When values suddenly become worthless...

...What the sudden change in corporate values really means (and how to do it better)!

After ending fact-checking on its platforms, the Facebook group Meta has also discontinued its programmes for more equal opportunities and diversity. The reason given was the changing political landscape.
This incident raises important questions: How are corporate values created? What happens when a value suddenly loses its validity? And what impact does this have on corporate culture, credibility and employee engagement? This article sheds light on the consequences of an abrupt change in values and shows how companies can make such a change credible.

The emergence of corporate values: more than just empty words

The starting point for an authentic corporate culture must be the corporate strategy. The values on which it is based are the foundation for cooperation within an organisation. They help to set priorities and align internal processes with the corporate strategy. Values shape the behaviour, attitudes and self-image of all employees. Frequently used terms are ‘respect’, ‘innovation’, ‘responsibility’ and ‘customer focus’. But how do these values actually come about?

The roots of corporate culture: from founders to everyday life

1. The influence of founders and history The founders often define the initial value base. Their convictions, attitudes and actions shape the corporate culture for years and decades. Iconic founding figures have deeply anchored values such as pioneering spirit, courage or social responsibility in their companies through their behavior.
2. Lived values in cooperation Regardless of the history, the lived practices and experiences in daily cooperation determine whether values actually become part of the corporate culture or only exist on paper. Values that are actually lived in team processes, in management principles and in dealings with partners or customers grow organically and have a lasting influence on behavior.
3. Documenting values: creating clarity In modern companies, the jointly developed values are often recorded in mission statements or code of conduct documents. This serves to raise awareness of values, set them down in writing and communicate them both internally and externally. The aim is to create clarity about what the organization stands for and what can be expected internally and externally. Formulated values are therefore a promise of attitude and experience that supports the successful implementation of the corporate strategy.

Leadership and value development: role model and dialogue

Managers play a central role in the formulation, communication, introduction and further development of values. They make strategic decisions, shape guidelines and ideally act as role models for the workforce. However, authentic values work is not created through top-down directives alone, but above all through intensive dialogue with employees. When values are discussed, formulated and reflected upon in participatory processes, their acceptance and credibility increase enormously.

The effects of a sudden change in values: loss of trust and demotivation

The decision of a company management to suddenly declare a value that was previously propagated as important invalid sends strong signals - both internally and externally. Internally, uncertainty, doubt and demotivation can arise. Employees ask themselves: ‘What does this mean for the other values?’ or ‘How serious is management really about the remaining values?’ Externally, this can lead to scepticism and a loss of trust among customers, partners and the public. If values have previously been communicated as irrevocable pillars of the corporate culture, a sudden revocation calls the entire value base into question.

1. The credibility of the cultural initiative: more than just a façade?
The credibility of a values and culture initiative depends to a large extent on whether the communicated values are actually practised and demonstrate consistency over a longer period of time. If, on the other hand, a value is suddenly cancelled, the impression of a pure ‘shop window culture’ is quickly created. Employees in particular, who have been committed to this value in their daily work, could feel betrayed. Acceptance of and identification with the other values suffers when it becomes clear that values are interchangeable at will.
2. Effects on trust and commitment: creating meaning in the crisis An abrupt change in values can permanently shake trust in company management and reduce employee commitment. Values provide orientation and a sense of purpose. However, if the impression arises that values only apply as long as they are useful and convenient, as long as they maximise profit, employees question the meaning of such guidelines. The result can be a clear distancing or, in the worst case, a turning away from the supposedly prescribed values.

Political influences and values: opportunism or conviction?


1. The context of political change: Companies operate in a dynamic political, economic and social environment. It is possible that certain values become more difficult to uphold under changing conditions or come into conflict with the direction of a new political leadership. However, the decisive factor is how a company reacts to such changes.
2. The perception of seriousness: credibility put to the test If the revocation of a value is justified solely by a ‘changing overall political situation’, the impression quickly arises that the organisation's values are not based on conviction but on opportunism. Both internally and externally, the question arises as to whether the organisation is merely adapting its value structure to external circumstances instead of relying on fundamental principles. This implies a certain arbitrariness: values seem interchangeable as soon as they no longer serve economic or political advantage.
3. Reactions of the workforce: uncertainty and distance Employees in particular, who have identified strongly with the company due to the formulated values, could perceive this justification as a mere excuse. As soon as political or economic pressure increases, the company seems prepared to abandon core values. This can trigger deep insecurity and considerably reduce the willingness to commit to the corporate culture. Such a decision is sometimes also perceived as an untrustworthy ‘ingratiation’ to external influences.

 A credible change in values: how to do it right

1. Transparent communication and employee involvement: A change in values or an adjustment to the value base may be necessary in certain situations. However, open and transparent communication with a comprehensible rationale is crucial for credibility. Ideally, the company should involve the workforce and other stakeholders in the discussion. This creates an understanding of the background to the change and minimises resistance.
2. Emphasising core principles: Maintaining the foundation Especially in times of change, it is important to stick to the fundamental principles. For example, a company that has always been committed to ‘responsibility towards society and the environment’ can only credibly communicate a new value or review existing values if it does not abandon the underlying principle - responsibility.
3. Continuous reflection and adaptation: a dynamic process Values are not a rigid construct, but must be continuously reflected upon and, if necessary, adapted. It is important that changes are plausible and in line with the long-term corporate strategy. An open, dialogue-oriented process in which the guiding values are regularly questioned and readjusted if necessary creates trust and security in the long term.

Conclusion:

Values are at the heart of every corporate culture. They become more effective when they are lived authentically in everyday life. However, a sudden decision to discontinue an important corporate value ‘with immediate effect’ calls the entire cultural initiative into question. Credibility suffers enormously if a value that previously seemed indispensable is now regarded as interchangeable or obsolete.
The situation is particularly delicate if the company management justifies this change with a change in the overall political situation. In this case, the impression can arise that the values are not being pursued out of inner conviction, but purely for reasons of expediency. For employees - but also for customers, partners and the public - this quickly appears untrustworthy and thwarts the goal of strengthening trust and commitment.
If you want to responsibly shape a necessary change in values, you need to focus on transparent, participatory communication and make it clear that certain core principles remain valid - even if individual values change. This is the only way to ensure the seriousness of the cultural development process and a high level of acceptance among the workforce.
Furthermore: Apple has resisted calls to stop its diversity and equal opportunities programmes. The Group called on its shareholders to vote against a shareholder proposal at the upcoming Annual General Meeting at the end of February. Exciting times.