Supervisory Management Facilitator Lloyd S. Pascoe (II)

The Organisation, Vision & Mission Objectives A the end of the session participants should be able to: Define organization Identify and discuss the features of organisations Discuss the importance of organizations Identify the characteristics of vision and mission Discuss the importance of organizations in pursuing goals Identify the characteristics of vision and mission statements

The organisation What is it? A collection of people who work together and coordinate their actions to achieve goals An organisation can be defined as a group of two or more people who cooperate and coordinate their activities in a systematic manner to reach goals.

The Organisation Features of organisations Purpose Human resources Vision, mission, policies, strategies, procedures, rules Human resources These are the organization’s greatest assets because of their knowledge, skills & attitudes Structure Functions and hierarchy-reporting relationships

The Organisation Features of organisations Culture Technology Policies Dominant and individual values Technology The machines in use Information processing Policies Guidelines to action

The Organisation Features of organisation Procedures Rules Certain specific steps/guidelines for handling organisational actions that occur regularly. Rules Standing plans that detail specific actions to be taken in a specific situation.

The Nature of the Organisational Environment The Organization exists in an External and Internal environment. The External environment is everything outside an organization that might affect it operations. The internal environment consists of conditions and forces within the organization.

The External Environment The various dimensions and forces in an organization’s surroundings that might affect its activities. The task environment consists of specific organizations or groups that are likely to influence an organization.

The Internal Environment Board of Directors Employees Culture

Board of Directors A board of directors is only required of organizations that are incorporated; however, many other firms have them. The board of directors is elected by the stockholders and is charged with overseeing the general management of the firm to ensure that it is being run in a way that best serves the stockholders' interests.

Employees When the organization's employees hold the same values and goals as its management, everyone wins. However, when managers and employees work toward different goals everyone suffers. The composition of the organization's employees is changing, and managers must learn how to deal effectively with these changes.

Culture The culture of an organization is the set of values that helps its members understand what the organization stands for, how it does things, and what it considers important. A strong organizational culture can shape the firm's overall effectiveness and longterm success and help employees to be more productive.

Organisational Resources Human Financial Physical Information

Informal Organisation The set of evolving relationships and patterns of human interaction within an organization that are not officially prescribed They do not subscribe to the boundaries of the formal organization. They are created at every level by organizational members. They joined together to satisfy needs

Benefits and Cost of the Informal Organisation Assists in accomplishing Work Helps to remove weaknesses in the formal structure Provide an additional channel of communication Provide emotional support for employees. Costs May work counter to the purpose of formal organization Reduces the degree of predictability and control Increase the time required to complete activities.

Comprehensive Mission Statement Vision and Mission Clear Business Vision Comprehensive Mission Statement

The Organisation’s Vision Vision: This is an important shaping factor of the organisation. Is a picture of the “preferred future”, a statement that describes how the future will look if the organization achieves its ultimate aims A vision is the picture of the future It is what the organisation is aiming to become Vision provides direction, focus and commitment

The Organisation’s Vision “You will never be greater than the vision that guides you” Managers need to articulate the vision in a powerful and effective manner and also model the vision They have to live, think, breathe the vision and this will be transmitted to other managers, supervisors and employees

Features of a Vision Statement It should be realistic and credible, well articulated, easily understood, appropriate, ambitious and responsive to change. It should orient the group’s energies and serve as a guide to action. It should be consistent with the organization’s values. Simply put, the vision should state what thefounder ultimately envisions the business to be, in terms of growth, values, employees, and contributions to society

Developing Organization’s Vision 1. Begins with thinking strategically: About firm’s future makeup & Forming a vision of firm’s future in 5-10 years 2. Task is to: Inject a sense of purpose into firm’s activities Provide long term direction Give firm strong identity Decide “who we are. What we do & and where we are headed” Reflects management’s vision of what firm seeks to do & become Provides clear view of what firm is trying to accomplish for its customers Indicates intent to stake out a particular business position

Why Should Supervisors Share the Organization’s Vision When all employees including Supervisors are committed to a firm’s long-term direction, optimum choices on business decisions are more likely. Any other Reason?

The Organisation The mission It is a relatively permanent part of the organisation’s identity and do much to unify and motivate members of the organszation. It explains the vision

The Organisation The mission It should be simply written It should be made somewhat attractive and placed at strategic points in the organisation It should be brief – no more than one hundred words describing how the business will be involved in the community.

Mission Statements Enduring statement of purpose Distinguishes one firm from another Declares the firm’s reason for being

Statement of philosophy Statement of business principles Mission Statements Also referred to as: Creed statement Statement of purpose Statement of philosophy Statement of business principles

The Organisation’s Mission The mission If the organisation is to be meaningful to its employees and customers it should have a mission. This mission is a broad goal based on managers’ assumptions about the organisation’s purpose, competencies, and place in the world. .

Vision & Mission Shared vision creates a community of interests

Developing Vision & Mission Clear mission is needed before alternative strategies can be formulated and implemented

Developing Vision & Mission Participation from diverse managers is important in developing the mission

Organizational Climate Focal Point for Work Structure Benefits from a strong mission Unanimity of Purpose Mission Resource Allocation Organizational Climate Focal Point for Work Structure

Effective Missions Broad in scope Generate strategic alternatives Not overly specific Reconciles interests among diverse stakeholders Finely balanced between specificity & generality Effective Missions

Effective Missions Arouse positive feelings & emotions Motivate readers to action Generate favorable impression of the firm Effective Missions

Effective Missions Reflect future growth Provide criteria for strategy selection Basis for generating & evaluating strategic options Are dynamic in nature Effective Missions

Natural Environmental Perspective Is Your Firm Environmentally Proactive? Preserving the natural resources is good business! Reactive environmental policies can be expensive Proactive policies force companies to innovate and upgrade processes

Mission & Customer Orientation An Effective Mission Statement – Anticipates customer needs Identifies customer needs Provides product/service to satisfy needs

Social Policy & Mission Social policy should be integrated in all strategic-management activities Mission should convey the social responsibility of the firm

Mission Components Products or Services Markets Customers Technology Employees Mission Components Survival, Growth, Profits Public Image Philosophy Self-Concept

Components of a Mission Statement Specifies basic type of product or service to be offered •Identifies primary market or customer groups to be served •Specifies the technology to be used in production or delivery •Reflects the firm’s fundamental concern for survival through growth and profitability •Reflects the firm’s managerial philosophy •Identifies the public image the firm seeks •Specifies the self-concept those affiliated with the firm should have of it.

Newest Trends in Mission Components Sensitivity to customer wants “The customer is our top priority!” Emphasis on extensive product safety programmes Concern for quality “Quality is job one!” Emphasis on quality in manufacturing New philosophy – quality is the norm

Examples of Mission Statements