A mission statement is one of the simplest and most basic necessities of a business, yet it is frequently overlooked by small business owners and entrepreneurs. The benefits of a mission statement are more than enough reason for employers to take the time to develop one, as it is the basic idea on which the company has been founded.
As the word "mission" implies, the mission statement clearly states the company's goal. With this goal in mind, all employees have an understanding of the corporate direction. When a new product, service or project is announced, workers understand the purpose more clearly if they can understand how it serves to carry out the company's mission statement. Savannah State University states that "excellence itself can survive only in an organization committed to a strong purpose."
The larger a company is, the more departments and employees it has, not to mention hired contractors or outsourced workers. The more a project is disseminated and touched by different divisions, the easier it is to lose sight of the overall goal. With an explicit mission statement, all workers understand how their roles fit into the larger picture.
Staying True to Roots
As companies grow and expand their reach, both employers and employees may lose focus without a mission statement. When this happens, it can negatively affect the company's image, as well as detract from its brand. Having a strong mission statement helps guide the company through major growth while keeping in line with its goals and developing, rather than harming, its brand.
All businesses are conceived to fulfill a specific purpose or need, which should be the core of the mission statement. The only way for a company to continue to improve is by holding itself accountable, and doing so is impossible without a clear understanding of its purpose. Creating and referring to the mission statement helps business owners hold themselves and their employees accountable vis-à-vis what they set out to accomplish.