Ken’s 3 Quick Tips On How To Define Business Core Values

What Are Core Values?

Defining your Business Core Values involves exploring the heart of your organizational identity.

Among the first questions I ask of any Business Leader is, what do you value most? You can likely predict where this conversation is going. As the leader describes what she values, articulating the thoughts in her mind to a crisp, clear description of why she founded her company, business core values begin to take shape.

What are the differences between principles and values? Most simply put, values are the principles that define your purpose statement, act as a guiding light for expected behavior, and define an essential aspect of culture.

Imagine a company without values—akin to a ship adrift without a rudder, lacking direction or purpose. Values are the North Star that keeps organizations focused on their true destination, even during turbulent seas. They act as a common language that unites diverse teams, transcending departmental boundaries and fostering a sense of unity and belonging.

These company values are nearly always an element of the origin story, known to the founder and their team. And because these critical values are often not written down or displayed, getting that information is paramount.

Encouraging leaders to articulate their values initiates a ripple effect, where these guiding principles cascade down through the organization, shaping behavior, influencing decisions, and nurturing a robust, values-based culture.

Tip #1: Use A Purpose Statement

At Leader’s Cut, every client begins our work together by being profiled using Talent Dynamics. Those that opt for a Breakthrough Strategy Session to test the coaching waters also take the test. While the insights are valuable, a universal principle we discuss is the unifying theme of why.

As Simon Sinek mentioned in his viral video, Start With Why:

People don’t care what you do until they know why you do it.

Therefore your purpose statement defines the reason your organization exists. We begin with Talent Dynamics to define native genius, uncover why you started a business, and the philosophical fuel that drives so many business leaders to invest the blood, sweat, and tears required for an enduring, successful track record of results. By discussing purpose, we uncover the fundamental values that are the very essence of your unique business proposition.

Tip #2: Keep Your Values Unique

With your clear, concise purpose statement, you can answer the question, what are company values? These are guiding beliefs that unify internally and externally.

That means your team of employees, contractors, and partners are unwavering in their shared commitment to the ideas and values that make your organization unique. Furthermore, by living these values, you attract clients/customers that share these common values.

When working with teams to implement Making the Cut™, our flexible chassis for organizational success, we ask leaders to come up with a list of values that stand out to them, leaving out aspirational items that are simply impossible at the moment. Also, leave aside the list of values that sound like a marketing ploy rather than the essence of your purpose. Instead, combining three to five core values will become an integral part of your secret sauce.

Tip #3: Update Your Values Over Time

Many leaders ask if their core values remain finite over time. The short answer is no, not because you don’t value the same items but because some of those aspirational goals work their way onto the drawing board as leadership comes together every quarter.

Some examples of core values are Honesty & Integrity, Compassion, Growth Focused, Hungry, and Empathetic.

As you can see, the eagerness and passion behind growth may suit a newer business, while attention to consistency and predictability may resonate more with an established brand. Much of the magic that results from Core Values is in the story you build to define each, how it impacts your culture through hiring, and its resonance with your client community.

Building Values Unique to You & Your Team

 As you review your list of core values, challenge yourself to write a story that communicates the following:

• How you discovered what you value.
• In what way is each value unique in your industry?
• Your definition of seemingly common values (i.e., integrity).
• The direct accountability you expect in living the core values.
• How your organization has developed living the core values over time.

While the prospect of this exercise might seem nebulous or time-intensive, consider the fruitful investment it represents. The insights you’ve taken from this endeavor can help shape the very essence of your company, fostering unity, resilience, and an authentic identity. If that sounds a bit nebulous or time-consuming, schedule some time with Ken at Leader’s Cut to discuss whether Business Coaching can help you and your team can unify around your unique set of core values. After all, the journey of refining core values is a testament to your commitment to growth, relevance, and the enduring legacy of your business.