Posted by We are used to seeing big visions and mission statements out there. Some are clearer than others. Some resonated more than others. Often, the belief is that companies are born with visions (aka with a visionary leader) and then it is about implementing it. Interestingly, that may or may not be the case, especially in a world where we are applying iterative business development and constantly assessing (and changing) product-market fit. It is not unusual that the big vision is developed after the fit is found, and even then, it can change over time. In other cases, the vision stays the same and how we are trying to achieve it that changes. Whatever comes first, vision or product, crafting a vision is still an important part of moving a company forward.
The background
Recently, I joined a local Women in Business network. It started with a speaking event but I quickly got interested in the network and the women that were part of it. Eager to learn, eager to connect, eager to take action and no doubt eager to talk business. It has grown steadily in the last 3 months so the founder invited a group of us to gather and support the development of a vision, a purpose. Sherry no doubt chose an opinionated group of women to participate, so the morning flew by as we tried to reign in the ideas and nail what the key question was – what is the group about?
What is a vision?
According to the Harvard Business Review, a vision statement is a simple, clear, and compelling idea that describes what the organization aims to achieve in the future. We are not short of experts that try to define what a vision is:
“A vision is the why of an organization, it defines the reason for existence and the impact it aims to have in the world” – Simon Sinek
“Vision is about fostering a shared understanding of the future that a group genuinely desires to create, a mental image of what “success” looks like” – Peter Senge
Why do we need a vision?
When I was interviewing start-ups for the Morgan Stanley EMCIL Accelerator, I noticed one of my colleagues kept repeating a question:
What is your north?”
I loved how it was framed, but I particularly enjoyed the insights I got from each founder in how they responded to this simple question, issued in a less typical manner. I had no shame in adapting the question to my own diligence meetings, as I find it expresses vision in an even better manner. Why is crafting a vision so important?
- A vision creates a shared identity: it is a way to establish who we are and what we stand for, fostering unity and belonging among members of a community or employees of a company;
- A vision ignites inspiration: a well-crafted vision drives passion in employees who are more willing to engage and contribute under a common purpose;
- A vision provides strategic direction (my favourite): it is a way to provide a long-term goal which is often helpful to remove short-term distractions or lack of alignment in new initiatives. When there are too many avenues to pursue, it can be difficult to choose which initiatives to drop and which ones to emphasize;
- A vision enhances decision-making: the long-term direction is key to help with prioritization and resource allocation. Knowing your purpose automates your day-to-day decisions and avoids constant second-guessing;
- A vision fosters engagement: the shared identity ensures the self-selection of members and employees to work or participate in something they deeply believe in.
- A vision facilitates communication: particularly important when building credibility with external stakeholders, like investors, partners or clients.
I am a big believer in having a vision. The transparency it provides to the founders themselves, to the internal teams or to the stakeholders that surround a company or a community is key for ensuring it remains rooted in its foundational values and aligns their day-to-day with this North.
Start with Why
So how did we start doing this big-picture thinking in a group of opinionated women who are keen to take action and organise the small details? Given I have spoken about Simon Sinek already, we can use his direction (research-backed or not) and start with why. In our case, the questions focused on why each of us came to the network and why we chose to go back. As we went around the table, I thought this provided a good way to collect ideas that were different but in a consistent manner.
In a company, this can be done by asking key stakeholders the same why.
- Why has the founder started this business? Why does she keep coming back every day? Why does the organization exist?
- Why do clients choose to use the product or service over others? Why do they come back? What problems is this company solving for them?
- Why do employees choose to work for this company? Why do employees believe this is the best solution for their clients?
- Why do investors choose to invest in this company over others? Why do they believe this is the best company for the purpose?
Starting with Why allows us to anchor the discussion on a shared purpose and to collect widely different points of view while translating them into a common line of purpose. As I listened to each person talk, I doodled complementary views that gave me a much clearer and broader picture of what the network could be about. It is the same with a company, in particular when there are differences between founders or simply unclear communication with external stakeholders.
The way forward
Day-to-day, I am a doer. I like fixing things, solving problems, and getting things done on my to-do list. When I am not doing things, I am thinking of doing them. When I am not thinking of doing things I am ideating new things to do. There is no stop button.
Having a purpose, north, vision, or whatever you choose to call it is what allows me to navigate the ideas and the constant demands. With a vision for what I want to achieve, I can choose what I am not doing today, I can park what I want to come back to in the future, and I can go full speed in what is moving me closer to my north star.