1. Building Your Company’s Vision
James C. Collins, and Jerry I. Porras, Building Your Company's Vision
Harvard Business Review, Sep/Oct96, Vol. 74 Issue 5

2. Company Dynamics Companies that enjoy enduring success have fixed
Core Values
Core Purpose
… and continuously adapt their
Business strategies
Practices

3. Articulating a Vision Core Ideology Envisioned Future
Core Values
Core Purpose
Envisioned Future
10 – 30 year BHAG
(Big, Hairy, Audacious Goal)
Vivid Description
Core Ideology is a concise word picture that defines the enduring character of an organization - a consistent identity that transcends:
product or market life cycles
technological breakthroughs
management fads
individual leaders
Envisioned Future consists of two parts:
a year audacious goal
a vibrant, engaging and specific description of what it will be like to achieve the BHAG

4. Discovering Core Ideology
What core values do we truly and passionately hold?
Core Ideology is to guide and inspire
It needs to be meaningful and inspirational only to people inside the organization
Attracts people whose personal values are compatible with the company

5. Core Values Essential and enduring tenets of an organization
Small set of timeless guiding principles
Generally 3 – 5

6. Core Values are a Company’s Essential Tenets – examples:
Merck
Corporate social responsibility
Unequivocal excellence in all aspects of the company
Science-based innovation
Honesty and integrity
Profit, but profit from work that benefits humanity
IBM
Respect for the Individual
The Best Customer Service
Superior Accomplishment of all Tasks

7. Core Purpose The reason that the firm exists
Reflects people’s idealistic motivation for doing the company’s work
Should not be confused with specific goals or business strategies
Inspires change
Use the 5 Whys
Why is that important?
Why is that important?

8. Core Purpose Is a Company’s Reason for Being – examples:
Merck
To preserve and improve human life
Mary Kay Cosmetics
To give unlimited opportunity to women
Walt Disney
To make people happy
Nike
To experience the emotion of competition, winning, and crushing competitors
McKinsey & Company
To help leading corporations and governments to be more successful

9. Envisioned Future Vision level BHAG Vivid Description
Big, Hairy, Audacious Goals
Bold Missions – huge, daunting challenge
Tangible, energizing, highly focused
Vivid Description
Vibrant, engaging, and specific description of what it will be like to achieve the BHAG
Creating a picture people can carry in their heads
Passion, emotion, and conviction are essential parts

10. Big, Hairy, Audacious Goals
Become a $125 billion company by the year 2000
Crush Adidas
Become the Harvard of the West
Democratize the automobile
We will destroy Yamaha
Become the company most known for changing the worldwide poor-quality image of Japanese products
Wal-Mart 1990
Nike 1960s
Stanford 1940s
Ford early 1900s
Honda 1970s
Sony early 1950s

11. Components of a Business Vision
Core Values
Core Purpose
Business Vision
Visionary
Goals

12. Definitions
Vision – the vision of an organization is a concise word picture of the organization at some future time, which sets the overall direction of the organization.
A vision is something to be pursued, while a mission is something to be accomplished.
The Mission Statement Book; Jeffery Abrahams, 1999

13. Definitions
Values – the collective principles and ideals which guide the thoughts and actions of an individual, or a group of individuals.
Value defines the character of an organization – they describe what the organization stands for.
The Mission Statement Book; Jeffery Abrahams, 1999

14. Definitions
Mission – a statement that specifies an organizations purpose or “reason for being.”
It is the primary objective toward which the organization’s plans and programs should be aimed.
The Mission Statement Book; Jeffery Abrahams, 1999