Vision, Values and Mission in Driving Strategy An IKEA case study
Page 4: Mission
A company’s mission builds on its vision and values by setting out how it intends to implement the vision in the long term. IKEA’s mission focuses on sustainable long term growth by investing in the future which benefits its employees, customers and suppliers. IKEA invests the majority of its profits back into the business, into existing and new stores, product development, sustainable solutions and by continuously lowering prices for customers. IKEA’s mission is based on its belief that sustainability should not be a luxury good but affordable for the majority. Several examples of this approach are listed below:
During 2013, as part of its sustainability drive, IKEA reached its goal of phasing out wooden pallets from its global transport network; it now only uses paper pallets and loading ledges. Cotton is used in many of IKEA’s products. Because conventional cotton farming is often harmful to the environment and the people who grow it, IKEA works with the cotton farmers to raise social and environmental standards, and strictly prohibits child labour in its supply chain. 72% of the cotton used is from more sustainable sources certified by the Better Cotton Initiative, of which IKEA is a founding member.
IKEA supports projects that benefit more than 110,000 farmers helping to halve their water and chemical pesticide use, and cut the use of fertilisers by one third in some regions. This in turn helps to increase farmers’ earnings. The company is aiming to sell 100% sustainably sourced cotton by the end of 2015.
When designing new collections IKEA’s designers, product developers and technicians work closely with local suppliers, with all the development work undertaken at the manufacturing sites. Activities such as this together with getting a first-hand experience of the end user (the customer) of a product through the home visits, aids IKEA designers in having a better understanding of the functionality and requirements of a product, for example, how it would be used and where.
IKEA | Vision, Values and Mission in Driving Strategy