Mission Statement

Strategic planning consists of the process of developing strategies to reach a defined objective. As we label a piece of planning "strategic" we expect it to operate on the grand scale and to take in "the big picture" (in contradistinction to "tactical" planning, which by definition has to focus more on the tactics of individual detailed activities). "Long range" planning typically projects current activities and programs into a revised view of the external world, thereby describing results that will most likely occur (whether the planner wants them or not!) "Strategic" planning tries to "create" more desirable future results by (a) influencing the outside world or (b) adapting current programs and actions so as to have more favorable outcomes in the external environment.

The grandiose ambitions, sense of power/influence and substantial egos associated with planners have helped to make the terms "strategic plan", "strategic planning" and "strategic planner" more common than their tactical equivalents, at least outside the military. Strategic planning takes place primarily in military situations (see military strategy), in business activities and in government. Within business, strategic planning may provide overall direction (called strategic management) to a company or give specific direction in such areas as:
Financial strategies
Human resource/organizational development strategies
Information technology deployments
Marketing strategy

Within government, strategic planning provides guidance for organizational management similar to that for business, but also provides guidance for the evolution or modification of public policy and laws.

Areas of such public policy include:
Funding of infrastructure and rate-setting (streets, water-supplies, sewers, and parks)
Functional plans such as for land use, transportation, and water resources
Growth management and/or comprehensive planning

But strategic planning can occur in a wide variety of activities from election campaigns to athletic competitions, as well as in strategic games such as chess. This article looks at strategic planning in a generic way so its content can apply to any of the above areas.

An effective strategy will:
Have the capability to obtain the desired objective
Fit well both with the external environment and with an organization's resources and core competencies - it should appear feasible and appropriate
Have the capability of providing an organization with a sustainable competitive advantage - ideally through uniqueness and sustainability
Prove dynamic, flexible, and able to adapt to changing situations
Suffice on its own - specifically providing value or favorable outcomes without the need for cross-subsidization

Mission statements and vision statements

Organizations sometimes summarize goals and objectives into a mission statement and / or a vision statement:
A Definition of Vision in a dictionary: 'An Image of the future we seek to create'.
A vision statement describes in graphic terms where the goal-setters want to see themselves in the future. It may describe how they see events unfolding over 10 or 20 years if everything goes exactly as hoped.
A definition of Mission in a dictionary: purpose, reason for being

Many people mistake vision statement for mission statement. They are fundamentally different. Mission statement defines the purpose or broader goal for being in the existence or in the business. It serves as a guide in times of uncertainty, vagueness. It is like guiding light. It has no time frame. The mission can remain the same for decades if crafted correctly. While vision is more specific in terms of objective and time frame of its achievement. Vision is related to some form of achievement if successful.

For example, "We help transport goods and people efficiently and cost effectively without damaging environment" is a mission statement. Ford's brief but powerful slogan, "Quality is Job 1" could count as a mission statement. While "We will be one amongst the top three transporters of goods and people in North America by 2010" is a vision statement. It is very concrete and unambiguous goal.

To make mission statement effective it needs to be aligned with the prevailing culture in that organization. Mission and Values go hand in hand. A lofty mission statement means nothing if it is not in congruence with the values practiced by the organization. A good example of this is Enron.

A mission statement can resemble a vision statement in a few companies, but that can be a grave mistake. It can confuse the people. While a mission statement helps inculcate values in employees, the vision statement has direct bearing on the bottomline and success of the organization. The vision statement can galvanize the people to achieve defined objectives even if they are stretch objectives provided the vision is SMART (Specific, Measurable, Achievable, Realistic and Time Bound).

Mahatma Gandhi had a simple vision of getting rid of British rule in India and establish a vibrant democracy in India. He had a specific image of post British India in his mind and he talked of that image at every opportunity and to every one who was willing to listen.

The effect of such a powerful vision and articulation of this powerful vision in a simple to understand language was dramatic in the history of India. He and his followers defeated British without using any weapons or any violance. Their mission statement was not to use any violence and to love even the enemy. The 'Satyagraha' was not targeted towards the British people but to unjust, unlawful British imperial rule on India. They could come up with different strategies to achieve their vision while remaining loyal to their mission statement. So the mission and vision both served as a guide.

Nelson Mandela used the same tactics in South Africa later.

These two examples should be enough to demonstrate the profound impact a powerful vision can have on entire mass of humanity or even on entire generation. Powerful vision statements are very important for any organization to succeed in today's world.

Features of an effective vision statement may include:

Clarity and lack of ambiguity
Paint a vivid and clear picture, not ambiguous
Describing a bright future (hope)
Memorable and engaging expression
Realistic aspirations, achievable
Alignment with organizational values and culture, Rational
Time bound if it talks of achieving any goal or objective

In order to become really effective, an organizational vision statement must (the theory states) become assimilated into the organization's culture. Leaders have the responsibility of communicating the vision regularly, creating narratives that illustrate the vision, acting as role-models by embodying the vision, creating short-term objectives compatible with the vision, and encouraging others to craft their own personal vision compatible with the organization's overall vision.