characteristicsofavisionstatement 05-06-2014 140506114508 phpapp02

8/10/2019 Characteristicsofavisionstatement 05-06-2014 140506114508 Phpapp02

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Characteristics of a

Vision StatementSawyer Global Consultants

Ed Sawyer

Tuesday, May 6th2014

Training for Small Business Owners


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What is a vision statement?

Provides understanding of what managementwants its business to look like.

Provides managers with a reference point inmaking strategic decisions and preparing the

company future. It says something definitive about how the

companys leaders intend to position thecompany beyond where it is today.

A good vision always needs to be a bit beyond acompanys reach, but progress toward the visionis what unifies the efforts of company personnel.


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How does/should a vision

statement ignite an organization? It speaks to the companys future strategic course.

The direction we are headed what our futureproduct/market/customer/technology focus will be.

Delineates managements aspirations for the business,

providing a panoramic view of where we are going and aconvincing rationale for why this makes good businesssense for the company.

Points an organization in a particular direction, charts astrategic path, and molds organizational identity.

Communicates managements aspirations to stakeholdersand helps steer the energies of company personnel in acommon direction.

It must say something about how the companys leadersintend to position the company beyond where it is today.


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How is the vision statement related

to corporate goals?

Many companies have developed astatement of values to guide thecompanys pursuit of its vision/mission,

strategy, and ways of operating. Strategic visions become real only when

the vision statement is imprinted in theminds of organization members and thentranslated into hard objectives andstrategies.


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What are the characteristics of a

good vision statement? Graphic: paints a picture of the kind of company that management is trying to

create and the market position(s) the company is striving to stake out.

Directional: is forward-looking; describes the strategic course that managementhas charted and the kinds of product/market/customer/technology changes thatwill help the company prepare for the future.

Focused: Is specific enough to provide managers with guidance in making

decisions and allocating resources. Flexible: is within the realm of what the company can reasonably expect to

achieve in due time.

Desirable: indicates why the chosen path makes good sense and is in the long-term interests of stakeholders (especially shareowners, employees andcustomers).

Easy to communicate: is explainable in 5-10 minutes and, ideally can bereduced to a simple, memorable slogan (like Henry Fords famous vision of acar in every garage).


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How can a vision statement

influence change? It crystallizes senior executives own views about the firms long-

term direction;

It reduces the risk of rudderless decision making;

It is a tool for winning the support of organizational members forinternal changes that will help make the vision a reality;

It provides a beacon for lower-level managers in formingdepartmental missions, setting departmental objectives, and craftingfunctional and departmental strategies that are in sync with thecompanys overall strategy;

It helps an organization prepare for the future.

When management is able to demonstrate significant progress in

achieving these five benefits, the first step in organizational directionsetting has been successfully completed.


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How can a vision statement

influence company culture? When company personnel dont understand or accept the need for

redirecting organizational efforts, they are prone to resist change.Reiterating the basis for the new direction, addressing employeeconcerns head-on, calming fears, lifting spirits, and providingupdates and progress reports as events unfold all become part ofthe task of mobilizing support for the vision and willing commitment

to needed actions. Executives must repeat the reasons for the new direction often and

convincingly at company gatherings and in company publications,and they must reinforce their pronouncements with updates abouthow the latest information confirms the choice of direction and thevalidity of the vision. Unless and until more and more people are

persuaded of the merits of managements new vision and the visiongains wide acceptance, it will be a struggle to move the organizationdown the newly chosen path.

H d th i i t t t li k


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How does the vision statement link

the present state to the future state

of the company?At companies where the stated values are real rather than

cosmetic, managers connect values to the pursuit of thestrategic vision and mission in one of two ways. In

companies with long standing values that are deeplyentrenched in the corporate culture, senior managers arecareful to craft a vision, mission, and strategy that matchestablished values, and they reiterate how the values-based behavioral norms contribute to the companysbusiness success. If the company changes to a different

vision or strategy, executives take care to explain howand why the core values continue to be relevant. Fewcompanies with sincere commitment to established corevalues ever undertake strategic moves that conflict withingrained values.

H d th i i t t t li k


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How does the vision statement link

the present state to the future state

of the company? Top management should consider what values,

behaviors, and business conduct should characterize thecompany and that will help drive the vision and strategy

forward. Then values and behaviors that complementand support vision are drafted and circulated amongmanagers and employees for discussion and possiblemodification. A final values statement that incorporatesthe desired behaviors and traits and that connects to the

vision/mission is then officially adopted. Somecompanies combine their vision and values into a singlestatement or document, circulate it to all organizationmembers, and in many instances post the vision/missionand values statement on the companys Website.


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Why is communication important to

the future and the strategic plan?Winning the support of organization members for the vision nearly

always means putting where we are going and why in writing,distributing the written vision organization wide, and havingexecutives personally explain the vision and its rationale to as manypeople as feasible. Ideally, executives should present their vision ina manner that reaches out and grabs people. An engaging and

convincing strategic vision has enormous motivational value. Whenmanagers articulate a vivid and compelling case for where thecompany is headed, organization members begin to say, This isinteresting and has a lot of merit. I want to be involved and do mypart to helping make it happen. The more that a vision evokespositive support and excitement, the greater its impact in terms ofarousing a committed organizational effort and getting companypersonnel to move in a common direction. Thus executive ability topoint a convincing and inspiring picture of a companys journey anddestination is an important element of effective strategic leadership.

characteristicsofavisionstatement 05-06-2014 140506114508 phpapp02

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