top-rated free essay

Mission Statment

By ZahidQadeer1 Sep 18, 2013 1281 Words
Component of mission statment
The mission statement needs to include some description of the function of the business. For example, "to promote industrial excellence," tells customers and employees nothing. A more effective description would be "To provide management consulting services." Target Consumers

An effective mission statement sets out, in broad terms, the target market. A manufacturer that makes nuts and bolts might set its target market as retail hardware stores, machine manufacturers, or both. Target Region

The business must determine what region it serves best and relay that information by way of the mission statement. A garage, for example, might limit its target region to the community while a magazine company might target an entire country. Values

Mission statements typically include a statement of company values. Values such as customer service, efficiency and eco-consciousness often appear on lists of company values. At their best, company values should express principles the company explicitly tries to affirm in day-to-day operations. Technology

For businesses that rely heavily on technology, the mission statement should include a description of the essential technology the company does or plans to employ. If nothing else, this directs purchasing agents toward the appropriate vendors for goods and services. Employees

Every company has a policy regarding its relationship with employees. A mission statement provides an opportunity to describe that policy in brief so employees know the essentials of where they stand. Strategic Positioning

Effective mission statements also include a brief description of the business's strategic position within the market. For example, the company might excel at serving residential clients and seek to maximize that strategic advantage. Financial Objectives

For for-profit ventures, businesses require clear financial objectives. A start-up company might set one of its financial objectives as making an initial public offering of common stock within two years. This lets the employees and potential investors know the company intends to go public, with all of the legal and record keeping ramifications that entails. Image

Like people, companies develop public images. Careful companies craft the public image they want to establish and lay out the major features of it in the mission statement. This helps managers direct employees that stray from the sanctioned public image. COMPONENTS OF AN EFFECTIVE MISSION STATEMENT

1. Customers:  Who are the enterprise's customers?
2.  Products or services: What are the firm's major products or services? 3. Markets: Where does the firm compete?
4. Technology: What is the firm's basic technology?
5. Concern for survival, growth, and profitability:  What is the firm's commitment towards economic objectives? 6. Philosophy: What are the basic beliefs, core values, aspirations and philosophical priorities of the firm? 7. Self-concept: What are the firm's major strengths and competitive advantages? 8. Concern for public image: What is the firm's public image? 9. Concern for employees: What is the firm's attitude/orientation towards employees? COMPONENTS OF AN EFFECTIVE MISSION STATEMENT

Customer – Mission Statements should answer the question ” Who are your customers?” Products and Services – What are your major products/services? Markets – Define the markets in which you are competing.

Technology - Define the technology which you use in running your business Concern of survival, growth and profitability – How are you committed to growth and financial soundness? Philosophy – What are your basic, belief, values, aspiration and ethical priorities. Self concept – What is your distinctive competence or major competitive advantage. Concern of public image – How are you responsive to social, community and environmental concerns? Concern of employees – Are employees valuable assets of the firm? COMPONENTS OF AN EFFECTIVE MISSION STATEMENT

No one can deny the importance of a mission statement in motivating a business. Mission statement not only helps the business to remain on its track but also helps determining the very purpose of its existence. Finding a perfect mission statement is never possible. Mission statements are made, followed and updated continuously. Updates are made due to many reasons like change in business, change in business philosophy or any other major change that would result in substantial deviation for the organization from the earlier path it laid down in its mission statement. There are nine elements which involve in making a mission statement. Each good mission statement incorporates all of these elements in it. These elements are. 1. Customers

2. Products or Services
3. Markets
4. Technology
5. Concern for survival, growth and profitability
6. Philosophy
7. Self concept
8. Concern for public image
9. Concern for employees
Here is a glimpse of what each of these elements states about in a mission statement 1. Customers
In this element the organization mentions who are its customers or potential customers. What will it do to serve them and how will its customers find this organization different from the other organizations providing similar products or services in the market. 2. Products or Services

In mission statement a business has to mention the producer or service or both they are providing. By defining products or services the company distinguishes its offered products or services from competitive products or services of similar nature provided by other competitors in the market. 3. Markets

By defining markets, the company is declaring which types of customers it will target. Or who will be the intended audience for which it will produce products or services. For example, a luxury car maker like Rolls Royce has a potential market of only the richest of the rich in the world. 4. Technology

By defining technology, the company tells its current technology use in making of its products. It also tells about the unique ways in which its products or services are technologically more advanced then their alternates. 5. Concern for survival, growth and profitability

In this element of the mission statement business defines the means it seeks to survive in the longer run. It not merely lists them out but also defines the logic behind them and how will the company strive to achieve them. 6. Philosophy

Philosophy of a company is a much wider term to cover. By defining philosophy, the company defines its way of working, its culture, its beliefs and how it sees work to be carried out. It is also an analytical way of defining the norms on which it runs. 7. Self concept

By defining the self concept, the business is telling its heart out to the world. In this the company shows the outside world, its core strengths and the place it sees itself in the future. 8. Concern for public image

The buzz word is usually corporate social responsibility mixed with concern for public image. First of all these two terms are totally different and they can by no means be intermingled with each other. Corporate social responsibility points the ways in which the business wants to contribute towards the betterment of the society. Concern for public image is a much wider term and can include not only the corporate social responsibility but the overall impact of the actions taken by the company on its image. This may include from minor issues like installing manufacturing recycling plants by a company for pollution reduction to improve its packaging to enhance a better brand image for one of its top line brands. 9. Concern for employees

Earlier day corporations didn't care much about their employees. Thankfully the trend has started shifting from no focus to a lot of concentration on working environment. In a mission statement a company also defines the ways in which it is beneficial for potential and currently working employees to work at a certain organization. This also includes the ways in which the company will treat its employees and how will it look towards this relation in a longer period of time. Wi

Cite This Document

Related Documents

  • the mission

    ...Ashley M. Gutierrez November 25, 2014 Dr. Miller SMC: God section J The Mission The mission is a 1986 film directed by Roland Joffe, which takes place during the 1750’s. In a more directional way, in the movie there is a conflict between Jesuits of Spain and Portugal. The Jesuits go on to extend ministry of Jesus to America Indians an...

    Read More
  • Comparison Between the Sparrow and the Mission

    ...Sparrow/ Mission Essay Music is an important aspect in most cultures. It is usually tied to beliefs, traditions, and can completely represent a culture. When comparing the book the Sparrow to the movie the Mission, one can clearly see that both are examples of media where music is important. Although the use of music is similar between the ...

    Read More
  • Vision and Mission

    ...The Business Vision and Mission Chapter Two Copyright ©2013 Pearson Education, Inc. publishing as Prentice Hall Chapter Objectives 1. Describe the nature and role of vision and mission 2. 3. 4. 5. statements in strategic management. Discuss why the process of developing a mission statement is as important as the resulting document. I...

    Read More
  • Mission Statement

    ...INTRODUCTION TOPIC: The topic of this report is Mission Statement, Marketing Strategies and competition between two companies. PURPOSE: The purpose of this report is basically analyzed the competitive strategies of two leading automobile companies. REASON: The selective reason to prepare the report is to dignified the automobile company. ...

    Read More
  • Importance of Mission

    ...Q No 1 : What do you understand by ‘mission’? Explain why it is necessary at the starting point in the process of formulating a strategy? What do you understand by ‘mission’? As per Mintzberg - A mission describes the organisation’s basic function in society, in terms of the products and services it produces for its customers”....

    Read More
  • Mission & Vision

    ...Mission: Mission provides a structure on which the company can build its future. Its first step for organization to cross it’s the long march. With time to time the company can share their personalities, philosophies and motivate their actions. Without proper mission company and person are flounder. For giving excellent shape of organization,...

    Read More
  • Mission, Vision and Values Paper

    ...Running Head: MISSION, VISION, AND VALUES Mission, Vision, and Values: Erie Insurance Company University of Phoenix MMPBL 590 March 15, 2010 ...

    Read More

    ...Running head: MISSION, VISION, AND VALUES PAPER Mission, Vision, and Values Paper University of Phoenix Mission, Vision, and Values Paper The University of Phoenix was founded in 1976 as an outlet for working adults to obtain an education, while continuing to hold down a full time job. The ingenious idea of crea...

    Read More

Discover the Best Free Essays on StudyMode

Conquer writer's block once and for all.

High Quality Essays

Our library contains thousands of carefully selected free research papers and essays.

Popular Topics

No matter the topic you're researching, chances are we have it covered.