Running Head: ADEQUACY AND MERIT OF THE VISION STATEMENT 1

Adequacy and merit of the vision statement

ADEQUACY AND MERIT OF THE VISION STATEMENT 2

Adequacy and merit of the vision statement

Vision statement describe the reason for existence of the company, what it is striving to

accomplish, what it stands for, and how it plans to achieve its objectives. The organizations

provide clear understanding of vision with organization member if they have intention to

maximize productivity and do right work. Vision statement of the company define who they are,

where they are going, and how they are going to get there (Cady, Jane, DeWolf, & Brodke,

2011). Strategic vision of company aligns employees to achieve common goal through different

ways; marketing department, production department, quality control department and financial

department (Gamble, Peteraf, & Thompson, 2015). For examples, the company had issues

vision of touching people every day to increase sales revenue of 45% by the end of the 2020. To

reach these target, top manager breaks down this goal into 5 % in 2016, 15% in 2018, 25% in

2019 and 45% in 2020. The above illustrated department have their own activities to achieve

common goal. Well-conceived vision of the company brings collaboration among different

employees. So, vision must be distinctive and specific.

According to Kotler (1996), the characteristics of effectively worded vision statements

are graphic, direction, focused, flexible, feasible, desirable, and easy to communicate that

illustrate that the given vision statement of the company well organized. Similarly, the element

of the common shortcoming in company vision statements such as vague or incomplete, not

forward looking, too broad, bland or uninspiring, not distinctive and too reliant on superlatives

provides us that the vision statements must be review and reorganized to attact internal and

external user of the company (Davidson, 2002;Robert, 1998).

Based on these effective and shortcoming elements, the vision statement of the following

company hold proper vision or not are describe below.

ADEQUACY AND MERIT OF THE VISION STATEMENT 3

Well Fargo

Effective Elements of Well Fargos vision statement

Graphic: It had created a picture what they do from vision statement. They did not directly say

they are banking industry but illustrate it by saying they provide financial needs to customer.

Feasible: Wall Fargo has claim what they can achieve in financial industries. For instance, they

can provide finance to everyone who need to build their career.

Easy to communicate: Well Fargo statement are short, simple and easily to understand to

everyone. It provides money to people who needs it.

Shortcoming of Well Fargos vision statement

Vague or incomplete: Vision statement does not properly describe what the company is doing

to prepare for the future. For examples, it says it want to be known as one of the Americas great

company but does not describe what criterial makes great company. It is better that it does not

use great company in vision statement. It makes vague vision statement.

Not distinctive: Wall Fargo does not provide unique identity about the company. It has use word

as other bank says. For example, other banks also serve financial services to people. It does not

argue in what areas they have competitive advantages.

Hilton Hotel Corporation

Effective Elements of Hilton Hotel Corporations vision statement

Directional: Hilton hotel corporations vision are about what they want to be in future and what

they need to do to achieve future goal. They argue about providing innovative product and

service to customer, improve performances, investing team member and increase shareholder

value.
ADEQUACY AND MERIT OF THE VISION STATEMENT 4

Focused: Hilton Hotel corporation are specific enough to provide managers with guidance in

making decision and allocating resources (Gamble, Peteraf, & Thompson, 2015). They are

empowering their team member by training. As they say strength their brand value by investing

in team members.

Feasible: Hilton Hotel corporations vision are feasible. It means they can be achieving such as

strength brand value by delighting customer, increasing shareholder value, and improving

performances.

Desirable: The Hilton Hotel corporation clearly describe that they want to be first choice of the

world travelers. For these, they have continuously delight customer and provide them innovative

product and services.

Shortcoming of Hilton Hotel corporations vision statements

Not forward looking: Hilton Hotel corporation statement that they want to deliver innovative

product and services. But they do not describe how they provide innovative and services, what

are innovative product and services in the travelling industries.

Not Distinctive: The Hilton Hotel corporation does not argue about unique company identity.

The vision it states can be provide to other similar type of industries. For example, traveling

industries can also be first choice of the world travelers. They can also increase shareholder

values, create culture of pride and strength loyal customer

BASF

Effective Elements of BASFs vision statement

Directional: BASF is forward-looking industries can be easily understood their vision statement.

They say that supplies of innovative product makes them most competent worldwide supplier in
ADEQUACY AND MERIT OF THE VISION STATEMENT 5

the chemical industry. They look forward for sustainable development and familiar with change

to grad opportunity.

Focused: BASFs gives equal important to its employee in decision making. It says in its vision

statement that they work together with employee to ensure success of the organization

Desirable: BASFs vision statement is aligning with what they want in business. They claim that

their customer view BASF as partner and they earn high return on assets. These statement gives

supports that BASF is successfully operating in chemical industries.

Shortcoming element of BASFs vision statement

Not forward looking: BASFs vision statement does not indicate how their management teams

intends to alter the companys current product market customer technology focus. They only

argue that we welcome change as an opportunity and provide innovative product to customer in

the chemical industries. They do not say about quality product with suitable prices that customer

demands.

List of the effective elements and shortcoming that derive from above explanation are

given below:

Company Name Effective Elements Shortcoming

Well Fargo Graphic Vague
Feasible Not distinctive
Easy to communicate
Hilton Hotel Corporation Direction Not forward looking
Focused Not distinctive
Feasible
Desirable
BASF Directional Not forward looking
Focused
Desirable
From these evaluation, we found that Hilton Hotel Corporation is the best company and Well

Fargo as the worse company from the given three companys vision statements.
ADEQUACY AND MERIT OF THE VISION STATEMENT 6

References

Cady, S. H., J. V., DeWolf, J., & Brodke, M. (2011). Mission, vision and values: What do they

say? Organizational Development Journal, 29(1), 63-78.

Davidson, H. (2002). The committed enterprise: How to make vision and value work. Boston:

Elsevier Science.

Gamble, J. E., Peteraf, M. A., & Thompson, A. A. (2015). Essentials of strategic management:

The quest for competitive advantage (4th ed.). Boston, United States: McGraw-Hill

Education.

Kotler, J. P. (1996). Leading Change. Boston: Harvard Business School Press.

Robert, M. (1998). Strategy pure and simple 11. New York: McGraw-Hill.