Company Values
Company Values (or core values) are the guiding principles and beliefs that shape an organization's culture, decision-making, and behavior. While the mission defines what you do and the vision defines where you're going, values define how you act along the way.
Mission, vision, and values form the three pillars of organizational identity. A mission without values lacks ethical grounding; a vision without values can lead to toxic pursuit of goals.
What Are Company Values?
Company values are the deeply held principles that guide how people in an organization behave, make decisions, and treat one another. They are not aspirational marketing slogans — they are the standards to which the organization holds itself accountable.
A strong set of values answers the question: What do we stand for, regardless of the circumstances?
Characteristics of Authentic Values
- Non-negotiable: Values hold even when they are inconvenient or costly.
- Behavioral: They translate into specific, observable actions — not abstract ideals.
- Enduring: Unlike strategy, values rarely change. They outlast products, leaders, and business models.
- Differentiating: They reflect what makes the organization unique, not generic platitudes like "integrity" or "excellence" (unless genuinely lived).
Examples of Distinctive Values
| Company | Value | What It Means in Practice |
|---|---|---|
| Netflix | "Freedom and Responsibility" | Hire great people, give them freedom, and hold them accountable. |
| Amazon | "Customer Obsession" | Start with the customer and work backward — even at the expense of short-term profits. |
| Zappos | "Deliver WOW Through Service" | Go above and beyond in every customer interaction, no matter how small. |
| Patagonia | "Build the Best Product, Cause No Unnecessary Harm" | Quality and environmental responsibility are inseparable. |
How Values Relate to Mission and Vision
- Mission → The vehicle (what we do, who we serve, how we serve them)
- Vision → The destination (where we want to be in the future)
- Values → The rules of the road (how we behave on the journey)
When all three are aligned, an organization has a clear identity, a compelling direction, and a healthy culture to sustain the effort. See Strategic Alignment for how this cascade works in practice.
Crafting Company Values
- Look inward, not outward. Identify behaviors that already define your best people and moments.
- Make them memorable. Three to five values is ideal — more than seven and people won't remember them.
- Define what each value looks like in practice. A value without behavioral anchors is just a poster on the wall.
- Build them into operations. Use values in hiring, performance reviews, promotions, and even firing decisions.
"Core values are the soul of the organization. They are the deeply held principles that guide every decision and action." — Patrick Lencioni
Related Notes
- The Difference Between Mission and Vision — The conceptual foundation for mission and vision
- Strategic Alignment — How values, mission, and vision work together to drive strategy
- Crafting Mission and Vision Statements — Practical guide for writing mission and vision statements
References
- Collins, J. & Porras, J. — Built to Last: Successful Habits of Visionary Companies
- Lencioni, P. — The Advantage: Why Organizational Health Trumps Everything Else in Business
- Netflix Culture Deck — Freedom & Responsibility