Assignment 01: Introduction to Business Strategy

Chapter4.pptx

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Strategic Analysis for Healthcare

Chapter 4

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Strategy and Mission

Your organization’s mission is an essential part of strategy development.

Notice we used the word mission as opposed to mission statement. The mission statement is just the verbal embodiment of the mission.

During the 1990s, organizational leaders would often spend days at an off-site meeting developing a mission statement. When they returned, they would share the statement with employees, hang a framed copy on the wall in the lobby, and then go on with life as usual. This approach had little impact on strategy or on the alignment of employee performance.

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Strategy and Mission

An organization’s mission leads directly to the conceptualization and development of strategy to achieve that mission.

This “mission leads to strategy” linear thought process has limitations, however.

The risk is that “the way we view the company now remains the way through which we develop strategy,” and thus we miss the brand new ideas and new markets.

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Strategy and Mission

This concern brings us to the proposition that the relationship between strategy and mission is circular rather than linear—that is, though mission may lead to strategy, strategic analysis may lead to a revision of the mission and new strategic development.

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How to Develop a Corporate Mission

There are three distinct components to a well-constructed corporate mission. The first is the “pure” mission statement, second is the overarching vision, and third are the guiding principles:

Our mission: what we do

Our vision: where we are going

Our values: how we will get there

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Our Mission

This component describes what the company now does or is aspiring to do as a “go-forward” mission.

It is shaped, limited, or stretched by how executives see or do not see themselves, the company, competitors, the industry, customers, and the economy.

The shorter, the easier to comprehend, and the easier to recall a mission is, the more effective it will be.

The mission should not be three unmemorable paragraphs. Those missions end up framed, hung on a wall, and irrelevant in the everyday work, behavior, and decision making of employees and managers.

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Dimensions Healthcare System’s Mission Statement

“Within Dimensions Healthcare System it is our mission to provide comprehensive healthcare of the highest quality to residents, and others who use our services, while strengthening our relationships with universities, research and healthcare organizations to ensure best-in-class patient care.”

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Our Vision

This component describes where we are going with the organization in the future. It is the stretch of the mission statement.

In addition to describing where the organization is going in the future, the vision can also get employees and investors excited, “bought in,” and passionate about the chosen direction.

Griswell and Jennings (2009) write that great business leaders compose corporate visions that are also intended to develop and engage passion in their employees.

The leaders who get their corporate vision statements right are the ones who know how to align purpose and passion.

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Dimensions Healthcare System’s Vision Statement

“To be recognized as a premier regional health care system.”

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Our Values (Guiding Principles)

The third component describes how the organization will achieve the mission and vision.

The values are guiding principles that inform employees and constrain actions (to the extent that management truly believes them and holds people accountable).

Values may involve such areas as fiscal responsibility, respect for employees, quality, and environmental responsibility.

Actions that violate the values will be rejected by employees, and actions that are consistent with the values will survive.

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Bringing It Together— Example from EmergingLeader.com

Our Mission:

To provide a forum for leadership improvement through user participation and submissions. No matter what stage you have reached in perfecting your leadership style, we have something for you.

Our Vision:

To continue to grow, improve and provide our customers with the best information for the betterment of their own leadership skills.

Guiding Principles (Values):

We utilize Honor, Courage, Commitment and Integrity to guide our decisions and help us keep perspective.

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Exercise

Break into groups of 5–8.

Review the background of Christiana Health Care System in Chapter 4.

Develop a statement that contains the three components we have discussed:

Mission

Vision

Values

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