Consilient Inc.




Why and When to Measure
Organizational Values

    • Corporate strategy: No matter how brilliant your strategy, its implementation relies on the cooperation of employees. If their behavioral norms run counter to the requirements of your strategy, implementation will be difficult, or worse, will fail altogether. Before you begin to reformulate your strategy, it is imperative for you to understand the cultural landscape in your organization.
    • M&A Due Diligence: Thirty percent of mergers and acquisitions fail due to cultural misalignment. Almost all of the energy, time and money spent on due diligence focuses on financial, structural and legal issues. But when the CEOs of failed mergers and acquisitions are interviewed, the number one reason they cite is a clash of cultures. Our values map will provide you with a clear view of the cultural differences and similarities between merging entities, allowing you to evaluate the likelihood of successful cultural integration in a scientific and systematic manner.
    • Brand strategy: Every brand promise implies a number of benefits – things that customers expect to get when choosing the brand. To be seen as authentic, the organization must deliver on these benefits. How certain are you that the values embedded in your culture are suited to deliver on your brand promise? Before you commit to your brand strategy, set it up for success by checking for important gaps between the authentic values of the organization and those promised by the brand.
    • Change management: Change initiatives are often confounded when desired outcomes are not supported by the organization’s culture. Lasting change simply does not occur when the behaviors that are required for change are out of alignment with entrenched values. Any leader who initiates a transformation process needs to know which values are firmly embedded in the organization’s culture.
    • Performance improvement: The United States incurs an annual penalty of about $500 billion from the suboptimal productivity of a largely disengaged workforce. Traditional employee engagement surveys only shed light on a small part of this story. The degree to which an organization embraces its core values has a strong and direct bearing on employee engagement and retention. If you want to supercharge your performance improvement initiatives, you need a clear assessment of how your organization is performing against its values.
    • Cultural Drift: Culture changes over time in response to a variety of forces. New hires, changes in management, mergers, shifts in strategy… Keeping abreast of cultural drift is essential to maintain superior performance. But more than that, tracking your performance against values over time allows you to see exactly how your interventions are playing out. Subscribe to our Tracking Program so that you are able monitor changes in your culture on a regular basis.
    • External Stakeholders: Employees are the “canaries in the mine”. But they are not the only stakeholders affected by the organization’s culture. Customers, channel partners, suppliers, local communities and even investors feel the effects of the organization’s values-driven behavior – sometimes most acutely. More importantly, how they perceive your organization’s values and culture directly influences how they engage with your organization. Measure how your stakeholders perceive your performance against values if you really do want your organization to change the world.

 

 

 

What are core values?

The guiding principles and beliefs that shape all decisions throughout an organization and guide it towards achieving its core purpose

 

Why are organizational values important?

Together with a strong organizational purpose, authentic core values:

    • Build strong organizational cultures
    • Lead to more effective organizations
    • Are an effective risk management / risk elimination mechanism
    • Build your brand and reputation
    • Allow your organization to create a better world
    • Provide clear decision-making criteria in difficult circumstances

Authentic, embedded core values are essential for enduring success