Strategic Management: Mission and Vision

Business Mission and Vision

• A mission statement communicates an organization's purpose and reason for existence, defining its business, objectives, and methods for achieving these goals.
• A vision statement outlines where the organization aspires to go, reflecting the founders' aspirations without detailing specific strategies.

Process of Developing Mission and Vision Statements

• Select articles relevant to the organization.
• Prepare and revise the content individually.
• Merge the revised content into a single document during group discussions.

Importance of Mission and Vision Statements

• Ensures all employees and managers understand the organization's purpose and objectives.
• Provides a foundation for prioritizing key internal and external factors in strategy formulation.
• Guides resource allocation across the organization.
• Organizes work and departmental structures around a common purpose.

Characteristics of a Mission Statement

• Broad in scope, covering diverse aspects of the organization.
• Typically contains fewer than 150 words to maintain clarity.
• Inspiring in nature, motivating stakeholders.
• Identifies the utility of the firm’s products or services.
• Shows commitment to social and environmental responsibility.

Nine Components of a Mission Statement

• Products or Services offered.
• Target Markets served.
• Concern for survival, growth, and profits.
• Technology utilized by the organization.
• Philosophy that guides business operations.
• Self-Concept reflecting the organization's identity.
• Concern for public image.
• Focus on employees and their roles within the organization.

Benefits of Having a Clear Mission and Vision

• Clarifies purpose among managers and employees.
• Serves as a basis for strategic planning and decision-making.
• Provides clear direction for organizational activities.
• Acts as a focal point for all stakeholders, aligning interests.
• Helps resolve divergent views among management.
• Fosters shared expectations within the organization.
• Enhances the organization's perception among stakeholders.
• Results in a motivated, organized workplace attracting support.
• Contributes to higher organizational performance.
• Promotes synergy among various teams and individuals.

Alignment of Mission, Vision, and Strategy

• The mission and vision should align seamlessly with the organization's strategic approach, creating a unified direction for growth and development.

Example: University of San Agustin

• The mission emphasizes formation in Virtus et Scientia, serving Western Visayas and beyond.
• Aspires to develop a community of life-long learners aiming for the promotion of truth and authentic societal development.