How An Organization Is Defined By Its Values

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Strategic Values An organization is defined by its values. The article reviewed discusses how an organization’s values attracts and motivates employees, suppliers and investors, (Crawford & Scaletta, 2006). The author suggests that in order to be successful an organization would need to employ a value based strategy. The purpose of this paper is to determine the importance values play when developing a business strategy. The author indicates that in order for a business to be successful they need to exemplify their values and incorporate them into their overall business strategy. The article notes that stakeholders want to work with an organization that share their values and if organization does not take this in consideration than their bottom line may be impacted. This essay will summarize the articles findings, offer a critique of those findings and how best to utilize values based strategy. The author states the every business needs to have the buy-in from its stakeholders. The author notes that the biggest challenge for any business today is attracting top talent. According to Crawford & Scletta (2006), “Ninety-seven per cent of the MBAs surveyed as part of the Stanford study stated they prefer to work for an employer that shares similar values, or organizations that have a positive reputation, can demonstrate good ethical performance, and focus on corporate social responsibility (CSR),” (p. 1). The author states that for an organization to be competitive they need to match the values of the top tier talent there attempting to acquire. The article suggests this could be accomplished through value focused strategy. The article also states the consequences of losing valuable employees may cost an organization up to $50,000.... ... middle of paper ... ...ork with businesses that share their values and it is in organization best interest to employ a value based strategy. The article stresses that major stakeholders including employees, investors and suppliers want to work with an organizations that shares their values. The author notes that in order to be successful an organization needs to create a values based strategy. The author discusses how top level talent want to work with organization that shares their values. A strong value based strategy will prevent turnover and reduce training expenses. Another benefit of a value based strategy is that employees will understand the purpose and direction the organization is heading. One would agree that organizations that have value based strategy allow all stakeholders to better understand the organization’s purpose and participate in reaching the organization’s goals.

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