STRATEGIC VISION, MISSION AND OBJECTIVES

Strategic Vision, Mission and Objectives

First a company must determine what directional path the company should take and what changes in the company’s product – market – customer – technology – focus would improve its current market position and its future prospect. Deciding to commit the company to one path versus another pushes managers to draw some carefully reasoned conclusions about how to try to modify the company’s business makeup and the market position it should carve out. Top management’s views and conclusions about the company’s direction and the product-customer-market- technology focus constitute a strategic vision for the company. A strategic vision delineates management’s aspirations for the organisation and highlights a particular direction, or strategic path for it to follow in preparing for the future, and moulds its identity. A clearly articulated strategic vision communicates management’s aspirations to stakeholders and helps steer the energies of company personnel in a common direction.

Mission and Strategic Intent: Managers need to be clear about what they see as the role of their organization, and this is often expressed in terms of a statement of mission. This is important because both external stakeholders and other managers in the organization need to be clear about what the organization is seeking to achieve and, in broad terms, how it expects to do so. At this level, strategy is not concerned with the details of SBU competitive strategy or the directions and methods the businesses might take to achieve competitive advantage Rather, the concern here is overall strategic direction.

Corporate goals and objectives flow from the mission and growth ambition of the corporation. Basically, they represent the quantum of growth the firm seeks to achieve in the given time frame. They also endow the firm with characteristics that ensure the projected growth. Through the objective setting process, the firm is tackling the environment and deciding the locus it should have in the environment. The objective provides the basis for it major decisions of the firm and also said the organizational performance to be realised at each level. The managerial purpose of setting objectives is to convert the strategic vision into specific performance targets – results and outcomes the management wants the achieve - and then use these objectives as yardsticks for tracking the company’s progress and performance.

Ideally, managers ought to use the objective-setting exercise as a tool for truly stretching an organization to reach its full potential. Challenging company personnel to go all out and deliver big gains in performance pushes an enterprise to be more inventive, to exhibit some urgency in improving both its financial performance and its business position, and to be more intentional and focused in its actions.

Objectives are needed at all organizational levels. Objective setting should not stop with top management’s establishing of companywide performance targets. Company objectives need to be broken down into performance targets for each separate business, product line, functional department, and individual work unit. Company performance can’t reach full potential unless each area of the organization does its part and contributes directly to the desired company wide outcomes and results. This means setting performance targets for each organization unit that support-rather than conflict with or negate-the achievement of company wide strategic and financial objectives.

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