The value of the fundamental values ​​of strategic thinking and business planning

Business planning emphasizes the strengths, weaknesses, opportunities and threats. A Vision and / or Mission are standard fare. However, more emphasis on the strategic plan can derail even without the guidance of fundamental values. They are standards of behavior that define your culture. Definition of fundamental values ​​is a key step. From there, the real work begins.

Two high profile cases provide classic examples. Both companies have carefully crafted statements of value. The difference in results lies in the leadership walk the talk.

Case # 1: Johnson and Johnson Value Statement

We believe our first responsibility is to our doctors, nurses and patients, to mothers and fathers and all those who use our products and services. In meeting their needs everything we do must be of high quality.

The Tylenol poisoning deaths that occurred in the Chicago area has proven to be isolated region. Manager Johnson and Johnson does not take a chance and immediately recalled all products from all store shelves nationwide. They acted immediately in accordance with their values. If their statement read our first responsibility is to our shareholders, we could see a more myopic. Strong adherence to the values ​​and simplified their decision not only preserved, but strengthened their brand.

Case # 2 Arthur Andersen Declaration of Value

We believe in integrity, respect and always speak as a company. We believe in maintaining a passion for excellence in people, service and innovation. And we believe demonstrate a commitment to personal growth through training and development. In fact, these values ​​are minimum standards for all those within our organization. Each has roots in the thinking of Arthur Andersen itself. And each guides us toward a bright future ahead.

Andersen has become an easy target. But there are lessons to be learned. Integrity was their number one of the declared value. At some point, the integrity has been replaced by greed. Andersen has developed a consulting arm rider to design and build firms, while the other arm checked these companies. They successfully lobbied to prevent such a law to limit conflicts of interest. These are the actions of an organization that stands for integrity? We have seen the results, a domino effect values. In contrast Tylenol with customers, clients of Andersen rushed for the exits, never to return.

Customer Impact

Who is number one over-the-counter brand of pain today?

Who's Big Three was down from Accounting?

How was the adherence to fundamental values ​​contributing to each scenario?

They are fundamental values ​​only for large companies?

If you are a restaurateur, what happens when an expensive cut of meat accidentally falls to the ground? What if it were the last portion? Do not keep the same standards for meat in the kitchen as it does to spoons in the dining room? The core values ​​can not be conditional.

Are you a manufacturer and have the potential to delay the end of the delivery month. The defective product is discovered as the truck is loaded. What do you do? The priority values ​​to provide your people with the answer. If you have institutionalized your values, executive involvement is not necessary.

What are the values ​​of your organization?

If your business plan has been written primarily to impress your bankers and investors, a statement of values ​​is likely missing. If you need to check to find out, it could well be missing. If core values ​​are communicated and understood by all, what are the criteria for decisions in times of crisis?

A long-term success and value driven leadership in a crisis, your success depends on the ability of your people to make timely decisions. You will do good as Tylenol or collapse, as Andersen? Your organization has both the values ​​and character that it will need in time of crisis? Your customers will feel the strength of your leadership and respond quickly and with the deepest fidelity or permanent departure .......