What Is Your Purpose and How Does It Influence the Corporate Culture?
Allan Steinmetz
Motivating and Inspiring Employees and Customers to embrace change. Internal and External Brand Leader - Internal/external brand Expert with results-driven solutions that transform performance and shareholder value.
When it comes to the success of a company, corporate culture and purpose play a crucial role. The way employees interact with customers directly correlates with the values and purpose embraced by the entire organization. Creating a culture-driven, high-performing, and engaged company starts with action, internal behavior, accountability, and effective internal communication.
It's not enough for employees to simply repeat the company's mission and vision statement like a mantra. True understanding and living of brand values require new behaviors and attitudes in customer interactions, product development, and business processes. Shockingly, recent research suggests that less than 50% of employees understand the brand idea, and even fewer know what to do about it. This poses a significant problem for brands seeking to create disruptive and innovative products and establish meaningful connections with their customers.
It's essential to recognize that culture and brand are not separate entities. While many company leaders used to believe that culture was driven internally and the brand was expressed externally, today's reality demands a harmonious integration of employee cultures and brand values. Both must be aligned and understood to provide exceptional customer experiences.
Look no further than the cautionary tales of VW, BP, Uber, and Wells Fargo Bank to understand the consequences of a disconnect between brand values and culture. If employees had truly understood and embraced the brand values, these companies might have avoided the disastrous mistakes in the past that nearly destroyed their reputations. The loss of market share and brand reputation resulting from such incidents may take generations to recover, if ever. It is clear that a strong moral compass and shared values could have prevented these situations.
To establish transparency and alignment between internal culture and external brand values, every employee, from receptionists, the board members, to the CEO and chairman, must fully embrace the brand promise. Everyone should understand the company's purpose and whom they serve. Defining culture and values requires narrative storytelling rather than relying on superficial perks like free candy or gym equipment.
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Several elements of corporate governance contribute to defining purpose, brand values, and culture. It's crucial to understand that these traits should be universal and embraced by all. Like any business process, they should be continuously improved, measured, and reported to individuals, senior staff, the board governance committee and, enabling them to evaluate their performance against personal and corporate KPIs.
Here are some recommendations from Inward on building exceptional internal cultures that reflect positive external brand value experiences for customers:
A strong brand is built upon a company culture that engages employees, who then deliver on the brand promise to customers consistently. When brand values and culture are aligned, the company benefits from highly engaged customers and channel partners. Exceptional brand engagement leads to loyalty, premium pricing, and employee attraction and loyalty. This is when a company's culture truly works for its brand.
We would be happy to share case histories and examples of our clients who have excelled at aligning the corporate culture with their purpose. Give us a call.
Top 50 Governance Professional (NACD 2023 Director 100 Awards); Top 50 Global Thought Leader and Influencer on Risk Management 2023 & 2024 (Thinkers360). Helping boards move from compliance to value-creation.
1 年Allan Steinmetz As I note in one chapter of my book “Your brand is a ‘window’ into the soul of your company. The attributes of the brand must match the lived values of the organization.
Globally renowned expert and counselor in change mgt, organizational communications, corporate relevance, business strategy in a digital world
1 年Once again you’ve captured the core of this critical union- culture and purpose - thanks for sharing Allan!!