Benefits of a Mission Statement for Companies

The mission statement is one of the important pillars that must be determined and owned from the start of the company's planning. Not only important for the company's image in public, the mission statement is also important for internalizing it to employees within the company to ensure they are heading in the right direction.

A clear mission can give employees the purpose, direction, and ownership to achieve company success. In addition, the mission can also motivate employees to achieve short-medium term goals.

What is a Mission Statement?

Mission statement or mission statement is a written statement about the company's mission. Mission describes what the company's purpose is and why the company exists. In addition, the mission also supports the vision and provides a framework or context when the company's strategy is formulated.

The mission statement summarizes the main goals and objectives of the company. Through the mission, the company can communicate business goals and directions to stakeholders, both internal and external.

In essence, the mission statement details the company's vision as concisely as possible. Mission statements usually contain the fundamental values and core objectives of the company. Most importantly, the mission statement should contain statements regarding the future of the company rather than describing the company's current position.

Benefits of Mission Statements

The mission statement is very important to be owned and determined by a company, because it has a number of benefits. For more, see the benefits of the following mission statement:

1. Become a guidebook

Mission statements can serve as guidebooks that represent goals and aspirations. In addition, the mission statement also functions as a barometer that can be used by leaders to measure employee performance.

For example, Starbucks has a mission statement that reads “provide a good work environment and treat each other with respect and dignity”. With this mission statement, all Starbucks employees are encouraged to consider every decision made in their work in line with the principles of the mission statement.

2. Build a corporate image

The mission statement is an important element in building the company's image. It builds the company, forms an identity with corporate values, conveys it to stakeholders. For this reason, companies often display mission statements on their websites or sometimes use them in marketing campaigns.

3. Remind the basic principles

Every company must have experienced a lot of changes. Especially when the company is competing in a new and different market. For this reason, a mission statement can help a company stay on track and remember its founding principles.

4. Become harmonization

By internalizing the mission, it can build unity, ensure every employee is in the same mode to do the job and make strategic decisions.

Mission statements can originate from a consensus within the company. To formulate it, it requires mutual agreement and synergy between business elements and functions. Thus, when the mission statement has been agreed upon, all employees feel they have a responsibility to implement and make it successful.

5. Determine the direction of the business

Mission statements usually include a series of short-medium term objectives. It becomes a guide for positioning the company with gradual steps towards the vision that has been built.

The mission statement also describes the company's goals and becomes a guide for decision making and actions in achieving company goals. In addition, it also directs the company's resources and capabilities in the desired direction.

That's information about the benefits of a mission statement. It is important for a company to have and plan a mission statement because it can guide the company towards the same direction and goals. By knowing the goals and direction of the business, each employee can contribute more to the company. In addition, mission statements are also useful in building corporate image and assisting companies in establishing identity.