What Are The Values That Guide You When You Are Confused?
Why do companies need values?
Just as every country has a flag and anthem, every company, from the smallest to the largest, has a vision, mission, and values. For example, our National Anthem was written before the establishment of the Republic, after the First Battle of ?n?nü. It has always been very meaningful for me to hear that the National Anthem of the newly established state was written while the liberation struggle was being fought. And we all get emotional when we hear the National Anthem and see our flag. As it has a common meaning for everyone, it is these values that hold 84 million together.
Yuval Noah Harari's bestselling book Sapiens mentions that China was invaded by many countries, including by the Mongols, but was not taken. Similarly, we, as the Turkish nation, have never been colonized. On the basis of this, we have common values such as freedom and independence. In his book, Harari also says that when few people are together, there is no need for a structure or system, and even communication can be maintained by word of mouth. But when this number increases, for example in the Fertile Crescent, in Mesopotamia in the middle of the Tigris and Euphrates Rivers, great states begin to be established. So, what holds a large number of people together? Or imagine a soldier during a war giving his life for another soldier he never knew before. What is the bond between these two people? The answer is "common values".
The same is also true for companies. I think that it is our common values that enable large organizations such as Y?ld?z Holding to come together, enable us to work safely and peacefully, to focus on what we do, especially in times of crisis, support our decision-making in conflicting times, and guide us like a lighthouse.
What makes companies different from their competitors is their values.
Let's take a product right now... Let's say white goods, biscuits, chocolate, or telecom service. There are many companies operating in these areas. For example, we produce products such as biscuits, chocolate, frozen food, and razor blades. At the same time, we have companies that provide services to our stakeholders. There are also many competing companies operating in the same sectors as us. What distinguishes us from our competitors? It is said that what matters is not what we do but why we do it. ?I would recommend Simon Sinek's book, Start with Why , to everyone.
This model, which Sinek calls the Golden Circle, consists of what-why-how questions from the outside to the inside. "What" represents the output of what we do, and "why" represents our purpose. Somehow, it consists of our values and principles on the way to bringing our cause to life.
Sinek says that the "why" companies do something rather than the "what" appeals to people's emotions, which makes the product more valuable. Isn't the concept of brand value something like that? Why are we willing to pay more for certain products? When buying a product, we make a choice by looking at the value that the brand gives to its customers, employees, environment, and society. This is very important not only for the customer but also for the employees. For example, talented people attach great importance to the environmental and sustainability values of the company they work for. Research states that 78% of talent prefer to work for companies with a strong purpose. When deciding what to buy, customers look at the company that produces the product or service. A study conducted last year shows that 71% of consumers prefer products and services from companies with purpose, regardless of price [1] .
The situation is the same in terms of human resources. On the one hand, there is what people know, and on the other, there is what kind of person they are. What if we hired a person based on what they know? Or is it okay if we just make her a manager based on what she knows? Especially when she becomes a manager not only her IQ but also her EQ becomes much more important.
In this regard, the “performance matrix” of Jack Welch, the legendary CEO of General Electric, provides a good example. Accordingly, there are “values” on one axis; on the other axis, there are business results, namely “performance”. According to Welch, those who share the company's values and perform well are among the successful employees. Ironically, Welch says, “I give a chance to those who have problems with business results, but never a second chance to those with poor values.”
Why do large companies care so much about the values? Reputation, continuity and to be a company that survives for many years. In fact, Welch has another saying that sums it up very well: "the soft stuff is the hard stuff" ?? In other words, to be a company that creates value rather than producing a product, to create a corporate culture, to focus on how and why it is done rather than what it does, in society. Being a respected company is much more difficult.
When the US became Toyota’s biggest customer, the Japanese began to discuss logistics costs and eventually decided to set up a factory in the US. As you know, one of the distinguishing factors that make the Japanese good at their job is quality. In the example described in the book, a worker at a factory in Japan presses a button and stops the production line when he has any concerns about quality. When the line stops, all the employees come there and solve the problem together, no matter how long it takes. There are the same buttons in the factory they established in the US, they show their use, and Americans start working. However, no one pushes the button, or when the button is pressed, no one comes to help. They later understand that they moved the factory (hard stuff) but not the human relations (soft stuff). Then they start working with sociologists in order to realize this cultural transfer in a place like the US that prioritizes individuality.
Values form the identity of the company
The Living Company, written by Arie de Geus, contains research results on why some companies live longer while others live short. Accordingly, a company's founding values (founder mentality) play a huge role in the future of the company. The late Sabri ülker also laid the founding values of Y?ld?z Holding: High performance-oriented, to be good at work, to be a leader, to always aim for the better, to be innovative, and to be competitive. As someone who has been working at Y?ld?z Holding for many years, I feel these values deeply. In fact, as they say, “a fish out of water”, when I left Y?ld?z Holding and moved to another sector, I better understood the difference in the culture I lived in. When I came back to Y?ld?z Holding, I understood it better ??
领英推荐
The founding values create the characteristics that differentiate a company from others and make it invincible to the competition. It is possible to divide the features of a company into two as tangible and intangible features. Values also constitute the abstract features and dimensions of the work. Companies with strong values stand out from other companies in competition because intangible features are not easily copied.
For example, if we build a university in Anadolu Hisar? on the opposite side of the Bosphorus today, would it be the same as Bo?azi?i University in Rumeli Hisar?? Even if we provide the best facilities, how many years would it take for it to be like Bo?azi?i University? Because Bo?azi?i University has characteristics that cannot be imitated, which can be called sui generis. There are many factors such as traditions, culture, values, academics attached to the university. All of these give an identity to that institution. This identity also determines sustainable success.
In the book Living Company, it is said that the success of long-lived companies is their ability to transfer their values to their new recruits (new generations). Sabri ülker once said, "I can summarize our success today in a few words: Working hard, being humble, respecting the consumer, and keeping up with the times. I firmly believe that the next generations will continue the tradition in the future.” His words fully reflect this approach.
I had a telephone conversation with MCT's Partner, Mr. Tanyer S?nmezer, in the recent past. Mr. Tanyer shared that he grew up with the smell of ülker biscuits in a village very close to ülker's Ankara Factory. He said that they ate the biscuits given to the school from the factory when they were going to primary school and that everyone working there was sensitive to their environment and society. In fact, he stated that he learned most of the concepts such as corporate life, values, and is good from ülker without realizing it.
It is the behaviours of people that make values tangible.
Although we say that values are abstract concepts, they become concrete with the ecosystem formed within the institution and the behaviours of people, and corporate culture is formed. It always reminds me that swallows move together. A magnificent view emerges from this movement of swallows together. If we wanted to define the concept of harmony, the dance of the swallows would be one of the best examples. So, how do we act as company employees? If we could watch our own movements from afar, would a scene like the harmony of swallows emerge?
At companies acting together is called alignment. It is very important that we have the same priorities, that we can react in the same way in times of crisis, and that we create a culture that will enable new recruits to grow. When I left Y?ld?z Holding and went to another company as a manager, the first question I asked was what the company's values were. The answer to the questions of what I will prioritize as a manager and how I will act is actually hidden in the values of that company. The fact that the late Sabri ülker never sat face to face with his dealers, but always sat next to them, is one of the best examples of how our behaviour is shaped in line with our values.
Values are important to companies as well as to employees.
Humans are emotional beings. For this reason, we all need values in our business life as well as in our personal lives, because we can stay together with values. Employees who reject new job offers often turn them down because they form strong ties to the company and its values. For this reason, managers have an important responsibility to keep the values of the company alive and to convey these values to the employees.
There is a very interesting example in Dr. Engin Baran's book titled “Gel-Kal-Ba?lan", in which he focuses on the concept of employer branding. A new general manager is appointed to a company, and he is soon loved by everyone for his goodwill. He just cannot establish a good dialogue with the company's tea and coffee service employee. One day, while chatting with a friend, he says, "I started a new job, everything is going very well, but I couldn't manage to connect with one employee.” His friend says to him, “To understand a person, it is not enough trying to understand, it is necessary to be in his shoes”. As soon as his friend leaves, the General Manager says “we will change roles with you today” and takes the tray from the man's hand. "What would you like?" he asks, and the man says, "then make me a coffee". The General Manager says "make yourself a coffee, let's drink together" just as he walks out the door ??
They say "Work transforms a person, work as the person you want to become". When we start working with values, the values we have to transform us. These values guide us in critical moments, just like a lighthouse.
Endnote
In this article, I gave examples from many books from history to the business world and novels. On this occasion, I wanted to share a list of the books mentioned for the enthusiasts.
*****
[one] https://www.fastcompany.com/90605135/people-are-more-likely-to-trust-and-buy-purpose-driven-brands
?