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MASTER OF BUSINESS ADMINISTRATION

ADVANCED CORPORATE STRATEGY (MGT 6266)

INDIVIDUAL COMPANY ASSIGNMENT # 1

A & M REALTY BERHAD


Analysis of Vision, Mission, Objectives and Strategy on assigned public company

Report prepared by:


Abdulla Abdulqader Al-Attas (G1430873)

Contents
Vision..................................................................................................................... 3
Effective Elements in Vision Statement..............................................................3
Shortcoming in Vision Statement.......................................................................3
Mission................................................................................................................... 4
Objective............................................................................................................... 5
Strategy................................................................................................................. 6

Vision
The vision statement of A & M Reality is has been analyzed based on core
concept that was highlighted by Thompson in his book Crafting and Executing
Strategy

A strategic vision describes where we are going


managements aspirations for the company and the course and
direction charted to achieve them.

This will enable the strategic vision to function as valuable management tool to
convey what top executives want the business to look like and provide managers
at all organizational levels with a reference point in making strategic decisions
and preparing the company for the future.
Below is A & M Reality vision analysis:
Vision Statement
Create a progressive
organization with an
environment of professionalism,
teamwork, quality, innovative
and value added products and
service excellence in all our
businesses

Effective
Elements
Flexible
Feasible

Shortcomings
Not Forward-Looking
Not memorable
Not Graphic

Based on our analysis A & M Reality Berhad vision statement had many
shortcomings that may affect their managers at all organizational levels with
from making strategic decisions and preparing the company for the future.

Effective Elements in Vision Statement


1. Flexible, A & M Reality vision statement language has some flexibility to
allow the directional course to be adjusted as market, consumer, and
technology circumstance change
2. Feasible, while the path and directions seems weak however, there were
few languages incorporated into the vision statement enable A & M Reality
to demonstrate measurable progress in achieving the vision.

Shortcoming in Vision Statement


1. Not Forward-Looking, the strategic course that will help company for
prepare for the future was not described.
2. Not memorable, the vision does not give a clear sense of direction and
purpose, and it will not be easily communicated to all employees on what
the direction will be.

3. Not Graphic, a clear picture of where the company is headed and the
market position the company is striving to stake out in not articulated
clearly.
A & M Reality Berhad strategic vision need to be improved.

Mission
On the next step we will be looking at the mission statement of A & M Reality as
it should describe its present business and purpose Who we are, What we do,
and Why we are here and it is purely descriptive.
Ideally, a company mission statement should cover the following:
1. Identifies the companys products and/or services
2. Specifies the buyer needs that the company seek to satisfy and the
customer groups or markets that it serves
3. Gives the company its own identity.
A & M Reality Berhad mission statement as follow:
Our Mission is to bring quality, innovative and value added
services and real estate of international standards, comparable
with global developers within the reach of all by winning the trust
and satisfactions of our customers and stakeholders.
Based on A & M Reality Berhad mission statement did try to cover most of the
key elements in developing a mission statement, however it is not clearly
articulated.
The following will analyze the mission statement by each element:
1. Identify company products and services
Looking at the A & M Reality mission statement, it shows the real state is
their core business. However, going through their website A & M business
is drilled down to three main products. (1) Real Estate development (2)
Resorts (3) Food & Beverages, (4) Plantation (5) Automotive (6) Security
Guard.
2. Specify the customer need that the company seek to satisfy
This element has been covered in the mission statement, my point view, A
& M Reality mission statement ideally revolve around this element.
3. Company own identity
This element is covered in the mission statement, however the identity
element is not clearly articulated due to how the mission statement
language was constructed.

A & M Reality Berhad mission statement is to some extent constructed based on


ideal mission statement elements and it will be need to further refined to be
articulated clearly.

Objective
The purpose of setting objective is to convert the vision and mission into specific
performance targets. Well stated objectives must be specific, quantifiable or
measurable and challenging and must contain a deadline to achieve.
There are two main types of objectives that company require to set: (1) Financial
objectives (2) Strategic objectives. There is also another type of objective to
push company performance high enough by challenging the employee called
stretch objectives
The following are the objectives of A & M Reality that was captured and available
in their latest annual report with their analysis based on the characteristic of
objective settings
1. Gender Diversity Policy
Corporate Governance Blueprint 2011 stated that the Board should
ensure women participation on board to reach 30% by 2016. The Board
does not have a policy on boardroom diversity, including gender
diversity. The Company will provide equal opportunity to candidates with
merit. Nonetheless, the Board will give consideration to the gender
diversity objectives.
Analysis: the above objective very specific on achieving gender
diversity with measureable percentage target of 30% to be part of the
board. This is percentage is not really challenging as there are many
organization who achieve this figure, it could be due to the culture inside
the organization. While, the language that was used to articulate this
objective it indicate this is not really major objective, nevertheless a
short timeline was given by 2016, which could be very challenging to
achieve.
2. CAPITAL MANAGEMENT
The primary objective of the Groups and the Companys capital
management is to ensure that it maintains healthy capital ratios in order
to support its business and maximize its shareholders value.
Analysis: this objective fall under financial objective. While it is specific
to capital management, it is not quantifiable or measurable and

challenging to achieve and enable the company to go a higher heights.


Additionally, there was no deadline to achieve it.

An extensive search was done to find additional objective using the following
terms in annual report and other documents (goal, company objective, business
objective, etc) but with no success. A & M Reality did emphasize on quality,
innovation and global standards, however those do not have clear objectives and
timeline to be achieved.

Strategy
To achieve the objective and move the company along the strategic course that
management has charted. Strategy has to come from doing things differently
from competitors (innovation, efficient, adapting faster, knowledge, etc) rather
than running with the herds.
There are four levels of strategy making, depending on the level of organization,
that involve certain management level:
1. Corporate strategy (Multi-business strategy)
2. Business strategy (strategy for individual business that compete in a
single industry)
3. Functional-area strategy within each business (e.g. marketing, R&D,
logistics)
4. Operating strategy
Going through A & M Reality Berhad annual report, website a summary of their
strategy was not shared even though many organization due give a glimpse of it
to their investors. Nevertheless, looking at A & M Reality Berhad Vision + Mission
+ Objectives it can be observed there is a lot of emphases on quality and
innovation. While these terms is in every organization direction the question will
be how A & M Reality will utilize it to become different from their competitors.

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