The values play an essential role in attracting, recruiting, and retaining talented professionals who align with your company’s purpose. Remote work has made it easier to work from anywhere globally, so now candidates will compare your company with players worldwide. Having a set of values communicates your brand and purpose to the right people and persuades them to choose to work for you.
Make an Impact
Values are vital to creating a strong company culture, aligning your team, and making the right decisions. A set of values are among the many important factors that create a successful business, but not the only one. Combined with other business practices, company values can lead to a strong business as long as you live by them, lead by examples, put them before profit, and never compromise.
Whatever goal or purpose your business has, a set of company values can help you make a significant impact. Your business and your employees will flourish in an environment where they agree on what kind of impression they want their work to leave. When several team members embrace the company values and see that they work, those who might have been skeptical will follow, and you will have a strong team that creates a long-lasting organization. Aceneca can help you narrow down your values and create a mission to help your business thrive. We work to change the world by collaborating with like-minded companies, and we would love for you to be one of them. Visit our website to learn more and get started with us today!