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5 Min. Read

Value Statement: Definition, Benefits & Importance

Value Statement: Definition, Benefits & Importance

In today’s world, a company’s stance on current events, social movements, and activism is more important than ever. We live in the digital age, where anything and everything about your company is plastered on the internet for everyone to see. People care about what your business stands for, and they often care about whether or not your employees stand for the same things.

In order to let your potential customers, employees and client base know what you believe in, your company can use a value statement. More often than not, customers will look at your value statement prior to doing business with you. This is especially true if you’re a small business. They may even question why you don’t have one if it isn’t available. Learn all about public value statements here!

Here’s What We’ll Cover:

What Is a Value Statement?

What Are the Benefits of a Value Statement?

Why Is a Value Statement Important?

Key Takeaways

What Is a Value Statement?

Simply put, a value statement is a statement that illustrates to the public what values a company holds. Seems simple, right? Well, it mostly is. However, value statements provide a lot more information than just that, in most cases.

Value statements include most, if not all of the following information about a company’s values and beliefs:

The management’s perspective about who the company is today in comparison to who they were

Statements on how they interact with the community around them, as well as the larger global community

Who they aim to serve, in their community and in the larger global community

A brief idea of the company culture, and how they nurture it

As you can see, a company’s value statement is so much more than just a statement about the positive traits it supports. In reality, a value statement is a window into the company itself. It illustrates the way they treat their employees, customers, clients, and their communities. It's often included in the onboarding process, and helps new employees understand what they can expect. This can be related to office politics, quality of life, and any new business development.

Is a Value Statement the Same as a Mission Statement?

No, not at all. A company’s value statement is less about the business that the company does and more about the culture that they support. Mission statements are aimed at the reason that a company exists, solely in relation to the business that they do.

What Are the Benefits of a Value Statement?

When considering value statements, there are several benefits that they provide for any company. These are based on the clarity that a value statement can provide, and as such can change as a company’s value does. Core values statements should reflect a company’s true values, the following benefits will fall in line with having a value statement.

Value Statements Act as Guidance

When making large scale decisions or small scale decisions, a value statement can provide guidance when there is no clear path to follow. These ambiguous problem solving opportunities arise from time to time. By focusing on making a decision based on your company’s values, you can be assured to see success in the long run.

Value Statements Are Community Builders

Value statements can act as a way to build up your company’s community, internally or externally. A value statement that fosters cooperation brings the people around your business together. This allows for more consistent success and community collaboration.

Value Statements Serve as Social Contracts

In today’s social atmosphere we focus more and more on social issues surrounding us. A value statement can serve as a sort of social contract for your business. By informing the public of your business’s beliefs and values, you create an expectation for your company. As you continue to live up to that expectation you can expect more support from your customer base.

Why Is a Value Statement Important?

Value statements are important because they inform the public of your beliefs and values, as mentioned prior. Value statements are important because they dictate to your management and employees the actions to take. They also provide guidance on why the actions should be taken.

By creating a value statement, you create a social contract for your community. Additionally, you create a social contract in your organization as well. This contract leads to the building of a safe workspace, as well as a community that can grow and succeed together.

Key Takeaways

It’s important to remember that value statements and mission statements are not the same things. A value statement is a more intimate statement about the culture your business wants to promote. Meanwhile, a mission statement is about the business you do in that culture. Value statements can provide guidance and opportunities. They serve as a social contract to potential customers and clients, all of which are important. When looking to draft your own, there are plenty of value statement examples available online.

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