What is Mission Statement?
A Mission Statement is an integral component of a business’s strategic plan.
A mission statement describes what business the organisation is in (and what it isn’t) both now and projecting into the future. Its aim is to provide focus for management and staff on which to base all business decisions and strategies. It should encapsulate the product or service the business delivers, the audience it delivers it to and the problem it solves.
A mission statement often consists of three essential components:
- Key market: the target audience.
- Contribution: the product or service.
- Distinction: what makes the product unique or why the audience should buy it over another.
Most mission statements are between one and three sentences, never exceeding 100 words. The best mission statements are typically a single succinct sentence that is designed to inspire people, both inside and outside the organisation. Keep this in mind when crafting a mission statement.
In order to develop a mission statement, stand back and consider the purpose of the business (why it exists), who it is meant to serve and how the profits should be generated and distributed. In addition, it is important to ensure that the mission statement goes beyond the current horizons and includes future opportunities and challenges.
The organisations mission, combined with the vision statement will describe the aspirations for the future of the organisation in a way that inspires people to strive to reach them.
Some of the benefits of having a good mission statement includes the following:
- Communicating the direction of the organisation.
- Helping people to make day-to-day operating decisions.
- Keep the organisation focused.
- Motivating the organisations people.
For further information, read out article “How to Create a Mission Statement“.