A Value Statement

Roy Disney once said, "When your values are clear to you, making decisions becomes easier." While he was speaking specifically about personal values, the same can be said of the corporate decision making process. Most companies have vision and mission statements - clear statements developed with the idea of guiding their organization's direction and portraying their future goals. With the recent increase in corporate wrongdoing, it is duly important that companies develop and communicate a value statement as well. 

How does a value statement differ from a vision or mission statement? First, a value statement represents an organization's conviction. It describes more how an organization conducts itself and its business than it describes what the organization has set out to do and what it hopes to accomplish in the future. Value statements use words that relate to people's beliefs, such as "respect," "teamwork," and "integrity," while mission and vision statements use more action-oriented words, which elucidate direction and purpose. Employees and stakeholders identify with vision and mission statements on a more professional level illustrating their desire for success. The values a corporation represents underline all choices, decisions, and communications made on behalf of the organization and are something employees and stakeholders can identify with personally and will help both groups to feel more attached to the company.

Developing a value statement can be part of or separate from the strategic planning process; however, it is still vital to have input from employees. This allows for the open disseminating of principles that all employees hold personally important to them. If the values are derived from a group session, there will be more dedication by those involved to embody and maintain those positive values [Valentine, Scott. Developing Value Statements: Lessons from War. p. 2]. This process also serves to create a sense of ownership within a company as employees can now feel connected to the strategic process which underlies all major decisions. 

The importance of the value statement is evident on several levels. The sense of ownership and "rallying behind a cause" is a positive teambuilding experience for employees at all levels. Additionally, if the values are carried through and reinforced through training, it provides peace of mind to stakeholders in an era where corporations are often viewed in a negative light. Maintaining that sense of ownership is vital. The "power" of a value statement needs to be reinforced, as mentioned, through other initiatives. The training or initiatives should be able to support each value represented in the statement; otherwise, the statement is too general or broad and will not be effectively managed [Valentine, p. 2-3]. 

As companies become more complex with mergers, buyouts, and acquisitions, developing a communication for both internal and external customers about the positive values the organization holds dear can be a determining factor of success. Ensuring that your company operates according to your corporate values, and communicating those values to employees, business partners and customers will go a long way toward aligning how your company does business and how your partners and customers perceive your company.

Aviel Selkovits is the business development coordinator for THE HILL GROUP. For more information about managing change, contact Aviel at 412.722.1111 or via email at aselkovits@hillgroupinc.com.

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