Vision holds organizations, including business organizations, together. Vision inculcates loyalty, commitment, cohesion, efficiency, and cooperation. A business organization without mission and vision statement describing its direction and what it would like to become in the future is rudderless and most likely to be viewed by employees as a place of employment and nothing else. First and foremost for an effective vision BSC is the process by which the vision is formulated.
The most effective way of formulating a vision is to get as many ideas as possible. This will be from what the owners and employees envision the company in the future. Owners, of course, will be committed to a vision that they themselves crafted but you cannot always be sure whether employees will regard it with the same commitment. From a psychological standpoint, it is known that people who are deeply involved in the decision-making process and know what benefits they will earn from doing their jobs efficiently are likely to develop a strong commitment to their jobs and the company as well.
It terms of trying to motivate employees, even ordinary employees, what could be more effective than allowing them to participate in the visioning process? Employees get the feeling that they have a personal stake in the company’s success or failure since they share a common vision. A shared vision weakens self-interest, which in turn, provides for a workplace environment that fosters Vision 20 reviews cooperation, hard work, and commitment.
It is easier to draft a suitable scorecard when more people are involved. Usually, a moderately-sized company would be composed of a few departments – finance, human resource, production, marketing, and others, depending on the kind of business the company is engaged in. It will definitely be of great help when people, representing each area of operations, are able to chip in what they think the direction the company should take based on their areas of expertise. This will make the vision scorecard and the resulting vision comprehensive with all operational aspects amply given attention.
Aside from the comprehensiveness of the vision and its scorecards, you can expect planning to be an easier and an enthusiastic undertaking since employees know that the company vision is their vision. The participative visioning will help in encouraging people to work harder as the company is heading towards a future that they approve and sure to bring them dividends.
Business environments are constantly changing especially these days when a single technology innovation can result to new products that can alter how things are done overnight. The vision scorecards must be flexible and, most importantly, provide accurate measures that tell whether or not the company needs to change course or whether the direction is still valid.
To keep with the ever-changing business environment, some companies make it a point to conduct periodic reviews of their visions with owners, top management, and lower management in attendance. There may be new internal and external developments that render the vision off-track and revisions might be needed. Usually, both the vision and vision BSC are reviewed simultaneously with the conduct of strategic plan assessments.