7/30/2019 SBM422S Vision Statement Criteria 130703

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VISION STATEMENT CRITERIA

What to do What to avoid

Be graphic: paint a clear picture where the

organization is headed and the marketposition(s) the organization is striving for

Avoid being vague or incomplete: be specific

about where the organization is headed andhow the organization intends to prepare for thefuture

Be forward-looking and directional: describethe strategic course that management hascharted and the kinds of product-market-customer-technology changes that will helpthe organization prepare for the future

Forget what exists now or what was in thepast: a vision is not about what anorganization once did or does now; it is aboutwhere the organization is heading

Keep it focused: be specific enough to providemanagers with guidance in making decisionsand allocating resources

Avoid overly broad language: all-inclusivelanguage that allows the organization to headin almost any direction, pursue almost anyopportunity or enter almost any business

should be avoidedBe flexible: language that allows someflexibility is good. The directional course mayhave to be adjusted as market-customer-technology circumstances change, andcoming up with a new vision statement every1-3 years signals that management is drifting

Avoid being bland or uninspiring: the bestvision statements have the power to motivateemployees and inspire shareholder confidenceabout the organizations direction andbusiness outlook

Stay feasible: the path and the directionshould be within the realm of what theorganization can pursue and accomplish; overtime, an organization should be able todemonstrate measurable progress in

achieving the vision

Avoid being generic: a vision statement thatcould apply to organizations in any of severalindustries (or to any of several organizations inthe same industry) is incapable of giving anorganization its unique identity

Why does this direction make good businesssense? The directional path should be in thelong-term interests of stakeholders (forinstance, shareholders, employees, andcustomers)

Dont rely on superlatives only: visions thatclaim the organizations strategic course is oneof being the best or the most successful orthe global leader usually deprive theessential and revealing specifics about thepath the organization is taking to go there

Make it memorable: to give the organization asense of direction and purpose, the visionneeds to be easily communicated. Ideally, itshould be reducible to a few lines or amemorable slogan

Dont run on an on: vision statements that areoverly long tend to be unfocused andmeaningless. A vision statement that is notshort and to the point will tend to lose itsaudience

Source: Thompson, A.A., Strickland III, A.J., Gamble, J.E., Peteraf, M.A., Janes, A. and Sutton, C. (2012)Crafting and Executing Strategy. The quest for competitive advantage, Concepts and Cases. European

Edition. McGraw-Hill Irwin, London. p29