Ashenafi A.

(PhD Candidate)
We believe that from truth alone is born liberty and that only an AAU,2020
05/31/2021 educated people can consider itself as really free and master of
its fate.
 CHAPTER THREE

VISION, MISSION,
VA L U E S

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
CHAPTER OBJECTIVES

1. Describe the nature and role of vision and mission statements in

strategic management.
2. Identify the components of mission statements.
3. Discuss how clear vision and mission statements can benefit
other strategic-management activities.
4. Evaluate mission and vision statements of different
organizations.
5. Write good vision and mission statements.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 MISSION, VISION AND VALUES
Mission = Your business purpose
who we are,

Vision = The
impact we intend to make
where we’re going

Values = The beliefs of the business what

do we value

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
THE MISSION STATEMENT
Statement of purpose and business
 Answers the questions:
o Why do we exist?
o What do we do?
o Whom do we serve?
 Makes priorities clear and defines the breadth of activities.
 Forms the foundation for all the other objectives and strategies. “What is
the business of the firm?” “Whom does the firm want to serve?” “What
does the firm want to become?
 Simple yet powerful and inspiring, makes sense to internal and external
stakeholders. We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
MISSION STATEMENT COMPONENTS
1. Customers—Who are the firm’s customers?
2. Products or services—What are the firm’s major
products or services?
3. Markets—Geographically, where does the firm
compete?
4. Technology—Is the firm technologically current?

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
MISSION STATEMENT COMPONENTS
5. Concern for survival, growth, and profitability—Is the
firm committed to growth and financial soundness?
6. Philosophy—What are the basic beliefs, values,
aspirations, and ethical priorities of the firm?
7. Self-concept—What is the firm’s distinctive competence
or major competitive advantage?

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
MISSION STATEMENT COMPONENTS

8. Concern for public image—Is the firm responsive to

social, community, and environmental concerns?
9. Concern for employees—Are employees a valuable
asset of the firm?

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 CHARACTERISTICS OF A GOOD
MISSION STATEMENT

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
EXAMPLE MISSION STATEMENTS

• We aspire to make PepsiCo the world’s (3) premier consumer

products company, focused on convenient foods and beverages (2).
We seek to produce healthy financial rewards for investors (5) as we
provide opportunities for growth and enrichment to our employees
(9), our business partners and the communities (8) in which we
operate. And in everything we do, we strive to act with honesty,
openness, fairness and integrity (6).

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
EXAMPLE MISSION STATEMENTS
Bank of America:- We believe, very simply, that it is the actions of individuals
working together that build strong communities ... and that business has an
obligation to support those actions in the communities it serves
Wal-Mart :-Our mission is to enhance and integrate our supplier diversity
programs into all of our procurement practices and to be an advocate for
minority- and women-owned businesses
Microsoft :- At Microsoft, we work to help people and businesses throughout
the world realize their full potential. This is our mission. Everything we do
reflects this mission and the values that make it possible

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
EXAMPLE MISSION STATEMENTS

• Dell’s mission is to be the most successful computer company (2) in

the world (3) at delivering the best customer experience in markets we
serve (1). In doing so, Dell will meet customer expectations of highest
quality; leading technology (4); competitive pricing; individual and
company accountability (6); best-in-class service and support (7);
flexible customization capability (7); superior corporate citizenship
(8); financial stability (5).

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
EXAMPLE MISSION STATEMENTS

• Procter & Gamble will provide branded products and services of

superior quality and value (7) that improve the lives of the world’s
(3) consumers. As a result, consumers (1) will reward us with
industry leadership in sales, profit (5), and value creation, allowing
our people (9), our shareholders, and the communities (8) in which
we live and work to prosper.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
EXAMPLE MISSION STATEMENTS

• At L’Oreal, we believe that lasting business success is built

upon ethical (6) standards which guide growth and on a
genuine sense of responsibility to our employees (9), our
consumers, our environment and to the communities in which
we operate (8).

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
SA M P L E M I S SI O N S TAT E M E N T S

To establish Starbucks as the premier purveyor of

the finest coffee in the world while maintaining our
uncompromising principles as we grow.
We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
S A M P L E M I S S I O N S TAT E M E N T S

Google Mission Statement: "Google's mission is to organize the

world's information and make it universally accessible and useful.
We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 VISION STATEMENTS

THIS IS THE PLACE TO DREAM

BIG!
A vision statement should answer the
basic question,
“What do we want to become?”

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
THE VISION STATEMENT
 A guiding image of success—What will success look like?
 The realization of the mission.
 How the world will be improved if the organization achieves its
purpose: what the future will be like.
 Also guides priorities and the scope and scale of activities.
 Grand enough to inspire, realistic enough that people start to
believe that it can and will happen.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 VISION STATEMENTS
YOUR VISION
A GOOD VISION IS…
CHECKLIST:
Short, Preferably One Sentence  Does It Excite You?
Inspiring  Does It Tell The World
About The Good You
Focuses On Serving The World Want To Do?
 Is It Bigger Than You?
Is Very Ambitious  Is It Simple?
 Is It Clear?
Describes The Ideal Result You Want To  Is It About What You
Achieve Can Give And Not About
What You’ll Get?
We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
Vision Statement
Samples

SAMPLE
VISIONS

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
SAMPLE VISIONS

John F. Kennedy's Moon Landing Mission Statement

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 EXAMPLES:

• Lincoln: “Preserve the Union”

• FDR: “End the depression”

• Nelson Mandela: “End Apartheid”

• Mother Teresa: “Show mercy and compassion to the dying”

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 • Thomas Edison dreamed of a lamp that could be operated by
electricity, began where he stood to put his dream into action,
and despite more than ten thousand failures, he stood by that
dream until he made it a physical reality. Practical dreamers do
not quit!

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 ORGANIZATIONAL VALUES

o Organizational values are abstract ideas that

guide organizational thinking and actions
o Values represent the foundation on which the
company is formed
o A company's organizational values let others
know what it is, why it has been created, and
how it is different from other companies.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
ORGANIZATIONAL VALUES
Examples of Values:

Integrity Honesty Quality

Fairness Empowerment Professionalism
Fun Balance Trustworthy
Loyalty Partnership Accountability
Respect Creativity Communication
Teamwork Diversity Safety
Responsibility Growth Optimism

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
GOOGLE VALUES:
TEN THINGS
WE KNOW TO BE TRUE

Source: http://www.google.com/about/company/philosophy/
We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
BENEFITS OF HAVING A CLEAR MISSION AND VISION

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 
ROLES PLAYED BY MISSION AND VISION

1. Communicate the purpose of the

organization to stakeholders

2. Inform strategy development

3. Develop the measurable goals and

objectives by which to gauge the success of
the organization’s strategy

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
USE YOUR MISSION AND VISION
STATEMENTS TO…
1. Define your organization to the world.

2. Guide your decision making.

3. Inspire your constituents (clients, community,

board, staff and donors).

4. Promote your cause.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
IMPORTANCE OF VISION AND
MISSION STATEMENTS

1. To ensure unity of purpose within the organization.

2. To provide a basis, or standard, for allocating organizational
resources.
3. To establish a general tone or organizational climate.
4. To facilitate the translation of objectives into a work structure.
5. To specify organizational purposes.

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 We believe that from truth alone is born liberty and that only an
http://annual-sustainability-report-2010.pirelli.com/en/creation-value/stakeholder-engagement
05/31/2021 educated people can consider itself as really free and master of
its fate.
 We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
 We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.
INDIVIDUAL ASSIGNMENT:
REVIEWSELECT ANY LOCAL BUSINESS AND EVALUATE ITS MISSION, VISION &
VALUES

We believe that from truth alone is born liberty and that only an
05/31/2021 educated people can consider itself as really free and master of
its fate.