The traditional approach, with many variants, has been based around the mission – vision – strategy methodology. Most organisation developed longer term strategic plans (often going 3 years out) and in a relatively stable environment these did provide a guide to capital needs and resource planning. But then the 4th Industrial Revolution came along and disruption made long term strategic plans less relevant.
New World of Work
The contemporary view in management science is that organisations need to have a Purpose Statement, a statement that informs of the reason the organisation exists. It is the “long term good” that the organisation is doing.
The Purpose Statement provides the boundaries within which the organisation should operate. Strategic Pillars are often agreed as the guiding principles for the strategies put in place.
What the Change Meann
Organisations and employees have a social responsibility beyond maximizing shareholder value. People need to know they are doing some broader good. This makes what they do more meaningful. If the organisation has a Purpose Statement it needs to permeate through the organisation and be known, understood and adopted by the employees.
Organisational Purpose is documented in the business planning dashboard and in the team dashboards. Employees are asked periodically if they are still in sync with the purpose or if there have been matters that have caused them concern. Purpose is therefore an ongoing living thing, not something written and put in the drawer and forgotten.