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CHAPTER 2 • THE BUSINESS VISION AND MISSION  53
                 Writing and Evaluating Mission Statements

                 Perhaps the best way to develop a skill for writing and evaluating mission statements is
                 to study actual company missions. Therefore, the mission statements presented on pages
                 44–46 are evaluated based on the nine desired components. Note earlier in Table 2-2 that
                 numbers provided in each statement reveal what components are included in the respec-
                 tive documents. Among the statements in Table 2-2, note that the Dell mission statement
                 is the best because it lacks only one component, whereas the L’Oreal statement is the
                 worst, lacking six of the nine recommended components.
                    There is no one best mission statement for a particular organization, so good
                 judgment is required in evaluating mission statements. Realize that some individuals are
                 more demanding than others in assessing mission statements in this manner. For example,
                 if a statement merely includes the word “customers” without specifying who the cus-
                 tomers are, is that satisfactory? Ideally a statement would provide more than simply
                 inclusion of a single word such as “products” or “employees” regarding a respective com-
                 ponent. Why? Because the statement should be informative, inspiring, enduring, and
                 serve to motivate stakeholders to action. Evaluation of a mission statement regarding
                 inclusion of the nine components is just the beginning of the process to assess a state-
                 ment’s overall effectiveness.


                 Conclusion

                 Every organization has a unique purpose and reason for being. This uniqueness should
                 be reflected in vision and mission statements. The nature of a business vision and mis-
                 sion can represent either a competitive advantage or disadvantage for the firm. An orga-
                 nization achieves a heightened sense of purpose when strategists, managers, and
                 employees develop and communicate a clear business vision and mission. Drucker says
                 that developing a clear business vision and mission is the “first responsibility of
                 strategists.”
                    A good mission statement reveals an organization’s customers; products or services;
                 markets; technology; concern for survival, growth, and profitability; philosophy; self-con-
                 cept; concern for public image; and concern for employees. These nine basic components
                 serve as a practical framework for evaluating and writing mission statements. As the first
                 step in strategic management, the vision and mission statements provide direction for all
                 planning activities.
                    Well-designed vision and mission statements are essential for formulating, implement-
                 ing, and evaluating strategy. Developing and communicating a clear business vision and
                 mission are the most commonly overlooked tasks in strategic management. Without clear
                 statements of vision and mission, a firm’s short-term actions can be counterproductive to
                 long-term interests. Vision and mission statements always should be subject to revision, but,
                 if carefully prepared, they will require infrequent major changes. Organizations usually
                 reexamine their vision and mission statements annually. Effective mission statements stand
                 the test of time.
                    Vision and mission statements are essential tools for strategists, a fact illustrated in a
                 short story told by Porsche former CEO Peter Schultz:
                   Three people were at work on a construction site. All were doing the same job, but
                   when each was asked what his job was, the answers varied: “Breaking rocks,” the
                   first replied; “Earning a living,” responded the second; “Helping to build a cathe-
                   dral,” said the third. Few of us can build cathedrals. But to the extent we can see the
                   cathedral in whatever cause we are following, the job seems more worthwhile. Good
                   strategists and a clear mission help us find those cathedrals in what otherwise could
                   be dismal issues and empty causes. 16
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