Espoused values

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Espoused values are "normative statements of desired outcomes or conditions that an organization believes ought to exist. However, espoused values do not become basic underlying assumptions automatically unless they work effectively and repetitively over time" (Hernandez S. R., O'Connor S. J. 2009, p. 103).

It should be mentioned that beliefs, despite similar definitions, are not the same thing as espoused values. The main difference is that beliefs provide cognitive justification for organizational operations/actions, while values provide the emotional energy and also motivation to fulfill them (actions) (Hernandez S. R., O'Connor S. J. 2009, p. 103).

While choosing the right values for company, the person should be aware of why "those" values and what is their use. They should do three things: satisfy the needs of the entrepreneurs (or employees), meet the needs of all employers (the company) and also satisfy other stakeholders (for example purchasers/clients, investors, local communities in which the company operates and also the society as whole. However, espoused values cannot differ from the "mission" of the company, they should be clearly connected with the unique character or the function of the organization (Barrett R. 2014, p. 156).

Examples of espoused values

Espoused values can vary widely between companies, but here are a few examples of values that companies might espouse:

  • Innovation: A company that values innovation might focus on developing new products, services and technologies, and encouraging its employees to think creatively and take risks.
  • Customer service: A company that values customer service might focus on providing excellent service to its customers, and encouraging its employees to put the customer first in all interactions.
  • Social responsibility: A company that values social responsibility might focus on making a positive impact on the community and environment, and encouraging its employees to act ethically and responsibly.
  • Teamwork: A company that values teamwork might focus on fostering collaboration and cooperation among its employees, and encouraging them to work together to achieve common goals.
  • Continuous improvement: A company that values continuous improvement might focus on continuously improving its products, services and processes, and encouraging its employees to think critically and proactively identify areas for improvement.
  • Integrity: A company that values integrity might focus on honesty and transparency in all its business practices, and encouraging its employees to act with integrity and adhere to ethical standards.
  • Respect: A company that values respect might focus on creating a positive and inclusive work environment, and encouraging its employees to treat one another with respect and dignity.

Types of espoused values

Espoused values can be broadly classified into two types:

  • Terminal values: These are the desired end-states or goals that an individual or organization strives to achieve. Examples include happiness, wealth, and success.
  • Instrumental values: These are the means or methods used to achieve terminal values. Examples include hard work, honesty, and cooperation.

It is important to note that espoused values can also vary depending on the context or culture of an organization. For example, a business organization may espouse values such as profitability and growth, while a non-profit organization may espouse values such as social responsibility and community service.

Other classification indicates (Barrett R. 2014, p. 156):

The first of the mentioned types of values is something that everyone considers extremely important for the functioning of the organization. For example, in a chemical factory, employee safety and environmental protection should be considered as fundamental values. Against that, the operational value is the value that allows the efficient functioning of the organization. For instance, values such as teamwork and trust should be treated as operational values - they affect all workers at the company. The actual combination of core values and operational values will depend on the unique function or unique nature of the organization (Barrett R. 2014, p. 156).

Application of espoused values in business

Espoused values can be used in a variety of ways in business, including:

  • Setting goals and direction: Espoused values can be used to guide the decision-making process and set goals for an organization. They can help to establish a clear sense of purpose and direction for the business.
  • Building a strong corporate culture: Espoused values can be used to define the culture and identity of an organization, and to create a sense of shared purpose among employees. They can also be used to attract and retain employees who align with the company's values.
  • Improving stakeholder relationships: Espoused values can be used to communicate the company's commitment to ethical and responsible behavior to stakeholders, such as customers, shareholders, and suppliers.
  • Enhancing reputation and brand image: Espoused values can be used to shape the company's reputation and promote a positive image of the business in the public eye.
  • Improving decision making: When decision-making is guided by shared espoused values, the decision-making process can be more consistent, effective and efficient.

It is worth noting that the effectiveness of espoused values in business is heavily depends on how well the company align their action, behavior and decision with their stated values. If an organization does not live up to its espoused values, it can damage its reputation and credibility.

Organizational culture and espoused values

Espoused values and organizational culture are closely related and interact in a number of ways.

  • Espoused values shape organizational culture: Espoused values serve as a blueprint for the culture of an organization. They provide a framework for how employees should behave, communicate and interact with one another, and with external stakeholders.
  • Organizational culture reinforces espoused values: Organizational culture can influence how employees perceive and interpret the espoused values of the organization. A strong and positive culture can reinforce the importance of the espoused values and create a sense of shared purpose among employees.
  • Espoused values and culture can be aligned: When espoused values and organizational culture are aligned, it can create a sense of consistency and coherence within the organization. This can improve employee engagement, motivation and retention, as well as enhance the reputation and brand image of the organization.
  • Espoused values and culture can be misaligned: When espoused values and organizational culture are misaligned, it can create confusion, mistrust and disengagement among employees. This can lead to poor performance, high turnover and damage to the reputation and brand image of the organization.
  • Organizational culture can influence espoused values: Organizational culture also can influence the espoused values of an organization. Over time, the culture of an organization can evolve and change, which can lead to changes in the espoused values as well.

In summary, espoused values and organizational culture are closely intertwined and influence one another. Organizations that align their espoused values with their culture and practices will have a greater chance of achieving their goals, building a strong reputation and creating a positive work environment for its employees.

Risks related to espoused values

Espoused values can bring many benefits to an organization, but there are also risks associated with them. Some of the risks related to espoused values include:

  • Inauthenticity: If an organization's espoused values do not align with its actions and behaviors, it can be seen as inauthentic or hypocritical. This can lead to mistrust and disengagement among employees, as well as damage to the organization's reputation.
  • Mismatch with organizational culture: If an organization's espoused values do not align with its existing culture, it can create confusion and resistance among employees. This can make it difficult to implement the values and achieve desired outcomes.
  • Limited applicability: Espoused values can be too broad or abstract to be applicable in specific situations or decision-making, making it difficult for employees to understand how they should act in different situations.
  • Lack of ownership: If employees do not feel a sense of ownership or connection to the espoused values, they may not be motivated to uphold them, leading to a lack of alignment between espoused values and actual behavior.
  • Resistance to change: If espoused values conflict with the current practices of an organization, it can be met with resistance from employees and make it difficult to change the existing culture.
  • Lack of measurement: Espoused values are often not measurable, which makes it difficult to track and evaluate the effectiveness of the values in the organization.

To mitigate these risks, organizations should ensure that their espoused values align with their actions and behaviors, involve employees in the process of developing and implementing the values, and regularly measure and evaluate the effectiveness of the values in the organization.


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Author: Urszula Bochenek