CHARACTERISTICS OF A GOOD MISSION

Mission statements can and do vary in length, contend, format, and specificity. Because a
mission statement is often the most visible and public part of the strategic management process,
it is important that it includes all of these essential components.
Effective mission statements should be
1. A declaration of attitude
A mission statement is a declaration of attitude and outlook more than a statement of
specific details. It usually is broad in scope for at least two major reasons. First, a good
mission statement allows for the generation and consideration of a range of feasible
alternative objectives and strategies without unduly stifling management creativity. Excess
specificity would limit the potential of creative growth for the organization. On the other hand,
an overly general statement that does not exclude any strategy alternatives could be
dysfunctional. Apple Computer's mission statement, for example, should not open the
possibility for diversification into pesticides, or Ford Motor Company's into food processing.
Second, a mission statement needs to be broad to effectively reconcile differences
among and appeal to an organization's diverse stakeholders, the individuals and groups of
persons who have a special stake or claim on the company. Stakeholders include employees;
managers; stockholders; boards of directors; customers; suppliers; distributors; creditors;
governments (local, state, federal, and foreign); unions; competitors; environmental groups;
and the general public. Stakeholders affect and are affected by an organization's strategies,
yet the claims and concerns of diverse constituencies vary and often conflict. For example,
the general public is especially interested in social responsibility, whereas stockholders are
more interested in profitability. Claims on any business literally may number in the thousands,
and often include clean air, jobs, taxes, investment opportunities, career opportunities, equal
employment opportunities, employee benefits, salaries, wages, clean water, and community
services. All stakeholders' claims on an organization cannot be pursued with equal emphasis.
A good mission statement indicates the relative attention that an organization will devote to
meeting the claims of various stakeholders. More firms are becoming environmentally
proactive in response to the concerns of stakeholders
A good mission statement focuses on the overall attitude of the company. It introduces
the products and services it deals with to the public and employees. Further, it provides
opportunity to the company to acknowledge the social responsibility that vests on its
shoulders.
2. A customer orientation
A good mission statement describes an organization's purpose, customers, products or
services, markets, philosophy, and basic technology. According to Vern McGinnis, a mission
statement should:

Define what the organization is and what the organization aspires to be,
De limited enough to exclude some ventures and broad enough to allow for creative
growth,
Distinguish a given organization from all others,
Serve as a framework for evaluating both current and prospective activities, and
Be stated in terms sufficiently clear to be widely understood throughout the
organization.

A good mission statement reflects the

anticipations
of customers. Rather than developing a product and then trying to find a market, the
operating philosophy of organizations should be to identify customers' needs and then
provide a product or service to fulfill those needs. Good mission statements identify the utility
of a firm's products to its customers.
A major reason for developing a business mission is to attract customers who give
meaning to an organization. A classic description of the purpose of a business reveals the
relative importance of customers in a statement of mission: It is the customer who
determines what a business is. It is the customer alone whose willingness to pay for a good or
service converts economic resources into wealth and things into goods. What a business
thinks it produces is not of first importance, especially not to the future of the business and to
its success. What the customer thinks he/she is buying, what he/she considers value, is
decisive--it determines what a business is, what it produces, and whether it will prosper. And
what the customer buys and considers value is never a product. It is always utility, meaning
what a product or service does for him or her. The customer is the foundation of a business
and keeps it in existence
3. A declaration of policy
The words social policy embrace managerial philosophy and thinking at the highest
levels of an organization. For this reason, social policy affects the development of a business
mission statement. Social issues mandate that strategists consider not only what the
organization owes its various stakeholders but also what responsibilities the firm has to
consumers, environmentalists, minorities, communities, and other groups. After decades of
debate on the topic of social responsibility, many firms still struggle to determine appropriate
social policies.
The issue of social responsibility arises when a company establishes its business
mission. The impact of society on business and vice versa is becoming more pronounced each
year. Social policies directly affect a firm's customers, products and services, markets,
technology, profitability, self-concept, and public image. An organization's social policy should
be integrated into all strategic-management activities, including the development of a
mission statement. Corporate social policy should be designed and articulated during strategy
formulation, set and administered during strategy implementation, and reaffirmed or changed
during strategy evaluation. The emerging view of social responsibility holds that social issues
should be attended to both directly and indirectly in determining strategies.
4. It must be compelling, passionate and energizing
Great mission statements use words and phrases that are compelling and passionate,
and that inspire dedication and commitment.
A good mission statement must create excitement. It should be inspiring, compelling
and even passionate. It will exist not just on paper, will be deeply embedded in the hearts and
minds of the people. It should energize them and tell anyone else what you stand for, It
captures idealism and creates sense of excitement about your work.
5. Inspiring and relevant to all stakeholders

A mission statement should be relevant to all the firm's stakeholders. The mission
should state how the company intends to serve each of them. Especially look for it to
motivate non-managerial employees
6. Risky but challenging
It should be risky and challenging, but also achievable. If it falls between "we can't do
it", but "we will do it anyway" then you're on the right track. Also remember that a mission
statement isn't written in stone, and is likely to change over time as a business grows and
market conditions change. Think of your mission statement like a race; give it a clearly
defined finish line and determine a time period when it will be achieved.
Writing a mission statement can be a difficult and challenging task. If you don't know
what you stand for and what your company believes in, then it's impossible. If you don't know
what principles you operate from and how you will treat those who come in contact with your
company, then it's impossible. If you're not excited about what you are doing and lack a
passion for your product or service, then it's impossible. Instead of trying to just "write it" or
"get it done", devote some serious thought and soul searching to your mission statement. It
must boldly state what you, your company, and it's future are all about - and it's worth the
effort.

7. Flexible
Mission statements should be flexible and be kept open to changes according to the
changes in the market dynamics. A good mission must be broad and flexible enough to allow
for potential growth.
8. Serves as the guiding light of the business
It tells you, your company, your employees, your vendors, your customers, your
investors, and your lenders what your goal is, what you stand for, and where you're headed.
Essentially, your mission statement defines your company's values and outlines your
organizational purpose and "reason for being".
A solid business plan is organized to convey information to outsiders about the nature
and intentions of your business. A clear mission statement serves as the "guiding light" of
your business plan, powerfully condensing the message you want to send to the reader.
It serves as the guiding light for all its actions; spells out its overall goals, gives sense
of direction and guides in decision making.