An effective and appropriate corporate mission statement should include what?

Definition of a Mission Statement

A mission statement is a brief statement that explains why an organization exists, the overall goal of the organization, the products, and services provided by the organization, the primary market and consumers, and the main region of the organization’s operations. The mission statement might also include a summary of the organization’s values, competitive advantages, and future goals.

Components of a mission statement

A mission statement is not only a description of an organization by the external parties but a reflection of the organizational leaders, their desires, and their intentions for the company. Therefore, the mission statement communicates the purpose of the organization to the consumers, employees, and other stakeholders. It is also a statement that brings about a sense of identity to the employees. Over time, organizations do change their mission statements, mostly one to three years, and in times of major transition of the organization.

It is worth noting that a proper mission statement must adhere to all the rules of writing so that it can make sense to prospective stakeholders and shareholders.

A corporate mission statement contains three basic parts:

1. The key market

which is the target audience for the products or services provided by the organization.

2. The contribution of the organization’s product or service.

3. The distinction

These are the unique characteristics of the products or services and the reasons why consumers should purchase them.

An effective mission statement meets the following needs:

1. Satisfies consumer needs

A mission statement needs to indicate how the organization will meet the needs of consumers to their satisfaction.

2. Identifies and tells who the customer is

Consumers need to feel appreciated and cared for.

3. Explains what needs of the consumer the organization is trying to satisfy

This shows that the organization is putting in an extra effort in their work.

4. It gives a way of how the consumer needs will be fulfilled.

5. Fits the current market structure and environment.

Falling within the market structure is important because it prevents the organization from running out of business.

6. Fits the competitive advantage of the organization.

Competition is important in the business world. Therefore, a mission statement shows how the organization will meet the competitive advantage.

7. Addresses the unique core competencies of the organization.

8. Motivates and inspires employee commitment to the organization.

Clear and easily understood.

9. To be remembered by employees, stakeholders, and consumers.

The desire of every organization is for people to remember it always. Therefore, a mission statement is one of the ways that an organization can be embedded in people’s minds.