Mission statements and vision statements : why companies would want them

Schuyling van Doorn, Stefan E. (2002-12)

Thesis (MBA)--Stellenbosch University, 2002.

Thesis

ENGLISH ABSTRACT: Mission and vision statements are concepts that are often discussed at meetings where companies discuss and debate whether or not to implement them to ensure sustained profitability or increase the motivation of employees. This, however, is a misconception in the business world since mission and vision statements do not lead to instantaneous success. Mission and vision statements are strategic tools to help organisations to focus on what they are good at and what they stand for. Mission statements help an organisation to identify which current direction the organisation should be taking, whereas a vision statement helps an organisation to identify where it wants to be in the future. A mission and vision statement provides a goal towards which the people of the company can work so that it can be profitable and endure lasting success. This goal binds the workers of an organisation, resulting in people that are happy since they know what the organisation's core purpose is. They key importance of these statements is that they provide guidance of strategic and day-ta-day operational decision-making. Companies that enjoy enduring success have core values and a core purpose that remain fixed, while their business strategies and practices endlessly adapt to a changing world. The dynamics of preserving the core while stimulating progress is the reason that companies such as Hewlett Packard, 3M, Merck, Sony and Nordstrom became elite institutions able to renew themselves. It is important to realise is that there is no documented proof that organisations that do not have these mission and vision statements are less successful than those that do have them. The dynamic of the concepts developed in Built to Last, i.e. preserving the core/stimulate the progress should be kept in mind. Neither vision nor mission statements are the primary engines of enduring great companies, and bear in mind that visions simply provide the guiding context for bringing the this dynamic to life.

AFRIKAANSE OPSOMMING: Missie en visie stellings word dikwels by maatskappy vergaderings bespreek. Die implementering hiervan word beredeneer ten einde voortgesette maatskappy winsgewendheid te verseker en verhoogde werknemer motivering te bewerkstellig. Die sakewêreld het egter 'n wanbegrip van missie en visie stellings aangesien dit nie opsigself lei tot onmiddellike sukses nie. Dit is bloot strategiese middele wat 'n organisasie help fokus op dit waarin hulle goed is en waarna hulle streef. Missie stellings help 'n organisasie om onmiddelik rigting te kry terwyl visie stellings help om toekomstige posisie te identifiseer. Die missie en visie stellings stel 'n doelwit waarna die mense in 'n maatskappy kan werk sodat winsgewendheid en volhoubare sukses behaal kan word. Werknemers in 'n maatskappy word verbind tot hierdie doelwit en dit het werkstevredenheid tot gevolg omdat die kern doel van die organisasie verstaan word. Die belangrikste aspek van hierdie stellings is dat dit 'n riglyn stel vir strategiese en daaglikse operasionele besluitneming. Maatskappye wat volhoubare sukses bewerkstellig, het 'n vaste doel en kern waardes terwyl hul sakestrategie en praktyk gedurig aanpas tot die veranderende wêreld. Die dinamiek van kernbehouding en die stimulasie van vooruitgang is die rede tot maatskappye soos Hewlett Packard, 3M, Merck, Sony en Nordstrom se posisie as elite instansies wat hulself kan hernu. Dit is belangrik om kennis te neem dat geen gedokumenteerde bewys bestaan dat maatskappye wat nie 'n missie en visie stelling het nie, minder suksesvol is as dié wat wel 'n missie en visie stelling het nie. Die dinamiek van die konsep ontwikkel in "Built to Last", naamlik behoud van die kern en stimulasie van vooruitgang, moet in gedagte gehou word. Visie en missie stellings is nie die primêre dryfkrag van blywende maatskappye nie, maar skep bloot die rigtinggewende konteks om hierdie dinamika lewe te gee.

Please refer to this item in SUNScholar by using the following persistent URL: http://hdl.handle.net/10019.1/52937
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