Going beyond core values written on walls takes 3 key steps
Executive Summary of HBS article “The Role Core Values Play in Strategy Execution”
The Harvard Business School (HBS) article emphasizes the crucial role that core values play in driving organizational success, particularly in strategy execution. Core values are not just abstract ideals but practical tools that guide employee behavior, influence decision-making, and foster a cohesive workplace culture. To effectively implement these values, organizations should: 1) clearly define and communicate core values so they are understood by all employees, 2) align leadership actions with these values to model the desired behavior, and 3) create accountability mechanisms that ensure these values influence daily operations. Successfully integrating core values into daily practices can lead to higher employee engagement, better alignment with organizational goals, and enhanced business performance.
However, the article also highlights real-world examples of companies like Starbucks and Marriott that have successfully embedded core values into their strategies. Starbucks, for example, integrates its values of sustainability and community into its business operations, ensuring that these principles guide decision-making at all levels. Marriott has fostered a culture where employees are inspired to embody the company’s values, leading to exceptional customer experiences and long-term success. These case studies underscore the tangible benefits of implementing core values, demonstrating how they can lead to stronger organizational performance and a more committed workforce.
Key Takeaways
- Core values are essential for guiding employee behavior and supporting strategy execution.
- Effective communication of core values enhances employee engagement and alignment with business goals.
- Leadership must consistently embody core values to reinforce their importance within the organization.
- Core values should inspire employees and provide clear guidance for decision-making.
- Creating accountability mechanisms is crucial for ensuring that core values influence daily operations.
- A culture of psychological safety, where employees can take risks without fear of failure, supports innovation and growth.
Main Point Statement
The integration of core values into daily operations is critical for aligning employee behavior with organizational strategy and achieving long-term success.
VP Culture’s Perspective
Agree on…
At VP Culture, we resonate deeply with the idea that core values are essential drivers of organizational success, particularly in how they align employee behavior with broader business goals. We advocate for environments where employees feel valued, motivated, and connected to the organization’s purpose, which aligns closely with the HBS article’s emphasis on engagement through core values.
Challenge these ideas…
However, we take a different approach regarding the nature of core values. At VP Culture, we believe that there are six core values necessary for all organizations to genuinely value people. These values are not choices but rather a fundamental set, akin to the laws of physics in organizational psychology. A company that does not exhibit all of these core values will experience distorted decision-making, leading to long-term issues in culture and strategy execution. To learn more, explore our Fast Class on the Science of Values.
For more information, read the full article here.