Question

Distinguish between the stated and the real goals of an organization. Illustrate the difference with an example

Answer 1

An organization's stated goals are official statements of what an organization says, and what it wants its stakeholders to believe, its goals are. However, stated goals – which can be found in an organization's charter, annual report, public relations announcements, or in public statements made by managers – are often conflicting and influenced by what various stakeholders think organizations should do. Such statements are vague and probably better represent management's public relations skills than being meaningful guides to what the organization is actually trying to accomplish. It shouldn't be surprising then to find that an organization's stated goals are often irrelevant to what actually goes on. If you want to know an organization's real goals – those goals an organization actually pursues – observe what organizational members are doing. Actions define priorities. For example, a company may publicly commit to increasing worker participation in management, while actually practicing a hierarchical, top-down approach. Knowing that real and stated goals may differ is important for recognizing what you might otherwise think are inconsistencies.