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Lesson 1: Vision and Mission Statements

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Watch this with a 10-15 minute audiotrack at http://vimeo.com/novusprogram/lesson1

This lesson introduces two important business tools: the Vision and Mission Statements. After watching this video, you will know how to properly create these tools, what common mistakes to avoid, and how you can most effectively use them to guide your organization.

The Novus project is a combination of video tutorials designed to be used in conjunction with a free business simulation software program. The Novus Business and IT Program contains 36 business and IT training videos, covering basic finance, accounting, marketing, economics, business strategy, Word, Excel, and PowerPoint. Users will have an opportunity to apply the lessons in the Novus Business Simulator. Over six rounds, the user or teams will have to make decisions on capital purchases, financing, production, financing, and human resources for a microbrewery. This channel has arranged the 36 video lessons into the order in which they are meant to be used with the simulator. To watch this slideshow as a video, please go to our Vimeo page at: https://vimeo.com/novusprogram. To download our free business simulation software, please go to our SourceForge page at: http://sourceforge.net/projects/novus/.

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Lesson 1: Vision and Mission Statements

  1. 1. Vision and Mission Statements Training Objective: To understand vision and mission statements, understand their role in strategy, and learn how to create strong, effective statements.Novus Business and IT Training Program
  2. 2. IntroductionNovus Business and IT Training Program 1
  3. 3. Introduction• Vision Statement = dream• Mission Statement = purpose• Importance – Basis of strategy – Provide financial & emotional benefitsNovus Business and IT Training Program 2
  4. 4. Vision Statement• Contains: – Company’s dream for future – Ambition – Clarity Can, but does not have to, contain something about a social issue.Novus Business and IT Training Program 3
  5. 5. Vision Statement Examples• Democratize the automobile• We will destroy Yamaha• Become the company most known for changing the worldwide poor quality image of Japanese electronicsNovus Business and IT Training Program 4
  6. 6. More Examples• Become the dominant player in commercial aircraft and bring the world into the jet age• To be the company that best understands and satisfies the product, service and self-fulfillment needs of women – globallyNovus Business and IT Training Program 5
  7. 7. Creating a Vision StatementWhat you should do:1. Have conversations2. Have insight3. Include peopleWhat is should be:• About the future• Inspiring• A definition of your business• Only one sentenceNovus Business and IT Training Program 6
  8. 8. Vision Statement Mistakes• De-motivating• Staff is not involved• Too long• Not uniqueNovus Business and IT Training Program 7
  9. 9. Mission Statement• Contains – Company’s purpose – Values (optional) – Description of customers (optional) While a vision talks about the future, a mission tells us why the company exists.Novus Business and IT Training Program 8
  10. 10. Mission Statement Examples• Coca Cola – To refresh the world... – To inspire moments of optimism and happiness... – To create value and make a difference.• Pizza Hut – We take pride in making a perfect pizza and providing courteous and helpful service on time all the time. Every customer says, "Ill be back!" We are the employer of choice offering team members opportunities for growth, advancement, and rewarding careers in a fun, safe working environment.Novus Business and IT Training Program 9
  11. 11. More Examples• McDonald’s – To provide the fast food customer food prepared in the same high-quality manner world-wide that is tasty, reasonably-priced & delivered consistently in a low-key décor and friendly atmosphere.• Marriott Hotels – To provide economy and quality minded travelers with a premier, moderate priced lodging facility which is consistently perceived as clean, comfortable, well- maintained, and attractive, staffed by friendly, attentive and efficient people.Novus Business and IT Training Program 10
  12. 12. Creating a Mission Statement• Ask: – Who is your target customer? – What product/service do you provide? – What makes your product/service unique?• Make it exciting• Think about your customers• Include what is important to you• Don’t make it long• ReviewNovus Business and IT Training Program 11
  13. 13. Mission Statement Mistakes• Too long• Boring• Too general• Not clear• UbelievableNovus Business and IT Training Program 12
  14. 14. Mission Statement Misuse• Poorly written missions• Not achieving mission’s goals• Not understanding the mission• Approving bad statements• Mission does not influence• Staff not involved• Writing for the wrong reasonsNovus Business and IT Training Program 13
  15. 15. Using Mission Statements• Avoid the noted mistakes and misuses• Involve various stakeholders• Match organizational structure to the mission• Write a satisfying missionNovus Business and IT Training Program 14