The VMOST Analysis is a tool that allows a business to evaluate its core strategies in terms of whether the supporting activities of that strategy are being carried out. The VMOST analysis tries to answer that by looking at five core elements: vision, mission, objectives, strategies, and tactics.
Understanding the VMOST Analysis
In most cases, VMOST analyses are performed so that a business can define current and future strategies, organizational units, projects, and programs. Employees – as a part of the business or as individuals – can also be assessed using this technique.
Here is a look at each of the five elements that give the VMOST analysis its name.
Vision encompasses ideas that summarize where a business sees itself in future. Where will it operate? Which target audience will it serve? How will it position itself against the competition? What does the business want to be known for?
The answers to these questions should inspire and challenge the business do to better without being completely unattainable.
Mission is the series of steps which guide a business to carrying out its vision. To change old and outdated ways of operating, missions must be adopted from senior management down to the entry-level employee.
Objectives define whether a mission has been accomplished, usually quantified in the form of key performance indicators (KPIs). To maximise the chances of meeting certain objectives, businesses can adopt the SMART goal attainment strategy.
In other words, is the objective:
As objectives guide missions, so to do strategies guide objectives. If the goal of a taxi company were to increase revenue by $10 million annually, a potential strategy may include expanding the service into five new cities by the end of the year.
Tactics encompass the specific, low-level actions that are taken for strategies to be fulfilled. If we return to the example of the taxi company, possible tactics for expanding into 5 new cities might include:
- Identifying competition in the form of ride-sharing across the proposed cities.
- Identifying areas in smaller cities where there are gaps in taxi coverage.
- Acquiring a fleet of new vehicles at a cost-effective price.
Advantages and disadvantages of the VMOST Analysis
- Given the somewhat hierarchical nature of the VMOST structure, the analysis is easily understood by various employees and stakeholders.
- The VMOST analysis provides clarity, agreement and focuses on the future direction of the company. This discourages the formation of weak and vague strategies which encourage disharmony and malaise within a company.
- A well-constructed VMOST Analysis does not guarantee employee buy-in. Strategies that are created by upper management with little employee involvement may be met with inertia when presented to the whole company. Input must be sought by multiple levels of the organization to counter this.
- Some organizations start with missions and visions that are simply unachievable. Despite perfectly sound objectives and strategies, they will find that they lack the necessary resources to achieve their goals.
- The VMOST Analysis is a strategic planning tool that helps businesses focus on activities that are aligned with their core visions.
- The VMOST is comprised of five separate elements that together, deconstruct how a business can align its words with actions.
- The VMOST Analysis is a simple and effective framework that all key stakeholders can understand. But it is nevertheless vulnerable to a lack of employee buy-in.
Other strategy frameworks
- Porter’s Five Forces
- Ansoff Matrix
- Blitzscaling Canvas
- Business Analysis Framework
- Gap Analysis
- Business Model Canvas
- Lean Startup Canvas
- Digital Marketing Circle
- Blue Ocean Strategy