The Purpose of Mission and Vision Statements in Business Planning

A company’s mission and vision statements play a crucial role in strategic planning and guiding business operations.



A mission statement is a comprehensive overview of an organization’s purpose, while a vision statement is a future-oriented description of what the company hopes to achieve.

Strategic planning is developing and implementing a plan to achieve a company’s vision and mission.

The Purpose of Mission and Vision Statements in business Planning

The process usually involves setting long-term and short-term goals, creating strategies to achieve those goals and allocating resources.

If you’re looking to create a mission and vision statement for your business, you’re in the right place.

In this article, we’ll discuss the importance of these statements for the company’s strategic planning.

What Is a Mission Statement?

A mission statement is a comprehensive yet concise description of an organization’s purpose, value, or service.

It should include words related to ideas such as people, growth, performance, competitive advantage, long-term benefits etc.

Besides, it should tell how this company is different from other companies operating in the same industry.

What Is a Vision Statement?

A vision statement focuses on what the future will look like for an organization, and it should be aspirational and should include words such as “excellence,” “innovation,” and “growth.”

A good vision statement should be inspiring and motivate employees to work towards achieving the organization’s goals.

Together, its mission and vision statement should provide a framework for its business operations.

The mission statement can help employees understand the company’s purpose, while the vision statement can guide their efforts in making that purpose a reality.

How to Create a Powerful Mission and Vision Statement for Your Business?

Your business needs a roadmap to success, and that roadmap starts with a clear mission and vision statement. 

Here’s how to create powerful statements that will guide your organization to achieve its goals.

1. Start by defining your organization’s purpose, value, or service.

2. Focus on what the future will look like for your company.

3. Use words related to ideas such as people, growth, performance, competitive advantage, and long-term benefits.

4. Make sure your mission statement is comprehensive yet concise. It should be easy.

5. Consider including any or all of the following in your mission statement:

– How you are different from other businesses

– Your values and principles

– The benefits of doing business with you

– What do you stand for

– What do you offer your customers or clients

6. Once you have drafted your mission statement, move on to creating a vision statement. This should outline the ideal future for your company and should be aspirational.
It should excite and inspire employees and shareholders alike.

7. Remember that these statements should not remain static, and they should be revisited and updated as your business changes and grows.

As your organization’s purpose, value, or service evolves, so too should your mission and vision statements.

How can Mission and Vision Statements be Used?

There are several ways that mission and vision statements can be used in business planning.

-To develop a broad perspective of the company

-To determine and prioritize specific goals

-To establish a common focus for all employees and departments

-Mission and vision statements are the basis for strategic planning

-They provide a framework for making decisions that can help an organization achieve its goals in the long term

-They also help ensure that everyone in an organization is working towards the same goal

Here are some points you might want to add:

-A company’s Mission and Vision Statements can evolve as the company grows and changes. It is essential to review these statements regularly to ensure they are still relevant.

-There is no one correct way to write a Mission or Vision Statement.
The most important thing is that they accurately reflect the goals and values of the company.

-Mission and Vision Statements can be used in conjunction with each other or separately depending on the organization’s needs.
For example, a business might have a mission statement focusing on its core values. In contrast, its Vision Statement outlines specific long-term goals.

-Mission and Vision Statements should be clear, concise, and easy to understand. It is important to avoid jargon or complex language that employees may find challenging to comprehend.

-Regular review and updates of Mission and Vision Statements are essential to ensure that they remain relevant to its goals.

The following examples may be helpful.

Many companies have vision and mission statements that don’t serve them well.

Still, there are companies with outstanding statements.

COCA- COLA

Mission “to refresh the world in mind, body, and spirit, to inspire moments of optimism and happiness through our brands and actions, and to create value and make a difference.” 

Vision “inspiring each other to be the best we can be by providing a great place to work.”

Both the mission and vision statements of Coca-Cola are aspirational.

They focused on their strengths, which were quality products and customer service.
They also communicated their values: happiness, refreshment, and fun.
Their vision statement was to become the number one beverage company globally.
This goal was achievable because they had a clear focus and communicated it to their employees and customers.

Another business that utilized its mission statement well is Apple Inc.

Mission “to bring the best personal computing products and support to students, educators, designers, scientists, engineers, businesspersons and consumers in over 140 countries around the world.”

Vision “to make the best products on earth, and to leave the world better than we found it.”

They focused on their strengths, which were creativity and innovation.

Their vision statement was to change the way people interacted with technology.

Apple achieved their goal because it had a clear focus and communicated it to its employees and customers.

Conclusion

By creating statements that accurately reflect the company’s goals and values, they developed a broad perspective and shared focus, which helped them achieve success. 

A Mission Statement defines the company’s business, objectives, and approach to reach those objectives. 

A Vision Statement describes the desired future position of the company. 

Elements of Mission and Vision Statements are often combined to provide a statement of the company’s purposes, goals and values. 

However, sometimes the two terms are used interchangeably. 

When you have determined your mission as a company or organization, it is time for you to create a vision statement so that others know how they can help achieve this goal with you!

Doing so will keep employees motivated as they go through the process. 

Leave a comment