As organizations grow, their complexity increases and the internal competition for scarce resources intensifies. Without a clear vision and strategy confusion ensues, eventually leading to a complete loss of team motivation. While many see the development of a vision and the accompanying strategy as a top-down directive, its importance extends far beyond the C suite. It’s a vital component for every level of the organization. From HR to marketing, R&D to sales, anyone responsible for allocating scarce resources to support organizational goals needs a vision to guide them and a strategy to get them there.
What is a vision?
Meant for internal consumption only, a vision statement sets a view of an idealized future. It contextualizes short-term goals and serves the unique role of guiding all future decisions. Many companies don’t have a vision or have one that’s so vague that it serves no real purpose. This is definitely a missed opportunity as a vision statement is a highly effective tool to keep an organization on track and to unite it in a shared purpose.
With an eye to the future, a vision is a statement about what business leaders see as the ultimate realization of success. During the strategic planning process it’s important to put this vision into concrete terms. A vision need not only clarify thoughts but also help your team and other stakeholders understand what the business has set out to accomplish.
No matter what the business, a good vision statement inspires and motivates everyone to make that vision a reality and there is nothing more important than employee engagement. Committed employees who find their organization’s vision meaningful have a 68% engagement level compared to only 16% for those who work for organizations without a meaningful vision. Studies show this higher organizational alignment leads to 58% faster revenue growth and 72% more profitability4. Good vision statements keep everyone aligned, motivated and moving in the right direction. They also provide guidance whenever there’s a strategic decision to be made.
Part roadmap, part inspiration, a vision statement is meant to keep your organization focused. Here are a few guidelines for developing one. It must:
- Reflect your core values
- Provide future direction for the organization
- Demonstrate why your organization is uniquely positioned to reach its vision
- Align everyone behind a common direction – a shared story in which everyone plays a part.
As you work on your business vision remember it is aspirational with long term idealistic goals. Here are a few examples.
- Walmart: “Be THE destination for customers to save money, no matter how they want to shop.”
- Walgreens Boots Alliance: “Be the first choice for pharmacy, well-being and beauty – caring for people and communities around the world.”
- Microsoft: “To be at the center of tomorrow’s transformations.”
- J&J: “For every person to use their unique experiences and backgrounds, together – to spark solutions that create a better, healthier world.”
As we head into 2025, invest in the time to create a vision that will unite your team.
For more reading:
1. https://leaders.com/articles/company-culture/vision-statement/
2. https://mkt.io/blog/296-vision-statement-examples/ by Timothy Max
3. Wharton Business Daily 01/21/12 – Ted Talker/author Simon Sinek on Why Optimism is Essential
4. LSA Global.com: 3x Organizational Alignment Research – Aligned companies significantly outperform their peers
