The core values of a company are the basic principles or conventions that three level of management decides on behalf of the company on which the business and the approach of the company depends. These are the guiding values that the company follows in order to meet the desirable target of the company. The internal affairs of the particular company and the bond between the customers with the company depend on the core values of the company. The core values once determined should and cannot be altered and must be maintained to the last extent.
The core values of a company must not be just stated values rather they should be implemented and followed with proper discipline. The core values should be incorporated in the mission statement and it can also be written as a separate statement. However it must be initiated with a session of brainstorming that would involve three tiers of management who will surely be able to convey what is required for the company and what should be eliminated and must not be considered to be necessary. It should involve the founder of the company, the CEO, branch manager and the people who are in operation along with some trusted employees.
There are certain objectives that should be kept into consideration while deciding the core values are whether the values that have been determined can resonated with the customer of the company or not, what principles should be chosen as guiding ideas to implement the choice of the company, what the motives and the objectives of the company is and how the values of the very company differentiates it from that of its contemporaries.
Corporate governance lies at the centre of the core values of a company which is a set of rules and laws that runs the business of a company. Corporate governance is responsible for controlling and regulating the business of a company. The objective of the term is to secure the interest of all the stakeholders of a company. The purpose of implementing corporate governance in a specific and disciplined way is to include everybody starting from the shareholders, managements to the customers. The job of the board of directors here is to create the framework of the corporate governance that would work the best for the betterment of the company. The corporate governance depends on multiple things like action plans. The way the performance is measured, how the decisions of execution performance are made and what the dividend policies are.
The basic intention of the company should be concentrating on the fact that all the stakeholders are given equal space and opportunities. This is also taken into consideration that all of them are completely aware of their rights and responsibilities and how they can successfully achieve what is expected of them. There should be a transparent procedure of communication so that all the social and legal information that are required are passed on to all the employees, board members, managers and the people in the operations. There are specifically some duties that the board of directors must maintain by ensuring the fairness and diversity of the company keeping the transparency and the accountability in mind. The directors must abide by the laws while recruiting new members only if they are meeting the standards of the company.
Now depending on the nature of the company the core values tend to change. In some companies the core values are published in the official website of the company and sometimes in the annual report. Along with corporate governance there are some values that a company considers to be important. They are for instance a determination to act on the behalf of the company in a sustainable way to secure the future. Certain companies like Patagonia as well as Ben & Jerry’s are well known for keeping environmental sustainability to be one of their core values. There must be another core value which includes the commitment to introduce innovation in the production. For example Apple can promote their motto of “Think Different” by the idea of implementing innovation in every new product it is launching one after the other.
There should be a commitment for serving everybody. The core value of a company must be to help everyone possible. Google can be the best instance of creating one of the greatest search engines to do something god for everyone. For some company the moral becomes one of the core values. The people who are needy and less fortunate are going to be helped by some companies and this is one of the strongest core values of some company. TOMS shoes are one of the companies who distributes shoes to the poor and needy people for each sell of a pair. The strongest core values of all must be the way the company is influencing different communities in every layer. There are many companies who contribute a lump sum amount either to universities or to some organizations so that the money can be utilized appropriately.
Apart from all these there are some very basic values that can be incorporated in the list of core values of a company on the basis of the nature of the company. There must be a loyalty from both the employees and the authorities’ end. Creativity along with innovation and consistency must be focused so that the trust of the customers is raised and a good relationship between the company and the customer is served. The company must concentrate on honesty and efficiency. Commitment towards coming up with excellence and something which is better than before is one of the most important core values. Gopro is such an innovative service for the people who love to travel can capture anything without using their hands. It is innovative, better and serving the people at the same time. As H&M suggests that they believe in people and they are one team they try to stick by it and work with open-mindedness and simplicity to uplift the entrepreneurial spirit.