Page 215 - Performance Leadership

204 • Part III Principles from the Values and Social Dimensions

statement into an effective guiding force for decision making concen-
8
trate on the process of alignment. The mission statement needs to be
connected to the performance indicators of an organization. Measure-
ment makes the mission statement work. It puts into place solid meas-
urement practices to help the organization discover which of its
objectives and strategies have succeeded in bringing the organization
closer to achieving its mission. Conversely, the mission statement
makes measurement work. It helps the organization to focus on what
it is trying to achieve. This focus should be directly reflected in the met-
rics, the processes, and the communication about an organization’s
value drivers.
Different organizations have various value drivers. Some organiza-
tions are all about brand value, defining their own organization as the
main stakeholder. Brand value can be defined as the premium con-
sumers are willing to pay over that of a comparable product. Other
organizations see customer value as their main driver. In other words,
what they contribute to the life of consumers or the business of corpo-
rate customers. The customer is the main stakeholder. Another driver
can be shareholder value. In these cases it is the main purpose of
the business to maximize the return on investment within any legal
means possible. Obviously, in this instance the shareholder is the main
stakeholder.
The mission statement should be translated into tangible metrics
that describe the value driver of the company. If the mission statement
is well understood, and the company is serious about it, many of the
key performance indicators will present themselves.

Brand Value
Nike’s mission statement again provides an excellent example. Nike
tells consumers that it brings the inspiration for everyone to be an ath-
lete. It makes consumers want to be associated with Nike. As a conse-
quence, it is more important for consumers to be part of the Nike world
than it is for Nike to be part of its customers’ world. Nike takes the lead
in customer relationships, as it provides inspiration and innovation.
Nike’s mission statement indicates that it is the brand that drives the
value creation.