SMEs : Shaping Your Organization: The Importance of Vision and Mission

In close proximity to our offices, there are two types of forests: mixed deciduous and coniferous. The mixed deciduous forest grew haphazardly, with random tree patterns and winding paths. On the other hand, the coniferous forest was carefully planned, featuring neatly spaced pine trees and easily navigable pathways. As a business leader or people manager, your goal should be to shape your organization to resemble the well-designed coniferous forest rather than the disorganized mixed deciduous forest. Developing a clear vision, values, and mission for your organization is essential in achieving this.

Why is Vision and Mission important?

 A study conducted in 2007 showed that connecting telemarketers responsible for generating university funds to a mission increased their performance by a factor of five. Similar results were observed when lifeguards were informed about the lives they saved through vigilant lifeguarding. Jim Collins' book "Good to Great" indicates that purpose-driven companies outperform competitors by a factor of six. However, only 38% of leaders believe that their staff has a clear understanding of their organization's purpose and core values.

Practical Considerations

To effectively develop values, vision, and mission, it's crucial to understand the differences between them. Company values often stem from the founders and reflect what they consider important in running the organization. At LegalIsland, our core values are Integrity, Quality, Responsiveness, Fresh Thinking, Passion, People Development, and Business Relationships, which we showcase prominently in our office. These values guide our decision-making and prevent us from acting against our principles.

A vision statement should be inspiring and future-focused. For example, the Alzheimer's Association envisions a world without Alzheimer's disease, while Teach for America strives for excellent education for all children. A mission statement, on the other hand, describes the objectives and strategies of the organization. Patagonia's mission is to build the best product, cause no harm, and find environmental solutions, while Google aims to organize the world's information. Combining vision and mission statements provides a roadmap for achieving the organization's ultimate destiny.

Although vision and mission statements have been criticized in recent years, they serve an essential purpose in guiding business leaders and communicating the organization's purpose to employees. Developing a clear vision and mission forces leaders to articulate their goals and the meaning behind their core business activities. This information should be communicated to employees in a concise and understandable manner. Ultimately, a well-defined vision and mission can drive employee engagement and organizational success.

The above content is from "Mastering Small Business Employee Engagement: 30 Quick Wins & HR Hacks from an IIP Platinum Employer" by Barry Phillips and Jayne Gallagher which is available from Amazon:

https://bit.ly/3rm4CGV