Are Your Company's Values Aligned with Those of Your Customers and Employees?

Values are more than just words on a website or what people say to look good. They guide behavior, shape culture, and attract like-minded talent and customers. When companies do not operate in line with their values, they risk harming their profitability, company culture, and employee retention.

Companies that publicly promote values they do not practice internally create significant risks for their brand, culture, and long-term success. This disconnect between aspirational and lived values, often seen as virtue signaling, ultimately harms organizations more than it helps.

The Impact on Employees and Organizational Culture

How a company deals with its own values and deals with the values of others affects corporate culture

When a company’s stated values don’t align with its daily operations, employees notice. No matter what a company posts on its website or in recruiting materials, the truth is hard to hide. Instead of channeling efforts toward productivity and efficiency, employees spend their time trying to figure out what the real values of the company and management are. This lack of clarity leads to conflicts and stifles innovation.

When employees join companies believing that the company’s stated values align with their own, they often face a rude awakening. They may discover that the company’s advertised values are merely performative or aspirational. This issue is particularly critical for attracting and retaining talent. Younger generations, such as Gen Z, care deeply about a values-aligned workplace. They are willing to quit or refuse to apply for companies whose values do not match their own.

When companies fail to treat others with respect, especially those with differing values, high turnover should not come as a surprise. The gap between words and actions forces employees into a difficult position, undermining morale and engagement. They witness a culture that doesn't "walk the talk."

Short-term gains can mean long-term losses when companies live out of alignment with their stated values.

Angering Clients or Customers by Perceived Deception

The negative impact of performative values extends far beyond internal teams. In today's hyper-connected world, consumers are more discerning than ever. They quickly point out hypocrisy. When a company's actions contradict its advertised principles, loyal customers perceive this as deception, betrayal, and hypocrisy. Customer loyalty is increasingly tied to corporate values. Consumers are not afraid to cancel brands whose values offend their own. This is especially true for millennials and Gen-Z consumers who make purchases based on values. Organizations that prioritize optics over authentic action trade long-term trust for potential short-term gains, ultimately choosing long-term losses. Regaining trust and undoing damage to a brand’s reputation is not easy once consumers feel betrayed.

From Aspirational to Practiced Values

The first step toward alignment is for a company to honestly assess its practiced values, not just the aspirational ones written on a wall. To build an authentic brand, leadership must shift from simply stating values to embodying them through consistent behavior and decision-making. This requires a deep and honest look at what the organization actually rewards, prioritizes, and encourages. It also requires individuals to own their lived values rather than judge them. Coaching can help people and companies discover what those values are and how to own their lived values.

How to Identify Real Practiced Values

Specialized tools can help organizations move beyond surface-level values statements. Most tools to evaluate values ask what you want your values to be. However, Big Little Insights values assessment helps individuals, teams, and organizations discover their lived or practiced values, not just the values they wish to have. Big Little Insights asks what they actually are. This subtle but powerful shift leads to more honest conversations, stronger cultures, less painful conflict, and better business outcomes.

Embracing Change and Building a Vibrant Work Culture

Creating a vibrant work culture requires more than just aligning values. It involves embracing change and being open to feedback. Companies must foster an environment where employees feel safe to express their thoughts and concerns. This openness can lead to innovative solutions and a more engaged workforce.

Encouraging open dialogue about values can also help bridge gaps between different perspectives. When employees feel heard, they are more likely to contribute positively to the company culture. This, in turn, can lead to improved collaboration and teamwork.

The Role of Leadership in Value Alignment

Leadership plays a crucial role in ensuring that a company’s values are not just words but are actively practiced. Leaders must model the values they wish to see in their organizations. This means making decisions that reflect those values, even when it is challenging.

Moreover, leaders should regularly communicate the importance of values to their teams. By doing so, they reinforce the idea that values are integral to the company’s success. This consistent messaging can help create a shared understanding of what the company stands for.

Conclusion: The Path to Authentic Values

In conclusion, aligning a company’s values with its actions is essential for long-term success. It requires honesty, introspection, and a commitment to practicing what you preach. By taking the necessary steps to assess and embody true values, organizations can foster a culture of trust and engagement. This not only benefits employees but also strengthens relationships with customers. Ultimately, the journey toward authentic values is one worth taking.

By embracing this path, companies can empower their teams to manage differences constructively, resolve conflicts gracefully, and create vibrant work cultures that thrive on shared values.