Title:

Capstone 1-3: VISION STATEMENT

Assignment:

In this assignment we will develop a vision for your company. We assume that your team is about to have a meeting to agree upon a vision for your company. This assignment is pre-work for that meeting.
As an individual (not a team), prepare a vision statement for your company. The statement should present as accurate a picture as possible for your company at the end of the simulation eight years from now. It is not important that the statement read well – that is, we are not looking for something like a polished public relations statement. A list of bullets might be best, so long as it provides clarity to all team members. It is also appropriate to say what you will not be.
Here are some questions you can reflect upon to bring your vision into focus.
1. By segment, how many products will appear in the segment?
2. What will our capacity and automation levels be in each segment?
3. How much money will we have invested by the last round?
4. What will our financial structure look like? The financial structure is everything on the right hand side of the balance sheet. Fundamentally, it summarizes how much of the assets were funded by debt holders and equity holders. You can get the financial structure you have today by looking at your “Annual Report”. On the right hand side of the Balance Sheet, you will see your financial structure in percentages. To determine what sort of structure you want, you can ask several simple questions.
a. What mix of long term debt, stock issues, and retained profits do we need to grow the company?
b. Do we want to keep profits or pay them out as dividends?
c. Do we want to pay off our debt to avoid interest payments?
d. How would we express these in percentages?. For example, 5% Accounts Payable, 0% Short Debt, 35% Long Debt, 20% Stock, 40% Retained Earnings.
5. Are we biased towards cost leadership or differentiation?
You will find a short essay on Mission and Vision statements at http://www.quickmba.com/strategy/vision. In their context, we are marginally interested in “Core values” and “Core purpose” (which are known and common to all teams), but we are keenly interested in “Visionary Goals.”

Scenario:

While the economy and the global environment often play roles in forcing a MNC to make changes within the company, the results can be positive. Forced changes afford opportunities that the company may have overlooked in the past. They can lead to increased performance, higher employee morale, and, ultimately, greater profits for the business. The way one responds to the changing global economy impacts their chance of survival and success in that environment. Management of a global workforce requires developing new skills and maintaining clear communications within each new division. Resources must be managed differently, often requiring new skill sets and additional personnel in various departments. Shifts in priorities may reduce the need for select in-house staff, while mergers may create redundancies within the organisation. Human resource managers must develop skills to institute new hiring techniques, employee benefits and pay scales. The organisations must revisit the corporate philanthropy policies to include global community projects and funding of events in key locations not previously on their radar.

You are an Assistant Manager at an Multinational Company (MNC) located in Sri Lanka. The top management of your company has requested a formal report addressing the following. You may use examples from multiple contexts to elaborate your answer.

Question:

Justify the different traits and styles to be adopted by a leader in the given scenario