What is the mission of the company example. Mission and goals of the organization. Formation of the mission and goals of the organization. Examples of missions of companies in the field of high technology, electronics
A lot of materials have been written about such a concept as a “company mission”, ranging from books on marketing and branding to articles and posts on social networks.
Quite often, these publications are more like a scientific dissertation than a clear and easily applicable step-by-step instruction.
There are still open questions:
- Does every company, business, expert necessarily need a formulated mission?
- What is meant by "mission of the organization"?
- How to formulate the working mission of the brand, and what examples to focus on?
Let's start with the terminology.
What is meant by the "mission of the organization"?
In classical management, the definition of the term "mission" is as follows - this is a statement that reveals the philosophy of the organization's existence and the difference between this company and its similar ones.
This is a very broad understanding of the mission, which is quite easy to get confused. Let's try to make specifics in its essence and content.
The mission of the company should answer a simple question - why was the organization created? Usually, the answer that pops up first is to make a profit.
This is logical, but let's look at the question from a different angle: what is wrong in the world around you, and how does your company (or you personally, as an expert) intend to fix it?
Much clearer, and gives scope to the imagination, right?
Another important concept that is often confused with the mission of the company is the vision of the brand. It answers the question - how do you see the company in the future. Or, to rephrase the mission question, what will the world around you be like when you're done changing it.
Does every company need a mission?
Certainly not. It all depends on your scale, goals and ambitions - this is your personal choice.
The owner of a single tent selling hot dogs, the mission is unlikely to significantly help in business. But if you are an Internet entrepreneur and strive to create a successful and systematic digital business, you should think about developing a brand platform and start with the company's mission.
This, at first glance, a philosophical concept is a powerful tool for promotion, ensuring the loyalty of the target audience, a platform for setting strategic goals and setting priorities, an indicator of the strengths of the brand.
It is important to note that there is simply no single rule on how to formulate the mission of an organization. But this process is quite simple, and below we will try to outline its basic principles step by step.
6 Essential Elements of an Organization's Mission
| 1 | Focus on customer satisfaction | How does your company, you, as an expert, change the life of the buyer for the better? |
| 2 | Uniqueness | Different from what your competitors claim |
| 3 | memorability | Ideally, it should be easy to remember |
| 4 | Transparency | Clear, without ambiguity and room for interpretation |
| 5 | Emphasis on the company's strengths and values | Takes into account the key competitive advantages of the company/product, as well as the values that the brand conveys |
| 6 | Truthfulness | What you declare must match reality, do not try to deceive the buyer's trust |
When starting to form the text of the mission, be sure to consider the presence of at least 5 out of 6 attributes in it. You can sacrifice memorability, but observe the measure and respect for those people who will read your mission. For example, Avon's full mission statement consists of 307 words.
Stages of developing the mission of the organization
Despite the apparent complexity of the process of writing a mission, fundamentally, only 3 stages can be distinguished.
Stage 1. Creation of the mission skeleton
For clarity, we give all 5 key questions in the table with answers using the example of a babysitting agency for children.
| Question | Answer |
| What does the company do (what do we sell)? | Provides babysitting services for children from 2 to 8 years old with full or part-time employment. Weekend babysitting service available. |
| Who is the target audience of the company (to whom do we sell)? | Parents with children from 2 to 8 years old |
| What are the main customer needs we are trying to satisfy? What audience problems are we solving? |
|
| What determines the success of a project or what will make us successful in the future? |
|
| How do we achieve this success? | Our nannies are constantly improving their skills, learning according to the most modern methods. We regularly check the physical, mental state of health, and also constantly interact with those parents who have already used our services. The nannies of our agency strictly adhere to the recommendations of parents, provide continuous visual control of the child, not only teach the child according to the approved program, but also develop talents, learn how to find an approach to modern children, become an interesting teacher and friend for them. |
Feel free to answer in detail - so you can definitely cover all the important points.
Stage 2. Reduction and generalization
The goal of the second stage is to cut off everything superfluous, leaving only the keywords, and then summarize them into one sentence.
Stage 3. Check
We return to the table above and check whether all 6 elements of a successful mission are taken into account. You can also discuss the final version of the brand mission with company employees, show it to your friends and listen to their opinion. If there are any shortcomings, we correct them.
The final version of the mission of the agency for nannies after all the transformations is as follows:
“Surround children with care, provide them with professional care and reliable supervision so that the little ones feel comfortable and parents feel calm.”
Agree, creating a brand mission is quite simple. And so that you are convinced of this and always have a sample for inspiration at hand - we will give several options for the mission of organizations.
Examples of missions of well-known companies
Why did we decide to focus on those companies that everyone is talking about? We could take a few Internet business niches and develop examples specifically for this article. But the mission of a company whose product features are unknown to you will be just a beautiful phrase, nothing more.
Therefore, let's consider examples of several of the most successful missions formulated by marketers of well-known brands and startups.
Apple's mission is an example of respect for brand customers and is aimed at understanding them:
"We offer high quality products that free people's lives and work from hard and tedious work, make the world more convenient for life, and ensure the respect and loyalty of consumers."
Dropbox is a startup that few believed in in its early days. Today, the company's value is over a billion dollars, and their mission is:
“We create easy-to-use products based on trust. When people store their files in Dropbox, they can be sure that they are safe. The privacy of user data has always been and will always be our top priority.”
Marketers of the Lukoil oil concern have created a fairly short and capacious mission, which, nevertheless, reflects the purpose of the company's existence on the market:
"We were created to turn the energy of natural resources for the benefit of man."
The mission of the famous Japanese car manufacturer Toyota is more customer-oriented than the achievements of the company itself:
"Our mission is to maximize customer satisfaction by providing reliable and safe TOYOTA products and providing a network of high quality service and qualified service."
The mission of the Svyaznoy company:
“We work with people and for people. We create an exciting world of mobile communications and new offers that are understandable and accessible to everyone. We provide simplicity, convenience and attractive choice.”
And finally, 3 more important tips on how to write a successful brand mission:
- Don't talk about the company;
- Don't mention "process" - how responsibly you approach your business;
- focus solely on the result and the benefits that your target audience will receive from working with you.
And now, when we have dealt with the pitfalls that may lie in wait for you when working on the mission of the organization, write in the comments, how would you formulate the mission for your business? And like if the content was useful to you.
Mission - a managerial structure used in strategic management, which allows positioning the object of management in the outside world. The mission determines what the organization was created and exists for. The mission should reveal the general purpose of its creation, the reason for the appearance and existence, what its appearance can give to the outside world.
So, say, Henry Ford presented the mission of the Ford Motor Company as the desire to provide people with cheap transportation.
In the understanding of some managers, the main fundamental goal for which an organization is created and exists remains to make a profit. However, it is more correct to represent profit as an assessment of the result of the organization's activities, the equivalent of the social significance of what it has done, and not as the goal of its activities.
In this sense, the words of D. Packard, one of the founders of the company Hewlett Packard: “First of all, I would like to talk about why our company exists at all. In other words, what is all this for? Many will say that in order to simply make money, they will be wrong. Profit is, of course, an important result of any company, but we must look deeper and find the true meaning of our existence."
And further: "If you look around and look around at the world of modern business, it may seem that people are only interested in money and nothing but money. However, the main motives arise largely from the desire to achieve something more: to create a product, to provide a service - in generally do something of value."
The mission of the organization contains general characteristics) "of what it was created for, its purpose, positioning in the outside world, approaches to the formation of internal culture. Its development precedes the development of the concept and strategy for the development of the organization. It includes: defining the scope of activity; a common vision of development paths; vision of personnel competence, competitive advantages, main groups interested in its functioning, which may include consumers of its products, shareholders, management, personnel, creditors.
Let's define the concept of mission.
The mission of an organization is a management structure that determines what it was created for, its purpose, positioning in the outside world, internal culture.
Enlarged and detailed mission
In the practice of strategic management, there are mainly two mission models - enlarged and detailed. Enlarged the mission model contains, as a rule, a brief description of the purpose of the organization, the main idea of its creation.
detailed the model more fully reveals the purpose of the organization, the fundamental goals of its creation, due to which it can achieve success, unlike other organizations.
The detailed mission of the organization may include the following sections.
- 1. Philosophy and purpose. fundamental goals.
- 2. Why and for what reason does the organization exist.
- 3. different from other organizations.
- 4. Why success can be achieved.
- 5. Reflection of the interests of stakeholders.
- 6. Formation of corporate spirit.
Basic principles of mission development
The degree of mission development varies from organization to organization. Greater importance is attached to the development of the mission in organizations operating in the field of business. Therefore, we will pay more attention to the development of a mission specifically for a business organization. Consider the main principles underlying the development of the mission.
1. The mission should contain a unifying and guiding idea for creating an organization. Mission development is carried out for both small business organizations and giant corporations. For a small company, a mission is an idea that defines the main direction of its activity. For a corporation, the mission becomes the few things that are shared, beyond headquarters, for all of its largely decentralized, self-managed divisions.
The main thing, according to Jim Broadhead, FPL Group. - any company operating in business must have a clearly articulated mission.
Ralph Larsen, Chairman of the Board of Directors and Chief Executive Officer Johnson&Johnson believes that the mission is the creed of the company, se code of honor. Even in decentralized organizational structures, mission refers to what brings together disparate, self-living units.
From point of view Michael Armstrong, Chairman of the Board of Directors and Executive Director AT&T, the mission should contain the guiding idea: "The main thing is that it be real and efficient, so that people can accept and believe in it." Such an idea could, for example, be a clearly articulated purpose of the company: "instead of a company that communicates between two points, become a company of communication "at all distances", from the point where the client is to any point he wants to contact.
John Popper, Chairman of the Board of Directors Procter & Gamble sees the mission of the company in serving people, providing them with the best goods. He believes that the main indicators of the success of the company's activities are the total return of shareholders on invested capital and market share.
Among the main indicators of the company's performance, in his opinion, is also the percentage of sales of goods that are superior to competitors' products: "We strive to ensure that such goods are more than 90%. We check on consumers and monitor the results like kites. If the percentage hits, we feel bad."
No matter how general ideas are formulated for a large or small organization, positioning it in the outside world, they must exist. They are formulated in the form of its mission.
2. The mission is the idea around which the activities of the organization are formed.
Not everyone understands the purpose of the mission as a managerial structure and how much it is needed for use in the practical activities of the organization. Therefore, when developing a mission, the main idea of creating an organization that consolidates the activities of its structural divisions and employees and forms its internal culture should be clearly formulated and presented.
M. Ibuka - founder of the company sony, Describing her work, he said: Sony- a pioneer who never follows others and does not lag behind. Our goal is to provide the whole world with high-tech products using the latest technology. Our company will always explore the unknown... Our principle is to appreciate and develop human ability... we are always trying to bring out the best in people. This is the life force .
In his understanding, the key principles of the company are as follows: "We are not afraid of difficulties and spare no effort to develop useful highly intelligent products that will bring great benefits to society. We rely on the talent, performance and personal qualities of employees, providing everyone with conditions for the maximum realization of abilities and skills" .
For the company Procter & Gamble the highest quality of products is, on the one hand, a key success factor, thanks to which high milestones in the economy have been achieved, and on the other hand, one of the most important corporate values of the company. Key values of the company, according to the CEO "Johnson&Johnson" R. Larsen are important not only because they provide a competitive advantage, but also because "they correspond to our beliefs ... we would remain faithful to them, even if in some situations it would turn out to be unjustified from the point of view of commerce."
3. The mission precedes the development of such management structures as the development concept of the organization, strategy, plan. In strategic management, there is a long distance from the mission of any company to specific production tasks or an action plan. Between them is a chain of management structures, such as a concept, a development strategy, a plan. Each component of this chain is a necessary stage on the way from understanding the general goals of the organization's development to an operational or tactical management decision. In order for them not only to be the property of the head, but to be able to become components of the management system, its managers and staff, they must be clearly formulated.
A useful link in this chain is the mission. A clearly formulated, detailed mission statement is used to develop the concept of the organization's development, its strategy and plans, focused on achieving the fundamental goals of the organization.
In the absence of an understanding of the fundamental goals of creating and developing an organization, a strategic vision of development paths, ways to achieve the goals set, managerial decisions become "myopic", activities acquire the features of fussiness, the interconnection of actions and their effectiveness are lost. Today, the presence of the above management structures, including the mission, characterizes the maturity of the management culture of the organization and its management system.
4. The mission is the most fundamental and least changing management construct. Mission is a management structure that plays a special role in the process of strategic management. Once defined, it, unlike such a management structure as a strategy, is practically not revised, remaining unchanged for the entire period of the organization's existence. Only fundamental changes in the activities of the organization can lead to its revision.
The mission is the most conservative component of the strategic management process. The conditions of the external environment, market conditions may change significantly, transformations and a radical restructuring of the organization may be carried out, which will lead to the adjustment of previously made decisions, including strategic ones. The mission, with all the changes that have taken place, if they are not of a cardinal nature that affects its positioning in the outside world, retains its main content, being one of the cornerstones of the internal culture of the organization.
Therefore, when developing a mission, it is necessary to highlight the fundamental points that characterize the purpose and activities of the organization.
Bill Marriott, Chairman of the Board of Directors and President Marriott International believes that the main idea of creating a corporation can be formulated as follows: "become a global company in the hotel business. Provide first-class service."
For Paul O'Neill Chairman of the Board of Directors and Chief Executive Officer Alcoa Incorporated The main ideas of the corporation's mission remain: "become a leader in sales, income, distribution of products in the world", "build work around the needs of customers", "become the safest organization in the field of production", "be responsible for the environment".
As an example of an enlarged formulation, let's cite the mission formulated by one of the construction companies in Moscow: "Being on the verge of millennia, having studied the experience of pioneers and applying the latest technologies, we strive to become the largest developer of the city, providing Muscovites with new and high-quality housing, recreating and preserving the historical appearance old Moscow.
And the detailed mission statement includes the following points.
- 1. Comprehensive development of the Central Administrative District (CAO) with high-quality real estate, taking into account the urban planning policy of the city and the architectural features of the center of Moscow. Effective solution of housing and social problems of all segments of the population. The activity is based on the principles of corporate ethics and universal values.
- 2. The main purpose of the company is investment construction in Moscow. Giving a new look to the center of the capital through the construction of residential and administrative buildings in demand by the population. Construction of residential and administrative facilities that satisfy the consumer as much as possible with an optimal planning and architectural solution.
- 3. Difference from other companies - own know-how developed by the company in the field of realization of building projects.
- 4. Strategic perspective - to become a construction monopolist in the Central Administrative District with the opening of subsidiaries in the regions of Russia and the CIS.
- 5. Meeting the expectations of the founders who have invested money in the development of the company and construction projects implemented by the company. Meeting the expectations of residents by improving the quality of development.
The mission of the same organization can be formed in different ways. So, for a video equipment company, it can be defined both as the desire to provide video equipment to the widest possible range of customers, and as the desire to create complex systems that provide maximum opportunities for a select number of consumers. The mission should formulate the tasks that the organization seeks to solve, thereby determining its place and purpose in society.
Before formulating the organization's mission, it is necessary to form a vision of the organization's position in the external environment, the fundamental goals of its creation, to imagine what its uniqueness is, what tasks it is designed to solve, what it is responsible for, what it is created for.
The acceptance of the organization's mission as an official document depends on the management style adopted in the organization. With a democratic management style, a preliminary version of the mission is submitted for discussion by all members of the organization, and after taking into account the expressed opinions, comments and wishes, it becomes an official document recognized in the organization. If the management style in the organization is authoritarian, then with various possible forms of document development, the opinion of the leader is decisive. Discussion of the draft mission in this case is rather formal.
If the activity of the organization is positively perceived by the external environment, which is reflected, in particular, in the profit received, this means that the fundamental goals of the organization were set correctly and it was possible to ensure the fulfillment of the tasks set during its creation. Only in this case, we can say that the organization took place, the idea of its creation turned out to be productive, and the efforts of the organization's staff were not in vain.
A clearly formulated mission of the organization contributes to the strategically purposeful activity of the organization, defining its inner core and fundamental goals of activity.
The mission of the organization is the most important component of the strategic development plan of any company. The mission is the reason for the existence of the enterprise. The mission is determined in the process of strategic planning, it is the main strategy of the enterprise, in accordance with which all other activities are built. Its adoption makes it possible to clearly define the purpose of the activity of this enterprise and does not give managers the opportunity to focus on personal interests.
The mission defines the main goal of the company. The company, as a rule, begins its activity with the definition of a clear mission, established by the top management. However, over time, the mission is gradually overwritten as the company develops new products and conquers new markets. To select a mission, an enterprise must clearly define who will be its customers and what needs of customers it will satisfy. On the basis of the mission, the goals of the activity are determined.
A distinctive feature of the mission is that it must be completed after a certain period of time.
The duration of the mission should be foreseeable and fairly short. As practice shows, most often this period is five years. This is done so that the generation of workers present at the adoption of the mission statement could see the results of their work.
Distinguish between broad and narrow understanding of the mission.
mission broadly is considered as a statement of philosophy and purpose, the meaning of the existence of the enterprise. The philosophy of the enterprise determines the values, beliefs, principles in accordance with which the enterprise intends to carry out its activities.
It is the purpose that determines the activities that the enterprise intends to carry out and what type of enterprise it intends to be. The philosophy of an enterprise usually rarely changes. Although it can change, for example, with a change of ownership. As for the second part of the mission, it may vary depending on the depth of changes that may occur in the enterprise and in the environment of its operation.
In the narrow sense of the mission- a formulated statement regarding why or for what reason the enterprise exists, i.e. the mission is understood as a statement that reveals the meaning of the existence of the enterprise, in which the difference between this enterprise and similar ones is manifested.
The position on the mission of the enterprise is the first step in rethinking the business. The mission statement is an expression of the vision of your business, your company. The mission helps to achieve clarity of purpose within the company, serves as the foundation for making all important decisions, introduces an element of obligation in achieving the goals of the enterprise, leads to understanding and support of the company in the external environment in achieving its goals.
Achieving the strategic goal involves:
Improving the corporate governance system in order to create the maximum value of the Group;
Qualitative change in the system of relationships with clients - the introduction of a new ideology of working with clients based on a combination of standard technologies with an individual approach to the client;
Maximum use of the potential of international cooperation to promote modern financial services using external resource sources for the purpose of developing the business of the Group's clients;
Improving the Group's internal control and risk management system;
Ensuring a high level of information technology support for the Group's business;
Formation of a team of professionals capable of solving modern problems of the Group's development;
Implementation of further regional expansion along the path of maximum approximation to service users.
The main goal of any business is to make a profit. Often this goal is identified with the mission, but this is a huge catch for the organization itself, since in this case it is very difficult for the manager to distinguish the activities of his company from competitors and, as a result, count on a long existence.
Goals are set based on the following principles:
Concreteness and measurability;
Achievement and reality. Unattainable goals are not amenable to motivation, but the implementation of easy goals is poorly motivated, therefore, the goals must correspond to the abilities of employees;
Availability of deadlines;
The elasticity of goals, the possibility of their adjustment. This principle is especially relevant in our constantly changing environment.
In the conditions of market relations, taking into account the constant changes in the position of the enterprise itself, its competitors, intermediaries, buyers, forms of financing and the state of the industry in which the organization operates, the obligatory goal of the strategy is also to overcome risk or risk situations not only in the present, but also in the future.
The purpose of the activity is the desired state of the control object after a certain time. The coherence of the work of the staff depends on its correct formulation. But no matter how well the goals of the enterprise are formulated, they must be communicated to the staff, which often does not happen at our enterprises due to an insufficiently developed communication system.
Many companies develop formal mission statements. A mission statement is a statement of a company's main goal: what it wants to achieve in the broadest sense. A clear mission statement acts as an "invisible hand" that guides the company's employees, allowing them to work independently and at the same time collectively to achieve the company's overall goals.
The goals of the enterprise can be short-term, medium-term and long-term.
Short term goals determined for no more than a quarter or a year. This may be an increase in the assortment at a trading enterprise, and the sale of stale goods at a certain time, etc.
Medium term goals established for a period of one to three years. This is both an increase in capacity and an improvement in quality.
Long-term goals are set for a period of three to ten years. They may include the development of new markets, the universalization of production, etc.
After establishing the mission and goals, the enterprise can proceed to further activities.
Traditionally, companies define their activities in terms of the products they produce (“We make furniture”) or the technology they use (We develop software”). But the mission statement of the company must be market-oriented.
Defining activities from a market point of view is better than definitions from a product or technology point of view. Products or technologies sooner or later become obsolete anyway, and the basic needs of the market may remain the same forever. The market-oriented mission defines the company's activities, taking into account its focus on meeting the basic needs of customers.
That is why Rolls-Royce claims to be in the business of power, not jet engines. Visa provides not credit cards, but the opportunity for customers to exchange values without even leaving their homes, to purchase almost everything and almost everywhere.
When defining the mission, the company's management should avoid two points: both excessive specification and excessive vagueness.
The mission should be:
Realistic.
specific. It should be suitable for this company and no other.
Based on specific features.
Stimulate. The mission is to make people believe.
The company's mission statement should reflect the company's vision and direction for the next ten to twenty years.
Companies should not revisit their mission every few years in response to the slightest change in the market environment. However, the company should redefine its mission if it does not inspire consumer confidence or conflicts with the best way for the company to develop.
At each level of management, the mission of the company needs to be translated into specific strategic goals. Increasing profits becomes the next main goal of the company.
Profit can be increased by increasing sales or reducing costs. Sales volume can be increased by expanding the company's share in the domestic market, developing new foreign markets, or a combination of both. These goals become the actual marketing objectives of the company.
These goals should be as specific as possible. The target to "increase our market share" is not as specific as the target to "increase our market share by 15% by the end of the second year". Thus, we can conclude: the mission of the company determines the philosophy of the enterprise and the main direction of activity, and strategic goals are realistically measurable tasks facing the company.
The formation of the company's goals comes from an assessment of the potential capabilities of the company and the provision of its appropriate resources. In management theory, the goals of the organization are divided into general goals, developed for the company as a whole, and specific goals, developed for the main activities of the company's divisions on the basis of a general strategy.
General goals reflect the company's development concept and are developed for the long term.
There is a typical ranking scheme for general goals, expressed by formulating the general directions of the company:
Ensuring maximum profitability, with the existing set of activities, determined by the following indicators: sales volume, level and rate of return, annual growth rates of sales and profits, the amount of wages paid, the level of product quality, etc.
Ensuring the stability of the company's position in the following areas: technical policy (expenditure on research and development of new products), competitiveness potential (cost reduction, designing new markets), investment policy (the size of capital investments and their directions), personnel policy (providing labor resources, their training and payment, etc.), the solution of social issues.
Development of new directions of development, new types of activities of the company, which involves: development of a structural policy, including diversification of production, vertical integration, acquisitions and mergers, development of information systems.
Specific goals are developed within the framework of general goals for the main activities in each division of the company. The most important among them are:
Determining the level of profitability for each individual unit. Of paramount importance in determining the profitability of each unit is given to such an indicator as the rate of return on invested capital.
In comparison with the data of previous years, this indicator is the most important not only in planning, but also in control, i.e. planning and reporting and plays a decisive role, both in setting goals and in evaluating the results and effectiveness of the company. Depending on the degree of centralization of management, profitability targets for each division can be set either at the level of top management or at the level of the manager of a subsidiary.
In the first case, they are determined centrally, but the indicators for each division are differentiated depending on the specific conditions that develop for each of them. In highly decentralized companies, manufacturing units can set their own rate of return for each product. The indicators developed by them are coordinated with the highest level of management and are linked to the global goals of the company.
Other specific goals are developed after the definition of profitability goals and are in the nature of sub-goals, the achievement of which is an important step towards the implementation of the company's mission. Usually they are established by determining the directions of development in the respective functional areas.
In particular, subgoals may include:
- Marketing- achievement of a certain level of sales in absolute terms or an established share of sales in one or more market segments, the introduction of new products, determined by the number or relation to all manufactured products; measures to improve the distribution and promotion system, expand the scope of technical services provided, etc.
- in R&D- development of new products, adaptation of traditional products to the requirements of specific foreign markets; - improvement of the technical level of production.
- for production- establishment of standard indicators that ensure the efficient use of these resources, the development of various programs: cost reduction and product quality control, production of new and improvement of products.
- in finance- determination of the structure and sources of financing, in particular, the share of own funds in the proposed capital investments for the planning period.
The objectives of branches and subsidiaries, usually formed by the parent company, are as follows:
Increasing sales and growth rates of the company;
Increasing the company's market share, increasing profits and especially the rate of return, the "getting used" of the branch and its contribution to the development of the economy of the host country.
The definition of the mission and goals consists of three sub-processes, each of which requires a lot of responsible work.
The first sub-process is to determine the mission of the company, which in a concentrated form expresses the meaning of the existence of the company, its purpose.
This part of strategic management ends with a sub-process of short-term goals.
Defining the mission and goals of the company leads to the fact that it becomes clear why the company operates and what it strives for. And knowing this, you can more accurately choose a strategy of behavior.
The goals of the firm give uniqueness and originality to the choice of strategy in relation to each particular firm. The goals reflect what the company is striving for. If, for example, the goals do not imply intensive growth of the company, then the appropriate growth strategies cannot be chosen, even though there are all the prerequisites for this both in the market, in the industry, and in the potential of the company.
In principle, there are two approaches to setting the objectives of the enterprise. The essence of the first approach is quite simple and well known to Ukrainian management specialists: to set goals based on the level achieved, adding, say, 2-3% to last year's figures. This is the so-called method "planning from what has been achieved."
The second approach to setting corporate goals is much more complicated, it involves breaking the goal-setting process into a series of successive steps:
1. Definition of mission (philosophy) of business.
2. Establishment of long-term general goals for the planning period.
3. Definition of specific goals (tasks).
It is believed that the main advantage of this step-by-step approach is that it forces the managers and specialists of the enterprise to comprehend what they want to achieve and how.
Mission is a business concept that reflects the purpose of the business, its philosophy (this term literally means« responsibility, role).
The mission helps to determine what the company actually does: what is its essence, scale, prospects and directions of growth, differences from competitors. At the same time, it focuses on the consumer, and not on the product, since the mission (philosophy) of the business is most often determined taking into account the consumer interests, needs and requests that are satisfied by the business. Therefore, the definition of a mission is closely related to marketing and involves answering the question: “What value can a company bring to consumers while achieving greater success in the market?”
To illustrate the concept of mission, two approaches to business can be compared: to open a hairdressing salon or a beauty salon for women. The second approach is based on consumer needs and considers the business more broadly, with the prospect of growth: today - only hairstyles, tomorrow - make-up, medical procedures, etc. In this case, the business mission can be defined, for example, as follows: "We make women beautiful."
It is believed that the mission statement should be bright, concise, dynamic, easy to understand (often a slogan) and reflect the following aspects:
Range of satisfied needs;
Characteristics of the company's products and its competitive advantages;
Business growth prospects.
Surveys show that 60-75% of North American companies have a clearly defined mission. The leaders of many new Ukrainian companies also define the mission of their business. Let us give examples of the formulation of the mission of the company.
Company mission Xerox perfectly demonstrates the prospects for business growth - "From copier to the office of the future."
Other examples of missions:
- “We save your time and money” (Investbank);
- "One step ahead of demand" (firm "Nadiya", Kharkiv);
“We don't just sell equipment. Our main task is to offer solutions to problems for your business” (Plant of self-propelled chassis, Kharkov);
- “We do not just carry out transportation - we offer a transport service” (Southern Railway, Kharkov).
Mission of the organization
Organizational values
| Type of values | Categories of values | Characteristics of goals |
| Theoretical | Truth, knowledge, rational thinking | Long-term research and development |
| Economic | Practicality, greed, capital accumulation | Increase, profitability, results |
| Political | Power, recognition | Total capital, sales volumes, number of employees |
| Social | Beautiful human relationships, conflict-free, involvement | Social responsibility, friendly atmosphere in the organization |
| aesthetic | Artistic harmony, composition, form and symmetry | Product design, quality, attractiveness |
| Scientific | Scientific potential | Patent and science intensity |
| ethical | Consistency with the environment | Ethics, moral issues |
Each organization plans its activities in the long term. Such activity allows to develop an adequate strategy for the development of the company. Perspective thinking allows you to determine the priority directions in which the organization should move.
This process is entirely the responsibility of top management. It develops the mission of the organization. This allows you to direct the movement of the entire company in the required direction. Why is it important? The fact is that the mission of the organization is its credo. It will be discussed further.
Basic concept
The mission of the organization is a concept that reflects the purpose of the company, its main goal. This is the management's vision of the meaning of the enterprise's functioning. It is also a reflection of the prospective position of the company, its aspirations and the main direction of movement.
The mission allows to demonstrate the concept of the organization to the public and employees. This helps to create the identity of the company, distinguishing it from the mass of competitors. Also, this concept includes the meaning of the activities of the enterprise, firm, its plans and aspirations.
The vision is formed by the management or the founders of the business. At the same time, the perspective for which the mission is created may be different. It depends on the features of the functioning of the business unit, its position relative to competitors, its place in the market.
Features of the formation of vision
The mission of the organization is the position of the company in the long term, which is formed by management under the influence of various factors. The horizon of remoteness can range from several months to several years. The larger the company, the more global will be its mission.
For example, a corporation that is a leader in an industry forms a vision of its position in combination with the economic, political, social situation. After all, it is in these areas that her work has a significant impact. Planning in this case can be carried out both within the framework of one country and the world economy as a whole. Small companies consider their position in terms of the scale of their influence on the industry.
Vision is formed solely for perspective. When the enterprise reaches the desired state, the process of developing a new mission takes place. The former goal loses its relevance. The mission allows you to take into account the current state of the company, assess its capabilities to achieve specific goals. It details the status of the organization, making it clear not only to management but also to the general public.
Goals and objectives of construction
The goals and objectives of the mission of the organization determine the need for this process. This allows you to select a specific firm, enterprise from the mass of similar companies. When building a mission, management seeks to solve the following tasks:
- identify the area in which the organization will conduct its main activities;
- avoid financing obviously unprofitable, unnecessary areas of operation;
- to develop the main activities in the process of competition in accordance with the existing market conditions;
- create a fundamental basis for the subsequent development of the company's goals;
- develop a concept, a philosophy of activity that would inspire staff to achieve their goals.
The goals of the mission are qualitatively new states, positions in the market, for which the organization must fight. These actions concern both the internal and external environment of the enterprise or firm. This takes into account the interests of groups of people who, to one degree or another, influence the work and position of the company.
Formation factors
The definition of the mission of the organization is made under the influence of certain factors. There are only 5 groups of components that are taken into account when carrying out this process.
The first category includes the history of the creation and development of the organization. At the same time, both mistakes and achievements of the company in the past are taken into account. This is the image of the organization, which was formed at the time of the formation of the mission.
The second group includes features of the management style, the behavior of the company's owners.
The third group are existing resources. It is them that the company can manage in achieving its goals and objectives. Resources include cash, product brands, technology, employee skills, and so on.
The fourth group is the surrounding competitive environment. The fifth category of factors that are taken into account when developing the mission are the distinctive advantages of the company. With them, it differs from competitors, which allows you to win in the fight against them.
Mission Components
Developing the mission and goals of an organization is a complex task. Therefore, the management of some enterprises cannot correctly develop them in the course of strategic planning.
In order to create the right vision and express it to the masses, it is necessary to take into account the main components that make up the mission. These include:
- Features of goods, services that the company creates, as well as the range of consumer needs that such products can satisfy.
- Target audience of consumers. This allows you to create a mission that will be clear to the target groups of buyers.
- Technologies used by managers. This is the definition of the way in which the needs of consumers are satisfied.
- Competitive advantages. It is on them that the emphasis is placed in the struggle for the right to take advantageous positions in the market, to increase the demand for their products.
- Philosophy of the organization. This concept includes the core values, ethics of the company. This allows you to determine whose interests the company puts in the first place.
Based on the listed components, a general idea for the existence of the company is created. Without this, it will not be possible to form a mission adequate to the existing conditions.
Approaches to understanding the mission
The mission of the organization can be viewed from two points of view. There is a broad and narrow approach to understanding its meaning. Their differences should be understood for the correct formation of the vision.
In a broad sense, the mission is the purpose, a special philosophy of the existence of the organization. In this case, it is formed without a clear reference to the range of goods, categories of consumers, and available resources. This is a general definition. In a broad sense, the mission is revealed as values, principles taken as the basis of activity. It determines the actions of the company.
In a narrow sense, the mission is seen as a specific statement about the meaning of the activity. It sets the company apart from its competitors. In this case, attention is focused on the methods, features of production, consumer groups and market segments.
Example
To better understand how such a process is conducted, consider the example of an organization's mission. For example, in the formulation of the goal of the existence of the American credit company "Sun Banks" by its head, there is a statement about promoting economic development, the welfare of the whole society, as well as clients. This is achieved by providing individuals and legal entities with high quality credit services. At the same time, high standards of ethics and economics are taken into account. The company sees its mission in ensuring a fair distribution of profits for its shareholders, attitude towards employees.
The mission of the department of management of a higher educational institution is to train personnel of the appropriate skill level for work in industrial organizations, the service sector. Training is carried out for professional activities in a market economy, in a competitive environment by applying modern theoretical and practical knowledge. This is necessary for the continuous, comprehensive development of the organization. The activity of the department guarantees the graduates to receive decent work, high remuneration for their work.
Solving Management Problems
The mission and strategy of the organization allows you to solve many management problems. Therefore, every company that wants to take a leading position in the industry must work to conduct this process.
Formation of the mission allows you to systematically assess the strengths and weaknesses of the organization, as well as its competitors. Managers also explore development threats to the business as well as existing opportunities. This allows you to make appropriate decisions in the current situation.
Mission statement allows you to unite the departments of a large corporation, remote production, bring them to a single standard of activity. This increases the motivation of the staff, the interaction of the management of different departments.
A properly developed mission helps to improve the company's image, creating a recognizable brand. This attracts the attention of investors and shareholders. In this case, the value of the company in the market increases.
Mission and goals
The mission and goals of the organization are closely related. Without the development of the main credo, it is impossible to choose adequate goals for the activity. The goal is the end result that the company aspires to. The mission allows you to build directions to achieve the desired position of the enterprise within the industry.
Goals do not have a clear definition of quantitative characteristics. The company moves to the main one by building its mission. With the help of various levers, all structural divisions are managed to move towards the main goal.
It is the mission that reflects how this process takes place, what areas are priority. She sets certain limits, creating her own image, image. Goals cannot go beyond the scope of the mission. They are part of it. The mission is formulated to answer the question, what is the main goal of the organization.
Long term goals
The strategic mission of an organization cannot be created without an adequate definition of long-term goals. They are developed in several main directions. Each of them contributes to the achievement of established boundaries, the conquest of heights.
To form the main goal and mission of the organization, long-term strategic plans are developed in 7 directions. These include the company's position in the competitive space, innovations and technologies that will create a better product.
Also, goals are created in the field of marketing (sales, creating the image of a product), production (increasing labor productivity, product quality, reducing costs, etc.), finance (their rational use). One of the important areas is also personnel management, management.
Goal Features
Managing the mission of an organization is impossible without setting adequate goals. They must have certain qualities. Long-term goals should be specific and measurable. They must be related in their properties to the planning horizon. The shorter the term, the more specific the goals should be.
You should also set achievable goals. Otherwise, it significantly reduces labor motivation. Also, all goals should be directed in a single direction. They are related to the mission. Goals should not interfere with the achievement of each other.
The Importance of the Goal and Mission Development Process
The main missions of organizations influence their future destiny. If this process is not carried out correctly, management will inevitably encounter difficulties of various sizes. For example, in the course of perestroika, domestic enterprises saw the preservation of their workforce as their mission. As a result, motivation and productivity have dropped significantly. Therefore, the well-being and development of the company largely depends on the correctness of the development of the mission and goals.
Having considered the features of the strategic planning process, we can say that the mission of the organization is an important component of the company's positioning in the market. The efficiency of the enterprise depends on the correctness of this process.
When creating a company mission, it is logical to familiarize yourself with examples of missions of well-known organizations. We have selected missions of Russian and foreign companies that are interesting in our opinion. They were structured by areas of activity.
But n do not copy, do not create a mission by analogy - this will worsen the climate in the company, at best it won't change anything. Mission is always individual.
EXAMPLES OF THE MISSION OF COMPANIES BY FIELDS OF ACTIVITY
Example missions for distributors, networks, merchants and e-commerce businesses
- Mission of ROSPECHAT: to be a link between publishers and readers.
- Mission Lenta: We work to make people in Russia live better and richer, saving their money every day.
- Mission Sportmaster: We make sports accessible! To develop a successful and efficient business by offering our Clients the optimal range of quality products for sports and outdoor activities with the optimal level of service. Contribute to the improvement of the population in the countries of our presence, promoting the values of a healthy lifestyle, sports and active recreation, improving the quality of life of our customers.
- SNS mission: To be the undisputed leader in the distribution of FMCG products in the CIS countries, providing customers with high-quality products and perfect service, acting in the interests of society and consumers, employees and shareholders.
- Mission Protek: Our goal is to take care of the beauty and health of people. We value the economic, social and ethical values of society, honestly fulfill our obligations to people, partners, investors and the state, thereby setting business standards.
- Dixie's mission: Satisfy the daily needs of the majority of Russian citizens with the best value for money - Simple, Nearby, Neighborly
- Mission Lenta - We work to make people in our country live better and richer, saving their money every day.
- Mission of TERVOLINA: Quality, comfortable shoes and excellent service - to every customer!
- Walmart's mission: We save people money so they can live a better life.
- Mission of AUCHAN: To offer more and more buyers a wider range of quality goods at low prices.
- The mission of Leroy Merlin Vostok: Make it affordable for everyone to repair and equip their home
- Castorama's mission: to help buyers make their homes better and more comfortable, to transform the laborious and costly process of repair and improvement into an interesting hobby accessible to everyone.
- IKEA mission: To improve the everyday life of ordinary people.
- Amazon's mission: to be "the most customer-conscious company on earth."
- EBay Mission: To provide a global marketplace where anyone can buy or sell almost anything.
- Alibaba's mission is to remove all barriers between buyer and seller.
Examples of missions of manufacturers of consumer goods
- Mission Baltika: We create a quality product that gives people the joy of communication, makes their life brighter and more interesting.
- Daria's mission: To free up consumers' time for a fulfilling life by producing high-quality, easy-to-prepare products.
- Luxlite mission: leadership in the Russian lighter market for a long-term partnership.
- JTI's Mission: Our mission is to build a strong international tobacco company that delivers maximum value to its shareholders, employees, consumers and society as a whole and strives to be a leader in its industry.
- Unilever's mission is to energize life. We meet people's daily needs for food and hygiene. Our brands help you feel great, look great and enjoy life more.
- Levi-Strauss Mission: We will bring to market the most beautiful and popular casual wear in the world. We will dress the whole world.
- Nike Mission: Bring inspiration and innovation to every athlete in the world.
- Adidas Mission: Our mission is to be the world's leading sports brand. We achieve leadership through our vision - our passion for sport makes the world a better place. All our work is inspired by the passion for sport that drives us to improve ourselves and the world around us.
- Canon's mission is to help people realize the full potential of images.
- Gillette Mission: Every day, more than 800 million people around the world trust their faces and skin to Gillette's innovative razors and shaving products. We are committed to providing people with the very best personal care products, including deodorants and body washes. All designed to meet people's unique needs, helping them look great, feel good and perform at their best every day.
Food Service Mission Examples
- Mission Teremok: 1. We create a national catering network; 2. We must be loved by customers by offering national dishes of a new generation: pancakes, cereals, stews and kvass, with the best taste in Russia; 3. Our products should be available to the majority of the Russian population; 4. We will always be glad to see people of all ages with us; 5. We must give people joy, pleasure.
- McDonald's Mission: To be our customers' favorite place to eat or drink. And the formula for achieving this goal is one long-standing McDonald's formula: KKCh and D, which means Quality, Service Culture, Cleanliness and Availability.
- Mission of KFC: Bring joy to life.
Examples of missions of companies in the automotive industry
- Mission of AvtoVAZ: We create high-quality cars for our customers at affordable prices, bringing stable profits to our shareholders, improving the well-being of our employees and increasing the value of our business for the benefit of the Fatherland.
- GAZ mission: To produce commercial vehicles that guarantee the customer the benefits of the purchase due to uncompromising quality and reliable impeccable service, provided by the highest competence of personnel, partner suppliers, innovations in production and products.
- Mission of URAL: Satisfying the needs of society in vehicles with a gross weight of 12 to 44 tons and creating conditions for maintaining the performance of vehicles during operation.
- KAMAZ mission: KAMAZ, built by the whole country, is the basis of transport security and the heritage of Russia. Anticipating needs, we deliver automotive technology and signature service to help customers achieve inspiring goals. KAMAZ is a socially responsible partner, acting for the sake of the long-term interests of shareholders and the well-being of employees.
- Ford Mission: We are a global family and proud of our heritage of providing personal freedom of movement for people around the world.
- Toyota mission: To give our customers the pleasure of high quality Toyota vehicles. We are responsible for every vehicle we sell. We create an environment in which Toyota professionals use their years of experience and knowledge of advanced Toyota technologies to meet the needs of our discerning customers. The Company's mission is to maximize customer satisfaction by providing reliable and safe TOYOTA products and providing a network of high-quality service and qualified service.
- BMW Mission: The BMW Group is the world's leading provider of premium products and premium services for individual mobility.
- Harley-Davidson Mission: We make people's dreams come true with our experience building the very best motorcycles!
Examples of missions of companies in the field of high technology, electronics
- Rostelecom's mission: More opportunities for everyone. Rostelecom creates more opportunities for people, both through its services and through the implementation of projects and initiatives that touch on topics important to society. Telecommunications can change and improve people's lives, and this is exactly what Rostelecom strives for in relations with everyone who comes into contact with the activities of our company.
- The mission of Uralvagonzavod (manufacturer of the ARMATA tank): Strengthening the defense capability and development of the transport infrastructure of the Russian Federation by creating high-tech innovative products for military, special and civilian purposes.
- Apple's mission: Apple makes Mac computers the best personal computers in the world, along with OS X, iLife, iWork, and professional software. Apple continues the digital music revolution with its iPod and iTunes. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store and is shaping the future of mobile media and computing with the iPad. (Mission of Apple Computer, Inc. at the beginning of its activity was formulated as follows: We offer computers of the highest quality for people all over the world).
- Microsoft Mission: Our Microsoft mission is to help people and businesses around the world reach their full potential. To achieve this goal, talented, energetic, bright and creative people are required, with the following virtues: conscientiousness and honesty, enthusiasm, openness and respect, willingness to solve complex problems, self-criticism and responsibility.
- Samsung Mission: We use the company's human and technological resources to create products and services of superior quality, thereby contributing to the improvement of the global state of society.
- Lenovo Mission: For those who do! At Lenovo, our vision is that Lenovo will create personal devices that inspire more people, inspired by our own culture, and through which we build a business that is respected around the world. This Vision guides us on our mission to become one of the world's greatest technology companies. We will accomplish this through: Personal Computers, Convergence and Culture.
- IBM Mission: We strive to be leaders in the invention, development and manufacture of the most advanced information technologies in the industry, including computer systems, software, data storage systems and microelectronics. We turn these technologies into value for our clients with professional solutions, service and consulting services around the world.
- Mission of XEROX: Distribution of knowledge by means of documents.
- Sony's mission: We are a group of young people who are endowed with enough energy for an endless creative quest.
Examples of missions of telecommunications and IT companies
- Yandex mission: Help people solve problems and achieve their goals in life.
- Google's mission: To organize the world's information and make it accessible and useful everywhere.
- Beeline's mission: we help people get the joy of communication, feel free in time and space.
- MegaFon Mission: MegaFon will unite Russia by breaking down barriers and developing communications to become the clear choice for everyone. MegaFon proceeds from a special attitude to the company's social mission, which is to create conditions for people to communicate, without taking into account borders and distances.
- Mission of MTS: We are working to make MTS the best operator for our customers. We want every person who comes to the MTS salon, calls our call center, uses the company's services, to like being an MTS client. Thanks to reliable communication, MTS provides customers with the opportunity to build and improve their lives, to constantly develop. All MTS resources are aimed at making the life of MTS customers richer, more interesting and filled with new opportunities thanks to the company's services.
- Yota's mission: to be a leading developer and provider of innovative mobile services that will change the way people think and experience in the field of communication, entertainment and information consumption even one iota.
- Tele2's mission: Our goal is to challenge, act quickly and offer a wide range of Internet-based services at an affordable price.
- Youtube's mission is to provide quick and easy video access and the ability to share videos frequently.
- Mission of Facebook: To enable people to communicate and make the world more open and connected.
- Twitter's mission: To enable everyone to share ideas and information instantly, without barriers.
Examples of missions of companies in the oil and gas industry
- Gazprom's mission: the most efficient and balanced gas supply to Russian consumers, the fulfillment of long-term gas export contracts with a high degree of reliability.
- The mission of Rosneft is innovative, environmentally friendly and cost-effective satisfaction of society's need for energy resources. Thanks to a unique resource base, a high technological level and a team of dedicated professionals, the Company ensures sustainable business growth and increased shareholder returns. Our activities contribute to social stability, prosperity and progress of the regions.
- Mission Lukoil: We were created to turn the energy of natural resources for the benefit of man.
Examples of bank missions
- Mission of Sberbank: We give people confidence and reliability, we make their lives better by helping them realize their aspirations and dreams.
- Mission Opening: We help our clients, employees, contractors and even competitors realize their financial opportunities.
- Mission of The Bank of New York: We strive to be the recognized global leader and partner of choice in helping our clients succeed in a world of rapidly evolving financial markets.
- Citibank's mission is to be a trusted partner for our clients, providing them with due responsibility and financial services that contribute to sustainable development and economic progress. For the benefit of clients, our company invests in sound assets, provides them with loans, arranges payments and provides access to capital markets. With over 200 years of experience, we help our clients meet their toughest challenges and make the best use of opportunities. We are Citi, a global bank, connecting millions of people in hundreds of countries and cities.
Examples of missions of state institutions and non-profit structures
- Mission of the Russian University of Cooperation: Providing high-quality education that meets international standards; the formation of a highly moral personality with modern professional and other competencies in demand; real scientific achievements on the basis of the Russian University of Cooperation, meeting the needs of society, the state and the individual; mobile and dynamic learning that flexibly responds to global changes and ensures the rapid development of the economy of Russia and the countries of the world, contributing to the development of career management skills for young people.
- Mission of the Volunteer Service of the State Hermitage Museum: Raising a sense of responsibility for the preservation of cultural heritage.
- CIA Mission: We are the eyes and ears of the nation, and sometimes its invisible hand. We achieve the mission in the following way:
Gathering only the necessary intelligence.
Providing up-to-date, objective and comprehensive analysis on time.
Perform protective actions against the President of the United States to prevent threats or to further US political goals.
Service mission examples
- Aeroflot mission – We work to ensure that our customers can quickly and comfortably cover long distances, which means they can be mobile, meet more often, work successfully and see the world in all its diversity. We give our customers the opportunity to choose thanks to an extensive route network and to various airlines of the Group: from a low-cost airline to a premium airline.
- Mission of RZD: The mission of RZD (Russian Railways) is to meet the market demand for transportation, increase operational efficiency, improve service quality and deep integration into the Euro-Asian transport system. RZD brand mission: We are the most important part of the global system for the movement of people, goods and technologies. We work for clients, we contribute to the unification of peoples, we integrate Russia into a single economic space. Our solutions are based on a unique infrastructure, the skills of a team of high-level professionals and innovative technologies.
- Mission of Freight One: To provide the best quality of transport and logistics services on the market. Be a leader. To make railway transportation of goods affordable and attractive for the client.
- Mission Disneyland: We work to ensure that adults and children spend more time together.
- Mission of the Ritz-Carlton hotel chain: Relentless care and providing maximum comfort to every guest.
- Mission of the New York Public Library: To inspire lifelong learning, spread knowledge, and strengthen our communities.
Examples of missions of consulting companies
- Mission strategic decision: We strengthen the Fatherland, helping to develop business!
- Mission of McKinsey & Company: Our mission is to help our clients make individual, lasting and significant improvements in their operations and build a great firm by attracting, inspiring and retaining the most exceptional people.
- Mission of The Boston Consulting Group: The mission of our company is based on the following simple principles. We analyze, we learn and then we act. We bring together people who can challenge conventions and bring about the very transformations that are needed. We help clients develop the right competencies and achieve long-term benefits. And we shape the future. Together.
Examples of missions of companies in the metallurgical industry
- RUSAL mission: To become the most efficient aluminum company in the world, which we and our children can be proud of. Through the success of RUSAL - to the prosperity of each of us and society.
- Mission of Metalloinvest: Providing the buyer with high quality metal with the provision of the highest level of service.
- Mission of the Cherepovets Iron and Steel Works: To be leaders in creation.
- Mission of the United Metallurgical Company: Manufacture of metallurgical products and products for the fuel and energy complex that best meet the needs of customers due to the optimal ratio of price and consumer properties.
MISSION is the most important goal of the company. The reason for the existence of any organization. foundation for successful development. Use mission examples from successful companies, but create your own mission. Every organization is unique.