07/17/2018 by Jason Smale
You may find yourself asking, “what is the value of writing a vision statement for my company?” The answer is rather simple. The vision statement takes the executive level view of the organization based on where you are today and where you aim to be in the future. It delivers inspiration to stakeholders and guides strategic decisions along the way. As part of the overall business planning process, it is important to take a realistic look at the objectives of your organization.
Once you’ve established the objectives and have wrestled through testing them for reasonability, you are ready to begin crafting your vision statement.
Bellow we will outline a few of the key characteristics of the vision statement and what you should be aiming for as a finished product.
The vision statement is meant to provide specific direction for an organization. Some company’s use poorly constructed vision statements like “___ aims to be the number one [insert industry, product, or service].” This short and uninspiring vision statement fails to provide direction to an organization. If you have a goal to be an industry leader, how are you going to achieve this goal?
The vision statement has a way of inspiring and uniting stakeholders as they come together for a common goal. One report has stated engagement from employees in an organization can increase as much as 68 percent when they understand the purpose of the organization they work for and the objectives they are helping to satisfy (Folkman, 2014).
The vision statement needs to be tailored specifically to the path your business is charting. It should provide specific enough direction that it can be used as a framework for guiding managerial decisions in competitive strategies, how to allocate resources, and targeting the primary customer base.
The vision statement although focused needs to have the flexibility to pivot. While the vision statement is meant for management to outline the future objectives of an organization, you do not want to write a vision statement so specific about the company’s objectives that you cannot find room to adjust its route as market conditions change.
The vision statement should create inspiration for stakeholders, but it should not create such grand gestures that extend beyond the financial resources of an organization. If you’ve taken the time to create your financial forecasts and you know the working capital you have available to you, do not proclaim aspirations in your vision statement that extend beyond the resources you have.
Warby Parker provides a good example of an effective vision statement:
“To offer designer eye-wear at a revolutionary price, while leading the way for socially-conscious businesses.”
Notice how they have managed to remain focused about their goals “To offer designer eye-wear at a revolutionary price,” while inspiring customers by expressing their interest to “lead the way for socially-conscious businesses”. It inspires consumers that are price sensitive and those who support companies making socio-economic statements. It also balances between providing focus for the organization, while not over-committing in specific goals and leaving room for flexibility in the future.
This vision statement hits many of the main points we outlined above and will make for a great marketing asset for the organization as they move towards their future objectives.
If you would like us to review your vision statement we do offer free 30-minute consultations.
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