Organizational values are becoming an increasingly important aspect of external branding and internal communications. But what are organizational values, and how do you define what they are to you? Consider what your business stands for, what moral or ethical stances your business takes, and what relatable traits your brand embodies. There are many reasons why it’s important to establish core values in organizations, and your employee and customer relationships will improve because of it.
Why do employees care about organizational values?
When organizations make a point to define and practice a certain set of values, employees can feel more aligned or relate to their place of work. Defined value sets can be - and should be - embedded in company culture. Today’s workforce increasingly look for jobs at companies which have strong, positive and unique company cultures.
Take millennials for example: studies have shown that this generation will even opt for a job that is lower paying, if they feel that they are working for a company with ideals that align with their own, especially if those ideals include being socially responsible. And also important to millennials: values that they can see. If you claim to value transparency, open communication and growth, you need to practice what you preach. Your employees will appreciate it and your values will also begin to shape your customer relationships too.
Why do customers care about organizational values?
Consumers today are becoming increasingly value-based in their decision making, and so it’s more important than ever for businesses to exemplify their own standards. When customers can see their own priorities and morality mirrored in the businesses they choose to shop with, they also tend to be more loyal.
You can think about it this way too: if your employees are content and happy working for you because they feel they are part of a culture that has strong values, those feelings will reflect onto customer interactions and in turn, improve those relationships.
Why culture matters in business
At the end of the day, defining and exemplifying value sets in a company just makes good business sense. Companies who strive to embody certain ideals can also avoid suffering from lack of direction, inconsistency in identity, and utilizing questionable business practices. When a company doesn’t know what it stands for, it becomes impossible for employees and customers to know either.
Just remember that when establishing organizational values for your business, consider what is reasonable, realistic and what makes sense for your brand. Make those values your mantra, follow them through, help employees get on board and you’ll find your organization to be stronger than ever.