Mission and Vision Statements Flashcards
What is the distinction between business aims and objectives?
Business aims are broad, long-term goals, while objectives are specific, measurable targets to achieve those aims.
What are some examples of business aims?
- Survival
- Profit Maximization
- Corporate Social Responsibility
What does the SMART objectives framework stand for?
- Specific
- Measurable
- Achievable
- Realistic
- Time-limited
What is the aim of survival in business?
Ensuring the business continues to operate in the short term.
What is profit maximization in the context of business aims?
Focusing on increasing profits as a primary objective.
What does sales maximization aim to achieve?
Increasing sales volume and market share.
What does growth refer to in business aims?
Expanding the business in terms of size, revenue, or market presence.
What is meant by increasing shareholder value?
Enhancing the worth of the company for its shareholders.
What are the characteristics of SMART objectives?
- Clearly defined
- Measurable
- Realistic
- Time-limited
What are some critiques of mission statements?
- Criticized for being public relations tools
- May lack substance
- Can lead to employee disengagement
What is the role of internal stakeholders concerning mission statements?
They benefit from clear mission and vision statements for alignment and motivation.
How do external stakeholders utilize mission statements?
They rely on them to understand the business’s intentions and values.
What does a vision statement outline?
A business’s long-term goals and aspirations.
What is the focus of a mission statement?
Detailing what the business is currently doing and its core values.
What is the key difference between vision and mission statements?
Vision statements are future-oriented, while mission statements are present-focused.
What is the importance of mission statements in strategic planning?
They provide a clear purpose for the organization.
What do vision statements help set in a business?
Business aims, which guide the organization’s future direction.
True or False: Mission statements serve only internal stakeholders.
False.
Fill in the blank: A vision statement is broad and _______.
[aspirational]
Fill in the blank: A mission statement is specific and _______.
[operational]
What is the significance of including stakeholder input in mission statements?
To ensure relevance and buy-in.
What does Tesco’s vision statement emphasize?
Value to customers, communities, and shareholders.
How do mission statements foster cohesiveness among employees?
By aligning everyone from the CEO to shop floor workers with common goals.
