Write An Effective Mission Statement
Writing an effective mission statement is the most essential task for a manager to set company direction on the most feasible path. To write an effective mission statement the manager should focus on both employees and target customers.
A mission statement talks about the present context of the organization what & how the organization is doing, the products it serves, who are its customers, and who are its competitors, with the mission statement the firm states how it is going to get the future state mentioned in the vision statement.
The written mission statement should not be more than 250 words and should be unique, inspiring, feasible, understandable, and precise. In order to write an effective mission statement, the following nine components of the mission statement should be included but not exceed 250 words.
Customer
Which customer to serve is the most focal point while crafting a mission statement. The manager should state who are the customers the organization going to sell products or services.
By following the customer’s type, need, taste, geography, preferences, etc. the product should be marketized and sold. Choosing a particular group of customers that best match the company’s goals and resources increases the chances of achieving the desired goals.
Product/Service
The manager should make a decision on which product or service it will sell. It is not effective to sell all types of products to all customers. If done so the organization will not achieve its growth and effectiveness.
Once a group of target customers is fixed, the product/service should be produced according to their needs, taste, and preferences. The mission statement should state which product is for which category of customers.
Market Location (Geography)
A mission statement is based on the present and how to compete against competitors and achieve a competitive advantage. As such, a manager should choose a market location where the customers will be served quickly and effectively.
In addition, the market location should not be too far from the location of the company, a market with which the company is familiar, a market has a huge number of customers having an interest in a particular product, and which shows the potentiality to increase sales and profits.
Technology
It is obvious that today’s companies work depending upon the technology. A manager should focus on installing new technologies that give the best customer experience.
In doing so, the manager should study the impact (both positive and negative) of the technology, cost, and product’s life cycle, and should concern with the shareholders.
Concern For Survival
A mission statement also talks about the concern for the survival of the firm. The manager should state how the company will survive when the given mission statement will be followed. The concern of survival may be in terms of sales, profits, growth, and if these are not achieved what steps the company would take.
Philosophy
Philosophy is about the reasons for a company’s existence. A mission statement should state what particular philosophy the organization is following consisting of how and why the organization is formed.
The mission statement’s philosophy helps an organization to be different from others – it may be in terms of particular core values, ideas, and beliefs, the organization and its members hold.
Self-Concept
The self-concept component of a mission statement refers to the uniqueness of the organization which is the basis for competitive advantage. As the philosophy, the self-concept could also be in terms of core values, beliefs, and aspirations.
Self-concept further differentiates an organization such as how uniquely it serves customers, how it presents the product/service to customers, how it differs from its rivals, etc. As such by means of self-concept (uniqueness), a firm becomes able to get a competitive advantage.
Concern For Public Image
Now companies have must work also for society and the environment. CSR, wellness programs, a literacy program for society, concern for environmental issues, giving job opportunities to local communities people where the company is operating, etc. are effective ways to build a positive image.
While writing a mission statement, a manager should state how it is concerned for public image, and how it will achieve a positive public image. Gaining a positive public image helps companies to reduce marketing expenses and provides sustainable profits and growth.
Concern For Employees
As already mentioned, a mission statement should include both customers’ and employees’ concerns. A persuasive mission statement may be written but it won’t achieve its goals when not implemented, to implement it employees should work.
A manager should motivate, build a positive attitude, and brings employees commitment to the mission’s objectives. Employees’ growth should be a concern and they should be provided with appropriate authority alongside the given responsibilities to complete most effectively.
Hence…
These are the 9 components of the mission statement that should be included in order to make the statement effective.