The Business Vision

and Mission
Chapter-2
“A business is not defined by its name,
statutes, or articles of incorporation. It is
defined by the business mission. Only a
clear definition of the mission & the
purpose of the organization make
possible clear & realistic business
objectives”
Peter Drucker
 “A corporate vision can focus, direct,
motivate, unify, & even excite a business
into a superior performance. The job of a
strategist is to identify & project a clear
vision”
John Keane
“The job of a strategist to see the company
not as it is …. but as it can become.”

John W. Teets Chairman

of Greyhounds.Inc.
The Purpose & Objectives of The
Chapter
 Tools & Concepts
 Role of Vision & Mission

 The Importance Of Process

Understanding Vision & Mission
Statement
A new business is a collection of ideas
 Management Philosophy

 Is profit the primary corporate motivator

• These ideas underlie the vision & mission

statements.
 Living documents

 Part of all important documents

The Vision Statement
 Desirable future state
 Long term
 framed first

 Be short

 In a global environment
The Mission Statement (creed,
purpose, philosophy, beliefs)
 What is the organization’s business
 Reason for being, statement of purpose

 More associated with present & with behavior

 Not designed to express concrete ends but to

provide motivation, direction, image, tone & a
philosophy to guide the enterprise
The Process of developing a Mission
Statement:- the first step in SM

Involve as many managers as possible.

• Reading material

• Statements

• Merged & referred back

• Communication
Importance of Vision & Mission
Statements
 Commonality

A cause for motivation

 Help in formulation & implementation of
strategies
 Performance

 Sets tone for organizational culture & climate

• Essential for setting priorities, objectives,
strategies, plan, allocation of resources.
Starting point for design of managerial jobs,
managerial structures etc.(a change in
mission / vision leads to changes in these)
 Alignment of short term & long term interests
Mission Statement Components:- A
Frame Work for writing &Evaluating
Statements

 Customers
 Product or services
 Markets
 Technology
 Concern for survival, growth, and profitability
 Philosophy
 Self concept
 Concern for public image
 Concern for employees
Some Further Characteristics
 Broad in scope
• Define what the organization is & what it aspires to be
• Distinguish it from others
• Frame work for evaluating both current & prospective
activities
• Be clearly & simply stated
 Reflects the anticipations of customers & identify the
utility of products
 Recommended length
 Business is being conducted in socially responsible
way
• Arouses a positive feeling & motivates readers to
action.
 Creates impression
 Criteria for selecting among alternate strategies.
Comparison
Mission Statement of
Pepsi:- to increase the value of our shareholders’
investment. We do this through sales growth, cost
controls, & wise investment resources. We believe
our commercial success depends upon offering
quality & value to our consumers & customers;
providing products that are safe, wholesome,
economically efficient, & environmentally sound; &
providing a fair return to our investors while adhering
to the highest standards of integrity
 Dell:- to be the most successful computer
company in the world at delivering the best
customer experience in markets we serve. In
doing so, Dell will meet customer
expectations of highest quality; leading
technology; competitive pricing; individual &
company accountability, best in class service
& support; flexible customization capability;
superior corporate citizenship[; financial
stability
The Bellevue Hospital (BH)
Vision
 The BH is the leader in providing resources
necessary to realize the community’s highest level
of health throughout life
Mission
 The BH , with respect, compassion, integrity &
courage, honors the individuality & confidentiality of
our patients, employees, & community, & is
progressive in anticipating & providing future health
care services
John Deere(JD), Inc
Vision
 JD is committed to providing genuine value to the Company’s
stake holders, including our customers, dealers, shareholders,
employees & communities. In support of that commitment, Deere
aspires to
 Grow & pursue leadership positions in each of our businesses
 Extend our preeminent leadership position in the agriculture
equipment market worldwide
 Create new opportunities to leverage the John Deere brand
globally

Mission
 JD has grown & prospered through a longstanding partnership
with the world’s most productive farmers. Today, JD is a global
company with several equipment operations & complementary
service businesses. These businesses are closely interrelated,
providing the company with significant growth opportunities &
other synergistic benefits.