Expressing organisational purpose

Question 1

ELEMENTS OF ORGANISATIONAL PURPOSE - STRATEGIC MISSION - THE RATIONALE

What is the difference between organisational vision and mission?

Maccoby (2017) discusses the need for an organisational mission to be emotionally driven. Why?

What are the 6 core aspects of human emotion that need to be considered in the shaping and development of meaning within organisational mission?

Answer 1

Organisational vision will identify a picture of the perceived outcome – what does it look like?
Organisational mission will define the rationale and the values – why does it look like that?

give the mission an underlying drive and commitment from the core players

1. Survival = the basic human instinct of defence of oneself and one’s group.
2. Relatedness = the human need to interact and work with others.
3. Play = the drive to explore and innovate.
4. Information = the desire to understand and learn.
5. Dignity = the need to feel a part of the whole and recognise our individual role.
6. Mastery = the requirement to feel in control of at least part of what we do.

Question 2

ELEMENTS OF ORGANISATIONAL PURPOSE - STRATEGIC MISSION - THE RATIONALE

Mission takes the organisational purpose from the brain to the heart. The concept of mission requires a belief in what?

There is a human need to do what?

What are the 2 objectives within a mission statement.

Answer 2

in the perceived outcome

to clarify and write down organisational mission in a ‘mission statement’, with the (1) external objective of declaring the organisational purpose to the world at large, and (2) the internal objective of ensuring that employees have an understanding of the organisational mission and purpose.

Question 3

ELEMENTS OF ORGANISATIONAL PURPOSE - STRATEGIC MISSION - THE RATIONALE

What are the 5 core traits Lynch (2015) identifies that tend to sit within a mission statement?

Answer 3

1. The nature of the business = what business are we in and what business should we be in?
2. A focus on the perceived needs of the customer or consumer = what needs are we trying to satisfy?
3. The values and beliefs of the organisation = what drives us?
4. An element of sustainable competitive advantage = what gives us confidence in our viability?
5. The reasons for our existence = what underpins our approach to life and business?

Question 4

ELEMENTS OF ORGANISATIONAL PURPOSE - STRATEGIC MISSION - THE RATIONALE

How does Johnson (2017) identify the difference between the internal and the external role of a mission statement? (4)

Argenti (1989) aligns his approach to mission statements with that of Johnson’s external perspective. What does he suggest?

Answer 4

by suggesting an interaction between strategic drivers (internal and external) and the ethical stance (legal minimum and ideological) of the organisation:
(1). internal & legal minimum = secretive (keeping to self)
(2). internal & ideological = evangelical (spreading the word)
(3). external & legal minimum = regulation procedure (keeping others happy)
(4). external & ideological = politics (trying to satisfy all, all of the time)

(the internal approach being derived from the internal human feelings, the external approach being derived from perceived expectation)

suggests that mission statements are more to do with public relations (the image of the company that the directors wish to portray) than with corporate strategic planning.

Question 5

ELEMENTS OF ORGANISATIONAL PURPOSE - STRATEGIC MISSION - THE RATIONALE

What tool did Campbell (1991) develop and why?

Explain this model? (4)

Answer 5

Ashridge Mission Model = to identify and challenge the core drivers and rationale behind an organisation’s mission.

1. The PURPOSE (why?) needs to describe why the company exists.
2. The VALUES (who and what?) need to describe what the company believes in, and who it is within the company that believes in this.
3. The STANDARDS AND BEHAVIOURS (how?) need to identify how the company operates in order to maintain the values of the purpose.
4. The STRATEGY (when and where?) must be viewed, developed and driven holistically across the organisation, recognising its competitive position and USP

Question 6

STATEMENTS OF PURPOSE - BENEFITS & ISSUES

Many organisations will use a much wider statement of purpose than a simple mission statement to align the different aspects of the strategic thinking process.

What is the rationale of this?

What 3 core principles did Lencioni (2002) identify that are useful when creating a wider statement of purpose?

Name an example for each.

Name an example of an organisation that illustrates all 3 well in its mission statement.

Answer 6

to ensure a clarity of communication both internally and externally, to ensure that all stakeholders have a clarity of understanding of the organisational purpose, and how it relates to their role within the organisation

1. Focus = the statement needs to be used to focus the attention of the reader and to help to guide real decisions.

E.g., Steve Jobs at Apple believed it to be fundamentally important to be able to say no to non-core activities and maintain focus on the core vision.

2. Motivation = the statement needs to motivate the employees, and those involved within the achievement of the strategic objectives, to give their best at all times.

E.g., the focus of the Apple vision on making computers available to everyone acted as a significant motivation in the early years of the company.

3. Clarity = any statement needs to be straightforward in its intent and its meaning, leaving minimal room for interpretation by different individuals.

E.g., Mark Zuckerberg, has a very precise view of Facebook organisational purpose – ‘move fast, be bold, and be open’

Coca-Cola