How Organizations Can Define and Implement Strong Organizational Values

Organizational culture is a critical component in the success of any business. But a strong organizational culture doesn’t happen by chance; it requires intentional and thoughtful identification of the core values the organization is built upon. In this article, we will explore a six-step process to define and implement these values, ensuring that they align with your organization's strategic goals and foster a positive work environment.

1. Assess Your Current Organizational Culture

First, take a benchmark of your current culture by truly assessing where your company stands. This means going beyond your perceptions and desires, and looking at the actual impression your organization gives off both externally and internally. Begin by interviewing vendors, clients, employees, and the leadership team – either in focus groups or through an online survey. Ask them to describe what they consider important for the organization and how effectively the organization is putting those values into practice. This will help you understand the current culture and identify areas for improvement.

2. Review Your Strategic Business Plan

Next, consider the future of your organization. Where do you see your organization in one, three, or five years? Since your corporate culture is closely tied to your business strategy, it's important to define your destination early in the values process. Meet with your executive team to develop a plan for revenue growth, staff production, and expansion. This will help you identify what cultural elements are necessary to achieve your strategic goals.

3. Determine the Culture Needed to Achieve Your Plan

With a clear picture of your current organizational culture and where you want to be in the next one to five years, it’s time to look at your organizational values in this context. Review your strategic plan and ask yourself: What cultural elements are necessary to achieve our goals? For instance, Starbucks' core values of diversity, customer service, and quality products ensure that customers can expect a diverse staff, happy clientele, and delicious drinks. Identify what specific cultural elements are needed to support your organization's future.

4. Decide If Your Values Need to Shift

Once you have a clear understanding of the culture and talent needed for your organization, you can start to finalize your new—or revised—set of values. Look over your initial survey or focus group results and decide if those values are aligned with your strategic goals. A valuable tool for this process is a set of Values Cards. These can be placed on a conference table and the executive team can start picking the values they identify with the company. Alternatively, select a few values and explain why you think they are the most relevant to your organization's mission.

5. Define What Your Chosen Values Really Mean

An organizational value is not just a word on the wall; it must be clear what specific behaviors and processes the employees are expected to follow to honor this value. For example, if your organization values loyalty, specify what this loyalty refers to. Is it loyalty to the company, to customers, or to colleagues? Make it clear what ‘loyalty’ looks like in action for your organization. This will help your team understand and embody the values.

6. Incorporate These Values into Organizational Processes

Your newly defined values should be integrated across all operational areas, including the talent lifecycle. Use these values during the recruitment and hiring process, asking candidates about their own values, and reiterating these values in employee contracts. Within on-boarding and employee development, align your values with performance reviews and compensation. A solid foundation of values will not only help you hire the right people but also build an organization culture that is engaging, genuine, and impactful.

By following these six steps, you can define and implement strong organizational values that align with your strategic goals and foster a positive work environment. Remember, a strong organizational culture is not a one-time project but an ongoing effort to ensure that your values are lived every day.

Take Your Organizational Values to the Next Level

To take your organizational values to the next level, align them with your team’s core competencies. Having clear, coherent values that are integrated into all aspects of your organization's operations ensures that your team not only understands what is expected but also sees the impact of their work. This alignment will help drive greater engagement and a more cohesive team.