CHAPTER ONE

1.1 Introduction:

Vision and Mission are the inspiring words chosen by successful leaders to clearly and

concisely convey the direction of the organization. By crafting a clear mission statement and

vision statement, you can powerfully communicate your intentions and motivate your team or

organization to realize an attractive and inspiring common vision of the future. A Mission

Statement defines the organization's purpose and primary objectives. Vision Statements also

define the organizations purpose, but this time they do so in terms of the organization's values

rather than bottom line measures. Vision statement communicates both the purpose and values of

the organization.

1.2 Defining Vision

“Description of something in the future”

“Mental perception of the kind of environment an individual, or an organization, aspires to create

within a broad time horizon and the underlying conditions for the actualization of this

perception.”

Strategic intent should lead to an end.

That end is the vision of an organization or an individual.

It is what the firm or a person would ultimately like to become.

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1.3 Examples

1.4 Characteristics

1. Vision is developed through sharing across an organization.

2. Methods of convincing the others about vision.

3. Change agents.

1.5 Benefits of having a vision

Good visions are inspiring and exhilarating.

Good vision foster long term thinking.

Good vision foster risk-taking and experimentation.

Good vision helps in the creation of a common identity and a shared sense of purpose.

Good visions are competitive, original and unique.

Good visions represent integrity; they are truly genuine and can be used for the benefit of

people.

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BSNL Vision Statement

“To become the largest telecom service provider in Asia.”

Walt Disney vision Statement

“Make people happy”

Stokes Eye Clinic, Florence, South Carolina

1.6 Vision Statement

A vision statement answers the question,

“What will success look like?”

The pursuit of this image of success is what motivates people to work together.

1.7 Example: Vision Statement

1.8 Reasons for having a vision statement

• Gets team focused.

• Shows a picture of where the company is going.

• Instills focus, discipline, and structure within the organization.

• Ensures that team understands company direction.

1.9 How to write a Vision?

• Determine the organization's overriding goal

• State what the organization envisions itself to be in terms of values, employees, growth

and contributions to society.

• Look at vision statements of competitors in the industry

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Infosys

Vision: “To be a globally respected corporation that provides best-of-breed business

solutions, leveraging technology, delivered by best-in-class people."

• Use wording that will inspire your team. Think of adjectives and sentences that will get

the team excited and will make them think they are part of something that is much bigger

than something they could have thought of themselves.

• Get other people on the team to critique the draft of the vision to make sure it's effective

and inspiring. If there are any key customers the organization trusts, ask them to review

the draft too.

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CHAPTER TWO

2.1 Mission

Organizations relate their existence to satisfying a particular need of the society. They do

it in terms of their mission.

Mission is a statement which defines the role that an organization plays in a society.

It refers to the particular need of that society for instance, its information needs.

2.2 Defining Mission

“Essential purpose of the organization, concerning particularly why it is in existence, the nature

of the business it is in, and the customers it seeks to serve and satisfy.”

“Purpose or reason for the organization’s existence.”

“Mission is an enduring statement of purpose that distinguishes one firm from other

similar firm.”

In short the mission describes the product, market and technological areas of emphasis for the

business.

2.3 Example Mission Statement:

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New Port News Shipbuilding

“We shall build good ships here – at a profit if we can – at a loss if we

must – but always good ships.”

2.4 Characteristics

3. Feasible

4. Precise

5. Clear

6. Motivating

7. Distinctive

8. Indicates major components of strategy

2.5 Need for an explicit mission

To ensure unanimity of purpose within the organization.

To provide a basis for motivating the use of the organizations resources.

To develop a basis, or standard, for allocating organizational resources.

To establish a general tone or organization climate.

To serve as a focal point for those who can identify with the organization’s purpose and

direction.

2.6 Mission Statement

“A mission statement is an enduring statement of purpose that distinguishes one business from

other similar firms. A mission statement identifies the scope of a firm’s operations in product and

market terms.”

2.7 Example

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BSNL Mission

“To provide world class state of art technology telecom services to its customers on demand

at competitive prices.

“To provide world class telecom infrastructure in its area of operation and to contribute to

the growth of country’s economy.”

The mission statement of an organization is normally short, to the point, and contains the

following elements:

Provides a concise statement of why the organization exists, and what it is to

achieve;

States the purpose and identity of the organization;

Defines the institution's values and philosophy; and

Describes how the organization will serve those affected by its work.

2.8 Formulating Mission

1. What is the basic purpose of your organization?

2. What is unique about your organization?

3. What is in your company that will make it stand out in a crowd?

4. Who are, and who should be, your principal customers?

5. What are the basic beliefs, values and philosophical priorities of your firm?

2.9 Example of Mission:

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Infosys

Mission: "To achieve our objectives in an environment of fairness,

honesty, and courtesy towards our clients, employees, vendors and society

at large."

2.10 Importance of Mission

Benefits from a strong mission

2.11 Elements of Mission:

2.12 How to write a Mission?

• Ask "What do we do?"; "How do we do it?"; and "For whom do we do it,"

• Create a draft mission statement describing how the company uniquely answers these

questions. Touch on the organization's current operations and the industry it is in.

• Look at competitors in the industry and use their mission statements for research. Ask

yourself what works and what does not work. Revise your mission statement as needed.

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• Get feedback from other members of the organization once the statement is drafted. 

2.13 The Difference between Vision & Mission

Vision - The Future

• Definition: The way in which one sees or conceives something; a mental image; An

overall statement of the goal of the organization.

• Vision should describe what will be achieved in the wider sphere if the organization and

others are successful in achieving their individual missions. 

Mission - The Present

• Definition: An assignment one is sent to carry out; a self-imposed duty. A mission

statement identifies the reason for the existence of the organization. The statement should

be linked to the overall operations and business of the organization

• A Mission statement is more specific to what the enterprise can achieve it.

Vision Mission

1. Vision is the ultimate goal. 1. Mission is the reason of existence of an

organization.

2. Vision is a conceptual thing similar

to the ideal of a real thing.

2. Mission is often an action or group of

individuals that are formed with the

intent of action.

3. Vision generally refers to a concept. 3. Mission can refer to a group of

individuals, the act that a group or

individual is to carry out, or to the

actions involved in the completion.

4. Vision may not achieve always. 4. Mission is achievable.

5. Every organization has only one

vision.

5. Every organization can have more than

one mission.

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2.14 Which comes first?

  That depends. If you have a new start up business, new program or plan to reengineer your

current services, then the vision will guide the mission statement and the rest of the strategic

plan. If you have an established business where the mission is established, then many times, the

mission guides the vision statement and the rest of the strategic plan. Either way, you need to

know your fundamental purpose - the mission, your current situation in terms of internal

resources and capabilities (strengths and/or weaknesses) and external conditions (opportunities

and/or threats), and where you want to go - the vision for the future. It's important that you keep

the end or desired result in sight from the start.

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CHAPTER THREE

General Motors

3.1 Company Information and Profile of General Motors 

General Motors is a major American automotive corporation. The following profile and

background facts about General Motors provides company and business information for research

and general interest including business address and telephone details, business industry,

company description, slogan, General Motors mission statement and or Vision statement and

whether General Motors appears in the Fortune 500 company listing - all useful business

information.

Name of Organization : General Motors

General Motors Company Address : 300 Renaissance Center, Detroit, MI

48265

General Motors Telephone Number : 313-556-5000

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3.2 Company Description

As a top company in the Automotive industry General Motors specialize in the manufacture of

cars and trucks selling them under the brands of Buick, Cadillac, Chevrolet, GMC, GM Daewoo,

Holden, HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.

3.3 Business Industry - Automotive 

The general business activity and principal products or commercial enterprise of General Motors

are categorized as being part of the Automotive Industry.

3.4 General Motors Slogan

A slogan is a short, memorable catch phrase, tagline or motto used to to identify a product or

company in advertisements. The advertising slogan, or business slogan most associated with

General Motors, is:

"People in motion."

3.5 General Motors Mission Statement and/or Vision Statement

Mission Statements and Vision Statements are written for customers and employees of

corporations. A Mission Statement can be defined as a sentence or short paragraph written by a

company or business which reflects its core purpose, identity, values and principle business aims.

The definition for a Vision Statement is a sentence or short paragraph providing a broad,

inspirational image of the future.

3.6 General Motors Mission Statement:

"G.M. is a multinational corporation engaged in socially responsible operations, worldwide. It is

dedicated to provide products and services of such quality that our customers will receive

superior value while our employees and business partners will share in our success and our

stock-holders will receive a sustained superior return on their investment."

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3.7 General Motors Vision Statement:

"Over the past 100 years, GM has been a leader in the global automotive industry. And the next

100 years will be no different. GM is committed to leading the industry in alternative fuel

propulsion."

"GM’s vision is to be the world leader in transportation products and related services. We will

earn our customers’ enthusiasm through continuous improvement driven by the integrity,

teamwork, and innovation of GM people.”

"Over the past 100 years, GM has been a leader in the global automotive industry. And the next

100 years will be no different. GM is committed to leading the industry in alternative fuel

propulsion."

3.8 Values Statement 

The auto industry just like the global economy is going through tremendous change, due to rising

fuel prices, and environmental worries, such as global warming. GM must use these

threats as opportunities, and take advantage of changing consumer buying habits. GM

needs to change consumer perception of the company, from a dull, poor quality, vehicles to

innovative, quality, and environmentally friendly company. To do this GM must portray

an image that states that GM values what the consumer wants and what the

environment needs. Listen to what consumers are saying directly and indirectly about

GM’s current products, and create innovative, green, vehicles that turn consumers into

customers. At the same time provide GM stakeholders pride and financial incentives to remain

with GM.

3.9 Environmental Analysis

GM and the entire auto industry are currently challenged with the perfect storm. The auto

industry is  being hi t by a  weak US and global  economy,  r is ing fuel  prices,  and

social  and poli t ical environmental concerns and   issues. In  order

to  overcome these potential   threat , GM should consider mass producing a range of

alternative fueled vehicles, i.e. fuel cell, electric, and hybrid.

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3.10 General Motor’s Strategic Analysis

The major competitors of General Motors are domestic companies like Damiler

Chrysler & Ford Motor and foreign companies like Toyota Motor & Honda Motor.

3.11 Damiler Chrysler

As the number two auto manufacturer in total revenues Daimler Chrysler has positioned itself as

an industry leader, with this come many strengths. The Daimler Chrysler umbrella covers many

well-known brands such as Dodge, Chrysler, Mercedes Benz, and Jeep. This means

DaimlerChrysler has strong brands that are recognizable in almost every part of the world.

3.12 Ford Motor Company

Ford Motor Company is a global company with two core businesses: Automotive and

Financial Services. The Automotive business consists of the design, development, and

manufacture, sale and service of cars , t rucks and service parts . Ford has been

focusing on cutt ing costs to increase margins more than its competitors. It has

used reverse engineering in the development of their  products. Thus Ford has been an

innovator in the auto industry.

3.13 Honda Motor Company

Honda motor  company is  not  your  average Japanese  car  manufacturer .  Original

ly know for  motorcycles, Honda has managed to elude the dominate keiretsu system in Japan

and become one of the dominant automobile manufacturers in the world. There is much strength

to Honda. Honda has a reputation for producing high quality products from cars to

motorcycles. Honda has won many awards for initial quality and customer

satisfaction. Their automobiles are reliable and generally fuel efficient. Their research has

afforded them competitiveness in innovative products.

3.14 Toyota Motor Corporation

The Toyota Motor Corporation was incorporated in 1937 and has many strengths being one of

theindustry   leaders   in   the automotive   industry.  Toyota  has  three  major  brands u

nderneath  thecompany umbrella; Toyota, Lexus, and Scion. By having these three

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distinct brands, it lets the company reach many sectors of the globe in a choice

of vehicle for customers. Toyota has traditionally also been the leader in Total

Quality Management or TQM. By using the Kaizen theory of continuous improvement,

Japan caught up the U.S. auto makers during the 1980s.

3.15 General motors’ - the future

THE PLAN - FIVE POINTS

GOALS:

Increase General Motors U.S. market share to 33%

Improve customer satisfaction as evidenced by points of market share, not fractions

Each year GM spends billions in advertising and incentives in the name of marketing. Yet

there exist far less expensive and far more productive methods of acquiring and retaining

customers. This plan calls for no capital investment and offers the opportunity for large

reductions in marketing expense.

STRATEGY:

Implement both innovative and proven marketing techniques.

Raise market share 1 percentage point in each of five key areas

Remake our corporate image as a leader by acting rather than re-acting.

Change focus of advertising from distress to inspirational.

Loss of market share experiences over the past two decades is due to the demised image of

GM in the marketplace. The five key areas contain specific steps for the new image.

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STRUCTURE:

The plan will address issues and offer solutions regarding:

Our Customers

Our Dealers

Our Salespeople

Our Employees

Our Retirees

3.16 Strategically Analysis on General Motors

 SWOT Analysis

Strengths

1. Large Market Share

Although GM's market share in the US has dropped it is still very much competitive at 26

percent. They also have an increasing share in the Chinese market. With the right

decisions there is no reason for GM to not become the automotive leader it once was.

2. Global Experience

As explained above even with GM's recent decl ines they st i l l have the market

share and the experience to bounce back. They have been a worldwide company for

nearly a century now and have established themselves as the global leader for most of them. If

you recall I mentioned above that a current opportunity for GM is to expand globally and

as we can see they already have the experience to do so. It is just a matter of the correct

planning and proper implementation of those plans that will decided whether or not GM's goals

are achieved.

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3. Variety of Brand Names

GM as I mentioned has been the automotive leader for the majority of the last century.

A large reason for that is the wide variety of quality brand names that appeal to all

target markets. The current GM brands include: Chevrolet, GMC, Cadillac, Buick,

Pontiac, Saturn, Hummer, Saab, Daewoo, Opel, and Holden.

4. GMAC Customer Financing Program

Since its establishment in 1919 it has proven to be GM's most reliable source of revenue.

5. On Star Satellite Technology

Developed in 1996 On Star currently has over 3 million subscribers and is standard on

all GM vehicles. This technology allows the vehicles to be tracked in the event of an emergency

or theft. It also allows the driver and or passengers the ability to communicate with OnStar

personnel at the click of a button.

Weaknesses

1. Behind on Alternative Energy Movement 

This is GM's biggest weakness. The alternative energy/hybrid trend has begun to take place in

the automotive industry and GM has been one step behind the competition in terms of

alternative energy vehicles. This has led to many problems including loss of market share and a

decrease in company profit. In order for any automotive company to be successful from

this point forward they must be Hybrid friendly and fuel efficient.

2. Poor Organizational Structure

As we can see in exhibit 1 of the case GM's organizational structure seems to be too

vertically integrated. This causes a lack of communication between employees from top to

bottom and may have played a part in GM falling behind on the alternative energy movement.

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3. Stagnant Profitability

Looking at GM's profit we see that they are certainly struggling with respect to the

size of their company. Their profit margin was about 1.5% and the ROE has dramatically

decreased over the recent years dropping to 10% in 2004. This is a situation that

shareholders will not be pleased with.

4. Overly Dependent on US market 

GM has become too dependent on the US market and must take advantage of the

opportunity to expand globally. The competition is becoming too strong to focus on just one

country.

5. Overly Dependent on General Motors Acceptance Corporation

(GMAC) Financing: GM has become too dependent on its financing program. Granted

it is a great strength for GM, however they once again cannot rely solely on financing in

order to turn profit, especially if they want to compete with Honda and Toyota who are rapidly

growing.

6. Poor Credit Status

GM's credit status has like everything else has been steadily declining. Their current

ratio is just barely above 1 and their acid test is even lower. Although, I don't see them getting

denied based on their credit at this point, the seriousness of the matter is certainly apparent.

Opportunities

1. Alternative Energy Movement 

It is obvious that GM was behind its competition with regards to the research and development

of hybrid vehicles. However hybrid technology is still very much new giving GM the

opportunity to once again become the automotive industry's leader in innovation and technology.

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2. Continuing to Expand Globally.

Recently GM saw an increase in the Chinese automotive market, which proves

their needs to be more emphasis put on foreign markets. If GM can infiltrate these markets and

successfully grow along with their continuing focus on the US market they will be headed in a

positive direction.

3. Low Interest Rates

With the right marketing strategy the low interest rates have the potential to generate an

immediate increase in sales.

4. Develop New Vehicle Styles and Models

This is an opportunity that will never be satisfied, meaning that GM should always be attempting

to develop the automotive world's most popular vehicles, and as we know, what is in today will

be out tomorrow.

Threats

1. Rising Fuel Prices

With GM being a large producer in both trucks and SUV's, sales have drastically decreased due

to the lack of fuel efficiency. The rise in fuel prices has played a significant role in

creating the opportunity for development of both hybrid and more fuel efficient vehicles. As

you will find with most threats, an equal opportunity will usually emerge as is the case here with

GM's opportunity mentioned above.

2. Growth of Competitors

GM no longer has the luxury of being the known leader in the automotive industry and faces the

reality that they are in serious trouble. As I mentioned earlier Toyota took the first

step in the direction of hybrid technology and has since drastically grown

and become the questionable automotive frontrunner to start the 21st century.

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3. Pension Payouts

Part of this threat is its own doing and the other is simply unavoidable. GM is

responsible for providing generous pension benefits to its employees, who at the time seemed

like a great idea, however they are now experiencing problems as more and more people begin to

collect.

4. Increased Health Care Costs

GM, like many large companies with quality employee health care benefits, is experiencing a

large financial hit that only gets worse as time continues.

5. Rising Supply Costs, i.e. Steel 

Once again this threat affects the entire automotive industry and forces each company

to cut manufacturing and production costs as much as possible, without taking away from the

quality of the product.

3.17 Porter’s Five-Forces Analysis

The competitive structure of an industry is another important component of identifying factors

that are a threat to diminish profitability. One of the most efficient ways to assess competitive

issues is to consider Michael Porter's five-force analysis. Porter (1980, 1985) has

highlighted five such factors: (1) rivalry between existing competitors, (2) threat of entry by

new competitors, (3) price pressure from substitute or complementary products, (4) bargaining

power of buyers, and (5) bargaining power of suppliers.

1. Rivalry between existing competitors

With the rise of foreign competitors like Toyota, Honda and Nissan in the 1970's and 80's,

rivalry in the American auto industry has become much more intense. Firms compete on both

price and non-price dimensions. The price competition erodes profits by drawing down price-

cost margins while non-price competition (e.g., new car rebates and interest free loans) drives up

fixed cost (new product development) and marginal cost (adding product features). One of the

other reasons there is such high rivalry is that there is a lack of differentiation opportunities. All

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the companies make cars, trucks or SUVs. The competitors are compared to one another

constantly. In recent years there has been significant market share variation, another indication of

rivalry and its very strong threat to profits.

2. Threat of entry by new competitors

The presence of new firms in an industry may force prices down and put pressure on profits.

There are, however, barr iers to entry that tend to protect establ ished f irms. One

would expect the  production of automobiles to require significant economies of scale, an

important barrier to entry. The new entrant would have to achieve substantial market share to

reach minimum efficient scale, and if it does not, it may be at a significant cost disadvantage.

While the evidence suggests that economies of scale in the auto industry are substantial, there are

also indications that large size may not be as important as commonly assumed. Nevertheless,

entry would represent a large capital investment to any new firm and the body of

research st i l l indicates that economies of scale represent a  substant ial

barr ier   to  entry. Consequently, entry is  currently a  weak threat to  profitability.

3. Price pressure from substitute or complementary products

While five-forces do not directly consider demand, it does consider two factors that influences

demand ― substitutes and complements. Although new cars generally are slightly price elastic,

suggesting few real substitutes (e.g., bus and rapid transit), the demand for a particular model is

highly sensitive to price because of the availability of close substitutes for a given model. A

change in the price of a complementary product (e.g., gasoline, batteries, and tires)

could have asignificant impact on the demand for automobiles. The rising price of gas, an import

ant complementary product, is likely to affect some firms more than others depending upon the

vehicle composition. Recent rising fuel prices are likely to have a greater impact on the big three

(GM, Ford Motor and Daimler-Chrysler) whose most profitable models are energy

inefficient pick-up trucks and sports utility vehicles. On balance, the overall impact on "industry"

profitability from substitutes and complements is weak to moderate.

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4. Bargaining Power of Buyers

Buyer power refers to the ability of individual customers to negotiate prices that extract profit

from the seller. Individual consumers have some influence over price within a given dealership,

but little power over manufacturers. Customers can easily, and with little cost, switch to other

auto dealers. Furthermore, customers now have access to market information

(prices and costs) from the Internet that enhances their negotiating power. But when you have

many individual customers, each representing a small proportion of total sales, they will have

little bargaining power with manufacturers and therefore pose a weak threat to industry profit.

5. Bargaining Power of Suppliers

Auto manufacturers require inputs-labor, parts, raw materials and services. The cost of

these input scan have a significant effect on profitability. Whether the strength of suppliers is

weak, moderator strong depends on how much bargaining power they can exert. The auto

manufacturers have large supplier networks that appear to exert little bargaining power.

Nevertheless, the United Auto Workers (UAW), the only supplier of labor, has historically

exerted a great deal of leverage over the benefits and wages provided by the big three. Because

of this historical dominance by the UAW and the uncertain results of their current negotiations

with the big three, one has to characterize supplier power, at least in this segment of the

American market, as a strong threat to profits. The following table summarizes the results of a

five-force analysis of the automobile industry.

Five-Force Analysis

FORCE THREAT TO PROFIT

Internal Rivalry Strong

Entry Weak

Substitutes and Complements Weak to Moderate

Buyer Power Weak

Supplier Power Strong

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Core Competence

The core competence of General Motors is innovation. This is the driving force behind its $190

above turnover. General Motors has been utilizing innovation in service ad technology to secure

itself a dominant position in the automobile industry, since 1908. In 1911, it conceptualized,

engineered and commercialized the self-starter engine for the first time. Then in 1926, its product

Cadillac was the pioneer in devising a nationwide service strategy. In 1996 General Motors

introduced On Star satellite technology which allows equipped vehicles to be tracked in case of

an emergency or theft and allows the passengers to communicate with On Star personnel. Other

new car concepts include mini cars such as Chevy Aveo. However in the case of hybrid vehicles,

General Motors was unable to keep up to the pace of the market demand.

Financial Results

Based on the GM’s consolidate net sales and revenue, it shown that General Motor Corporation

revenue has been falling to $ 192.6 billion in 2007 from 193.5 billion in 2004. GM incurred a

consolidated net loss in 2007 of $ 10.6 billion, compared to net income of $ 2.8 billion in 2004.In

the last 1990s, GM had regained market share up $ 80 a share. In 2000, the interest went up by

the Federal Reserve to quell the stock market and a severe stock market decline following the

September 11, 2001 attacks. Due to this factor, it affected a pension and benefit crisis at General

motors and many other American companies. The current stock market price of General Motors

are falling between $28- $29 per share. It has been falling down gradually in the past six years.

General Motors North America market share in 2007 fell to 25.5% compared to 26.7 in

2004.Decreased in market share also due to sales declines in segment where GM has high

volume suchas large sport utilities, mid-sized utilities, and mid-sized cars. The unfavorable

results of GM’s consolidate net loss in 2007 were driven primarily by losses at GMNA due

largely to unfavorable volume and product mix.

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Suggested Strategies

Below is a list of possible strategies General Motors could use to redirect profits and be able to

maintain survival for the future.

1. Market Development

2. Market Penetration

3. Product Development

4. Restructuring

5. Retrenchment

6. Liquidation

Implementations:

Recommended strategies for General Motors would start with product development then market

development, liquidation, and restructuring. Reasons for product development being at the top

of  priorities is that GM has to create a type of Hybrid vehicle that will allow it to keep up with

the pace of the competitive environment, but must be a product that stands out from the crowd at

the same time. Prime example of their idea for a Hybrid SUV, it fits the GM profile with

maintaining the SUV portion, but allows the firm to stay with trend patterns.GM must also re-

evaluate the market they are trying to approach, because for so long they have continued with a

tradition outlook for automobiles, but now that times are changing their original target market is

not looking for what they once were. General Motors needs to take a step back and take look at

how they want to position themselves and towards what market since what they have been doing

is no longer in favor for the company. An example of what GM could possibly do is producing a

futuristic vehicle, which has been heard in rumors from Toyota about their next plan of  action. If

General Motors could provide a "futuristic" vehicle before Toyota has the chance to hit the

market with theirs GM would be a step ahead of the competition. Liquidation is important to GM

because their assets are a lot higher than revenues, and if GM could turn assets into cash then

there would be more readily available funds and then GM would not have to depend some much

on their U.S. sales, which only include 2/3 of that market and their financing tactic wouldn't be

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as much of a risk. Liquidation would clearly help out the financial parts of the organization.

Last but not least is restructuring, which General Motors most desperately needs to review

possibilities. The company has taken a large hit in recent years and needs to find a way back to

the top. This is only going to be achieved if something drastic is changed. Restructuring the

product development pace would be a start as well as cutting back on employees because the

company is growing in size but not in profit, which causes a red flag for GM. The company

needs to be re-evaluated in many ways, but GM has been strong for many years that it is very

possible for the company to come above these issues.

Evaluation:

The biggest thing for General Motors is to develop a Hybrid vehicle that will maintain the pace

of the competition for the firm as well as one that will stand out from the crowd to make the

product new and exciting. Creating a Hybrid SUV is a brilliant idea and if GM can pull that off

by the end of 2007 the future could look very bright for them. The company has a huge

background proving that they can maintain being number one, it's just a matter of product

development being maintained and refocusing products to the correct target markets.

3.18 Consolation:

A vision and mission is not only for investors and for lenders but it also helps you to achieve

your business goals in the best possible way. Writing the good vision and mission statement is

not an easy task. Make sure that your vision and mission statements must be realistic and

relevant to your business. Try to make it passionate and inspiring. For example, the mission

statement of the famous brand NIKE is: CRUSH REEBOK. The mission and vision statement

must be similar to your competitors. On the other hand, the right organizational structure can

play an important role in an organization's evolution. By analyzing all mission, vision, goal,

objective, strategy and organization structure of General Motors, we can say that, these are

important in their success in automotive industry.

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References:

1. www.slideshare.net

2. www.gm.com

3. www.wikipedia.org

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