Page 28 - DCOM506_DMGT502_STRATEGIC_MANAGEMENT

Strategic Management

Notes Box 2.1 sets out a range of definitions of organisational vision. Most refer to a future or ideal to
which organisational efforts should be directed. The vision itself is presented as a picture or
image that serves as a guide or goal. Depending on the definition, it is referred to as inspiring,
motivating, emotional and analytical. For Boal and Hooijberg, effective visions have two
components:
1. A cognitive component (which focuses on outcomes and how to achieve them)
2. An affective component (which helps to motivate people and gain their commitment to it)
Box 2.1: Definitions of Vision

1. Johnson: Vision is "clear mental picture of a future goal created jointly by a group
for the benefit of other people, which is capable of inspiring and motivating those
whose support is necessary for its achievement".
2. Kirkpatrick et al: Vision is "an ideal that represents or reflects the shared values to
which the organisation should aspire".
3. Thornberry: Vision is "a picture or view of the future. Something not yet real, but
imagined. What the organisation could and should look like. Part analytical and
part emotional".
4. Shoemaker: Vision is "the shared understanding of what the firm should be and
how it must change".
5. Kanter et al: Vision is "a picture of a destination aspired to, an end state to be
achieved via the change. It reflects the larger goal needed to keep in mind while
concentrating on concrete daily activities".
6. Stace and Dunphy: Vision is "an ambition about the future, articulated today, it is a
process of managing the present from a stretching view of the future".

2.2.2 Nature of Vision

A vision represents an animating dream about the future of the firm. By its nature, it is hazy and
vague. That is why Collins describes it as a “Big hairy audacious goal” (BHAG). Yet it is a
powerful motivator to action. It captures both the minds and hearts of people. It articulates a
view of a realistic, credible, attractive future for the organisation, which is better than what now
exists. Developing and implementing a vision is one of the leader’s central roles. He should not
only have a “strong sense of vision”, but also a “plan” to implement it.

Example: 1. Henry Ford’s vision of a “car in every garage” had power. It captured
the imagination of others and aided internal efforts to mobilize resources
and make it a reality. A good vision always needs to be a bit beyond a
company’s reach, but progress towards the vision is what unifies the
efforts of company personnel.
2. One of the most famous examples of a vision is that of Disneyland “To
be the happiest place on earth”. Other examples are:

(a) Hindustan Lever: Our vision is to meet the everyday needs of people
everywhere.
(b) Microsoft: Empower people through great software any time, any
place and on any device.
(c) Britannia Industries: Every third Indian must be a Britannia consumer.

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