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Shri Vile Parle Kelvani Mandals

Mithibai College of Arts,, Chauhan Institute of Science &
Amrutben Jivanlal college of Commerce and Economics
Vile Parle (West) Mumbai 400056


A PROJECT ON

VISION


IN THE SUBJECT

STRATEGIC MANAGEMENT

SUBMITTED BY

NAME: RAIHAAN ESMAIL

ROLL NO.: 08 DIVISION: B

UNDER THE GUIDANCE OF
PROF. NARESH SUKHANI
TO

UNIVERSITY OF MUMBAI
FOR
MASTER OF COMMERCE PROGRAMME (SEMESTER - I)
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YEAR: 2012-13



Shri Vile Parle Kelvani Mandals
Mithibai College of Arts,, Chauhan Institute of Science &
Amrutben Jivanlal college of Commerce and Economics
Vile Parle (West) Mumbai 400056

EVALUATION CERTIFICATE


This is to certify that the undersigned have assessed and evaluated the project on Vision
submitted by Raihaan Esmail, student of M.Com. Part - I (Semester I) for the academic year
2012-13. This project is original to the best of our knowledge and has been accepted for Internal
Assessment.

Name & Signature of Internal Examiner

Name & Signature of External Examiner



PRINCIPAL
College Seal DR. D. B. GADAKARI



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Shri Vile Parle Kelvani Mandals
Mithibai College of Arts,, Chauhan Institute of Science &
Amrutben Jivanlal college of Commerce and Economics
Vile Parle (West) Mumbai 400056

DECLARATION

I,Raihaan Esmail, student of M.Com. (Part I), Roll No.: 08 hereby declare that the project titled
Vision for the subject Strategic Management submitted by me for Semester I of the
academic year 2012-13, is based on actual work carried out by me under the guidance and
supervision of PROF. Naresh Sukhani. I further state that this work is original and not submitted
anywhere else for any examination.


Place:

Date:

Name & Signature of Student










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ACKNOWLEDGEMENT



First and foremost I seek the blessings of my beloved TEACHERS who keep lot of expectations
on me and showering their infinite love for ever.
I would like to thank University of Mumbai for giving me this opportunity of taking such a
challenging project, which has enhanced my knowledge about the Vision.
I show my gratitude to the Principal, Vice Principal and Co-ordinator of Mithibai College who
gave me a lot of moral support and under their guidance I was successfully able to complete my
project.
And with deep sense of gratitude I would like to thank Prof. Naresh Sukhani for his/her immense
help and co-operation.


















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EXECUTIVE SUMMARY

A vision statement is like a guiding light for an organisation. It helps all the stakeholders to have
a clear picture with regards in what direction the organisation is going and what is wants to
accomplish. It is essential for a company to have a precise, clear, realistic and ambitious vision
statement. It can help organisations come a long way as it gives a clarity as to what is to be
achieved.
My research project deals with the concept of Vision. In this reported I have studied and
evaluated the importance of drafting a vision statement in a company and how organisations go
about doing it.
The first section of the report starts with a brief introduction to corporate strategy and what are
the components of it. The importance of a strategy in a company is also included in this part. In
the next section of the project, the concepts of vision is discussed involving the different
dimensions. What are the essentials of a good vision statement, what makes vision statements
important in an organisation etc are all discussed in this section.
The third section of the project is a case study on implementing a new vision statement by Virgin
Trains and how implementing a new vision helped the company to achieve immense success.
The next section consists of a few news articles on different organisations adopting vision
statement and some editors take on vision statements of companies.
The project is ended with a precise conclusion stating the importance of a vision to all the
stakeholders of a company and what are the characteristics of an ideal vision statement.










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RESEARCH METHODOLOGY


Objectives of the research: To study the concept of Vision
Secondary Data: The secondary data has been collected from various reference books and
websites which have been mentioned in the bibliography at the end of the project
Limitations of the Research: Problems of selection of right information available from various
sources.
Scope of the Research: The main objective of the project is to get to know about the concept of
vision statements of companies, its advantages and disadvantages and also involving case studies
and new articles to widen knowledge and get a better and practical idea of the topic.


















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INDEX


SERIAL NO. TOPIC PAGE NO.
1. INTRODUCTION

2 CONCEPT

3. CASE STUDY 1

4. NEWS ARTICLE

5. CONCLUSION


BIBLIOGRAPHY













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CHAPTER 1. INTRODUCTION
Strategic planning is a very important business activity. It is also important in the public sector
areas such as education. It is practiced widely informally and formally. Strategic planning and
decision processes should end with objectives and a roadmap of ways to achieve them. The goal
of strategic planning mechanisms like formal planning is to increase specificity in business
operation, especially when long-term and high-stake activities are involved.
One of the core goals when drafting a strategic plan is to develop it in a way that is easily
translatable into action plans. Most strategic plans address high level initiatives and overarching
goals, but don't get articulated (translated) into day-to-day projects and tasks that will be required
to achieve the plan. Terminology or word choice, as well as the level at which a plan is written,
are both examples of easy ways to fail at translating your strategic plan in a way that makes
sense and is executable to others. Often, plans are filled with conceptual terms which don't tie
into day-to-day realities for the staff expected to carry out the plan.
The following terms have been used in strategic planning: desired end states, plans, policies,
goals, objectives, strategies, tactics and actions. Definitions vary, overlap and fail to achieve
clarity. The most common of these concepts are specific, time bound statements of intended
future results and general and continuing statements of intended future results, which most
models refer to as either goals or objectives (sometimes interchangeably).
The key components of 'strategic planning' include an understanding of an entity's vision,
mission, values and strategies. In the commercial world a "Vision Statement" and/or a "Mission
Statement" may encapsulate the vision and mission.
Vision outlines what the organization wants to be, or how it wants the world in which it operates
to be or in other words an idealised view of the world. It is a long-term view and concentrates on
the future. It can be emotive and is a source of inspiration. For example, a charity working with
the poor might have a vision statement which reads "A World without Poverty.

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CHAPTER 2. CONCEPT
A vision statement is a declaration of a company's goals for the mid-term or long-term future.
Ranging from one line to several paragraphs, a vision statement identifies what the company
would like to achieve or accomplish. A good vision statement provides the inspiration for the
daily operations of a business and moulds its strategic decisions.
A vision statement should not to be confused with a mission statement. The terms are often used
interchangeably, but mission statements are present-based statements designed to convey a sense
of why the company exists to both members of the company and the external community. Vision
statements are future-based and are meant to inspire and give direction to the employees of the
company, not anyone outside of the company. A mission statement answers the question "Why
does my business exist?" while a vision statement answers the question "Where do I see my
business going?"
Aspirational in nature, vision statements lay out the most important primary goals for a company.
Not to be confused with business plans, vision statements generally don't outline a plan to
achieve those goals. But by outlining the key objectives for a company, they enable the
company's employees to develop business strategies to achieve said goals. With a single unifying
vision statement, employees are all on the same page and can be more productive.
Vision statements are dynamic and can change over time. As a company grows, its objectives
and goals may change. Vision statements need to be revised as needed to reflect the change as
goals are met, but they should be written in a way to last for at least a few years.
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VISION STATEMENT EXAMPLES
Here are a few examples of corporate vision statements:
Macy's: "Our vision is to operate Macy's and Bloomingdale's as dynamic national brands while
focusing on the customer offering in each store location."
Microsoft: "A personal computer in every home running Microsoft software."
Toyota: "To become the most successful and respected lift truck company in the U.S."
Coca-Cola: Profit: "Maximizing return to share owners while being mindful of our overall
responsibilities. People: Being a great place to work where people are inspired to be the best they
can be. Portfolio: Bringing to the world a portfolio of beverage brands that anticipate and satisfy
people; desires and needs. Partners: Nurturing a winning network of partners and building
mutual loyalty. Planet: Being a responsible global citizen that makes a difference."
Avon: "To be the company that best understands and satisfies the product, service and self-
fulfilment needs of women - globally."
Apple: Apple is committed to bringing the best personal computing experience to students,
educators, creative professionals and consumers around the world through its innovative
hardware, software and Internet offerings.
Infosys: "To be a globally respected corporation that provides best-of-breed business solutions,
leveraging technology, delivered by best-in-class people."
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McDonalds: "McDonald's vision is to be the world's best quick service restaurant experience.
Being the best means providing outstanding quality, service, cleanliness, and value, so that we
make every customer in every restaurant smile."
Tata Steel: We aspire to be the global steel industry benchmark for Value Creation and
Corporate Citizenship.
ONGC: To be global leader in integrated energy business through sustainable growth,
knowledge excellence and exemplary governance practices.
Reliance Power: To build a global enterprise for all our stakeholders.
To be the largest private sector power generation company in India.
To be the largest hydro power generation company in India.
To be the largest green power company in India.
To be the largest coal mining company in India.
Maruti Suzuki: The leader in the Indian automobile industry, creating customer delight and
shareholders wealth; A pride of India
Samsung: "Inspire the World, Create the Future."
Philips: At Philips, we strive to make the world healthier and more sustainable through
innovation. Our goal is to improve the lives of 3 billion people a year by 2025. We will be the
best place to work for people who share our passion. Together we will deliver superior value for
our customers and shareholders

HOW TO WRITE A VISION STATEMENT :
When writing a vision statement, a good place to start is the mission statement. Where could the
elements outlined in the mission statement take the company in the future? Dream big and make
a list. Don't worry about practicality for now what initially looks impossible could be achieved
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with the right team and technologies. Brainstorm with a group of employees to visualize where
you may see yourselves in the mid- and long-term future.
A simple formula to follow is "In X years, [company] will [achievement]." Sometimes, " by
[strategies]" is tacked on to the end of the formula, enabling companies to figure out how they
can do what they want to do. But this often requires research and analysis, and can fall under the
umbrella of a business plan.
Now that you have a list of goals, start narrowing them down. Be true to yourself and your
company, and let your mission statement guide the way. Don't be afraid to use an emotional
touch think about how the company leaders would feel when the goal is achieved.



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Vision statements should provide a sense of aspiration and stretch the imagination. A good
vision statement will help inform direction and set priorities while challenging employees to
grow. It's important that the vision statement be compelling not just to the high-level execs of
your company, but also to the junior-level employees.

Here are five tips to keep in mind.
When describing goals, project five to ten years in the future.
Dream big and focus on success.
Use the present tense.
Infuse your vision statement with passion and emotion.
Paint a graphic mental picture of the business you want.
After the vision statement is complete and finalized, your employees will have a clear idea of
your vision for the company. It's up to you to nurture and support that vision each day and to
inspire your employees to do the same. With your support and dedication, you can empower
your employees to fulfil the goals outlined in your vision statement.

PHRASING VISION STATEMENTS EXAMPLES
Proposed Vision Statement (PVS): Lead in bringing interactive entertainment to a mass market.
Amended Construction (AC):We bring interactive entertainment to the world.

PVS: Grow technically and geographically into a worldwide, world renowned organisation.
AC: We will grow into a worldwide, world-renowned organisation.

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PVS: Be a survivor and prosper in a heavily and unfairly regulated industry.
AC: We survive despite regulations.

PVS: Maintain a manageable number of clients whereby top management is involved in all
continued but controlled growth.
AC: We grow conservatively.

PVS: Create an environment in which satisfied customers, quality products, and bottom line
profits go hand in hand.
AC: Our quality customers and products make us money.

PVS: Be a major force in high performance banking in the community bank arena.
AC: We give out high tech savings boxes.

PVS: Lead in providing applications to the construction industry throughout the world.
AC: We provide the world's builders.

PVS: Be the single source software provider to the financial services industry.
AC: We are finance ware.
PVS: Be a technical services firm, with blue chip utility clients, that has a "Mercedes" image,
Boy Scout principles, and is fun.
AC: We are the Mercedes of electricity and always at your service.
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PVS: Become the most customer responsive producer of bull bars in Australia.
AC: We make bull bars the way our customers want them.

PVS: Be the recognised world leader in security system architecture and engineering.
AC: We secure space.

PVS: Continue our role and responsibility as the industry initiator and market leader for 70 years
of bringing useful products to the marketplace while continually rewarding our customers and
employees.
AC: With the help of our customers and staff we bring good things to life.

PVS: Double in size and capacity within five years.
AC: We double in five years.

PVS: Enhance our established leadership position and make more money while doing so.
AC: Leadership is our reward.

NEED FOR VISION STATEMENT:
Organisations need to know where they are heading and what they are trying to accomplish and
to state this clearly for getting there is dependent on the efforts of a large number of people not
all of whom can just be assumed to instinctively know what the collective goal is.
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An institutions vision statement is thus an articulation of its major goals and ambitions. The
organisation which does not articulate its vision for the future will not necessarily fail, indeed it
may continue to tick over quite nicely, but nor is it likely to thrive. It stands less chance of
growing, expanding and improving because it has no clear idea of what direction or form this
growth, expansion or improvement should take. Not every good idea can be funded and not
every opportunity pursued. Without a clear idea of where the institution is heading there is no
sound basis for prioritising these decisions, resulting in an institution which is paddling as hard
as it can, but making little real progress.


The institutions vision statement establishes another aspect of the big picture. As such, it
should be possible to trace a link back to it from all other levels of institutional planning and goal
setting. Repeatedly asking the question: how does this help us achieve our vision? when setting
departmental and faculty-level objectives should help reinforce these links.
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Your vision should also be a constant and visible element of your recruitment and selection
processes, appearing as part of your initial job advertisement and application pack. By doing so
you make a public claim about where you, as an organisation, are heading and therefore the type
of people you need to make this happen. Pursuing this idea further, asking candidates either
during the written application or interview stage to demonstrate how they would help the
institution to achieve it can help ensure that all new staff are aware of the institutions stated
vision and are able to play their part in achieving it.

WHAT MAKES A GOOD VISION STATEMENT:
The quality of your vision determines the creativity, quality and originality of your ideas and
solutions. A powerful vision statement should stretch expectations and aspirations helping you
jump out of your comfort zone.
As with the mission statement, there is no simple right or wrong answer and ultimately what
counts is its appropriateness and suitability for the institution and where it is on its own particular
journey. However, as with the vision statement, it is possible to define some general principles
of good practice which it may prove useful to consider when revising your current vision
statement, or drafting a new one.

1. Be inspirational: The vision statement is supposed to challenge, enthuse and inspire. Use
powerful words and vivid phrases to articulate the kind of institution you are trying to become.
This is your chance to lift your institutions gaze above the grind of day-to-day gripes and
problems and to focus attention on the bigger picture and the potential rewards that await
2. Be ambitious: If you set your sights on being within the top 10 the chances are that the best
you will come is 10th. If your real aim is to hit the top 5, why not say so and go for broke? What
targets you set and how high you aim will, in themselves, also say something about you as an
organisation. Ambitious, perhaps even audacious targets will help create the impression of an
organisation that is going places, that aims high and demands high standards from its staff and
students in a way that comfortable, middle-of-the-road benchmarks will not
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3. Be realistic: This may sound odd following on immediately from a call to Be ambitious,
perhaps even contradictory, but it is an important part of the balancing act that is required. For
just as the purpose of the vision is to inspire and enthuse, it is equally important that this
ambition is tempered by an underlying sense of realism. People need to believe that what is
envisaged is actually achievable; otherwise there is no reason for them to believe or buy in to it.
It is perfectly possible to be both ambitious and realistic and it is through successfully marrying
these two forces that the best vision statements will be formed. Stating that you will become
ranked in the top 3 in the student satisfaction league table within 5 years may be both ambitious
and realistic if you currently sit at number 7, but sound far less convincing if you currently reside
at number 57
4. Be creative: Albert Einstein once said that imagination is more important than knowledge.1
Of course, there is nothing wrong with saying that you will deliver world-class learning and
teaching standards but it is probably a safe bet that at least a dozen other institutions will be
saying the same thing. Just as a commercial company may need to think creatively in order to
identify gaps in the market, so too you may need to think imaginatively about what your vision is
and how you describe it to help stand out from the crowd
5. Be descriptive: Unlike with your mission statement, there is no pressure to pare your vision
down to the bone. Of course you want to be concise (indeed many of the best examples of
memorable visions to tend to be so), but there is no need to enforce an arbitrary limit on its
length. Take as much space as you need to get your vision across
6. Be clear: As with your mission statement it pays to avoid jargon, keep sentences short and to
the point and use precise, uncluttered language. Otherwise you risk diluting or losing your
message amongst the background noise
7. Be consistent: Though bearing in mind their different purposes, there should still be an
element of continuity between your mission and vision statements, or at least some careful
thought and discussion given as to why this is not the case. At the same time, the vision need not
be constrained by the current remit of the mission. Perhaps the institution is keen to explore new
areas in the future: to become the regions conference venue of choice, for example, in which
case this would need to be reflected in the mission statement in due course.
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WHAT MAKES A VISION STATEMENT INEFFECTIVE ?
You may have heard that every business needs a vision statement. This is a sentence or
paragraph from the founder that states what she thinks the business can become, how it will get
there and what it will be known for. However, many businesses that fail have vision statements.
You must examine what makes a vision statement a useful tool for guiding your business to
success and learn what makes such documents ineffective.

Lack of Reality
If your vision statement has no relationship to what you can actually achieve, it will remain a
dream instead of a reality. A vision statement can offer lofty goals, such as being a market
leader, employing hundreds or even thousands of people and becoming the best in your industry
at customer service. However, you must know you can secure funding, find personnel and sell
enough products to make this vision a realistic appraisal of your potential.

Lack of Prominence
Your vision statement should not be a private matter. In order for it to be effective, every
employee in your company must know your vision statement and understand how it relates to the
tasks they perform. A vision statement has no effect if you lock it in a drawer and simply deal
with the daily problems that arise.

Lack of Relevance
Once you have a strong vision statement, make sure every job you assign and every challenge
you give your workforce relates to your vision. If you dont do this, you will have a very busy
workplace but no direction for your company. For example, if your vision statement says you
will become the highest-quality manufacturer of shoes, and you direct your production manager
to save money by purchasing inferior materials, you have a disconnect between your vision and
your actions.
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A Change of Customers
Your original vision may have targeted a different customer than you currently have. For
example, a public relations firm could start out seeking celebrities to represent, only to discover a
niche in representing manufacturers. If that companys vision statement still reads, We will
keep our clients personal lives separate from their professional lives, its time for a revision.
Many companies discover new target customers but keep the old vision statement that has
become outdated.

HOW FAR AHEAD SHOULD A COMPANY LOOK ?
If your vision statement looks to the future, the question needs to be asked: how far into the
future should we be looking?
If you look too far ahead it can seem too distant and remote: perhaps even beyond the period that
most of your staff are even envisaging staying at the institution and thus being considered largely
irrelevant by them. The flip side of this is that by looking too close to the present day you do not
leave yourself the time required to achieve what should be quite ambitious and challenging
goals.

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So far as it is possible to define a specific ideal period we suggest five years to usually be about
right
To a certain extent any notion of an ideal period will be influenced by the type of institution
you are and the nature of the vision you have defined for yourself. For example, a heavily
research orientated institution with strong industry links might need to take a longer term
perspective than one that is focused more, say, on teaching for vocational purposes. However, so
far as it is possible to define a specific ideal period we suggest five years to usually be about
right. Five years is far enough into the future to allow for profound change to be accomplished,
but is near enough at hand for it to generate the momentum and focus required to influence
strategic activity within the institution.
At the very least, we would advise reviewing your vision statement every 3-5 years even if this
is just to confirm that it is still relevant and useful or in the light of any major changes affecting
your institution or the sector at large, such as a change in government or a radical change in
governments strategic priorities.

HOW DOES ONE IDENTIFY A VISION ?
Do your research.
There is little point in striving to excel in something that nobody wants. This is not an easy task.
Not only are you operating in a crowded and competitive marketplace, but it can also be difficult
to predict now what might be in demand in five years time. Techniques such as Scenario
Planning or some of the participatory approaches may be as close as you can get to a crystal ball
in this regard.
Be imaginative.
Try to visualise the organisation you wish to become. Think about and/or articulate what it will
be like to work or study at. Perhaps try using creative approaches such as describing a fictional
persons journey or storyboard through this new institution, or graphical metaphors to help
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visualise it. Anything which helps people to think outside of the constraints of how things
currently are and to envisage how they might wish it to be.
Be bold.
Avoid the temptation of letting where you are now necessarily dictate your vision of where you
want to be. Your vision statement should be proactive, not reactive and focused on new horizons,
not re-treading the same well worn ground.
Look for synergies.
Though people may articulate them in different ways, or chose to stress differing aspects, you
may find it useful to look beyond the differences and to identify those goals which, though on the
surface appear different, actually share the same roots or characteristics and whose realisation
would represent fundamentally the same achievement.
Be coherent.
Check whether any proposed elements of the vision statement are possibly contradictory in
nature.
Consideration of the above in as open, creative and constructive an environment as possible
should help to ensure that your vision is as broad, inspiring and challenging as possible and will,
therefore, set the right overall agenda for your strategic activity. Of course, the challenge is often
how to achieve consensus, especially across large, diverse and devolved institutions. More
information on who to involve in such discussions and how is covered later on in this resource.
A vision provides direction and road map into the future, it describes the type of organisations
that you want to become and how its unique, it creates purpose and identity.




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THE FOLLOWING ARE THE CHARACTERISITICS OF A VISION:
Future Focused
An effective vision answers the question what will our business look like in 5 to 10 years
time? It describes the organisations desired future. A vision makes clear the organisations
direction, providing a clear picture of what the business will look like in 5 10 years time.
Vision provides the big picture. Vision provides the north star by which everyone in the
organisation navigates. It sets the context for action.
Directional
An effective vision provides direction and makes clear where the organisation is going. This
means that a vision needs to be specific enough to shape decision making and appropriately
broad to allow innovative strategies for realizing the vision.
Clear
An effective vision provides guidance for decision making and independent action. This requires
the vision to be clearly articulated and easily understood. The vision must clarify focus, direction
and constraints, to ensure that scare resources are focused on the most strategic initiatives. Vision
that is clear enables effective allocation of scare resources. Clarity allows individuals across the
organisation to have a shared sense of whats important and whats not, to ensure that they are
free to act within those constraints.
Relevant
An effective vision is grounded in and an extension of the organisations past. Visions dont
exists in a vacuum. They exist within the current reality and talks to the context in which the
organisation exists. The vision must be relevant to the organisation and the times, it reflects the
organisations response to the challenges of the day. An effective vision is a good fit with the
organisations history, current reality, culture and values. An effective vision connects what has
happened in the past to the desired future this gives the vision credibility.

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Purpose Driven
An effective vision provides a larger sense of purpose for the organisation and its people. That
purpose must be more meaningful than getting bigger or beating the competition. Purpose is
about why we exist and why anyone should care. Vision connects people to a meaningful
purpose, allowing them to feel that they are part of something bigger than themselves. As Steve
Jobs said, Were here to put a dent in the universe. Otherwise why else even be here?
Values Based
An effective vision connects people to the organisations core values. Values are the beliefs or
ideals that the organisation shares about whats good or bad. They influence the behaviour and
attitude of people. Given this values are deeply connected to an organisations vision. Vision
implies a set of values and beliefs that are required to support who organisations need to become
to execute the vision.
Challenging
An effective vision challenges us, its an invitation to greatness. A vision is a goal that should
challenge us, stretch us and set a high standard for the organisation. Effective visions represent a
future that is beyond what is possible today or what we think possible tomorrow. It is the highest
level goal that unites and challenges an organisation.
Unique
An effective vision reflects whats unique about the organisation, it recognizes what what makes
it different. A vision is unique when it declares what makes the organisation stand out and why it
matters. Vision must make clear the activities that the organisation will and will not pursue, the
capabilities to be developed and the market position it will occupy.
Vivid
An effective vision provides a vivid mental image of what the organisation will be like in the
future. Well-crafted visions describe the future in a way that is easy to imagine and to picture in
the minds eye. What would it feel like to work in the future organisation? What would it be like
for customers who engage with this organisation?
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Inspiring
An effective vision engages and inspires people to commit to a cause. Vision appeals to the
hearts and minds of people. Vision is inspiring when it captures the hearts of people. Vision is
inspiring when it stops you in your tracks, grabs your heart and causes you to pay attention. An
effective vision moves you emotionally, creating a desire to sign up to the cause.

ADVANTAGES OF A GOOD VISION
A vision is an idealized picture of the future of the business or organization. This can bring
many benefits to the organisation.
1. Visioning is the first step in strategic planning.
2. A vision shared by all the members of your business can help all members set goals to
advance the organization.
3. A vision can also motivate and empower employees.
4. Without a strong vision, strategic plans cannot be properly delineated since there is no
guiding principle or ideal to plan.
5. A vision brings meaning to peoples work, mobilizes them to action, and helps them decide
what to do and what not to do in the course of their work.
6. An effective vision strikes a chord in people, motivates them by tapping their competitive
drive, arouses desire for greatness or interest in doing the right thing, tantalizes them with
personal gain, or appeals to their need to make a difference in the world.
7. A vision is an idealized picture of the future organization and it expresses the organization's
reason for existence.
8. Visions grab people and then bring them into the fold.
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9. When a leader's vision is effective and strong, employees and stakeholders get caught up in
what they are doing, absorb the vision, and commit themselves to the goals and the values of the
leaders.

DISADVANTAGES OF A VISION
Ineffective Statement Leads to Confusion
Effective vision statements require time and effort and a real focus on what a company wants to
achieve. Ineffective statements may lack specificity and provide no direction for employees to
follow. Statements that are too broad will not define a company's ethos in an original way. For
example, a software company whose mission statement is, "We want to sell software to everyone
who craves quality," is not as specific as, "We want to sell software products across all
platforms, including social media networks, and deliver quality at an affordable price to the
average electronic technology consumer."
Sets Unrealistic Goal
Mission statements often include a company's moral or social values and how it wants the public
to view its operations. But if a company's mission statement is too grand and ambitious, it can
harm its employees ability to meet stated goals. Though vision statements should be bold and
strive to change the culture, creating realistic goals will motivate a company's workers far more
than goals that are high-minded but not achievable.






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CHAPTER 3. CASE STUDY : IMPLEMENTING A NEW VISION
AT VIRGIN TRAINS.

COMPANY PROFILE
Virgin Trains is known for running high quality, fast and reliable state-of-the-art trains, capable
of speeds of up to 125 miles per hour.
Virgin Trains operates the West Coast rail franchise with trains running along various routes
including from Glasgow, Manchester and Birmingham to London. The average journey time
from Manchester to London today is just over two hours. Virgin Trains currently operates 333
trains and carries more than 62,000 passengers a day.
Until 1993, railways in Britain had been part of the public sector. They were run by an
organisation appointed by the government called British Rail. The culture was one where
managers passed down instructions and directions to employees who carried them out without
questioning them. Since 1997, Virgin Trains has been running the West Coast and other lines as
an independent private sector business.

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Virgin Trains seeks to differentiate itself from other rail competitors in order to increase
customer satisfaction and develop a train service fit for the twenty-first century.
The business is organised on a decentralised regional structure. Each region has a set of
Managers responsible for the important operating areas. These Managers then link up with other
regional Managers to share ideas and expertise. For example, the structure at Manchester's
Piccadilly station links the station with the train crews:
Each region is able to focus on the commercial needs of its area. For example, the Scottish
region focuses on developing services to include the local economy and particularly tourism.
Each seeks to maximise the quality of services to customers, for example, by cutting unnecessary
costs and waste.

NEW VISION
In 2003, the Chief Executive of the company, Tony Collins, set out his vision for the company,
which has transformed its operations. Virgin Trains' vision involves the empowerment of staff to
take responsibility and ownership of their performance. This vision is what makes Virgin Trains
different.
This case study looks at how this vision is transforming the culture and performance of Virgin
Trains.

What is a vision?
A vision enables an organisation to move forward with clarity. It links the business' specific
objectives and targets with the core values that govern how the business will operate in order to
meet those targets. It therefore goes further than a mission statement.
A mission statement sets out the purpose of an organisation. For example, for Virgin Trains, this
is to run a high quality, efficient and cost-effective rail service. A vision goes further. It paints a
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picture in clear language of where the organisation is going, linked to the behaviours it expects
of everyone in the organisation.
Virgin Trains' vision is: To become the most safe, consistent, reliable and profitable of the train
operating franchises in a climate that respects different views and people need not be afraid to be
open and honest.
This is a very clear vision:
It sets out the values of the company, e.g. safety and reliability.
It sets out clear commercial targets profitability.
It sets out the relationship between the organisation and its people respecting different
views and encouraging openness and honesty.
This vision reflects Virgin Trains' forward-thinking style. This may stand the company in
good stead in any future franchise bids.

VISION AND ORGANISATIONAL CULTURE
Linked closely to vision is the organisation's culture. The culture of an organisation is the typical
way of working within an organisation as demonstrated by the behaviours of the people that
work for it. This includes how approachable managers are, how they treat subordinates and care
for customers and how formal systems and procedures are.
A clear vision enables an organisation to change organisational culture in a positive way. The
organisational culture at Virgin Trains is one that places customers and their experience of travel
as the main priority.
Virgin Trains' management believes that this is best secured by listening to employees. Senior
managers at Virgin Trains believe that in such a geographically stretched organisation, change
needs to be suggested and implemented by those at local level because those people know what
changes customers are asking for and need.
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Virgin Trains believes employees working directly with customers not only have the technical
skills but also the commercial awareness to make a difference. An example of this was the
provision of toys in waiting rooms to help keep children happy whilst waiting for connections.

Managers positively encourage employees to get involved in running the company by asking
questions, challenging ideas and being prepared to disagree and suggest better ways of working.
For instance, employees challenged Virgin Trains to increase its commitment to sustainable
development by reducing its carbon footprint. Virgin Trains now encourages recycling in all its
offices and trains.

PURPOSE OF THE VISION
A key objective for Virgin Trains is to be a profit-making organisation. A good way of making a
profit is to satisfy customers who will use services over and over again. To achieve this objective
it is essential that Virgin Trains' staff deliver a first-class service. The company has therefore
turned the traditional perspective of the organisation upside down and puts its customers first.
The Virgin Trains way of working encourages front-line employees to interact with customers.
In doing so, they are able to improve the customer's experience, whilst at the same time
discovering possible ways of improving operational performance. The role of managers in this
scenario is to explain and encourage good behaviours and actively seek suggestions from
employees to improve the business.
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CUSTOMER FOCUS
Virgin Trains' people drive its strategy of focusing on customers. The regional structure enables
staff who are in direct contact with customers to contribute to and shape the business' strategies.
Regular 'priorities meetings' are held by groups of staff across the regions to identify best
practices, share concerns and discuss what the priorities should be.
Feedback from customers identifies the priorities and includes issues such as what menu options
should be on trains or what ticket options are available in stations. Managers then take these
ideas and support workers to improve the services they provide. This develops good relationships
and increases employee confidence that managers will follow up on ideas and feedback from
front-line workers.
Every Virgin Trains employee is encouraged to buy into the vision and values of Virgin Trains
by:
- giving and receiving constructive feedback
- dealing with change and welcoming it
- challenging the ideas of others in an appropriate way.

WORKSHOPS
All employees have an opportunity to find out about (and become part of) the vision by attending
a voluntary three-day facilitated workshop. The workshops focus on how to give and receive
constructive feedback. They also help Virgin Trains people to see what leadership looks like in
the workplace and how it affects individuals:
The workshop provides a good opportunity to share ideas and to influence others in a relaxed
atmosphere.
Regional teams attend together. This brings together employees at different levels (including
senior managers) and those involved in different tasks.
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Everyone has the opportunity to explore what change means, what people feel when faced by
change and what support individuals need during times of change.
Employees can discuss how the vision relates to his or her personal values and beliefs and how
these values line up with company objectives.
When people go back to their work roles they know that they can challenge, question and
propose ideas of their own.

CULTURE OF THE ORGANISATION
In order to embed a vision into the organisation, it needs to become part of every aspect of work.
At a practical level, the Virgin Trains vision is supported by clear Human Resource (HR)
activities. These HR activities help to shape the culture of the organisation.
People-focused initiatives at Virgin Trains recognise and reward high-performing employees.
Team and individual awards are presented at official ceremonies to highlight where employees
have made a difference.
POSITIVE BEHAVIOURS
The business encourages new behaviours. Behaviours focus not just on what Virgin Trains
people do but also how they do something. For example, this might be focusing on the customer,
listening to others or taking a positive approach to challenges.
As part of the culture change, Virgin Trains also promotes charitable work in partnership with
organisations such as CLIC Sargent, which raises money for children with cancer. The charity is
chosen on a national basis by the company; each region then supports in its own way.
The benefit of this behaviour is a more caring approach to customers and staff. This enhances
customer satisfaction and desire to use Virgin Trains more often. Virgin Trains behaviours have
developed from the bottom-up approach of the vision workshops.

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INFLUENCING RECRUITMENT, SELECTION AND DEVELOPMENT
The vision also guides Virgin Trains recruitment and development processes:
At recruitment the key skills required to deliver the vision form part of the person specification.
This means Virgin Trains attracts people who share the vision and behaviours.
At appraisal, employees are assessed on their contribution to the business, development and
customer focus. Appraisal interviews take place regularly where employees discuss current
performance with their line manager and identify future personal targets and goals.
For developing employees, Virgin Trains has created a Talent Wheel that identifies the sorts of
behaviours employees need to show to highlight their potential for promotion. Those considered
suitable for promotion will be employees who are currently performing well, want promotion,
feel passionate about Virgin Trains and are currently developing the skills and knowledge
required for a more advanced post.
Learning and development opportunities include a range of internal and external courses and
training opportunities for employees. Examples include developing coaching skills or
encouraging people to learn how to ask questions and take responsibility.
Leadership programmes for front-line staff and managers embody the vision.

REVIEWING THE VISION
New principles of working are only effective if they work in practice.
Virgin Trains sees the culture change programme as ongoing. It is important to review the whole
process regularly in order to ensure that the change in culture is embedded and that it is helping
to meet organisational objectives.
The culture change programme is not just about engaging with passengers. It is also about
meeting all objectives (including those for profit) in the most efficient way.

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KEY PERFORMANCE INDICATORS
Setting Key Performance Indicators helps a business measure achievement. These measures or
targets can show how far a business has moved towards its objectives. KPIs used by Virgin
Trains include:
- reducing sickness levels.
- lowering staff turnover rates.
- improving customer satisfaction ratings.
- reducing numbers of complaint letters.
Virgin Trains has improved in all of these areas. Virgin Trains' employees are prepared to
challenge decisions and ideas put forward by managers, enabling the company to save and make
money. Cost savings have come as a direct result of implementing the vision.
An example of this was the 'Through ticket to Huddersfield', which the Manchester team
developed and implemented. Customers previously had to purchase a new ticket for the second
part of their journey on changing trains. Virgin Trains saw a customer need and were empowered
to put the new ticket in place. This now generates income.
CONCLUSION
Virgin Trains has a reputation for high quality service and modern practices. The company
constantly seeks to develop competitive advantage over rivals.
A key way of securing successful change is to involve employees in decision-making.
Employees who work directly with customers are best placed to come up with customer-focused
improvement solutions.
Virgin Trains' vision provides all employees with clear direction, backed by the support and
encouragement of managers from the top down to challenge existing practices and suggest new
ideas.
This has led to greater employee involvement, increased customer satisfaction and yielded
improved business results.
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CHAPTER 4. NEWS ARTICLE ON VISION STATEMENTS
ARTICLE NO.1 WHAT THE HELL IS WRONG WITH MISSION AND
VISION STATEMENTS ?
Posted on June 26, 2013
Lets face it; most company mission and vision statements are horrendously bad. They are word
smithed to the max in long-drawn meetings where in the end everyone is so tired that they sign
up to any old rubbish. I know, I have been in those meetings and I am sure many of you have,
too! Most mission and vision statements I read are so generic that they provide no guidance
whatsoever, or worse, confuse the hell out of people who, before reading the statements, were
reasonably clear about the direction of the company.
How about this mission statement from Volvo for inspiration and guidance: By creating value
for our customers, we create value for our shareholders. We use our expertise to create transport-
related products and services of superior quality, safety and environmental care for demanding
customers in selected segments. We work with energy, passion and respect for the individual.
Do you feel in any way inspired now? Clear about what Volvo is trying to do? No, I didnt think
so. If you are a little like me then Volvos statement would have made you angry about wasting
your time reading such clich-riddled drivel.
I cant even tell you how bored I am of reading phrases like most successful, worlds best,
market-leading, best-in-class, best customer value, best customer experience, superiour
this and that. They mean nothing and simply put people off! Take this one from Dell Computers
for a super-boring, nothing-saying vision: To be the most successful computer company in the
world at delivering the best customer experience in markets we serve. However, the price for
the most outrageous vision statement (going to the opposite extreme) has to go to Hilton for this
one: To fill the earth with the light and warmth of hospitality. Its hard to believe that this one
is for real. I do spend an awful lot of time in Hilton Hotels each year and I know that filling the
earth with light is definitely a little far fetched when you get corporate hotel rooms that have
the same sterile feeling all over the globe.
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Anyway, in my job I help companies develop and execute strategies and I believe that intelligent
companies use mission and vision statements as powerful sign-posts to provide clear and
succinct directions about the purpose and aspirations of the company. I always make sure that
these statements are real and meaningful and not just boring platitudes iterated by successive
executive teams. From what I see, mission and vision statements are often a muddled stew of
goals, values, aspirations, philosophies, strategies and descriptions. So, before I share with you
some of my favourite good examples, lets just be clear about the difference between a mission
and a vision statement:
A mission statement articulates the purpose of the company, basically why it exists, what it does
and for whom. It should serve as an ongoing guide that spells out what the company is all about.
The mission should focus on the here and now.
A vision statement outlines the goals and aspirations for the future. It creates a mental picture of
a specific medium-term target and should be as a source of inspiration (but not quite to the
extreme of Hilton!).
Here are some good vision statements that spell out the aspirations and ambitions of a company.
The first two are older versions that successfully guided organizations to success, and the other
two are current ones. Also here I feel Aspiration is better than Vision:
Microsoft: A computer on every desk and in every home
Wal-Mart: To become a $125 billion company by 2000
Save the Children: Our vision is a world in which every child attains the right to survival,
protection, development and participation.
The Motor Neurone Disease Association has a vision of a World free of MND.
I find that a good way to start the process of creating vision and mission statements is by asking
key people in the organization to answer these questions:
For Mission (or Purpose): What is the core purpose of the organisation? What do we do and for
who?
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For Vision (or Ambition): Where do we want to be in 5 or 10 years time? What are our
aspirations?
When I work with clients I take the answers to these questions and, based on them, draft
something that is then discussed and finalized in an effectively facilitated meeting.
How do you feel about the state of corporate mission statements? Can you maybe share your
favourites, either good or bad examples? Or do you disagree with me and feel (even well crafted)
vision and mission statements are not needed or useful?

ARTICLE NO. 2 IT VISION STATEMENTS TOO SHORT SIGHTED
Published: February 28th, 2006
Again and again during the past year, Vancouver-based executive advisor Bruce Stewarts
clients have told him that they are rewriting their IT vision statements.
Good! Far too many of those documents are dispiriting pablum that no one can remember
anyway, said Stewart, a former CEO and onetime senior vice president and director of
executive services at Meta Group Inc.
Vision statements are about what you want your IT group to be in the future; they arent about
who you are today, he said. They need to be short and memorable and leave lots of room for
each member of the department to make the vision his own through what he himself does. Most
of the IT vision statements Stewart has seen lately are still stuck on making the IT department
utility central.
Lets understand something here, he said, running a great utility service is not particularly
inspiring, and its firmly rooted in the present.
Retiring a tired old vision statement is a good thing; living up to a good new one is the path to
greatness, Stewart concluded.

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ARTICLE NO. 3 SCHOOLS PICK FROM COMMUNITIES TO DEVELOP VISION
Chicago Tribune, September 1998
UNIVERSITY PARK Over the past several months, more than 150 community leaders,
business leaders, staff, parents, board members and students participated in team meetings and
discussions to develop a "21st Century Vision" statement for Crete-Monee School District 201-
U.
In adopting the new vision statement Tuesday night, the board of education said the concept will
bring the district into the new year and the next century.
"This plan will become the blueprint for implementing future programs and services," Schools
Supt. Steve Humphrey said.
Outside consultant J.T. Pascarelli helped guide the vision team into building initiatives into the
vision statement.
The shared vision of the entire community was voted on by the team this month and includes a
new commitment to the district and students.
"When people share a vision, they are connected, bound together by a common aspiration,"
Pascarelli said.

ARTICLE NO.4 VILLAGE CONSIDERS LOOKING AHEAD WITH A VISION
STATEMENT
Chicago Tribune, September 1993.
Arlington Heights Trustees are studying the idea of creating a vision statement to provide
future direction for the village.
A vision statement essentially would contain all the long-term goals and governing philosophies
of the village, providing guidance when setting policy and making decisions, Trustee Stephen
Daday said.
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Daday, who proposed creating a long-range plan several months ago, said it would bring all the
village's disparate goals into a unifying framework.
Trustee Stanley Eisenhammer, who helped create a mission statement when he was on the High
School District 214 board, said a statement ensures that every part of the village government is
working toward the same goals.
"If you have the right vision, it really drives everything you do," Eisenhammer said.
The village's Legal Committee last week gave staff the go-ahead to investigate and make specific
recommendations on the procedure for creating such a statement.
Director of Planning Charles Witherington-Perkins gave the committee several options for
creating the plan, from hiring an outside consultant to creating a citizens task force.
Trustee Thomas Hayes said that while he saw the value for such a statement, he didn't think it
was cost-effective to hire an outside consultant or additional staff to work on creating it.
"I think our money can be better spent on issues that affect our residents now," Hayes said.
Witherington-Perkins said he would report back to the committee in two months.









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CHAPTER 5. CONCLUSION
A vision statement should be realistic and should be parallel with organisation goals. It
should be motivating and should create a drive inside all the stakeholders to strive for the
betterment of the organisation.
A vision should help the employees to have a clear understanding of the values and aims
of the company and the management should inspire the employees to follow the vision.
A vision should be jotted down only after the organisation knows where it is heading and
what is going to accomplish
With being realistic it is also important to be ambitious and dream big as an organisation.
A vision should have an ideal period, which is not too far off and not too near.
Lastly, a vision should be challenging and unique.
A vision of an organisation throws light to the future of the organisation and guides it to
its destination therefore it should be framed intelligently and carefully.










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BIBLIOGRAPHY

Mind tools Ltd.

Educare Pvt Ltd.


Business case studies LLP.

Chicago Tribune.

Tech Media Network.

About.com

Web Finance. Inc

2013 AE by MG Media Business.











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