This same view was earlier aired by Raynor (1988) where the researcher refers to mission and vision statement as an organisation cornerstone that guide and provide actions, directions and aspirations for the future.
Vision statement refers to the desirable (O'Brien & Meadows 2001). In other words, a vision is the articulated goal for the organisation. Unlike mission statement, vision statement is a core goal. Once this is achieved, a direction will be set for the next vision (Soyer & Asan 2007, O'Brien & Meadows 2001, Thomas et.al., 1993).
Forman & Camponovo (2004:1) referred to mission statement "as the most basic embodiment of business strategy.. for mission statement is often at the heart of strategy formulation for successful organisation. Raynor (1998) further outlined the role of vision and mission statement which include
In addition, Mission and vision statement by defining an organisations' boundaries draw demarcation between one organisation and the other by exhibiting the organisations salient features (Soyer & Asan 2007, O'Brien & Meadows 2001, Forman & Componova 2004).
In all, in an organisation the creation of its mission and vision is an important first step in the development of modern, strategic management (Forman & Componova 2004). ...
t some carefully crafted and publicly promulgated statement of an organization' s mission, purpose, values, goals, and vision" (Forman & Componova 2004:10)
In Wal-mart, the mission and vision statements are defined within five core business principles which include, outstanding customer service, effective and efficient operations, strong capital and liquidity, prudent lending policy and strict expense discipline.
However, vision and mission statement are frequently abused by the people trusted to implement it. According to Fama & Jensen (1983) managers of organisations will always act at the expense of the institution because of their personal interest. This is true because bonuses have become a thing of the past (Forman & Componova 2004). Mission and vision statements message must be communicated in precise simple and clear language supported through out the organisation. In today's organisation, this is not often the case due to misalignments; the mission and vision were overstated. Forman & Componova (2004) argued that misuse of this statement is so common and over time hard work is necessary for revival. They caution that, "Unless mission and vision reflect the core values, capabilities, and goals of individual organisations, they cannot shape current and future operations and therefore soon become clichs" (Forman & Componova 2004:7)
Fama, F.E., & Jensen, C.M. (1983). Separation of Ownership and Control.
Forman, P.H., & Componovo, J. E. (2004). The business Radiology and the Mission Statement. Journal of American college of Radiology. Volume1, Issue 2, Feb. 2004 Pp.108-112
O'Brien, F., & Meadows, M. (2001). How to develop visions: A literature review, and a revised CHOICES approach for an uncertain world, Journal