Values and Ethics!!

Doing Good and Doing Well

1. Why have some companies outperformed their
competitors in financial terms?

2. Why are some companies rated high in terms of

employee retention?

3. Why have some companies outperformed their

competitors over a long term?

4. Is there anything COMMON when we consider

the successful companies?
• Studies prove that the truly exceptional and
enduring companies all placed emphasis on
the “CORE VALUES”.

• These Core Values are described as the

“essential tenets” that help define the
company.

Examples: Customer Satisfaction, Employee

Focus, Innovation, Excellence………..
 What is meant by Core Value?

• A company’s core values are those

beliefs and principles that provide
ultimate guide in decision
making.
• Described as the organization's
core ideology.
 ETHICAL VALUES

• Ethical values are those beliefs and principles

that seek to promote human well-being in
an impartial way.
 Values…
A value is something considered worthy in and of itself by a person, a
group or an organization-a policy for everyone to adhere to and
believe in.

 Values guide people. They identify what behavior is acceptable,

and what is not.

 Values constitute among the powerful tools in the hands of

managers-more powerful than rules.

May be explicitly stated or may be implicitly understood and

recognized by all.
GE Values

GE leaders -----always with unyielding integrity---

• Are passionately focused on driving customer success.

• Live six-sigma quality-----ensure that the customer is always
its first beneficiary---and use it to accelerate growth.
• Insist on excellence and are intolerant of bureaucracy
(excessively complicated administrative process)
• Act in a boundary less fashion ----always search for & apply
the best ideas regardless of their source .
 THE MIRROR TEST
Jack Welch asked every employee
of GE to do the mirror test- “Can
you look in the mirror everyday and
feel proud of what you are doing?”

He argued that people who cheat are

not doing it for competitive reasons.
“Excellence & competitiveness are
totally compatible with honesty &
integrity”.---- People who cheat are
weak.
 AZIM PREMJI’ s Value List
1. Honesty & Integrity (that leads to transparency and
respect)
2. Hard work & smart work
3. Self-confidence (has to be an intrinsic part of our
approach in demanding what is due for our merit
and ability---nobody can make us feel inferior
without our consent)
4. Humility (people with high self-confidence have the
highest humility, because they have nothing to
prove to themselves)
5. Persistence (nothing is ever achieved in one go)
6. Passion (giving your 100% in whatever you take up,
no matter how small or unimportant).