Aims and Objectives

Question 1

Vision statement

Answer 1

An indication of what the business wants to become.

Question 2

Corporate objective

Answer 2

A quantifiable statement of a business’s vision.

Question 3

Functional objective

Answer 3

A quantifiable statement of a department’s goals that should contribute to the achievement of corporate objectives.

Question 4

Mission statement

Answer 4

The overall reason for the existence of the business.

Question 5

What should a mission statement include?

Answer 5

The purpose of the business
Values and beliefs
Strategy
Standards and behaviour

Question 6

Impact of vision statements, objectives and mission statements on stakeholders

Answer 6

Gives employees and managers a sense of direction
Develops identity and attracts positive publicity for suppliers, customers and shareholders

Staff may not be motivated to read mission statement, so the business may become inefficient
If the business fails to achieve its goals it could result in negative publicity

Question 7

How to answer “Assess the success of this business?”

Answer 7

Compare performance of the business against original objectives.

Question 8

SMART

Answer 8

Specific
Measurable
Attainable
Realistic
Time-bound