Ateneo Graduate School of Business
Rockwell Center, Makati City

MERALCO
Vision and Mission

Submitted by:
Maria Cathlyn Challie O. Genabe

Submitted to:
Prof. Jovita Polloso

Date submitted:
September 17, 2014

MERALCO: Vision and Mission

MERALCO Vision statement
To be a world-class company and service provider of choice

Revised MERALCO Vision statement

“To be a world-class distribution utility company and total energy solution provider of choice”

The vision of an organization should answer the question on what the company wants to become. Although the vision of MERALCO states its goal to become a world-class company, it fails to identify the type of service the company provides or even, to which industry it belongs to. The vision statement is too vague and too general. The vision should be something that the management and the employees can identify with. Based on the existing vision statement, the company may have difficulty in drawing corporate strategies and work objectives.

The revised MERALCO vision statement clearly identifies what the company wants to become and that is to be a world-class distribution utility company and total energy solution provider of choice. Although MERALCO is foremost a distribution utility, it does not negate the fact that it is also an energy solution provider that provides more services other than electricity distribution.

MERALCO Mission statement
To provide our customers the best value in energy, products and services.

Revised MERALCO Mission statement

“A total energy solution provider that continually improves the lives of more Filipinos by efficiently delivering safe, adequate and continuous electricity supply”

The mission of the company should clearly identify the business of the organization. The MERALCO mission shall be analyzed based on the ten mission statement components.

1. Customers
A mission of a company should always consider the firms customers. The company specifically states in its mission to deliver the best value in energy, products and services to its customers. Although the company already has ventures outside of the Philippines, I would still suggest that it still focus on providing quality service to the Filipinos.

2. Products or services
The mission of the company should clearly mention the firm’s major product and services. MERALCO probably considered the organization as a group of companies that’s why the mission does not directly specified that MERALCO is a distribution company. In the revised mission, it is clear that MERALCO does not specifically focus on the function of the company as distribution utility but being an energy solution provider. However, it does specify that the company aims to provide electricity supply.

3. Markets
The mission should identify the geographic location of the company, which MERALCO’s mission failed to mention. By stating in the revised mission that MERALCO caters first and foremost to providing service to Filipinos, it has clearly identified that the company is based in the Philippines.

4. Technology
As the largest distribution utility in the country and one that caters to the needs of many Filipinos, MERALCO should always be up to date in terms of its products and services. This aim of the company is considered in its existing mission statement where it has been mentioned that the company aims to provide customers the best value in its products and services. In the revised mission statement, technology is not specifically mentioned but saying that the company aims to deliver electricity efficiently has, in way, specified the company’s consideration on the value of technology.

5. Concern for survival, growth and profitability
MERALCO’s concern for profitability is clearly indicated in the current mission statement: it states that MERALCO aims to provide the customers the best value in products and services. However, the revised mission does not only consider profitability but survival and growth as well. By not limiting the company’s function to the distribution utility sector and by stating it as a total energy solution provider means that the company shall also support to the other aspects of the power industry such as retail supplier and generation. The revised mission also considers the company’s concern for survival and growth by saying that it is the company’s mission to continually improve the lives of more Filipinos. This means that the company is not only concerned about its current state of business and that it wishes to be of service to more Filipinos.

6. Philosophy
The MERALCO corporate value of malasakit has been instilled in the hearts of its employees and has become their flagship identity. This value was made more transparent in the revised mission statement that states the company’s aim to improve the lives of its customers through its services.

7. Self-concept
The firm’s major competitive advantage was not highlighted in the current mission statement, which was very vague. In the revised mission, this was made more apparent by stating that the mission of the company as a distribution utility and energy solution provider is to delivery electricity to its customers.

8. Concern for public image
MERALCO’s mission statement does not state its responsibility to respond to social, community and environmental concerns. This was highly considered in the revised mission statement. By stating the company’s mission to continually improve the lives of Filipinos, the company shall ensure that its efforts are for the betterment of the community and the society. The revised mission also clearly states MERALCO’s responsibility to provide safe service to its customers.

9. Concern for employees
The mission statement of the company should also identify its employees as valuable asset of the firm. This was not explicitly mentioned in both the current and revised MERALCO mission. However, by ensuring the profitability and growth of the company, MERALCO guarantee the livelihood of its employees.

10. Nation building
Concern for nation building is very much apparent in the revised mission where it was stated the company aims to continually improve the lives of more Filipinos through the services it offers. MERALCO understands that it plays an important role in the community and as a business under the energy industry, it should always consider service to the Filipinos. By continually providing safe, adequate and continuous electricity supply, MERALCO can ensure the growth of business and residential customers, and in turn ensure the growth of the nation. By continuously growing as a business, MERALCO can also ensure that its employees will remain to have jobs and may provide more livelihood to more Filipinos.

SUMMARY of ANALYSIS OF THE MISSION STATEMENT

MISSION STATEMENT COMPONENT | MERALCO Mission statement | Revised MERALCO Mission | | To provide our customers the best value in energy, products and services. | “A total energy solution provider that continually improves the lives of more Filipinos by efficiently delivering safe, adequate and continuous electricity supply” | 1. Customers | ✔ | ✔ | 2. Products or services | | ✔ | 3. Markets | | ✔ | 4. Technology | ✔ | ✔ | 5. Concerns for survival, growth and profitability | ✔ | ✔ | 6. Philosophy | | ✔ | 7. Self-concept | | ✔ | 8. Concern for public image | | ✔ | 9. Concern for employees | | ✔ | 10. Nation building | | ✔ |

SOURCE: * Meralco Corporate Mission, Vision, Values and Principles. http://www.meralco.com.ph/customer/page-cusAbout-corpMisVisPrin.html