{"id":63801,"date":"2022-04-02T08:26:09","date_gmt":"2022-04-02T12:26:09","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=63801"},"modified":"2022-04-06T08:45:16","modified_gmt":"2022-04-06T12:45:16","slug":"company-vision-statement","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/company-vision-statement\/","title":{"rendered":"Company Vision Statement: Charting the Future"},"content":{"rendered":"\n

Do you want to make a company vision<\/a> statement? How do you envision the ideal future of your company?<\/p>\n\n\n\n

When putting together a vision statement for your company, you need to consider not only what purpose your company serves, but also what winning would look like for your business. You need to think about more than what your company does, but why you do it.<\/p>\n\n\n\n

Here’s how to chart the future of your company.<\/p>\n\n\n\n\n\n\n\n

Envision Your Company\u2019s Ideal Future<\/strong><\/h2>\n\n\n\n

To put together a company vision statement, think about this: What is your company\u2019s ideal future? <\/strong><\/p>\n\n\n\n

To answer this question, figure out your definition of success<\/a> and what you want your company to achieve.<\/strong> The answer, your ideal future<\/em>, can include a statement of purpose, but it\u2019s not only <\/em>a statement of purpose. It\u2019s also a statement of what success\u2014or \u201cwinning\u201d\u2014would look like at your company. Once a company understands what it wants to achieve, it can take clear and specific actions toward making its vision come true.<\/p>\n\n\n\n

In their book Playing to Win, <\/em>authors Lafley and Martin say that your goals must involve serving and pleasing your customers<\/strong>: If consumers like your company and your products, then you\u2019ll naturally succeed in the marketplace. The authors add that focusing exclusively on internal issues (like profit margins, or marginal improvements to your products) will blind you to external market demands and make you less likely to reach your ideal future.<\/p>\n\n\n\n

In other words, Lafley and Martin say that to figure out your ideal company vision statement, you have to determine what your business is really about\u2014not just what <\/em>you do, but why <\/em>you do it. The authors say that, generally, companies will tell you their business is their product or service. In reality, though, all successful companies are in the business of meeting customer needs<\/em>\u2014the product or service is just the vehicle. <\/strong>For example, is a bar really in the business of serving alcoholic beverages, or is it providing a way for people to unwind and socialize? <\/p>\n\n\n\n

(Shortform note: In Start With Why<\/em><\/a>, Simon Sinek<\/a> tells us why it\u2019s crucial to understand the reason behind your business: Your product or service (your what<\/em>) engages people\u2019s rational minds, but your purpose<\/a> (your why<\/em>) engages their feelings<\/a>. He adds that emotion-based decisions are reached more quickly and are less prone to outside influences than logic-based decisions\u2014in other words, if a customer buys a product just because they like it, they\u2019ll make that decision faster and feel more secure in it than if they buy a product because they researched and compared numerous similar products and decided on the \u201cbest\u201d one.) <\/p>\n\n\n\n

To figure out how to best serve your customers, first research what the customer needs, then tailor your company to meet that need better than anyone else.<\/strong><\/p>\n\n\n\n

The Three Perspectives of Business<\/strong>

Your customers\u2019 needs are just one of three critical elements<\/a> that must be addressed in a successful business<\/a> strategy: 

The customer:<\/strong> Who is buying your product?
The investor: <\/strong>Who is covering your costs?
The producer:<\/strong> Who is making your product?

Many business plans fail because they only consider the perspective of the producer\u2014the company making the product or providing the service. Such narrow business plans tend to gush about groundbreaking technologies and revolutionary ideas, but overlook the fact that they\u2019ll need people to invest in those innovations\u2014and, even more importantly, they\u2019ll need people who want to buy them. 

That\u2019s why Lafley and Martin say to begin with customer needs: First identify the need, and then determine how your great new innovation will allow you to meet that need better than anyone else does.
<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The Importance of Playing to Win<\/strong><\/h3>\n\n\n\n

Lafley and Martin say that you must play to win because it\u2019s <\/strong>hard <\/em><\/strong>to win.<\/strong> Many companies that want to win still lose. So, if you\u2019re just trying to compete rather than dominate, you\u2019ll have no chance at all\u2014you won\u2019t devote the time and resources necessary to stay in the game.<\/p>\n\n\n\n

(Shortform note: In The 10X Rule<\/em><\/a>, Grant Cardone also discusses the importance of trying to dominate rather than merely compete<\/a>\u2014but for different reasons: Cardone says that if you\u2019re in a competition mindset, you\u2019ll waste time watching your rivals and copying what they do, which is a recipe for failure. <\/strong>While Cardone does urge you to learn <\/em>from your competitors, he warns against trying to emulate them or directly compete with them. Instead, with a mindset of domination rather than competition, look for the next great innovation that\u2019ll let you completely bypass your competitors and corner the market.)<\/p>\n\n\n\n

In any market, you\u2019re naturally going to have competitors, many of whom will also have developed ideal futures and effective strategies to reach them. Therefore, Lafley and Martin suggest honing your strategy by identifying the competitor that is most formidable. Then ask: What are they doing that I\u2019m not? How are they serving people better than I am? How can I overtake them? <\/strong><\/p>\n\n\n\n

Note that your strongest competitor might not be the most obvious one. For example, if you\u2019re running a tech startup, it\u2019s unlikely that you\u2019ll be directly competing with Microsoft or Google right off the bat. Your strongest competitor in that case might be a much smaller company that\u2019s targeting the same section of the market as you. <\/p>\n\n\n\n

Respect Your Competitors<\/strong>

In The Infinite Game<\/em><\/a>, Simon Sinek suggests viewing your competitors not just as rivals, but as worthy <\/em>rivals.<\/a> It\u2019s a fine distinction, but Sinek believes that it\u2019s an important shift in mindset: Respecting your competitors\u2019 abilities means that you won\u2019t just try to win, you\u2019ll work harder to become good enough <\/em>to win. 

Imagine yourself as a boxer with an upcoming match. If you don\u2019t respect your opponent, you won\u2019t train as hard before the match\u2014you won\u2019t think it\u2019s necessary. However, if you believe that your opponent is a worthy rival<\/a>, you\u2019ll be motivated to work hard and improve as much as possible before stepping into the ring.

As Lafley and Martin say, one highly effective way to improve your skills<\/a> is to study your opponent, see what he or she does better than you, and use what you learn to shore up your weaknesses. <\/td><\/tr><\/tbody><\/table><\/figure>\n","protected":false},"excerpt":{"rendered":"

Do you want to make a company vision statement? How do you envision the ideal future of your company? When putting together a vision statement for your company, you need to consider not only what purpose your company serves, but also what winning would look like for your business. You need to think about more than what your company does, but why you do it. Here’s how to chart the future of your company.<\/p>\n","protected":false},"author":8,"featured_media":63826,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[45,79,14],"tags":[472],"class_list":["post-63801","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-entrepreneurship","category-management","tag-playing-to-win","","tg-column-two"],"yoast_head":"\nCompany Vision Statement: Charting the Future - Shortform Books<\/title>\n<meta name=\"description\" content=\"To put together a company vision statement, ask yourself: What is your company\u2019s ideal future? 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