Company Values
Core Principle
Focus on culture before hiring. Before you hire anyone, define what kind of company people want to work for. Values are how you do that. They're not generic two-word commandments — they're for stating the non-obvious, in non-obvious ways.
Why Values Matter
- Values tell employees how to behave every day AND in extreme situations
- They attract the right people and repel the wrong ones
- They let you hold yourself AND your team accountable
- Values supersede you. They allow the company to scale beyond your personal involvement.
How to Create Your Own Values
- What do you believe that most people don't? Values should be non-obvious and sometimes polarizing.
- How should people behave when no one is watching? Values are for moments without a manager present.
- What would you fire someone for, even if they're performing well? That reveals your true values.
- What would you celebrate, even if it didn't directly help the bottom line?
- Write them as stories, not slogans. Nordstrom accepting tire returns at a clothing store communicates a value through story.
Code Example: Values Draft
Value 1: Judged by the Work
- What matters is the experience customers have
- Everything we ship is of highest quality, reviewed by multiple people
- It should be considered a failure to receive feedback after shipping
Value 2: Everyone is a CEO
- You are the CEO of your function
- Think like an owner, not an employee
- If someone needs to ask how things are going, they're not going well
Common Pitfalls
| Pitfall | Solution |
|---|---|
| Generic values ("integrity," "teamwork") | Make values specific and polarizing |
| Values without stories | Communicate through example, not slogan |
| Creating values after hiring | Define before you hire anyone |
| Values that never change | Revisit and evolve values as company grows |
Verification Checklist
- 3-5 values defined with descriptions
- Each value has an example story
- Values are specific and non-generic
- Hiring implications defined per value
- Day-to-day behavior defined per value
- Anti-patterns defined per value