Why you should write a mission statement for your business

Crafting a mission statement is a crucial step for any business owner. This statement serves as a clear and concise declaration of your company's purpose and values. It helps to guide your decision-making processes, set achievable goals, and communicate your brand's message to employees, customers, and stakeholders.

A mission statement can also help to differentiate your business from competitors. By defining your unique selling proposition and goals, you can create a more compelling brand story that resonates with your target audience.

Moreover, a well-crafted mission statement can help attract and retain top talent. It provides employees with a clear understanding of the company's values, goals, and expectations, leading to a more engaged and motivated workforce.

In short, a mission statement is more than just a few words on a website or business card. It is a critical aspect of your brand's identity and can help shape your business's future.

A great mission statement can serve several essential functions. Firstly, it can be a valuable tool to keep your business on track.

You can refer to it repeatedly, such as when you set new goals or make a big decision about your business. A clear and concise statement of purpose helps ensure your efforts are aligned with what you want your business to accomplish. The ability to maintain a clear vision for your business approach is a trait that distinguishes the most successful businesses.

Essentially, a mission statement can be the foundation for everything your business does. It can help:

• Direct your business planning

• Evaluate your performance

• Guide employees

• Ensure all stakeholders work toward the same goals

• Give employees a sense of identity.

Not Just for Internal Use

Remember, some people will examine your mission statement to determine if they should do business with you. So whether it's a potential customer, prospective employee, or a possible investor, having a well-written mission statement can help persuade them to work with you.

What to Include in Your Mission Statement

Your mission statement should be unique to your business, and what you include will depend on your particular focus and values. Typically, a mission statement consists of a basic description of the company, its purpose, and its goals.

A mission statement can also cover how the company serves:

• Customers

• Employees

• Owners

• The Community

• The world

How to Write a Mission Statement

Here's a step-by-step process that can help you create a mission statement:

Write a sentence that explains what your company does in basic terms.

List some of your core values.

Keeping those core values in mind, write a sentence that explains how your company does what it does.

Write a sentence that explains why your company does what it does.

Take a look at the three sentences you've written, and then try to combine and condense those ideas so your mission statement is as straight to the point as possible.

Keep it Concise

Part of the challenge of mission statement writing is figuring out how to make a mission statement say everything you want while keeping it brief. But remember, you can include additional information elsewhere.

For example, many leading companies' websites include sections below the mission statement that provide details such as "core values," "about us," or a vision statement.

Mission Statement vs Vision Statement

A mission statement differs from a vision statement (although some companies choose to lump them together). While a mission statement focuses on the company's fundamental purpose, a vision statement typically outlines where the company plans to be in the future and provides more details on its strategy to get there.

Here are some vision statement examples to help you tell the difference:

Vision Statement Examples

McDonald's

"To move with velocity to drive profitable growth and become an even better McDonald's serving more customers delicious food each day worldwide."

Disney

"To entertain, inform and inspire people around the globe through the power of unparalleled storytelling, reflecting the iconic brands, creative minds and innovative technologies that make ours the world's premier entertainment company."

Bombardier

"Our mission is to be the world's leading manufacturer of planes and trains.

We are committed to providing superior value and service to our customers and sustained profitability to our shareholders by investing in our people and products.

We lead through innovation and outstanding product safety, efficiency and performance. Our standards are high. We define excellence—and we deliver."

Mission Statement vs Purpose Statement

Some organizations write purpose statements in addition to mission statements. While a mission statement focuses on what a business's aspirational vision is for the future, a purpose statement covers why a company came into existence in the first place.

It can take the form of a declarative statement that mentions a problem the business is trying to solve or a unique opportunity it is leveraging. It can also be a bit longer and provide a brief summary of how the business came to be.

How to Avoid the Pitfalls of Mission Statements

According to some experts, many companies have mission statements that are too vague, unrealistic, or are just a meaningless string of business jargon. So here are some tips on how to avoid the common pitfalls of mission statements.

Be Accurate

One of the most important things to keep in mind when writing a mission statement is to be accurate and only include things that actually relate to your business. Don't simply include words that sound good. If you do that, you may end up with a mission statement that sounds catchy, but it loses its usefulness as a guide for your company.

Be Realistic

It's good to be ambitious, but your mission statement should be realistic. If the mission statement sets a purpose and goals that are clearly unobtainable, employees will take it less seriously. Also, it can even discourage employees by reminding them of how far they are falling short.

Be Unique

Avoid writing a mission statement that's generic or vague. One useful trick is to ask yourself if one of your competitors could use the exact same mission statement. This will help you focus on being more specific about your unique purpose, goals, and values.

Now, you know what it takes to craft an effective mission statement. So, put these tips into practice, and you'll have a clear and concise statement that can keep your company on track.