Business Aims / Objectives & Mission Statements A business aim is a long term goal. It is something a company is working towards to achieve the target within a certain time. To do this the business would need to use short term goals called objectives to achieve these. These objectives intend to be SMART. (Specific, measurable, achievable/agreed, realistic, time) An aim is where the business wants to go in the future, its goals. It is a statement of purpose, e. G. We want to grow the business into Europe. Businesses may set aims to give their workers a Lear idea of what they are trying to achieve.
Businesses may set aims because it helps the business to improve and give it a better reputation on the market; for example if a business aim was to Increase the use of recycled packaging by 20% by 2013 then customers may use this company more because they can see that they are trying to improve the pollution and emissions in the world and helping the environment by recycling their waste. Some business aims may be; to make a profit to increase market share to improve quality to improve service to be environmentally friendly
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Businesses may use aims to motivate the workers and then the business can work in the same direction towards one goal the business wants to achieve. Profit: One aim in a business is to make profit. Profit is simply the final amount of money that the business makes, once all the costs are paid from income. Businesses often have this as their business aim because it would give shareholders dividend. Also because it makes the business look healthy and successful and want people to work for it which could help attract new investors. Businesses might use the money to give he workers a higher wage or use the money for extra resources.
An example of a business aim relating to profit could be Tests. By Tests going global, it will maximize its profits as its services are greatly sort across the world. Its ability to allow its customers to carry out their transactions online makes it a favorite for many. Market Share: One aim in a business is to increase market share. Market share is the portion or percentage of sales of a particular product or service in a given region that are controlled by a company. It is calculated. The total company sales divided by the total arrest sales times by one hundred.
Businesses often have this as their business aim because it generates more revenue and the more successful their business is, the more customers they attract. An example off business aim relating to market share could be Data tea. Their aim is to gain a significant amount of market share in the packet tea market. Another example could be Caduceus. Their aim referring to market share is to significantly increase global confectionery share. One last example coo a De Johnson & Johnson. I Nell alma It to Decode to mummer one mealtime company in the I-J. So to do this they would need to get the biggest percentage of all market shares.
Services: Businesses often have aims to provide services. Services are either tangible or intangible. Tangible is something you can see or touch; for example an Pod or a table and chairs. Intangible is something that you can’t see or touch; for example a plumber or a hair dresser. A service is intangible you cannot see or touch it. Businesses may have this as their aim because services do not go out of date unlike most products due to fashion; for example a bus operator company doesn’t go out of ate because it is used each day and its aim within the company could be to improve the quality of the service.
To do this they could ask the customers about the service of the bus and this way can improve. Businesses may also have this as their aim because it gives a better reputation to help support a product and meets the consumers needs. Also because it meets the consumer needs. Finally because they could compete within the market so people buy their product and not another company’s product or service . An example of providing services could be PUPA. Their IM is to provide a range of services designed to promote good health and guard against illnesses.
The service that they offer is a health service and you cannot see or touch health. Quality: One aim in a business is to provide quality. Quality is the degree or grade of excellence. Quality is important in a business because it keeps the customers happy and loyal. Also quality is important because if the product was cheap and not not a high standard quality consumers are less likely to buy the product therefore the business wont earn money. E. G. An pod, then it would be better value for money and ore people may buy it if it was to have more memory and upgraded from the last version.
Businesses can improve the quality of a product by using better materials for the product. If the product had high quality materials then the product would be stronger and then last longer. So if you were to drop it then it would be less likely to break. People will then buy your product because it would be value for money. Businesses could improve the quality of a product by testing new potential products with customers so the company can see what they think of the product and give feedback.
For example to improve the manufacturing of a bag of crisps you could change the oil they are cooked in to make the crisps healthier and maybe get more people to buy them. Another example could be a train operator. They could improve the quality by having comfier chairs to make the Journey more relaxing. One of Kellogg aims is to reinforce the importance of a balanced lifestyle by producing cereals which contribute to people gaining a balanced diet. Business adjectives are a snort term goal. Businesses nave tense Decease teeny can use objectives to get to their long term goal, aims.
Having objectives in a business is useful because it helps staff to focus on what they are aiming for. Businesses also set goals because then all employees work towards the same goal. Setting objectives help to keep the workers motivated and it improves the business. Every Objective should be SMART; specific, measurable, attainable, realistic and time. Objectives should be smart because in the business you have to set specific objectives so every worker knows exactly what they are doing and therefore able to achieve the aims. Objectives should be measurable.
You should be able to check the amount of money hat comes into the business. Objectives should also be achievable. Businesses shouldn’t set objectives that are impossible for the workers to do because then they wouldn’t be able to achieve their goal easily. Every objective should be realistic and able to attain. Objectives should be realistic. For example you wouldn’t be able to invest in say EIA,OHO within a week. It is impossible. Objectives should be timed so every worker knows that they have to complete the short term goals within a certain amount of time to achieve the aim.
Businesses should set an objective and a time to o it in because then all workers stay focused and know when the objective is to be achieved by giving a motivational aspect. McDonald’s’ objective is to provide customers with food of a high standard, quick service and value for money. Deco’s objective is to maximize profit and to provide goods/services that are cheap and affordable to consumers or the public. This would be specific because it clearly states what is to be achieved. Firebox’s objective is to gain 10% of web surfers by the end of 2005. This would be timed as it clearly states when they want the objective to be achieved.
It is important to have aims in businesses because then you are out to set a goal or target. Having aims provides a focus for the business. If you have aims in your business then that’s what you expect to achieve within a certain amount of time. An aim highlights key areas of development and achievement within the business. Without aims the business will have no targets, so will have no clue on how to improve or what they want to achieve within the business. They say ‘no aim no gain. ‘ Having aims in businesses leads to a more successful business and is then given a good name.
It is important to have objectives because they are specific goals that the business is wishing to achieve. For example, “We must triple the sales of our product by next year. ” Without any business objectives you will not be able to grow successfully in any direction. Also it leads to an uncoordinated business that has a very low probability of being successful. Having business objectives gives you a much better understanding of where you stand and how to improve. Also it’s important to have objectives in businesses because otherwise you will not be able to reach your aims ND goals you wish to achieve within the business.
A Mission Statement is an ambition that a business wants to achieve over a period of time. It is a short sentence which summaries what the aims are in a business. For example goggles’ mission statement Is ” 10 organize ten world’s International Ana make It unilaterally accolades and useful” a mission statement is a bit like a slogan. A mission statement defines the purpose of a company. A mission statement should provide a path in the business. A mission statement is a statement in which people know why the company exists. The mission statement shows the companies purpose.
Without a mission statement, the company will have nothing to plan on. A mission statement helps employees to know what they are doing, why they are doing it and where they are going. A mission statement provides a focus needed for making decisions in the business. An example of a mission statement would be to create brands people love. This is Caduceus mission statement. Another example of a mission statement could be; ‘to organize the world’s information and make it universally accessible and useful. ‘ this is goggles mission statement.