Let's kick off 2024 by delving into the realm of values and how they play a crucial role in effective leadership.

Leading with values poses a significant challenge for many companies today. Often, values are merely displayed on walls, known to only a few, and embodied by even fewer. In this podcast, Simon Sinek and Doug McMillon, Walmart's CEO, engage in a meaningful conversation about values and leadership, making Walmart an intriguing case study, given its past challenges in healthcare and salary questions. After a dedicated effort to instill values into the company's culture, Walmart seems to have overcome its image issues, transforming into what Simon deems the new leadership factory for America.

While Walmart's values—service to the customer, respect for the individual, strive for excellence, and act with integrity—may seem commonplace, what distinguishes them is how the CEO and leadership team utilize these values to guide the company and engage its employees. Doug McMillon's commitment to steering Walmart based on its core values serves as an inspiration.

So, what makes Walmart's approach to value management unique?

According to Simon and Doug, values and purpose act as a compass, providing stability in a volatile, universal, complex, and ambiguous world. These elements serve as the cornerstone of a company culture that becomes a reference point for all stakeholders, remaining steadfast even as other aspects evolve to ensure the company's success.

Values versus leadership skills?

Listening to the podcast I identify key competencies essential for embodying values and navigating a successful business journey:

1.     Humility: A humble CEO serves people effectively, acknowledges mistakes, such as missing digital commerce trends, and possesses self-awareness.

2.     Courage and Decision Making: Leaders must exhibit courage in making dramatic decisions, taking risks in investments or acquisitions, and navigating volatility to make sound, long-term decisions.

3.     Systemic Analysis and Environmental Connection: Being prepared for change and initiating it is crucial; Walmart's initial misstep in e-commerce stemmed from a lack of understanding of its environment.

4.     Leading by Purpose and Meaning: Understanding the significance of purpose, as demonstrated by Walmart's response after Hurricane Katrina, fosters a positive organizational culture.

5.     Having a Long-Term View: A long-term perspective ensures that decisions align with the company's values and purpose, fostering sustainability.

6.     Communication and Pedagogy: For values and purpose to serve as a reference, effective communication is essential; they must be well understood by all stakeholders.

In conclusion, defining values and purpose is not the most challenging aspect; embodying these values to serve the purpose and long-term goals of a company requires strong leadership skills that must be cultivated. Consider the coaching questions: What leader do you want to be? What do you stand for? They provide a solid starting point for embarking on a journey through values and purpose. Share your experiences with your values journey by commenting on this article, and stay tuned for discussions on specific values like trust and respect in future articles.