Professional Documents
Culture Documents
Chapter 02
Chapter 02
Chapter Outline
What Do We Want to Become?
Chapter Outline
Characteristics of a Mission Statement
Vision
Management and executive agreement on the basic vision for which the firm strives to achieve in the long run is critically important.
Ch. 2-5
Vision
Vision statement answers the question:
Ch. 2-6
Vision
Clear vision
Provides foundation for comprehensive mission statement
Ch. 2-7
Vision statement developed first Short preferably one sentence Broad management involvement
Ch. 2-8
Vision Statements
The Vision of the National Pawnbrokers Association is to have complete and vibrant membership that enjoys a positive public and political image and is the focal organization of all pawn associations.
--National Pawnbrokers Association
Fred R. David Prentice Hall Ch. 2-9
Vision Statements
The Bellevue Hospital is the LEADER in providing resources necessary to realize the communitys highest level of HEALTH throughout life.
Vision Statements
To be the first choice in the printed communications business. The first choice is the best choice, and being the best is what Atlanta Web pledges to work hard at being - every day! --Atlanta Web Printers, Inc.
Fred R. David Prentice Hall Ch. 2-11
Vision Statements
It is the vision of the California Energy Commission for Californians to have energy choices that are affordable, reliable, diverse, safe, and environmentally acceptable. --California Energy Commission
Fred R. David Prentice Hall Ch. 2-12
Mission Statements
Recent Data indicate that:
90% of all companies have used a mission statement sometime in the previous five years.
Ch. 2-13
Mission Statements
Mission statement answers the question:
Ch. 2-14
Mission Statements
Mission Statement:
Enduring statement of purpose Distinguishes one organization from another in similar enterprises Declaration of an organizations reason for being
Fred R. David Prentice Hall Ch. 2-15
Mission Statements
Mission Statements also referred to as:
Creed statement Statement of purpose Statement of philosophy Statement of business principles
Ch. 2-16
Mission Statements
Mission Statements
Reveal what an organization wants to be and whom it wants to serve
Ch. 2-17
Mission Statements
Mission Statements
Essential for effectively establishing objectives and formulating strategies
Ch. 2-18
Mission Statements
Mission Statement
The Bellevue Hospital, with respect, compassion, integrity, and courage, honors the individuality and confidentiality of our patients, employees, and community, and is progressive in anticipating and providing future health care services.
Ch. 2-21
Mission Statements
The Mission of USGS is to serve the Nation by providing reliable scientific information to
Describe and understand the Earth; Minimize loss of life and property from natural disasters; Manage water, biological, energy, and mineral resources; and enhance and protect our quality of life.
Fred R. David Prentice Hall Ch. 2-22
Mission Statements
It is the California Energy Commissions mission to assess, advocate, and act through improve energy systems that promote a strong economy and a healthy environment.
Ch. 2-23
Importance of Mission
Unanimity of purpose within the organization Basis for allocating resources Establish organizational climate Focal point for direction Translate objectives into work structure Cost, time and performance parameters assessed and controlled
Ch. 2-24
Mission Characteristics
Effective mission statements: Broad in scope Generate range of feasible strategic alternatives Not excessively specific Reconcile interests among diverse stakeholders Finely balanced between specificity & generality
Fred R. David Prentice Hall Ch. 2-25
Mission Characteristics
Effective mission statements:
Arouse positive feelings and emotions Motivate readers to action Generate the impression that firm is successful, has direction, and is worthy of time, support, and investment
Ch. 2-26
Mission Characteristics
Effective mission statements:
Reflect judgments re: future growth Provide criteria for selecting strategies Basis for generating & screening strategic options Are dynamic in orientation
Fred R. David Prentice Hall Ch. 2-27
Customer Orientation
According to Vern McGinnis, mission should:
Define what the organization is Define what the organization aspires to be Limited to exclude some ventures Broad enough to allow for creative growth Distinguish the firm from all others Serve as framework to evaluate current activities Stated clearly so that it is understood by all
Fred R. David Prentice Hall Ch. 2-28
Customer Orientation
A good mission statement reflects the anticipations of customers. Identify customer needs Provide product/service to satisfy needs
AT&Ts mission focuses on communications, not telephones Exxons mission focuses on energy, not on oil and gas
Fred R. David Prentice Hall Ch. 2-29
Ch. 2-31
Components of Mission
Mission statements vary in
Length Content Format Specificity
Must include the 9 elements, as the mission statement is the most public and visible part of the strategic-management process.
Fred R. David Prentice Hall Ch. 2-32
Mission Components
1. 2. 3. 4. 5. 6. 7. 8. 9. Customers Products or services Markets Technology Survival, growth, and profitability Philosophy Self-concept Concern for public image Concern for employees
Fred R. David Prentice Hall Ch. 2-33
Components of Mission
Components of mission and corresponding questions to be answered: Customers:
Who are the firms customers?
Products or services:
What are the firm's major products or services?
Fred R. David Prentice Hall Ch. 2-34
Components of Mission
Markets:
Geographically, where does the firm compete?
Technology:
Is the firm technologically current?
Ch. 2-35
Components of Mission
Concern for survival, growth, and profitability:
Is the firm committed to growth and financial soundness?
Philosophy:
What are the basic beliefs, values, aspirations, and ethical priorities of the firm?
Fred R. David Prentice Hall Ch. 2-36
Components of Mission
Self-concept:
What is the firms distinctive competence or major competitive advantage?
Ch. 2-38
Organization
Customers
Products Services
Markets
Technology
Yes No
No Yes
No Yes
Yes Yes
No No
Ch. 2-41
COMPONENTS
Organization
Philosophy
SelfConcept
Yes No
No Yes
No Yes
No Yes
Ch. 2-42
Philosophy
Ch. 2-44
Vision Statement
Fred R. David Prentice Hall Ch. 2-45