Indian Institute of Management, CalcuttaOpen For Admission
GE’s vision statement reads, “to become the world’s premier digital industrial company, transforming industry with software-defined machines and solutions that are connected, responsive and predictive.” While this is the company’s northstar metric, a look at the company's mission will further reinforce how the company framed its action points to reach its north start. The mission statement reads“to invent the next industrial era, to build, move, power and cure the world.”Both the vision and mission statement are intrinsically connected as to how GE wants to position itself as the pivot of digitally powered industries. While the mission statement drives the various operational strategies across its diverse subsidiaries, the vision statement has multiple dimensions attached to it. These are:
• The company’s aim to be a trailblazer in its domain
• The company’s aim to create digitally powered industrial solutions catering to diverse industries
One look at how the company has worked around its mission and vision statement whilst changing the focus in lieu with the current times justifies its position as a leader when it comes to delivering futuristic solutions to its customers.In its 2021 outlook, the company shared its future roadmap with a focus on "breakthrough technologies to serve the needs of our customers and the world—for more sustainable, reliable, and affordable energy; more integrated and personalized healthcare; and smarter and more efficient flight.”
Thumb Rules for Designing the Strategic Vision
From the above discussion, we can understand how critical it is for the executive leadership to define the strategic vision in one’s company. There are typically three actionable points when it comes to achieving the same and these are:
1. Understanding the customer and the industry- The customer is ultimately at the heart of any business. The entire production and marketing operations must be driven towards generating the ultimate customer experience. The four best principles towards achieving this are:
• Aligning the hiring process with the customer-centric performance metrics
• Generating a symbiotic connection with the customer
• Offering a strategic view of the customer data from the CRM
• Establishing a connection between the customer outcomes to strategy implementation
2. Defining the Northstar or the long-term strategy- Known as the North Star metric in the business parlance, this strategy mostly revolves around a company's long-term success goals. Typically, a north star metric can be simplified into a cluster of small measurable metrics around individual ownership and accountability. The best way to define a north star is by deep diving into the following parameters such as:
• Prioritizing tasks
• Finding out the key performance parameters
• Creating a metric hierarchy with north star metric on the top
3. Coining the vision and mission statement- The mission and vision statements are a glimpse of a company’s present goals and the destination it wants to reach. For crafting a mission statement, one needs to first define what the organization stands for. Secondly, discovering the answers to 'Five Whys'. When it comes to the vision statement, one can either adopt the Executive Interviews Approach (EIA) or the Back-to-the-Future (BFT).
These are best practices that one can only be learnt through the academic endeavour. Executive programmes EPLM (Executive Programme in Leadership & Management), offered by IIM Calcutta in collaboration with Hughes Education, empower management professionals with the best practices in visualizing strategic moves and creating organizational resilience.
Keep yourself updated.