Corporate culture values serve as guiding principles that shape an organization's identity and behavior. They represent the ideals and beliefs that a company aspires to uphold in its daily operations. However, the critical question remains: Does your company genuinely live by its stated values, or are they merely words on paper?
Understanding the Discrepancy
Research suggests that while many companies articulate their values prominently, there often exists a gap between embraced values and actual behaviors within the organization. This inconsistency causes a significant challenge, as it undermines the credibility of leadership and erodes employee trust and engagement.
The Importance of Alignment
The alignment between stated values and organizational practices is crucial for several reasons. Firstly, it stimulates a sense of authenticity and integrity within the company culture. When employees witness leaders consistently embodying the stated values, it reinforces their belief in the organization's mission and purpose.
Secondly, alignment enhances employee engagement and commitment. When individuals perceive that their company's actions align with its values, they are more likely to feel a sense of belonging, feel fully engaged in their work and feel responsible adding their piece of the pie.
Identifying the Discrepancy
So, how can organizations identify and address the misalignment between stated values and actual behaviors? One approach involves conducting regular assessments to measure employee perceptions and experiences regarding the company's culture and values.
Surveys, focus groups, and interviews can provide valuable insights into employees' perceptions of how well the organization embodies its stated values in day-to-day operations. By getting feedback from employees at all levels of the organization, leaders can gain a good understanding of the cultural norms and areas requiring improvement. In my experience, this continuous checking in should be owned by the HR team and the CHRO. I often see that their pro-active attitude- and visibility is poor. They should be the one challenging the owner and/ or the CEO/ investors.
Linking Values with OKRs
One effective strategy for bridging the gap between company values and behaviors is to integrate values into the framework of Objectives and Key Results (OKRs). OKRs are a powerful tool for aligning organizational priorities and driving performance. By linking OKRs with company values, organizations can ensure that employees' goals and actions are aligned with the organization's broader mission and values.
Top-Down Leadership
Leadership plays a pivotal role in shaping organizational culture and values. Senior executives must lead by example and demonstrate a commitment to upholding the company's stated values in their actions and decisions. This means, aligning performance management systems, incentive structures, and leadership development programs with the organization's values.
Moreover, leaders should communicate transparently with employees about the company's values and the importance of aligning behaviors with those values. Having this open dialogue, listening to employee input, leaders can keep a culture of accountability and shared ownership of the company's values. Again this should be the HR team’s top priority.
Bottum-Up Initiatives
In addition to top-down leadership, down-up initiatives driven by employees can also contribute to closing the gap between stated values and actual behaviors. Employee-led interest groups, culture committees, and mentorship programs can create opportunities for individuals to contribute to the company's values and keep a sense of community and belonging.
Moreover, organizations can empower employees to hold themselves and their colleagues accountable for upholding the company's values. By promoting peer-to-peer recognition and feedback mechanisms, companies can reinforce desired behaviors and create a culture of mutual support and accountability. Make sure that all function groups in the organization should have a voice here.
In my experience there is a pitfall here; there is a tendency towards besties speaking with besties in the company, which causes groups to loose interest and commitment fast. Name people’s individual input, from all teams in the company. Showcase what they are contributing to the overall objectives and hidden drivers. (“hard” and “soft” contributors).
Wrapping Up:
The alignment between stated values and organizational practices is essential for having a healthy and authentic company culture. By identifying and addressing discrepancies between set values and actual behaviors, organizations can strengthen employee trust, engagement, and commitment.
By linking values with OKRs, organizations can ensure that employees' goals and actions are aligned with the company's broader mission and values. Leadership must lead by example and demonstrate a genuine commitment to upholding the company's values in their actions and decisions. At the same time, “bottom-up” initiatives driven by employees can complement top-down efforts and create opportunities for individuals to own the organization's values.
Closing the gap between stated values and actual behaviors requires a continuous effort from all levels of the organization. By working together to keep a culture of integrity, authenticity, and accountability, companies can create a workplace where values are not just words on paper but lived and breathed by every member of the team.
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