Mission Analysis

by

Dr. Alfred M. Coke

 

How many enterprises are conducting daily business without understanding what business they should be conducting? The answer – most!

Few management teams have taken time to conduct a mission analysis of their businesses. Most managers have never given deep consideration as to what their Mission Statement actually includes and requires. More importantly they don’t realize the implications of what the statement excludes.

To conduct a mission analysis one must first understand the two major components of a Mission Statement. Those are the Specified Task and the Implied Tasks. Notice the first is singular and the second is plural. This distinction is important.

The Specified Task is the single item that is required of the company. It is the center of its universe. This is usually the income generator and is often related to the products, goods, or services.

A Mission Statement can never contain a double header or two Specified Tasks. That leads to internal confusion. This is from a time honored principle that you cannot serve two masters. Andersen had this problem. They didn’t know if they were a management consulting company or were they auditors? A sign in a yard in Denham Springs, LA comically illustrates this point. The sign reads “We sharpen saws and file income taxes.” Which do you believe?

There are multiple Implied Tasks in any Mission Statement. These are the myriad of action items that must be done for the company to function. For a homebuilding company the Implied Tasks list may include items like:

  1. Establish a relationship with land developers
  2. Establish a line of credit with financial institutions
  3. Establish a working relationship with the required trades

The mass of Implied Tasks identified in a mission analysis are further grouped into functions. These naturally align with the operating structure of the company. When assigned to the proper functions they become the job descriptions and basis for the performance measurements. Everything has to be accounted for in the Mission Statement. No task can be left without an owner.

An example of the layout of a Mission Statement with its Specified Task and Implied Tasks might be:

The Mission Statement of Treetop Homes: We manage the home building process!

Specified Task: Develop the most efficient flow process in the building industry.

Implied Tasks (partial list to illustrate the point)

  1. Hire and train a fully functional sales force
  2. Develop a marketing plan
  3. Create company registered designs
  4. Establish a materials supply chain

This format is being used by a very successful Canadian company to understand the life cycle of building a house. By using the hard edged definitions its Mission Statement and completing an exhaustive mission analysis the management team has outpaced its competition. You can build a house and hope to sell it, or you can understand and manage the complete transaction in an efficient manner.

Summary

Conduct a mission analysis to fully appreciate the scope of your enterprise.