The terms “Mission” and “Vision” are no longer new to us. Probably, we have first encountered these words in grade school where we were initially introduced to a formal organization or institution. Until today, when we have already been visited or worked at various institutions or companies, we might have still continued knowing their mission and vision statements.
But have you ever asked yourself why they have these kinds of statements? Why does every organization need to have lines painted on the walls of their office buildings or printed in every formal document they submit or file?
If you have attended business school, you could answer their difference and their purpose. For some who do not have a background on these two, they might just seem like two words with a similar meaning.
“Mission” and “Vision”
A mission statement is a short sentence or paragraph used by an organization to explain and summarize its purpose. The mission line of each company serves as both a goal for employees of the business organization to finish their tasks at hand and as a motivation to move towards their company’s growth and progress.
A vision statement, on the other hand, sets the map where the organization is headed to. It sets out the ultimate objectives of the company as well as its economic foresight to guide its leaders in making decisions for the organization.
Mission statements are short-term while vision statements are long-term.
Why should you have a mission statement?
- Coherent business plan.
Mission statements are probably the first thing you see in every business plan. As a proprietor of a business idea, it would be advantageous to include your mission in the executive summary of the plan for your possible investors, partners or co-incorporators to know where your paper is heading to. Through these statements, they will easily find what they are looking for.
- Delineating the purpose from making profit.
Although business establishment is pioneered to gain profits, earning money should not be your organizations sole goal. Maybe, you can incorporate the basic need in the community which you aim to fulfill or satisfy. Through the mission statements,
- Advertising scheme.
Companies sometimes include their mission statements in their advertisements as taglines. Through doing so, they communicate the ultimate intention of their business; and people could find your product or service worthy of their time and interest through these statements.
Why should you have a vision statement?
- Providing organizational effectivity.
Vision statements serve as the magnet of each organization. It keeps everyone in the company informed of the reason why they are doing their tasks as well as where they are going to in the future. Through orienting every member of the establishment with the true meaning of each line, their concentration and focus aligns in the same path creating the necessary cooperation inside the company.
- Guiding decision-making.
Exemplary skill in making rational and calculated decisions is necessary whenever you start operating your own business. Once faced with difficult situations and conflicting options, you could go back to the vision statement and choose which one aligns with what your company’s plan is.
- Motivating and inspiring employees.
Actually, corporate directors and incorporators, partners, proprietors and their employees will be benefited by the vision statement. The owners of business will have a clear plan where the company will be heading to in two, five or ten years. Meanwhile, employees would be inspired to work hard knowing where they will be after a couple of years if they always finish their tasks properly.
Not only big companies need mission and vision statements. ERP Consulting LLC, an expert in monitoring one’s business through Microsoft Dynamics GP in Pataskala Ohio, not just encourage clients of making these statements as foundation of their businesses but will also help them to succeed through enterprise resource planning (ERP) software sales, installation, configuration, integration and support in order to provide them with expert guidance and project leadership while empowering complete control of their finances, resources and decision-making processes.