AUI 3703 ASSIGNMENT 2

2.1. Discuss the mission of ReadAlot in the context of organisational performance. Elaborate on the relationship between mission and performance objectives.  The mission statement as a managerial tool, allows management the power to direct the behaviour of individuals and teams within an organisation.  The mission statement has three crucial functions: o It communicates the purpose of the organization to stakeholders(customers, employees, shareholders and investors), o It appraises strategy development, o It develops the measurable goals and performance objectives by which to measure the success or failure of the organization.  Managers are opinionated that the mission statement provides emphasis, encourages effective implementation of strategy, improves overall organisational climate, communication, and develops better management and leadership in a company.  The mission statement can then be measured in terms of value added per employee, the studies Rarick & Vitton in 1996 revealed that private organisations with mission statements perform better. 3  Deloitte & Touche’s 2007 study indicates that organisations, with a well published mission and business strategies realized, on average, a 43 % higher market to book ratio as compared to organisation’s whose staff is unaware of their strategies and mission.  Failure to communicate the organisations mission leads to uncertainty about the direction the organisation is looking to grow in and the central issues of a company reflects itself in lower employee income and poor sales results because the employees are operating against no set performance objectives. This results in poor organisational performance. 2.2. List the steps that you will follow to evaluate the mission statement of ReadAlot. As mentioned before, a mission statement is a statement of an organisations purpose in the market it operates in. The statement focuses on the organisations operating business, the company’s targeted customers, employees and shareholders. A clear, brief, and consistent mission statement is essential; it should be able to explain who ReadAlot is and why they exist. Following the sequence of questions/steps below will allow us to evaluate ReadAlot’s mission statement: Does the mission statement..  Clearly identify who the customer is?  Describe exactly what customer needs ReadAlot is out to fulfil?  Describe how ReadAlot will serve its customers?  Satisfy the current market environment?  Say what ReadAlot wants to be remembered or known for? Is the mission statement..  Concentrated on satisfying and sustaining customer needs instead of the provided service and/or product?  Based on ReadAlot‘s core strengths and competencies?  Inspiring and encourage employee commitment?  Realistic?  Specific, concise, attentive