Vision & Mission of a Company – Strategic Management
A Vision serves the purpose of stating what an organization wishes to achieve in the long run.
According to Kotler “It is a description of something (an org, corporate culture, business, technology, and act) in the future.
According to miller and dress “Vision is category of intentions that are broad, all inclusive and forward thinking.”
There are two components of vision-
Core ideology – It rests on core values and core purpose.it defines the enduring character of an organization that remains unchanged.
Envisioned future – It is a long term audacious goal and a vivid description of achievement i.e. what an org will be in the future
Advantages of a good vision –
- A good vision is inspiring and exhilarating
- It helps in creation of common identity and shared sense of purpose
- Vision is competitive, original and unique
- It fosters risk taking and experimentation
- It fosters long term thinking
- It represents integrity
Vision is used to convey what they stand for and what principles guide them to make strategic dictions.
According to David F. Harvey “A mission provides the basis of awareness of a sense of purpose, the competitive environment, degree to which the firm’s mission fits its capabilities and the opportunity which the government offers.
According to Hynger “It is the purpose or reason for organizations existence”
A mission states the role an organization plays in the society.
Nature of a Mission –
- It gives social reasoning i.e. specifies the role an org plays in the society
- It is philosophical and visionary i.e. it relates to top management values and has a long term perspective.
- It legitimizes social existence
- It is stylistic objectives i.e. it reflects corporate philosophy, identity, character and image of an organization
Characteristics of a Mission –
- It should be feasible
- It should be precise
- It should be clear
- It should be motivating
- It should be distinctive
- It should have a societal linkage.
- It should indicate major components of strategy
- It should indicate how objectives are to be accomplished
- It must be dynamic
Example of a good mission statement
Eg. India Today “the complete new magazine”
Ranbaxy Industries “to become a research based international pharmaceuticals company”
Formulation and communication of mission statements –
It is formulated from the following sources:
- National priorities projected in plan documents and industrial policy statements
- Corporate philosophy as developed over the years
- Major strategists have a vision to develop mission statements
- The services of a consultant may be hired
- It is communicated through annual reports, posters, employee manuals, company information kits, word of mouth publicity, seminars and workshops, newsletters and advertisements.