Does your company have a mission statement? A convincing mission statement is not only important for big or international brands, but also for small companies and start-ups. We explain what a mission statement is, how to formulate it and give you examples of successful companies.
What is a mission statement?
A mission statement is a short paragraph that defines the existence of a company, non-profit organisation, government agency or other entity. A mission statement gets to the heart of why a company exists, not how it exists. It is not a business plan that explains how the company makes profits.
Why do companies need a mission statement?
A well-formulated mission statement is of central importance for both employees and the target group. For consumers, it sets the company apart from the competition without limiting the actual business purpose. At the same time, the mission statement is also part of the overall image of a brand and can influence the general perception of the public.
But note: A mission statement is not a must. If it is not useful and purposeful for you and your company, you should not formulate a mission statement. You should write a mission statement if you want to give more clarity to your corporate goals and make your employees, investors and customers understand what your company is all about.
Mission vs. Vision - What is the difference?
A mission statement defines a company's business activities, goals and the approach to achieving these goals. A vision statement describes the desired future position of the company. The vision is therefore more of a long-term goal of your company and serves as orientation and motivation for you and your employees. The company mission, on the other hand, shows your customers or potential customers why your company exists in the first place and what you stand for.
How do you formulate a mission statement?
Your mission statement relates to your company and your company values. You can keep it short and sweet or go into detail. The key to a powerful mission statement is to present the what, how, who and values of your company.
Ask yourself the following questions:
- What does the company offer customers? What does your company do?
- Who are you doing this for? Who is your target group?
- What makes the company stand out? What distinguishes you from the competition?
With these questions, you should be able to gather the basic components of your mission statement. The key is to formulate a powerful statement from the individual components.
This is not done right away and can take a lot of time. Take your time, think about it, formulate different versions of the mission statement and play with the words. Get feedback from your employees and loyal customers to test the mission statement. You can use the feedback to fine-tune your mission statement.
Best Practices: 5 Mission Statement Examples
Creating a compelling mission statement is not easy and is a challenge for many companies. Some brands have managed to write unique and effective statements that are equally memorable to customers and inspiring to employees. What do these brands have in common? All mission statements are understandable, while leaving room for interpretation and arousing emotions
"To accelerate the world's transition to sustainable energy."
What makes this Mission Statement special?
This statement is short and makes it unmistakably clear what Tesla stands for as a company: The future and renewable energies. Tesla's example also shows that the mission can change. While the previous statement focused on sustainable transport, the focus is now on renewable energies.
"To organize the world's information and make it universally accessible and useful."
What makes this mission statement special?
Google manages to sum up in just a few words exactly what the company's mission is: to make the world's information accessible everywhere. What is particularly amazing is that Google has remained true to its mission statement since the early days.
"To bring inspiration and innovation to every athlete* in the world. *If you have a body, you are an athlete."
What makes this mission statement special?
Nike has a huge influence and shapes the sports sector like hardly any other brand. The mission statement of the sporting goods manufacturer refers in particular to the goal of helping athletes achieve the best possible performance.
"To become the world's leading provider of premium products and premium services for individual mobility".
What makes this mission statement special?
BMW is a globally respected brand and stands for quality. With this mission statement, BMW not only addresses the high quality standards, but also the individual needs of its customers.
"To connect the world's professionals to make them more productive and successful."
What makes this mission statement special?
LinkedIn's mission statement is powerful, descriptive and gets to the heart of what the social media platform stands for: Connecting professionals from all over the world. The focus here is not on the platform itself, but primarily on the users.