Values in practice: what they say vs what they do

Defining your core values is one thing, but practising them is the next crucial step. We explore the importance of aligning core values with action.

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The saying “Practise what you preach” applies to all organisations when it comes to their core values, no matter how big or small. 

Defining your values is the first step. Now, you need to put them into practice. After all, your core values are the driving force behind your organisational culture, decision-making process and recruiting and retaining employees. If this isn’t reflected in your actions, it can harm your business as a whole.

Core values aren’t just a set of buzzwords to pick out from. Instead, they must represent an organisation’s genuinely held beliefs that resonate with both leaders and employees. They should serve as a constant reminder of what the company stands for and as a compass to guide actions and interactions.

In this article, we’ll explore famous values (including some controversial ones), common pitfalls of matching values to activities, and finding strategies to align actions and values successfully.

Three companies that changed their core values

A company’s core values are often shared in its mission statement or vision, all of which must be reflected in its organisational culture and everyday operations. Strong core values that are integrated with practices can foster a positive work environment, drive ethical behaviour and enhance overall performance.

At times, companies may also have to reassess and readjust their values, whether due to culture changes, new leadership or adjusting to new market dynamics. Here are three examples of companies that switched up their core values:

1. The demise of Google’s “Don’t be evil” motto

The phrase “Don’t be evil” was first introduced to Google’s values in the early 2000s. Paul Buchheit, the creator of Gmail, stated that the phrase was “a bit of a jab at a lot of the other companies, especially our competitors, who at the time, in our opinion, were kind of exploiting the users to some extent”.

However, the phrase was quietly removed from Google’s code of conduct in 2018. It’s been speculated this was due to controversy following its refusal to cut ties with the US military. 

In 2021, three former employees filed a lawsuit against the company, alleging that its “Don’t be evil” motto was contradictory and that it had broken its moral code by firing employees who retaliated against controversial projects, such as work for the US Customs and Border Protection (CBP) during former president Donald Trump’s administration.

Takeaway: Aligning company values is crucial for maintaining trust and credibility. When adopting a strong ethical stance, expectations must be constantly met. Any perceived hypocrisy that contradicts those values can lead to internal and external backlash.

Quietly removing or altering core values without clear communication can also create suspicion and a lack of trust. Therefore, companies must ensure that their actions and decisions properly reflect their stated principles, especially when facing ethical dilemmas.

2. Ford’s new “One Ford” ideology

Healthy competition isn’t a bad thing, but when too much is embedded into a company’s culture, it risks turning toxic.

While Ford’s old core values weren’t clearly defined, it struggled with a dysfunctional and caustic organisational culture, where competition and “being the best” took the forefront over collaboration and teamwork.

Former CEO Alan Mulally is often credited as the man who saved Ford, having joined the company in 2006. One of Mulally’s first priorities was to develop new core values for the company culture to follow. This included the “One Ford” ideology, intending to get everyone to work together and to create “an exciting, viable Ford delivering profitable growth for all.”

This involved a set of behaviours he expected employees to follow. Ford’s team were to “foster functional and technical excellence”, “own working together” and “role model Ford values”. These set behaviours would change the company’s culture, as well as make it more profitable.

Takeaway: When internal competition becomes too ingrained, it can lead to conflicts, isolated departments and too much focus on individual success over teamwork and the company’s overall health.

Ford’s experience underlines the importance of aligning the entire organisation with a unified vision and set of core values, as with the “One Ford” ideology. By encouraging teamwork, shared accountability and a commitment to common goals, companies can improve their culture and drive sustainable growth and profitability.

3. Uber’s new direction

While Uber is viewed as a successful disruptor for its convenient ride-hailing services, what was unfolding behind the scenes told a very different story. 

Uber’s old core values included “optimistic leadership” and “be yourself.” But in 2017, these came under serious scrutiny when the company was exposed for its toxic culture of misogyny and sexual harassment, prompting an investigation by former US Attorney General Eric Holder. As a result, several senior leaders resigned or were fired following this scandal, including CEO and co-founder Travis Kalanick, who stepped down after eight years with the company. 

To heal from the scandal, Uber revamped its core values. The arrival of its new CEO, Dara Khosrowshahi, saw the company ditch its “growth at all costs” ethos, replacing it with principles like celebrating differences and valuing ideas over hierarchy. 

As of October 2021, the company updated its values once again, refreshing them to better reflect what it’s like to work at Uber and the mindsets employees should have to deliver on the company’s mission. These new values include: “build with heart”, “stand for safety”, “do the right thing” and “diversity makes us stronger”.

Takeaway: Uber’s experience highlights the dangers of prioritising aggressive growth and individualism at the expense of a healthy work environment. When core values fall out of line and internal issues are left unchecked, they can lead to significant reputational damage and loss of trust.

The company’s values under new leadership illustrate the need for organisations to be adaptable and responsive to internal and external feedback. By changing its mentality from “growing at all costs” to one that emphasises diversity and safety, it demonstrates how companies can rebuild their culture and regain trust.

Where can companies fail to match values?

Companies can fail to match their values when there’s a disconnection between what they publicly promote and what they actually practise. This misalignment can occur in different areas, and when a company’s actions contradict its stated values, it risks losing credibility, damaging its reputation and undermining trust among employees, customers and stakeholders.

Poor customer service

Providing good customer service is often an important value for many businesses, so when this isn’t reflected in everyday actions, it can have a negative impact. Whether it’s rude interactions, unwarranted delays or poor communication, not delivering on customer service values will risk tarnishing your brand’s reputation.

Hall of Fame: Timpson

Providing great customer service is part of the Timpson ethos, which it carries out through an “upside down” management style, where employees are given the freedom to serve customers the way they see fit. This has proved to be effective in their customer service, as according to the biannual UK Customer Satisfaction Index (UKCSI), the company ranked at the top of the list for customer satisfaction with a score of 86 – a 2.4% increase compared to the previous year.

Hall of Shame: Scottish Power

Despite claiming to be committed to “treating customers fairly” and “helping customers find our best deal for them”, Scottish Power hasn’t been in the good books for its customer service. Specifically, almost half of customers (49%) said they were unhappy with the wait to get through to someone who could help. People were also disgruntled with its AI chatbot and how long it took to get the answers they needed.

Bad employee treatment

Good customer service is important, but employee satisfaction is equally crucial and should be part of any organisation’s values and culture. After all, employee happiness is a critical part of a good company culture. But if core values aren’t aligned with the reality of the workplace, this can hurt both your organisational culture and external brand image.

Hall of Fame: Equal Experts

IT services and consulting company Equal Experts promises to “deliver as teams of equals”, where every employee has the chance to contribute to delivery decisions. In turn, everyone is equally accountable and responsible for the delivery and must act accordingly. The company was ranked fourth place for Glassdoor’s best places to work, with favourable reviews from employees on having the opportunity to work within different areas of the business, the responsibility to tackle challenges independently and high trust in staff.

Hall of Shame: Victoria’s Secret

One of the core values of Victoria’s Secret is being “better together”, leading with “integrity, trust and respect, every single day”. While it didn’t rank the highest on Breakroom’s list of worst places to work, it broke the top 10. Employee dissatisfaction with how management treats them is certainly contradictory to its “better together” promise. With claims of aggressive behaviour by management, unprofessional demeanour and fear of voicing concerns, the lack of staff satisfaction isn’t a good look for the famous fashion retailer.

Environmental practices

With demand for companies to be more sustainable amid the climate crisis, 87% of executives believe environmental, social and governance (ESG) programs and policies to be either “extremely important” or “very important”. A sustainability value shouldn’t just be something to slap onto your core values for the sake of it. Instead, organisations with these values must ensure they’re taking the right steps to implement sustainable practices.

Hall of Fame: Patagonia

Environmental sustainability isn’t just a core value for Patagonia, but a huge part of its brand identity. The outdoor apparel company works to reduce its carbon footprint, share eco-friendly solutions and embrace regenerative practices. It also pledges 1% of sales to the preservation and restoration of the natural environment, while its Patagonia Action Works program helps consumers connect with local activist groups in their communities.

Hall of Shame: Nestlé

Nestlé preaches “respect for the future” as one of its core values, claiming that respect for the future of the planet compels it to act responsibly. It also announced in 2018 that it aimed to use 100% recyclable or reusable packaging by 2025. However, environmental groups criticised the food and beverage giant for not releasing clear targets or a timeline to accompany its ambitions. The company was also named as a top polluter on Break Free From Plastic’s 2023 Global Brand Audit.

Misaligned decision-making

Core values provide a consistent framework in the decision-making process, guiding choices and actions within an organisation. They serve as a moral compass, helping managers and employees make decisions through values-based leadership that align with the company’s principles and long-term goals. When clearly defined and integrated into this process, they ensure actions are ethically grounded and support organisational objectives.

Hall of Fame: Ben & Jerry’s

Ben & Jerry’s is known for its commitment to social justice, environmental sustainability and ethical sourcing. The company’s core values are reflected in its decision-making processes, from sourcing Fairtrade-certified ingredients to actively engaging in social and political issues. For example, using its platform to support climate action and sustainability initiatives, such as advocating for the Green New Deal and participating in climate strikes.

Hall of Shame: Wells Fargo

Multinational financial services company Wells Fargo’s stated values included a commitment to integrity, customer trust and ethical behaviour. However, intense pressure to meet aggressive sales targets led to unethical practices in its decision-making process. Employees were incentivised to open unauthorised accounts without customer consent to meet sales goals. This led to customer trust being severely damaged, large legal penalties and a major overhaul of the company’s leadership and practices.

Strategies to align actions with core values

According to a report by Nectar, only 57% of employees who work at small businesses feel that their company lives by its core values. Meanwhile, 66% of employees in medium-sized businesses believe the organisation lives by its values, but only 58% of large company employees feel the same way about theirs.

With these numbers in mind, it’s evident that actions and core values can stray away from each other. That’s why it’s important to take steps to ensure the two continue to work together. This can be achieved through the following strategies:

1. Establish clear communication: Share your core values with everyone and regularly communicate them throughout the organisation. Make sure that employees understand them, why they matter and how they should influence daily activities and decisions.

2. Integrate values into policies: Core values should be part of everything you do as a company. You should embed them into your policies, procedures and practices. This includes aligning hiring practices, performance evaluations and reward systems with the values.

3. Make continuous improvements: You might find good core values and want to stick with them forever. But, it’s important to regularly review and refine them to ensure they remain relevant and reflective of your organisational goals. You can also gather feedback from employees to identify potential gaps between values and practices.

4. Implement into your culture: Remember, core values play a huge part in your company’s internal culture, so it’s important to foster a culture that naturally reflects those values. For example, encourage behaviours and practices that align with them and create an environment where they’re integrated into everyday work.

5. Recognise and reward employees: Recognise and reward employees who exemplify core values in their work. To make it even more effective, you could include special prizes or incentives, such as an “employee of the month” program or offering additional bonuses and public recognition for those who demonstrate exceptional alignment with company values.

6. Provide training for employees: Provide training and development programs that reiterate core values and teach employees how to apply them in their roles. This will help to further underline your values’ importance and equip employees with the tools to act accordingly.

Conclusion

Once your core values are defined, it’s crucial to integrate them into every aspect of your organisation. This means embedding them into your company policies, decision-making processes and daily operations.

At times, companies have been challenged on their core values for contradicting them with their actions. This can cause them to face reputational damage, lose trust or completely change their leadership. This misalignment can lead to public criticism, decreased employee morale and even legal repercussions in some cases.

With the constant activity of running a business, it can be easy to lose sight of your core values and have your actions drift apart. But by regularly reviewing your core values, integrating them into your everyday operations and ensuring consistent communication and reinforcement, you can keep your organisation aligned with its foundational principles. 

This ongoing commitment helps maintain a strong culture, fosters trust with stakeholders and drives consistent, ethical decision-making. Regularly assessing and realigning practices with core values supports long term success and strengthens your organisation’s reputation and employee engagement

In this way, your core values become more than just statements: they become a living, guiding force that defines the direction and integrity of your organisation.

Written by:
With over 3 years expertise in Fintech, Emily has first hand experience of both startup culture and creating a diverse range of creative and technical content. As Startups Writer, her news articles and topical pieces cover the small business landscape and keep our SME audience up to date on everything they need to know.

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