The Functions Of Organisation's Mission, Vision, And Value Statement In Strategic Management Essay.

Reflect on the functions of the organisation’s mission, vision and/or value statement. Evaluate the nexus between the organisation’s mission, vision and/or values and the role of strategic management within the organisation.

Mission, Vision, and Value Statement’s Functions

Recent economic uncertainties have made the managers to acknowledge the necessity of readiness to change and implement their strategy. Also, they should continually monitor and control both internal and external forces and learn to adopt to the present challenges in the economy, particularly during times of crisis.

Mission, vision, and value statement are an integral part of strategic management and they form part of communication with the market since firms present their goals to the shareholders. In this report, I shall reflect on the roles played by an organization’s vision, mission, as well as its value statement. Additionally, the relationship that exists between the three and functions of a company’s strategic management are evaluated. Finally, I shall reflect on some of the statements that are associated with some large organizations to determine if they are at per with the organizations’ activities.

Organization’s statements are drawn onto the vision, the mission and value statements since they guide an organization’s strategic direction. The vision elaborates on the desired future state of an organization. On the other hand, the mission explains the reason and the purpose of the existence of an organization. The vision gives the guidelines necessary for development stimulation while at the same time giving the business core (Alfes, Shantz, Truss & Soane, 2013). The mission, explains an organization’s market, identity, and emphasis on technology, product, and the specific methodology.

Through readings, I have identified three primary roles that are played by the mission and mission statements. First, they provide a vehicle that can be used to explain to the stakeholders the organization’s values and purpose. The two statements are normally distributed to ensure that they are understood by the staff (Candemir & Zalluho?lu, 2013). The more the organization’s purpose is understood by the employees through the vision and mission, then they can understand the strategy and implement it. The second role that I found out is that they create a target that can be used to develop strategies (Vogel & Güttel, 2013). The strategy should define how the organization would attain its mission and vision. Last, I have noted that mission and vision statements help in providing a high-level guide to the organization’s goals and objectives.

Breaking the roles down, the mission statement identifies an organization’s activities, the people it serves, and how it does it. Second, it is the foundation of an organization’s planning. Third, it specifies the organization’s unique aim and how it is distinct from other firms. Lastly, it helps in keeping the management on the check to ensure that the primary purpose is attained (Duarte, Goodson & Dougherty, 2014). The vision statement, on the other hand, identifies the organization’s future state, describes what the organization is trying to achieve, gives shape to the organization’s future shape and direction, challenges and stretches the organization’s capabilities, and expresses the firm’s intention and philosophy.

Last, the value statement helps in guiding the organization’s perspective and its actions. Organization’s values are laid down to assist in defining its beliefs and culture. Once the organization’s members get subscribed to the set values, such organizations appear united when dealing with certain issues (Kianto, Ritala, Spender & Vanhala, 2014). The value statement’s basic role is assisting an organization to confront issues and problems. It lists the ethics and principles that must be adhered to in an organization. An organization is assisted by the value statement to determine what is right and what is wrong. Thus, the members act in a particular manner by making use of the values as a guide. Generally, the value statement helps in prescribing acceptable behavior, defines organization’s culture, remind the employees of the organizations’ primary competencies, make the employees happy for being associated with a firm, and expresses acceptable conduct’s basic rules. 

The nexus between Mission, Vision, and Value Statement

To understand the relationship that exists between the vision, mission, and value statements, I had to visualize the three of them collectively as a funnel. You find the mission’s inputs at the broadest part of the funnel. Towards the narrowest part is where the vision statement is found, and it distills down the mission in a manner that can assist in guiding the development of the values (Lee, Barker & Mouasher, 2013). The value statement is found on the narrowest end and it explains what the organization must do and what not to do to attain its mission. Additionally, the vision statement creates a bridge between the mission and the value statements. Hence, a vision statement should ensure that there is the spirit of continuous development and improvement.

Through research, I have learned that strategic management within an organization is both visionary and practical. First I have learned that strategic management helps in defining an organization’s identity regarding the unique capabilities that it brings to the market and the role it will play within the competitive market (Mirvis, Googins & Kinnicutt, 2013). Second, the strategic management develops a big picture entailing practical actions required in translating a firm’s vision into reality. Third, the strategic management helps in creating goals that are quantifiable and actionable and communicates these goals to the employees. Additionally, strategic statement helps an organization to understand the market for the products that it produces as well as its services. It assists the organization to develop a plan that can be used to reach various groups of potential clients.

I conducted a research on some of the big organizations as I shall illustrate to identify if their relevant statements reflect on the organization’s activities. First, I conducted my research on the hospitals and other health systems. Their statements indicate that they should continuously rely on innovation to improve patient outcomes while at the same time dealing with cost and regulatory constraints (Renwick, Redman & Maguire, 2013). For example, the 15 Baldrige winners have this innovation statement reflected in their activities. The organization engages in Innovation leadership through the incorporation of innovation into their mission, vision, and value statements. They have include innovation’s strategic planning through the inclusion of innovation initiatives in their strategic goals and action plans as well as soliciting the involvement of stakeholders in innovation (Trigeorgis & Reuer, 2017). Additionally, they have integrated innovation with efforts to improve performance and harness human resources.

Leaders in Magnet[R] organizations should always seek opportunities aimed at improving patients’ outcomes and the processes that are associated with delivering patient care that is high-quality and safe. I conducted my research on Exeter Hospital to find out if the outstanding patient care statement was reflected in their activities (Richards & Mellott, 2014). By so doing, I found that the firm has incorporated patient care experience in their mission, vision, and value statements. To ensure that they improve patient care, Exeter Hospital has introduced many evidence-based initiatives that are tailored to provide the employees with the tools needed in delivering exceptional experiences. Over a four-year period, Exeter introduced four concepts aimed at improving customer experience. They include the concept of service communication, TeamSTEPPSacents, relationship-based care, and lean thinking.

Conclusion

This study has helped me understand that the mission, vision, and value statements are all related to the aspirations and purpose of an organization. Usually, all these statements are communicated in the form of a brief written statement. The mission statements elaborate on the reason an organization is in existence and how it plans to serve its stakeholders. However, the vision statement is narrower and is future-oriented. The value statement defines what an organization should do and what not to do. Together, they all ensure that the organization keeps track of its purpose and objectives.

References

Alfes, K., Shantz, A. D., Truss, C., & Soane, E. C. (2013). The link between perceived human resource management practices, engagement and employee behaviour: a moderated mediation model. The international journal of human resource management, 24(2), 330-351.

Candemir, A., & Zalluho?lu, A. E. (2013). Exploring the Innovativeness and Market Orientation through Mission and Vision Statements: The Case of Istanbul Stock Exchange Companies. Procedia-Social and Behavioral Sciences, 99, 619-628.

Duarte, N. T., Goodson, J. R., & Dougherty, T. M. P. (2014). Managing innovation in hospitals and health systems: Lessons from the Malcolm Baldrige National Quality Award Winners. International Journal of Healthcare Management, 7(1), 21-34.

Kianto, A., Ritala, P., Spender, J. C., & Vanhala, M. (2014). The interaction of intellectual capital assets and knowledge management practices in organizational value creation. Journal of Intellectual capital, 15(3), 362-375.

Lee, K. H., Barker, M., & Mouasher, A. (2013). Is it even espoused? An exploratory study of commitment to sustainability as evidenced in vision, mission, and graduate attribute statements in Australian universities. Journal of Cleaner Production, 48, 20-28.

Mirvis, P., Googins, B., & Kinnicutt, S. (2013). Vision, mission, values. Organizational Dynamics, 39(4), 316.

Renwick, D. W., Redman, T., & Maguire, S. (2013). Green human resource management: A review and research agenda. International Journal of Management Reviews, 15(1), 1-14.

Richards, K., & Mellott, J. (2014). Great Expectations: Linking Vision to Everyday Work. Nurse Leader, 12(3), 67-70.

Trigeorgis, L., & Reuer, J. J. (2017). Real options theory in strategic management. Strategic Management Journal, 38(1), 42-63.

Vogel, R., & Güttel, W. H. (2013). The dynamic capability view in strategic management: A bibliometric review. International Journal of Management Reviews, 15(4), 426-446.