Description
Strong vision and values were found to be crucial to the relationship between HR practice and organisational performance, particularly in terms of fostering a sense of shared purpose or 'the Big Idea'. Issues addressed in the briefing include:
- What is 'valued behaviour', why is it important, and how can organisations communicate what is required and what is inappropriate behaviour?
- How can organisations identify and nurture the key values which reflect the basic assumptions about how the organisation works and how positive change might be fostered?
- Why is strong culture with shared visions and values important, and how can it be developed?
The research highlights the difficulty for organisations in managing all aspects of organisational culture since much of that culture exists as hidden value-assumptions. However, it also demonstrates how organisations can highlight key areas in which they can unite and create a shared vision and foster the values they want to drive their culture. The research concludes that organisations with strong shared cultures tend to enjoy better performance, expressed in terms of higher organisational commitment, lower quit rates, higher customer satisfaction and improved profits.About the authors
The CIPD
This is the third report in a series looking in greater depth at the issues raised by the research investigating the people and performance link by a team at Bath University headed by Professor John Purcell. Other members of this team include Sue Hutchinson, Nick Kinnie, Juani Swart and Bruce Rayton.