How Do Organizational Values Affect Business Success?

Having organizational values ​​helps you make sure that all employees work towards the same goals. Core values ​​support the company’s perspective and shape its culture. That is why any business decision must be in line with these values.

If you do not define your organization’s values ​​and share them with employees, how can you build great teams, provide great customer service, and foster innovation?

The core values ​​of the company shape its culture and influence its business strategy. They help you set goals, improve team cohesion and build a sense of commitment in the workplace.

Not surprisingly, organizational values ​​also play an important role in attracting talent: 46% of job seekers consider company culture to be very important in choosing it.

You are probably familiar with the concept of hiring for cultural fit. But to hire the “right talent”, you need to define the values ​​of the company to which you are committed and make sure that the applicant you are considering has similar values.

In other words, building a strong business starts with creating a corporate culture that reflects your core values.

Definition and principles of organizational values

In essence, organizational values ​​are the beliefs, philosophies, and principles that drive business. They affect the employee experience you provide as well as the relationships you have with customers, partners, and stakeholders.

Organizational values ​​are the DNA of the company and help you differentiate your business from the competition. That’s why you can not make any important decisions without considering them.

How do organizational values ​​drive business success?
As mentioned above, the values ​​of the organization play a key role in your business.

Without them, it is almost impossible to align employees with your strategic goals, strengthen teamwork, or empower employees; Because:

1. The values ​​of the organization help employees to make the right decisions.

Having a clear set of values ​​helps employees understand what you are committed to. The values ​​of the organization also give them guidance for their work and a sense of security.

As a result, employees are more likely to make the right decisions; Decisions that help them achieve the company’s vision and goals. This is because they understand the company’s mission statement, share the values ​​you adhere to and believe in your brand.

In addition, having a well-defined set of organizational values ​​provides an ethical path to guide employees in difficult situations. In an unstable environment with rapid technological, environmental and social changes, this is a necessity.

But to help employees make the right decision, you need to set the right organizational values, values ​​that reflect what you believe. That’s why Simon Sink explains in his book, Start With Why, that you need to tell employees why your company exists, what your mission statement is, and what beliefs you stand for.

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2. They help you improve employee communication.

Employee communication plays a very important role in creating a better culture, improving satisfaction, and increasing their participation.

The problem is that when employers do not have specific organizational values, their relationships with their employees are often inconsistent and uncertain. This often leads to confusion in the workplace.

With clear corporate values, you can significantly improve employee communication in the workplace and help employees live up to those values.

3- They have a direct impact on employee motivation and participation.

When employee relationships are built around the core values ​​of the company, it helps increase employee motivation and participation.

In fact, if you explain to employees what your core values ​​are and why you stand up for those particular values, they will have a better understanding of the company’s goals and will work harder to achieve them.

Committed employees are those who have clear guidance for achieving their personal goals as well as the goals of the company. They have a good understanding of what is expected of them and how to achieve business goals.

But most importantly, committed employees are those who share and strongly believe in your organization’s values. If you want employees to feel more involved, you need to define and share your company values.

4. Help customers understand what your company is committed to.

In addition to helping employees thrive on the organization’s values, it is important to make sure customers understand your core values.

In fact, the company’s values help you clarify your brand identity and educate your customers about what the company believes.

Having a unique set of core values can be a competitive advantage.

If you can build a relationship with customers based on shared values, you will likely strengthen that relationship because it is built on shared beliefs and principles.

Conclusion of Organizational Values

The Covid-19 virus pandemic has completely disrupted the performance of businesses. Shops closed rapidly, teams dispersed around the world, and downsizing increased sharply; Especially in the aviation industry, hotels and restaurants.

A global crisis, such as the coronavirus epidemic, is a real test that shows that the values ​​set by companies are real or just part of a communication program.

In fact, people (including employees) tend to question the trust of companies in times of uncertainty and anxiety, such as during an epidemic.

Businesses actively value their core values ​​to build or regain employee and customer trust.

“Have we done the right thing?”, “Do the decisions we have made align with our company’s values?”, “Have we done all we can to empower employees during this difficult time?” “Do we value what we have left?”

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