Skywest Case - Herman Miller's Mission Statement

Herman Miller's Mission Statement (Exhibit 1) provides direction for its employees and establishes social and environmental priorities. The mission statement includes aspects of Herman Miller's business philosophy, focused on high-performance and transparency, employees are encouraged to take risks and learn from their mistakes. The mission statement also shows the importance of Herman Miller's relationships with its supplier and customers, but it could go into more detail. Environmental and social factors are present, Herman Miller tries to motivate its employees by saying “the opportunity to contribute to a better world makes our work meaningful and rewarding” (Exhibit 1).

External Analysis-

Economic factors are a key driver in demand for office and residential furniture, “corporate profitability, white-collar employment levels, new office construction rates and existing office vacancy rates are some of the most influential economic factors” (S&P SteelCase). In struggling economic times, there are less companies hiring causing a drop demand for office furniture. Rising fuel and raw material costs have been a burden on this industry as well. Companies have been impacted by “fluctuating volume levels and order rates, which have made it difficult to offset higher raw material costs” (Value Line Investment). Increasing healthcare and education costs can also affect this industry, as they are considerable growth markets for many companies. Governmental factors can also impact the office furniture industry. Federal budget concerns and public sector down-sizing affects demand, especially for companies with large government customers. International factors such as the debt crisis in Europe and fears of a looming recession have caused a drop in international demand. There are also some concerns about technological factors that could play a role in the future of the office furniture industry. Ease