Build Your Business Podcast: "Why Core Values Matter: Decision-Making, Growth, & Company Culture"

Hosted by Matt Reynolds and Chris Reynolds | Release Date: January 10, 2025

In this insightful episode of the Build Your Business Podcast, seasoned entrepreneurs Matt and Chris Reynolds delve deep into the significance of core values in shaping successful businesses. Titled "Why Core Values Matter: Decision-Making, Growth, & Company Culture", this episode provides listeners with a comprehensive understanding of how core values influence every facet of a business, from decision-making processes to fostering a robust company culture.

1. Introduction to Core Values

The episode begins with Matt and Chris Reynolds emphasizing the foundational role of core values in both personal and professional realms. They articulate that core values are "the highest ideals for yourself and act as guidelines for your goals, actions, and other major decisions" (Chris Reynolds, 04:55). This resonates as a critical starting point for entrepreneurs aiming to build businesses that are not only profitable but also sustainable and ethically grounded.

2. The Founders' Perspective on Core Values

Chris Reynolds shares his personal journey, highlighting how core values have been instrumental in his nearly decade-long venture with Barbell Logic. He states, "Core values for us are just our standard bearer for our lives and our business" (Chris Reynolds, 00:39). This metaphor underscores the idea that core values serve as an organizing force, much like a flag in ancient armies that directs soldiers amidst chaos.

Matt adds to this perspective by discussing the interplay between personal growth and core values. He observes, "As you discover your own core values, you'll start understanding others' behaviors and your own drives" (Matt Reynolds, 08:48). This introspective angle highlights how core values not only define individual entrepreneurs but also shape the culture of their organizations.

3. Identifying Your Core Values

A significant portion of the conversation focuses on the practical steps to identify and articulate core values:

• Brainstorming Attributes: Matt recommends spending a few days listing attributes you value or respect. He illustrates this with his own attributes, such as personal responsibility and insatiable pursuit of knowledge.

• Self-Awareness: Chris emphasizes the importance of honesty in recognizing traits you genuinely embody versus aspirational ones. He warns against "aspirational core values that don't align with your true self" (Matt Reynolds, 31:50).

• Categorization: Both hosts discuss compressing a lengthy list of attributes into a manageable core set, ideally around three primary values. Matt articulates, "Compression of that thing makes it memorable" (Matt Reynolds, 30:18), stressing the importance of simplicity and clarity.

4. Categorizing and Prioritizing Core Values

Once core values are identified, Matt and Chris delve into structure and prioritization:

• Internal, Relational, and Service Core Values: Chris outlines his personal core values under these categories, such as growth, connection, and consistency, each accompanied by detailed descriptions (Chris Reynolds, 29:51).

• Prioritization: They discuss how, in different seasons of life or business cycles, certain core values may take precedence. Matt advises entrepreneurs to "focus on three to four core values per season", ensuring that efforts align with the most impactful values at any given time.

5. Applying Core Values in Business Practices

The hosts explore the tangible applications of core values within business operations:

• Hiring and Team Alignment: Matt and Chris highlight the importance of hiring for cultural fit and core value alignment. Chris points out, "You can hire somebody with a tremendous skill set, but if they aren't a good culture fit, it works itself through the business like a cancer" (Chris Reynolds, 07:40).

• Decision-Making: Core values act as a compass for making difficult business decisions. Matt shares an example related to ethical choices, emphasizing that actions "should align with who you are and what you stand for" (Matt Reynolds, 45:15).

• Conflict Resolution: They discuss how differences in core values can lead to conflicts within teams and the necessity of addressing these discrepancies to maintain harmony and productivity.

6. Stories and Examples from Matt and Chris

Throughout the episode, Matt and Chris recount personal anecdotes that illustrate the impact of core values:

• Personal Responsibility vs. Victimhood: Matt describes instances where team members' differing values caused friction. He explains, "Their human core values are different than your human core values," which leads to tension and problems (Matt Reynolds, 06:44).

• Defining Moments: Chris shares a pivotal moment when defining core values helped steer his business back on track during challenging times, reinforcing the metaphor of the standard bearer in battle.

• Community Exercises: They recount an exercise involving sticky notes to list and categorize business tasks, leading to the identification of four primary tenets: serve, grow, teach, and steward. This method culminated in distilling their business's core values into growth, connection, and consistency (Chris Reynolds, 29:51).

7. Conclusion: The Importance of Core Values in Building a Business

Matt and Chris wrap up the episode by reiterating that core values are not just abstract concepts but are integral to the daily operations and long-term vision of a business. They assert, "Your effort has to be budgeted your time, your work, your money, and your finances; they must be budgeted," implying that core values guide the allocation of resources towards what truly matters (Chris Reynolds, 53:46).

They encourage listeners to continuously revisit and communicate their core values within their teams, ensuring that these values are embodied in every interaction and decision. This dedication to core values fosters a trusting and dynamic company culture, ultimately leading to sustainable growth and freedom from fear.

Key Takeaways

1. Core Values as Guiding Principles: Core values serve as the foundational standards that guide personal behavior and business decisions.

2. Identification Process: Entrepreneurs should engage in a thoughtful process of listing and categorizing attributes to identify their core values.

3. Compression and Clarity: Distilling a comprehensive list of values into three primary core values enhances memorability and applicability.

4. Application in Business: Core values influence hiring practices, conflict resolution, decision-making, and overall company culture.

5. Prioritization: Focusing on specific core values during different business phases ensures strategic alignment and effective resource management.

6. Continuous Communication: Regularly communicating and reinforcing core values within the team fosters alignment and a strong, cohesive company culture.

Notable Quotes with Timestamps

• Chris Reynolds (00:39):

  "Core values for us are first and foremost for you, the founder. They're not necessarily for other people."

• Matt Reynolds (04:55):

  "Core values are the highest ideals for yourself and act as guidelines for your goals, actions, and other major decisions."

• Matt Reynolds (07:40):

  "If they aren't a good culture fit, it works itself through the business like a cancer."

• Matt Reynolds (31:50):

  "It's going to be very easy for you to write down aspirational core values... there's an aspect of the honest you that can actually be huge and awesome as well."

• Matt Reynolds (45:15):

  "Look, you might have got a bum hand... but you are absolutely in control of how you use that thing."

• Matt Reynolds (53:46):

  "We don't have to reset the core values. Those things stay the same."

Final Thoughts

This episode serves as a valuable guide for entrepreneurs and business leaders seeking to understand and implement core values within their organizations. By intertwining personal experiences with practical advice, Matt and Chris Reynolds effectively illustrate how core values are pivotal in driving business success, fostering a positive company culture, and ensuring that decisions align with the overarching mission and vision of the business.

Listeners are encouraged to reflect on their own core values, engage in exercises to identify and prioritize them, and integrate these values into every aspect of their business operations. This alignment not only facilitates smoother decision-making processes but also cultivates a work environment where team members are united by shared principles, ultimately leading to a thriving and resilient business.

<a name="timestamps"></a> Note: Timestamps refer to the conversation segments in the provided transcript.