Uncovering the Core Values of Small Businesses.

As a small business owner, it's easy to get caught up in the day-to-day tasks of running your business.

However, taking the time to identify and establish your core values can have a profound impact on the success and longevity of your business.

Let’s explore why core values matter in small businesses, how to identify your own values, and examples of successful businesses that prioritise their core values.

Core values serve as the foundation for your business' culture and decision-making processes.

When everyone in your team works towards a shared set of values, it creates a sense of unity and purpose.

This not only helps to attract and retain top talent, but also instil a sense of loyalty in your customers, who appreciate a business that stands for something.

Building a Strong Culture

Establishing your core values is the first step in building a strong culture.

When employees know what's expected of them and what they're working towards, they're more likely to feel invested in the success of your business.

This investment can lead to increased productivity and innovation.

A strong business culture can also create a positive work environment that fosters collaboration and creativity among team members.

One way to reinforce your core values is to incorporate them into your hiring process.

During interviews, ask candidates about their own values and how they align with those of your business.

This can help ensure that new hires are a good fit for your culture and are more likely to contribute to its success.

Guiding Decision-Making Processes

Your core values can also be used to guide decision-making processes within your business.

When faced with a tough choice, it's helpful to refer back to your values to ensure that you're making choices that align with your overall mission and vision.

This can prevent your business from veering off course and pursuing opportunities that aren't in line with your goals.

For example, if one of your core values is sustainability, you might choose to invest in eco-friendly packaging for your products, even if it's more expensive.

This decision would align with your values and demonstrate your commitment to sustainability to your customers.

Attracting and Retaining Top Talent

A strong set of core values can be a powerful tool in attracting and retaining top talent.

When job seekers know that a company is dedicated to a specific set of values, it can be a major selling point.

Additionally, employees who believe in the values are more likely to stay for the long haul, as they feel a sense of purpose and meaning in their work.

Alignment!

Offering opportunities for professional development and growth can also help attract and retain top talent.

Employees who feel that their company is invested in their success are more likely to stay and contribute to its growth.

Enhancing Customer Loyalty

Finally, core values can be used to enhance customer loyalty.

When customers believe in a business's values, they feel a sense of connection to the brand.

This can lead to increased customer loyalty and positive word-of-mouth

marketing.

One way to reinforce your values to customers is to share stories about how your business is living out those values.

For example, if one of your core values is community involvement, you might share a story about a volunteer event your company participated in.

This can help customers feel good about supporting a business that aligns with their own values.

In conclusion, establishing and living out core values is essential for small businesses.

It can help build a strong culture, guide decision-making processes, attract and retain top talent, and enhance customer loyalty.

By prioritising your values, you can create a successful and meaningful business that makes a positive impact on your community.

Identifying your small business's core values is an essential step in creating a strong foundation for your business.

Your core values serve as a guiding light for decision-making, hiring, and overall business culture.

They are the principles that your business stands for and the beliefs that drive your actions.

Reflecting on Your Mission and Vision

When reflecting on your mission and vision statements, it's important to consider the broader impact you want your business to have.

Are you trying to make a difference in your community or industry?

Are you focused on sustainability or innovation?

By identifying the overarching goals of your business, you can begin to pinpoint the values that are most important to achieving them.

For example, if your mission is to provide affordable and accessible healthcare to underserved communities, your core values might include compassion, empathy and social responsibility.

Analysing Your Company's Strengths and Weaknesses

Assessing your strengths and weaknesses is another valuable exercise in identifying your core values.

Consider what sets your business apart from competitors and what challenges you face.

What values are inherent in your strengths and what values could help address your weaknesses?

For example, if your business is known for exceptional customer service, your core values might include responsiveness, accountability, and a customer-first mentality.

If your business struggles with a lack of diversity in your workforce, your core values might include inclusivity, equity and diversity.

Involving Your Team in the Process

Identifying your core values shouldn't be a top-down exercise.

It's important to involve your team in the process to ensure that your values are representative of your culture.

By asking for their input and perspectives, you can create a sense of ownership and investment in the process.

You might consider hosting a brainstorming session or sending out a survey to gather feedback.

Encourage your team to think about the values that are most important to them and how those values align with the business goals.

Assessing Your Competitors' Values

Finally, it's worth taking a look at your competitors' values to see where you might differentiate yourself.

Are there any values they prioritise that you don't?

Are there any values that you could emphasise more strongly?

For example, if your competitors prioritise speed and efficiency, you might differentiate yourself by emphasising quality and attention-to-detail as core values.

By going through these steps and identifying your small business's core values, you can create a strong foundation for your culture and decision-making.

These values should be communicated clearly to your team and incorporated into your hiring, training, and performance evaluation processes.

Talk about them every day with stories of your team living the values.

Gamifying this process can also work.

Identifying and incorporating core values into a business is crucial for its success.

It sets the foundation for the culture, operations, and decision-making.

Once you've identified your core values, it can be helpful to see how other successful small businesses have incorporated their values into their operations.

Here are a few examples:

Integrity and Honesty

The Honest Company, co-founded by Jessica Alba, prioritises integrity and honesty in all aspects of its business - from the sourcing of ingredients to the formulation of its products.

The company's dedication to transparency has helped it build a loyal following of customers who trust the brand.

To further demonstrate their commitment to honesty, The Honest Company provides detailed information about their ingredients and their impact on the environment on their website.

The company also values integrity when it comes to their employees.

The Honest Company offers generous maternity and paternity leave, flexible work arrangements and a commitment to equal pay for equal work.

This dedication to transparency and fairness has helped the company attract and retain top talent.

Innovation and Adaptability

Slack, a messaging and collaboration platform, values innovation and adaptability.

Its company culture prioritises experimentation and risk-taking, which has led to the creation of cutting-edge features and a loyal user base.

Slack's commitment to innovation is evident in its product development process.

The company encourages its employees to share their ideas and provides them with the resources to turn those ideas into reality.

In addition to innovation, Slack places a strong emphasis on adaptability.

The company's leadership recognizes that the business landscape is constantly changing, and they prioritise the ability to pivot and adapt to new challenges.

This adaptability has helped Slack stay ahead of its competitors and continue to grow.

Customer-Centric Approach

Zappos, the online shoe and clothing retailer, is known for its commitment to customer service.

Its core value of being "obsessed with service" has helped the company build a loyal customer base and become a leader in the industry.

Zappos' customer-centric approach is evident in its policies.

The company offers free shipping and returns, a 365-day return policy and a 24/7 customer service hotline.

Zappos also values its employees and recognises that happy employees lead to happy customers.

The company offers a unique company culture that prioritises employee happiness and engagement.

This culture has helped Zappos attract and retain top talent, which in turn has led to exceptional customer service.

Social Responsibility and Sustainability

Patagonia, the outdoor clothing and gear company, values social responsibility and sustainability.

Its commitment to environmental stewardship has helped it build a passionate following of customers who share the company's values.

Patagonia's dedication to sustainability is evident in its products.

The company uses environmentally friendly materials, such as organic cotton and recycled polyester, in its clothing and gear.

Patagonia also values social responsibility and is committed to supporting causes that align with its values.

The company donates 1% of its sales to environmental organisations and encourages its customers to repair their clothing instead of buying new items.

Patagonia's commitment to sustainability and social responsibility has helped it build a loyal customer base and become a leader in the outdoor industry.

Establishing your small business's core values can have a profound impact on its success and longevity.

By prioritising values that align with your overall mission and vision, you can create a sense of unity and purpose within your business.

Additionally, a strong set of core values can help to attract and retain top talent, guide decision-making processes, and enhance customer loyalty.

By following the steps outlined above and drawing inspiration from successful businesses, you can establish values that set your small business apart.

We see most small business owners don’t invest time or value the most important job a manager does - recruitment. Which is why we put together a two week ‘Ultimate Recruitment Toolkit’ short course.

It includes a Playbook you can copy, drop into your Operations Manual and tailor for your business so you and your managers become Kick-Ass Recruiters.