For some time I have been convinced that the stated values of a company are not as powerful as the beliefs that drive the decisions of its leaders. The problem is that values are usually stated (usually not actionable and usually the same as most other companies) while beliefs, which do lead to action, are usually not stated.
We, unfortunately, are the same as almost everyone else. The launch of the forceforgood.com website however gives me an opportunity to try and articulate how my personal beliefs have helped influence the shape of Corporate Culture. I hesitate to say they are our corporate beliefs because (to be honest) we’ve not taken them through colleagues or the Board. They are just a part of who we are.
Belief one: the core purpose of every organisation is to create products and services that improve lives.
Five years ago it felt strange to agree with my US buddy Jim Armstrong that a company was not just a brand to be built but a cause to believe in. Today, it is increasingly accepted that if you define your purpose as a cause and create products and services based on an insight into customer lifestyles, business results follow.
Look at Lloyds TSB’s current marketing that puts its financial products in the context of the lives of its customers. When a bank touches our lives it is part of our journey in life. The work Corporate Culture did with WRAP on recycling was based on customer insight, helped increase home recycling and means the recycling icon is now in almost every home in the land.
Our purpose involves campaigning with clients to achieve both social change and commercial benefits. The result of our approach is that our conversion rate for new clients is 50% (which is high). We also retain over 90% of our clients year on year.
Belief two: our role as an employer is to help colleagues achieve their goals for life at work
This is a belief that genuinely leads to action. If you believe you should help employees achieve their goals for life at work, you have to listen to colleagues, understand their aspirations, act to meet them, invest in training to help them achieve their ambitions; you have to offer flexible conditions to suit their lifestyles, you have to give your leadership team freedom to perform and you have to leave an open door so that if a colleague’s goal for life at work is outside your company, you encourage them to walk through it.
We have a long way to go. We’ve achieved a lot but in our next phase as a business, we know how much further there is to travel. In the meantime, as a result of our actions employee retention is over 90% and employee satisfaction has increased by 9% in a year to 86%.
Belief three: there is an economic case for social action, usually in collaboration with others
This is the belief that will drive the actions of huge numbers of businesses over the next few decades. It is easy to articulate in terms of environmental impact. In our case, halving our energy use in a year has saved a great deal of money. The bigger challenge for businesses is to explore how to define the social changes that they need to help resolve in order to create richer, more sustainable markets in the longer term.
And yet, this is the area where we are already seeing major areas for action. Retailers collaborate to reduce waste or encourage responsible drinking. Banks collaborate to increase financial capabilities of future companies. Mining companies collaborate to address aids in Africa.
For us, the social change we need for our business to be sustainable is for this idea of the economic case for social action to become a norm. In that way, our market grows and we also achieve real social change. In practice, this belief has also led us to the launch of our Social Marketing Network – which provides tools and techniques on social change and meets to explore issues like leading edge social marketing or responsible business practice.
There are a host of other beliefs. I believe, for example, that what we can imagine we can create. I believe that we should re-invent ourselves as frequently as Doctor Who because we should change as the needs of our clients change. But, the three beliefs above are the biggies.
So, I invite you into a dialogue. What are the beliefs that drive your company?
John Drummond is the Chief Executive of Corporate Culture. Corporate Culture is a communications and social marketing company. It was a finalist for the second time as small company of the year in the Business in the Community Awards for Excellence 2008.