Bus 411 Day 3 Copyright 2005 Prentice Hall1. Ch 1 -2 Agenda Question? Assignment 1 due January 30,...

Bus 411

Day 3

Copyright 2005 Prentice Hall 1

Copyright 2005 Prentice Hall Ch 1 -2

Agenda

Question? Assignment 1 due January 30, Next Class

We will be working a collective SWOT for McDonald’s during the next class to be used for the next two assignments

Discussion on Mission and Vision Statements

Assignment 1

Due Jan 30 @ 12:35 PM Complete the Assurance of Learning Exercise 1A on page 37 of your text with the following

modifications. This assignment is intended to be an individual assignment, do your own work. Step 1. McDonald’s website has changed since the publication of this text. To get the annual

reports, do the following; Go to www.mcdonalds.com On the red menu, place your mouse pointer on “OUR STORY” and select “Corporate Info” from the drop down menu. On the Corporate Info page click on the “ find out what drives our business” link. Click on the “annual reports” link in the top left of the resulting page. Save the 2009 Annual report to your computer. There is no need to print the report.

Step 2 The UMFK library does not subscribe to Standards and Poor but you get industry surveys from the Business & Company Resource Center (Search MCD) and the Value Line Research Center (select “Plus Edition>Look Up Company”. You can get Company and Industry reports from both databases; the databases can be found by selecting the topic “Business” under the Articles for Research link on the Blake Library web page.

Skip step 5, we will do this in class to create a collective SWOT analysis for McDonalds. This collectively created SWOT analysis will be required for future assignments.

Upload a Word Document with your 12 responses (3 Strengths, 3 Weaknesses, 3 Opportunities & 3 Threats)

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall

Ch 1 -3


Ch 2 -4

Chapter 2The Business Vision & Mission

Strategic Management: Concepts & Cases

13th Edition

Fred David


Ch 2 -5


Ch 2 -6

“The last thing IBM needs right now is a vision.” (July 1993)

Vision

“What IBM needs most right now is a vision.” (March 1996)

– Louis V. Gerstner, Jr., CEO, IBM Corporation

What happened between 1993 and 1996?


Ch 2 -7

Vision

Agreement on the basic vision for which the firm strives to achieve in the long term is especially important.


Ch 2 -8

“What do we want to become?”

Vision


Ch 2 -9


Ch 2 -10

Vision Statement Examples

Tyson Foods’ vision is to be the world’s first choice for protein solutions while maximizing shareholder value.


Ch 2 -11

General Motors’ vision is to be the world leader in transportation products and related services.



Ch 2 -12

PepsiCo’s responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today.



Ch 2 -13

Dell’s vision is to create a company culture where environmental excellence is second nature.


UMFK Vision


Ch 2 -14

The University of Maine at Fort Kent will be a leading small public university in student success through quality academic programs and our hallmark experiential learning, which build upon our unique rural, environmental, and Franco-American cultural heritage.

We are therefore committed to: •Holistic development of students through active engagement in scholarly and co-curricular activities designed to support success of academic, personal, and social goals•Affordable and accessible education•High quality education by making academic excellence pervasive through strong liberal-arts based education, high impact teaching and learning strategies, and program accreditation•Core and signature programs that transform students for ethical lives, productive careers, and responsible citizenship within a changing global community•Expansion of educational programs through innovative technology and distance learning•Academics centered around a hallmark of experiential learning incorporated in each program that builds upon our distinguishing characteristics of culture, rural environment, and international location as the foundation of a broad-based educational experience•A sense of community through personalized faculty-to-student interactions and a small student-to-faculty ratio•Development of a distinctly rural-based identity and sustainable practices through realization of the Center for Rural Sustainable Development mission•Transformational learning through interactive study and immersion in Northern Maine's pristine natural environment, historic community, and great outdoor sports and recreation•Promoting our distinctive identity as the cultural and intellectual center of northern Maine•Actively engaging in the revitalization of the unique Acadian and Franco-American heritage, culture, and language of the St. John Valley through the realization of the Acadian Archives/Archives acadiennes mission•Preparing successful students via quality of place, people, and education, thereby providing students with quality of life and work


Ch 2 -15

ComprehensiveMission Statement

Vision

Clear Business Vision


Ch 2 -16

Answers the question: “What is our business?”

Reveals: what the organization wants to be whom we want to serve

Mission Statement


Ch 2 -17

An enduring statement of purpose that distinguishes one organization from other similar enterprises

A declaration of an organization’s “reason for being”

Mission Statement


Ch 2 -18

Mission Statements are also called

Creed statement Statement of purpose Statement of philosophy Statement of beliefs Statement of business principles A statement “defining our business”


Ch 2 -19

Vision & Mission

Great benefits can be achieved if an organization Systematically revisits their vision and

mission statement Treats them as living documents Considers them to be an integral part

of the firm’s culture


Ch 2 -20

Vision & Mission

Profit & vision are necessary to effectively motivate a workforce


Ch 2 -21

Vision & Mission

Shared vision creates a community of interests


Ch 2 -22

Developing Vision & Mission

A clear mission is needed before alternative strategies can be formulated and implemented


Ch 2 -23

Developing Vision & Mission

Participation by as many managers as possible is important in developing the mission because through involvement people become committed to an organization


Ch 2 -24

Steps to Developing Vision & Mission Statements

1. Have managers read related articles

2. Have managers prepare a vision and mission statement for the organization

3. Merge the documents into one and distribute

4. Gather feedback from managers

5. Meet to revise the final document


Ch 2 -25

Benefits of Mission Statements

Better financial results Unanimity of purpose Resource allocation Establishment of culture Focal point for individuals Establishment of work structure Basis of assessment and control Resolution of divergent views


Ch 2 -26


Ch 2 -27

Resolution of Divergent Views

A genuine decision must be based on divergent views to have a chance to be a right and effective decision

Considerable disagreement over vision and mission statements can cause trouble if not resolved


Ch 2 -28

Vision & Mission Statements

Provide unity of direction Promote shared expectations Consolidate values Project a sense of worth and intent Affirm the company’s commitment

to responsible action


Ch 2 -29

Broad in scope

Generate strategic alternatives

Not overly specific

Reconciles interests among diverse stakeholders

Finely balanced between specificity & generality

Broad in scope

Generate strategic alternatives

Not overly specific

Reconciles interests among diverse stakeholders

Finely balanced between specificity & generality

Declaration of Attitude


Ch 2 -30

Arouse positive feelings & emotions

Motivate readers to action

Generate favorable impression of the firm

Arouse positive feelings & emotions

Motivate readers to action

Generate favorable impression of the firm



Ch 2 -31

Reflect future growth

Provide criteria for strategy selection

Basis for generating & evaluating strategic options

Dynamic in nature

Reflect future growth

Provide criteria for strategy selection

Basis for generating & evaluating strategic options

Dynamic in nature



Ch 2 -32

Define what the organization is Define what it aspires to be Limited to exclude some ventures Broad enough to allow for growth Distinguishes firm from all others Framework for evaluating activities Stated clearly – understood by all

Mission & Customer Orientation – Vern McGinnis


Ch 2 -33

Mission & Customer Orientation

An effective mission statement: Anticipates customer needs Identifies customer needs Provides product/service to satisfy

needs Identifies the utility of a firm’s products

to its customers


Ch 2 -34

Utility of Firm’s Products to Customers

Do not offer me things. Do not offer me clothes. Offer me attractive

looks. Do not offer me shoes. Offer me comfort for my

feet and the pleasure of walking. Do not offer me a house. Offer me security,

comfort, and a place that is clean and happy. Do not offer me books. Offer me hours of

pleasure and the benefit of knowledge.


Ch 2 -35

Utility of Firm’s Products to Customers

Do not offer me CDs. Offer me leisure and the sound of music.

Do not offer me tools. Offer me the benefits and the pleasure that come from making beautiful things.

Do not offer me furniture. Offer me comfort and the quietness of a cozy place.

Do not offer me things. Offer me ideas, emotions, ambience, feelings, and benefits.

Please, do not offer me THINGS.


Ch 2 -36

Mission Components

CustomersMarkets

Employees

PublicImage

Self-Concept Philosophy

Survival,Growth,Profits

Products orServices

Technology


Ch 2 -37


Ch 2 -38

Fleetwood Enterprises will lead the recreational vehicle and manufactured housing industries in providing quality products with a passion for customer-driven innovation. We will emphasize training, embrace diversity and provide growth opportunities for our associates and our dealers. We will lead our industry in the application of appropriate technologies. We will operate at the highest levels of ethics and compliance with a focus on exemplary corporate governance. We will deliver value to our shareholders, positive operating results and industry-leading earnings.

Mission Statement Examples


Ch 2 -39

We aspire to make PepsiCo the world’s premier consumer products company, focused on convenient foods and beverages. We seek to produce healthy financial rewards for investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive to act with honesty, openness, fairness and integrity.



Ch 2 -40

Dell’s mission is to be the most successful computer company in the world at delivering the best customer experience in markets we serve. In doing so, Dell will meet consumer expectations of highest quality; leading technology; competitive pricing; individual and company accountability; best-in-class service and support; flexible customization capability; superior corporate citizenship; financial stability.



Ch 2 -41

Proctor & Gamble will provide branded products and services of superior quality and value that improve the lives of the world’s consumers. As a result, consumers will reward us with industry leadership in sales, profit, and value creation, allowing our people, our shareholders, and the communities in which we live and work to prosper.



Ch 2 -42

At L’Oreal, we believe that lasting business success is built upon ethical standards which guide growth and on a genuine sense of responsibility to our employees, our consumers, our environment and to the communities in which we operate.


UMFK Mission


Ch 2 -43

The University of Maine at Fort Kent emphasizes environmental stewardship, Franco-American culture, and rural sustainability through a liberal and professional education featuring experiential learning which fosters student success as responsible citizens, dedicated professionals, and conscientious leaders.

Building upon its historical roots and distinguishing characteristics, the University of Maine at Fort Kent: Was founded as the Madawaska Training School in 1878 to prepare bilingual teachers to serve the French-speaking people of Northern Aroostook CountyIs a small public institution offering quality baccalaureate and associate degree programs with a legacy of quality teachingIs where education meets the great outdoor environment - situated in historic Fort Kent and nestled in the Saint John River Valley, at the northern extent of the Appalachian Mountains and forests of New England, providing abundant resources for learning and research opportunities, and joys of outdoor sportsServes the educational needs of the St. John Valley, Aroostook County, State of Maine and responds to global trendsPrepares well-educated, independent thinkers to live in a diverse and global societyTalented and dedicated faculty and staff promote discovery and exploration of knowledge, life-long learning, and global citizenship through effective teaching, service, and scholarshipOffers a curriculum that emphasizes special challenges of rural communities in AmericaFosters an appreciation and stewardship of Northern Maine's pristine natural environment through the Environmental Studies, Forestry, and Biology degree programsPreserves, cultivates, and celebrates the Franco-American/Acadian culture in the St. John Valley and houses one of two Acadian Archives/Archives acadiennes in the nationIs the only institution in the United States located at the center of French culture of northern Maine, northern New Brunswick, and Québec, offering opportunities for students of all ethnic and racial heritages to study and live in a bilingual communityIs a strong social, cultural, and economic driving force in the region and promotes rural sustainable development


Ch 2 -44

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic,

mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.

Bus 411 Day 3 Copyright 2005 Prentice Hall1. Ch 1 -2 Agenda Question? Assignment 1 due January 30,...

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