Formulating a mission/vision statement for your company will help provide concrete goals and directions.
Q: Hi. I read your response to Mr J. Bolinao who wanted help in the preparation of a strategic plan for his company.
My need is similar but more basic. I want to develop a simple vision and mission statement for my small but dynamic IT firm. They say it is stupid to make a statement of a firm's purpose since all companies exist to make profit anyway. I refuse to believe that profit is the end-all of all businesses — not my business anyway! Can you share with me some basics in developing VM statements. If you don?t mind, please give examples — local ones, as much as possible?
— Manny F., Iloilo City
A: People sometimes say that it is pointless to develop a sense of purpose for a business. There already is a purpose: "To maximize return on investment to shareholders." Obviously, making money is important, but to confuse the essential requirement for advancing in the game with the deeper rationale is a great mistake. Right on, Manny — money is not the end-all! Focusing on profit-making at the expense of other purposes will distract an organization's competitive advantage.
Identifying the mission, vision, and values of the company will provide the context for formulating goals and strategies.
I hope the following guidelines will help.
Developing the Mission Statement
The mission statement is a brief, clear statement of the reasons for an organization's existence, the purpose(s) or function(s) it desires to fulfill, its primary customer base, and the primary methods through which it intends to fulfill this purpose.
Like you, most businesses don't have a mission statement. And even those that do have ineffective or unused statements.
The following are some guidelines to follow when creating a mission statement:
* A mission statement should say who you are, what you do, what you stand for, and why you do it.
* At its most basic, the mission statement describes the overall purpose of the organization.
* When wording the mission statement, consider the organization's products, services, markets, values, and concern for public image and maybe priorities of activities for survival.
* A mission statement is not a slogan, goal, business plan, advertisement, or public relations piece.
* An effective mission statement is best developed with input by all members of an organization. Even if certain members think it is silly or have no ideas, they will buy into the concept more if their opinion is solicited.
* The best mission statements are three to four sentences long.
* Effective mission statements take time — usually a week or two — to formulate. This allows for input and final editing.
* It is a good idea to examine other mission statements to get approaches to yours.
* Humor, sarcasm, cynicism, and eloquence are usually not good components of an effective mission statement. Simplicity, honesty, and frankness are.
* Avoid saying how great you are, what great quality and what great service you provide. Using these concepts makes you indistinguishable from the rest.
* Effective mission statements need not "set the world on fire." Lofty statements have little credibility. The best ones are direct and powerful.
* Make certain your statement is you and not some other company. This is why you should not copy a statement. Even if your statement is a little unpolished, it will appear to have more credibility and integrity than if it portrays you as something you are not.
* Make certain you believe in your statement. If you don't believe it, it is a lie. Everyone that deals with you will know it is a lie.
* Try to convey somewhere in your statement that you understand the future of your business depends on delivering increasing value and quality to your customers, accounts, and clients. This delivers a clear message of your priorities.
* Review and edit your statement on a regular basis.
* Use your mission statement to supplement your sales and marketing and not as a stand-alone piece.
* Make certain all in your organization get a copy of the mission statement. Use it in your personnel manual, business meetings, and post it in the workplace.
An effective mission statement should be able to tell your message in less than 30 seconds. Train all in your organization to recite it in 30 seconds or less. This is not only good practice but good image enhancement as well. It provides a consistent picture of your company and a purpose for all in your organization If your mission statement can deliver, it will be mission accomplished.
Here are some examples:
"Kay Ganda Garments is a small-scale manufacturer and seller of casual, accessible-priced ready-to-wear clothes for ladies and children. We intend to maintain our position as a market leader by meeting customer needs and providing a high level of service and quality while maintaining a level of earnings sufficiently high to satisfy our investors."
"The Beta Company's principal goal is to develop, manufacture and market man-made fibers and related products for industrial and textile markets in an innovative manner so as to ensure long-term profitability. Our intent is to utilize worldwide and internally developed technology to enhance our leadership position in the quality of goods and services for our customers."
Source: Philstar
Q: Hi. I read your response to Mr J. Bolinao who wanted help in the preparation of a strategic plan for his company.
My need is similar but more basic. I want to develop a simple vision and mission statement for my small but dynamic IT firm. They say it is stupid to make a statement of a firm's purpose since all companies exist to make profit anyway. I refuse to believe that profit is the end-all of all businesses — not my business anyway! Can you share with me some basics in developing VM statements. If you don?t mind, please give examples — local ones, as much as possible?
— Manny F., Iloilo City
A: People sometimes say that it is pointless to develop a sense of purpose for a business. There already is a purpose: "To maximize return on investment to shareholders." Obviously, making money is important, but to confuse the essential requirement for advancing in the game with the deeper rationale is a great mistake. Right on, Manny — money is not the end-all! Focusing on profit-making at the expense of other purposes will distract an organization's competitive advantage.
Identifying the mission, vision, and values of the company will provide the context for formulating goals and strategies.
I hope the following guidelines will help.
Developing the Mission Statement
The mission statement is a brief, clear statement of the reasons for an organization's existence, the purpose(s) or function(s) it desires to fulfill, its primary customer base, and the primary methods through which it intends to fulfill this purpose.
Like you, most businesses don't have a mission statement. And even those that do have ineffective or unused statements.
The following are some guidelines to follow when creating a mission statement:
* A mission statement should say who you are, what you do, what you stand for, and why you do it.
* At its most basic, the mission statement describes the overall purpose of the organization.
* When wording the mission statement, consider the organization's products, services, markets, values, and concern for public image and maybe priorities of activities for survival.
* A mission statement is not a slogan, goal, business plan, advertisement, or public relations piece.
* An effective mission statement is best developed with input by all members of an organization. Even if certain members think it is silly or have no ideas, they will buy into the concept more if their opinion is solicited.
* The best mission statements are three to four sentences long.
* Effective mission statements take time — usually a week or two — to formulate. This allows for input and final editing.
* It is a good idea to examine other mission statements to get approaches to yours.
* Humor, sarcasm, cynicism, and eloquence are usually not good components of an effective mission statement. Simplicity, honesty, and frankness are.
* Avoid saying how great you are, what great quality and what great service you provide. Using these concepts makes you indistinguishable from the rest.
* Effective mission statements need not "set the world on fire." Lofty statements have little credibility. The best ones are direct and powerful.
* Make certain your statement is you and not some other company. This is why you should not copy a statement. Even if your statement is a little unpolished, it will appear to have more credibility and integrity than if it portrays you as something you are not.
* Make certain you believe in your statement. If you don't believe it, it is a lie. Everyone that deals with you will know it is a lie.
* Try to convey somewhere in your statement that you understand the future of your business depends on delivering increasing value and quality to your customers, accounts, and clients. This delivers a clear message of your priorities.
* Review and edit your statement on a regular basis.
* Use your mission statement to supplement your sales and marketing and not as a stand-alone piece.
* Make certain all in your organization get a copy of the mission statement. Use it in your personnel manual, business meetings, and post it in the workplace.
An effective mission statement should be able to tell your message in less than 30 seconds. Train all in your organization to recite it in 30 seconds or less. This is not only good practice but good image enhancement as well. It provides a consistent picture of your company and a purpose for all in your organization If your mission statement can deliver, it will be mission accomplished.
Here are some examples:
"Kay Ganda Garments is a small-scale manufacturer and seller of casual, accessible-priced ready-to-wear clothes for ladies and children. We intend to maintain our position as a market leader by meeting customer needs and providing a high level of service and quality while maintaining a level of earnings sufficiently high to satisfy our investors."
"The Beta Company's principal goal is to develop, manufacture and market man-made fibers and related products for industrial and textile markets in an innovative manner so as to ensure long-term profitability. Our intent is to utilize worldwide and internally developed technology to enhance our leadership position in the quality of goods and services for our customers."
Source: Philstar
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