for institutions

1. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
1
Organization's Mission
 Vision
 Mission
 Goals
 objectives.
 Strategies
 Activities

2. Strategy formulation
 Strategy formulation, often referred to
as strategic planning or long-range
planning.
 It is developing a corporation’s
mission, objectives, strategies, and
policies.
 It begins with situation analysis: the
process of finding a strategic fit
between corporation and its
environment.
15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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3. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
3
Comprehensive Strategic Management Model
Vision
&
Mission
Statements
External
Audit
Internal
Audit
Long-Term
Objectives
Generate,
Evaluate,
Select
Strategies
Implement
Strategies:
Mgmt Issues
Implement
Strategies:
Marketing,
Fin/Acct,
R&D, CIS
Measure &
Evaluate
Performance

4. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Vision & Mission
That business mission is so rarely given
adequate thought is perhaps the most
important single cause of business
frustration.
—Peter Drucker—

5. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Vision & Mission (Cont’d)
Mission statement answers the
question:
“What is our business?”

6. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Vision & Mission (Cont’d)
Vision statement answers the question:
“What do we want to become?”

7. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Vision & Mission (Cont’d)
Many companies develop both
Shared vision can motivate
employees
Develops a commonality of interests
Helps focus on opportunity &
challenge

8. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Developing Vision & Mission
Clear mission is needed before
alternative strategies can be
formulated and implemented
Important to have as broad range of
participation as possible among
managers in developing the mission

9. Mission includes:
1. What is the business?
2. What it does?
3. Who it serves?
4. Why they do that?
5. what are the values?
15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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10. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
10
Examples
Vision Statement
“The Bellevue Hospital is to be the LEADER in
providing resources necessary to realize
the community’s highest level of HEALTH
throughout life.”
“
‫هدف‬ ‫بتحقيق‬ ‫نفسها‬ ‫تلزم‬ ‫أن‬ ‫يجب‬ ‫األمه‬ ‫هذه‬ ‫أن‬ ‫أعتقد‬ ‫إني‬
-
‫ان‬ ‫قبل‬
‫هذا‬ ‫تهاء‬
‫العقد‬
-
‫األرض‬ ‫إلى‬ ‫سالما‬ ‫وإعادته‬ ‫القمر‬ ‫على‬ ‫رجل‬ ‫بانزال‬
”
‫كن‬ ‫جون‬
‫دي‬
1960
.

11. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Examples (Cont’d)
Mission Statement
“The Bellevue Hospital, with respect,
compassion, integrity, and courage, honors
the individuality and confidentiality of our
patients, employees, and community, and
is progressive in anticipating and providing
future health care services.”

12. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Examples (Cont’d)
Vision Statement
“The Vision of USGS is to be a world
leader in the natural sciences
through our scientific excellence and
responsiveness to society’s needs.”
-U.S. Geological Survey (USGS)-

13. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Examples (Cont’d)
Mission Statement
“The Mission of USGS is to serve the Nation by
providing reliable scientific information to
Describe and understand the Earth;
Minimize loss of life and property from
natural disasters;
Manage water, biological, energy, and
mineral resources; and enhance and protect
our quality of life.

14. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Examples (Cont’d)
Vision Statement
“It is the vision of the California Energy
Commission for Californians to have
energy choices that are affordable,
reliable, diverse, safe, and
environmentally acceptable.”

15. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Examples (Cont’d)
Mission Statement
“It is the California Energy Commission’s
mission to assess, advocate, and act
through public/private partnerships to
improve energy systems that promote
a strong economy and a healthy
environment.”

16. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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GM Mission Statement
‘The fundamental purpose of GM is to
provide products and services of such
quality that our customers will receive
superior value, our employees and
business partners will share in our
success, and our stockholders will
receive a sustained, superior return
on their investment.’

17. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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‫االستثمارى‬ ‫االسالمى‬ ‫سيتي‬ ‫بنك‬ ‫رسالة‬
(
‫البحرين‬
)
“
‫خدما‬ ‫يقدم‬ ‫بأن‬ ‫االستثمارى‬ ‫االسالمى‬ ‫سيتي‬ ‫بنك‬ ‫يلتزم‬
‫مالية‬ ‫ت‬
‫والخدمات‬ ‫المنتجات‬ ‫توفير‬ ‫خالل‬ ‫من‬ ‫رائدة‬ ‫استثمارية‬
‫للمؤسسات‬ ‫المضافة‬ ‫القيمة‬ ‫ذات‬ ‫االسالمية‬ ‫المصرفية‬
‫مبادئ‬ ‫حسب‬ ‫وذلك‬ ‫المتميزين‬ ‫والعمالء‬ ‫المالية‬ ‫والشركات‬
‫كورب‬ ‫سيتي‬ ‫مؤسسة‬ ‫وسياسة‬ ‫االسالمية‬ ‫الشريعة‬
”

18. ‫التقنية‬ ‫فلسطين‬ ‫كلية‬
-
‫البلح‬ ‫دير‬

‫الرؤيــــــــــة‬
:

‫يلب‬ ‫بما‬ ‫والوطن‬ ‫باإلنسان‬ ‫ترقى‬ ‫رائدة‬ ‫تقنية‬ ‫جامعة‬ ‫نحو‬
‫ي‬
‫المستدامة‬ ‫التنمية‬ ‫ويحقق‬ ‫المتجددة‬ ‫المجتمع‬ ‫احتياجات‬
.
15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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19. ‫التقنية‬ ‫فلسطين‬ ‫كلية‬
-
‫البلح‬ ‫دير‬

‫الرسالـــــــــــة‬
:

‫التقنية‬ ‫فلسطين‬ ‫كلية‬ ‫تلتزم‬
–
‫بتقديم‬ ‫البلح‬ ‫دير‬
‫تقنية‬ ‫برامج‬
‫مؤهلة‬ ‫وطنية‬ ‫مخرجات‬ ‫إعداد‬ ‫في‬ ‫تساهم‬ ‫متميزة‬ ‫وأكاديمية‬
‫لخد‬ ‫والتطوير‬ ‫والبحث‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫وتوظيف‬
‫مة‬
‫والتطور‬ ‫الرفعة‬ ‫أجل‬ ‫من‬ ‫وبناءة‬ ‫المجتمع‬
.
15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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20. ‫سلطان‬ ‫األمير‬ ‫جامعة‬

‫االدارة‬ ‫كلية‬ ‫رسالة‬
‫ف‬ ‫وعملية‬ ‫علمية‬ ‫أسس‬ ‫على‬ ‫يقوم‬ ‫متميز‬ ‫تعليم‬ ‫توفير‬
‫العلوم‬ ‫ي‬
‫والمحاسبة‬ ‫والتسويق‬ ‫المالية‬
,
‫السر‬ ‫بالمتطلبات‬ ‫يفي‬
‫يعة‬
‫المنطقة‬ ‫في‬ ‫العمل‬ ‫لسوق‬ ‫والمتغيرة‬
,
‫المست‬ ‫مختلف‬ ‫على‬
‫ويات‬
‫القطاعات‬ ‫ولجميع‬
.
15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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21. strategic management Prof. Dr.
Majed El-Farra 2013
21
‫اإلسالمية‬ ‫الجامعة‬ ‫رسالة‬

‫الرؤية‬
:
‫االن‬ ‫وخدمة‬ ‫والثقافة‬ ‫للمعرفة‬ ‫رائدة‬ ‫علمية‬ ‫منارة‬ ‫اإلسالمية‬ ‫الجامعة‬
‫سانية‬
‫شاملة‬ ‫مجتمعية‬ ‫نهضة‬ ‫إلحداث‬
.

‫الجامعة‬ ‫رسالة‬
:

‫بالجوانب‬ ‫للنهوض‬ ‫تسعى‬ ‫أكاديمية‬ ‫مؤسسة‬ ‫اإلسالمية‬ ‫الجامعة‬
‫لالتجاه‬ ‫مواكبة‬ ‫المجتمع‬ ‫في‬ ‫والحضارية‬ ‫والثقافية‬ ‫العلمية‬
‫ات‬
‫تش‬ ‫كما‬ ،‫التكنولوجي‬ ‫والتطور‬ ‫العالي‬ ‫التعليم‬ ‫في‬ ‫الحديثة‬
‫البحث‬ ‫جع‬
‫ال‬ ‫إطار‬ ‫في‬ ‫المجتمع‬ ‫وتنمية‬ ‫األجيال‬ ‫بناء‬ ‫في‬ ‫وتساهم‬ ‫العلمي‬
‫قيم‬
‫اإلسالمية‬
15/06/1444

22. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Characteristics of a Mission
According to Vern McGinnis, mission should:
 Define what the organization is
 Broad enough to allow for creative growth
 Distinguish the firm from all others
 Serve as framework to evaluate current
activities
 Stated clearly so that it is understood by all

23. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Characteristics of a Mission
(Cont’d)
Effective mission statements:
• Broad in scope
• Generate range of feasible strategic alternatives
• Not excessively specific
• Reconcile interests among diverse stakeholders
• Finely balanced between specificity & generality

24. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Characteristics of a Mission
(Cont’d)
Effective mission statements:
• Arouse positive feelings and emotions
• Motivate readers to action
• Generate the impression that firm is
successful, has direction, and is worthy of
time, support, and investment

25. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Characteristics of a Mission
(Cont’d)
Effective mission statements:
• Reflect judgments : future growth
• Provide criteria for selecting strategies
• Basis for generating & screening strategic
options
• Are dynamic in orientation

26. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Customer Orientation
A good mission statement reflects the
anticipations of customers.
 Identify customer needs
 Provide product/service to satisfy
needs
AT&T’s mission focuses on communications,
not telephones
Exxon’s mission focuses on energy, not on
oil and gas

27. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
27
Components of Mission
Mission statements vary in…
 Length
 Content
 Format
 Specificity
Must include the 9 elements, as the mission
statement is the most public and visible
part of the strategic-management process.

28. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
28
Components of Mission (Cont’d)
1. Customers
2. Products or services
3. Markets
4. Technology
5. Survival, growth, and profitability
6. Philosophy
7. Self-concept
8. Concern for public image
9. Concern for employees

29. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
29
Components of Mission (Cont’d)
Components of mission and
corresponding questions to be
answered:
 Customers:
“Who are the firm’s customers?”
 Products or services:
“What are the firm's major products or
services?”

30. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Components of Mission (Cont’d)
 Markets:
“Geographically, where does the firm
compete?”
 Technology:
“Is the firm technologically current?”

31. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
31
Components of Mission (Cont’d)
 Concern for survival, growth, and
profitability:
“Is the firm committed to growth and
financial soundness?”
 Philosophy:
“What are the basic beliefs, values,
aspirations, and ethical priorities of the
firm?”

32. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
32
Components of Mission (Cont’d)
 Self-concept:
 “What is the firm’s distinctive competence or
major competitive advantage?”
 Concern for public image:
 “Is the firm responsive to social, community, and
environmental concerns?”
 Concern for employees:
 “Are employees a valuable asset of the firm?”

33. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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When to change mission?
 Times change, conditions change.

34. 15/06/1444 strategic management Prof. Dr.
Majed El-Farra 2013
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Global Perspective
Major Challenges in 2000
31%
39%
24%
Incr. flexibility & speed
3%
9%
26%
Competing for talent
38%
32%
28%
Engaging emp. in mission
41%
32%
29%
Reducing costs
16%
42%
30%
Managing alliances
3%
28%
44%
Customer loyalty
Japan
Europe
USA