Behaving commercially is much more than just focusing on cost and profit. Of course these are both very important factors but there is more to consider. Our research is showing that unless an organisation is consciously living positive values across a broad spectrum of business and people activities, it will not have the capacity to be long term financially sustainable. Based on the 7 Levels model from The Cultural Transformation Tools (www.valuescentre.com) behaving commercially may look like this.
| Level | How would we act commercially at this level? |
Investment at this Level | Possible Values |
| Level 7
Service |
In showing true leadership we become recognised and respected for being leaders. This means leadership in products, processes, employee fulfilment, customer satisfaction, and business excellence. Working at this level will allow the organisation to fulfil its global vision and enjoy the benefits of prosperity. | Investment in ethics programs. Investment in social causes to improve the condition of humanity. Investment in ecological stewardship. | Global leadership
Ease with uncertainty Ethics Long term perspective Wisdom Social responsibility |
| Level 6
Making a difference |
When an organisation collectively understands its purpose, strategy and vision, and works to fulfill that vision, it will be in the act of ‘making a difference.’ Through fulfilling the needs of customers and creating win-win partnerships we will be servicing both their needs and our needs, which includes making a profit. | Investment in leadership development programs, coaching and mentoring. Investment in employee fulfilment programs. Investment in local community. Investment in strategic alliances and stakeholder relationships. | Strategic Alliances
Customer Collaboration Making a difference Employee well being Eco-effectiveness |
| Level 5
Internal Cohesion |
As we create a positive spirit and strong culture in the organisation, we can release the costs associated with distrust and empire building. In addition when all staff share a vision and understand their individual and collective purpose in working towards that goal, they become much more effective and productive than employees who are working in a confused, unguided and less than motivating environment. | Investment in shared vision and shared values to create a strong corporate culture. Investment in staff meetings to create a sense of community. | Meaning/Purpose
Enthusiasm Excellence Trust Humour/fun Working well together |
Table continues on next page.
| Level 4 Transformation | The concept of continuous learning is vital for an organisation to be financially successful. In addition by empowering employees to be fearless in challenging and questioning the beliefs, decision and actions of the organisation, this will undoubtedly release creativity to reduce costs and improve profitability. | Investment in transformation to support continuous renewal. Investment in personal development programs to increase emotional intelligence. Investment in knowledge management to increase innovation. Investment in employee participation and diversity to increase the flow of ideas. Investment in research and development to increase the flow of new products and services. Investment in team building. | Continuous improvement
Employee involvement Accountability Questioning/Challenging |
| Level 3
Self Esteem |
For an organisation this level is about best practice, quality and processes. We know that poor quality, flawed processes and bureaucratic systems place an enormous financial drain on an organisation. Getting these aspects right is a commercial imperative. | Investment in systems and processes to improve productivity and quality. Re-engineering solutions. Improving the measurement of performance. Investment in skills training and professional growth programs. Goal – improving productivity. | Productivity
Quality Reliability Versatility Efficiency |
| Level 2 Relationship | Ensuring that the organisation practices good one to one relationships between employees, customers and suppliers. Unless customers get on with the account team and service delivery, they will not continue to place business. “People buy from People” | Investment in communication systems between management and employees, between employees in different locations, and between employees and customers. Goal – creating a sense of belonging. | Respect
Effective communication Customer satisfaction Friendship |
| Level 1 Survival | Putting ‘balanced’ focus on the finances, costs and profits of the organization means operating at all levels not getting obsessed about profits and survival. | Investment in employee safety and basic services necessary to allow employees to function effectively – air conditioning, heating, ergonomic equipment, etc. Goal – satisfying employees physical needs | Financial stability Cost reduction
Employee security Stakeholder value Employee health |
Getting these levels right individually will have a positive effect on each of the other levels including and especially Level 1, which focuses on finance. Therefore ‘commercial behaviour’ is a much wider concept than just money.
Phil Clothier (phil@valuescentre.com)
Cultural Transformation Tools
21 June 2001
