1. 1 UNIT 4: STRATEGIC DIRECTION

2. 2 1. VISION  Management’s aspiration for an organization  A panoramic view of: What businesses an organization is in Where the organization is headed The kind of organization we are trying to create

3. 3  The organization’s ideal future  Vision statement clarifies the direction in which an organization needs to move.  Visionless organizations are unsure what business position they are trying to stake out.  To be useful, a vision should be communicated and should be shared widely in an organization

4. 4 2.MISSION  The fundamental unique purpose that sets an organization apart from other organizations of its type and identifies the scope of its operations i.e. the purpose and business of an organization A statement of attitude, outlook and orientation; not one of details and targets Provides a unifying theme for an organization Communicates a sense of what is to be achieved  Good mission statements have a staying power

5. 5  The mission addresses the following issues:- The organization’s business (commercial rational and target market) Relationship between the organization and its stakeholders (public relations) Broad goals of the organization and expected performance (motivation of staff) A statement of basic organizational policies (organizational climate)  The mission sets out the “what”, “where” and “how” of an organization

6. 6 3.VALUES  What is regarded as important in an organization The relatively few important beliefs which are widely held to be crucial for the success of a given organization Those beliefs and convictions which substantially drive the behaviour of people in an organization  Corporate values from the basis of an organization’s culture

7. 7  Corporate values should be communicated and shared widely in an organization  Values can transform a random group of individuals into a coherent and committed team  Clear, common values provide guidelines for behaviour and a secure framework in which change and growth is possible