A WHY statement for a business is known as a “mission statement”. It is similar to a personal WHY statement in a number of ways. Having a good mission statement is important but most business owners don’t bother to create one. Or they write one for a business plan and then never look at it again.
Writing a good mission statement is essential. If it is done in a rush and doesn’t encapsulate all of the important things about your business then it is a complete waste of time. In this article we will explain why it is so important to create a strong mission statement and take the time and effort to do so.
It Provides Direction
A good mission statement will always clearly state the direction of a company. It will include the main goal of the business and this is important for customers, employees, suppliers and stakeholders to know.
As your business launches new products and services your customers and employees will understand why you have done that if you have a strong mission statement. They will see how they align with the direction that the company is heading in and will be more committed to them.
It will provide Employee Unification
In any company that has a number of different departments there is often a disconnect between them. These days many businesses outsource work to skilled freelancers and external companies and this makes the problem worse.
For example, if the company is planning to launch a new product then it is very likely that most of the departments and a number of outsourcers and external companies will be involved. If no strong mission statement exists then there is a much higher chance of the overall goal of the project being lost on different people.
When you have a strong and explicit mission statement and you share this with all parties it makes it a lot easier for everybody working on the product launch project to see how they fit in and how important their role is.
A Mission Statement helps to maintain Focus
When a company grows and expands their reach it is often the case that both the bosses and the workers will lose their focus. If your business has a strong mission statement then this can be avoided.
Loss of focus can really harm the reputation of a business. Its brand can suffer and so can its overall image. With a strong and explicit mission statement in place it will provide guidance to all during periods of growth. The mission statement will remind everyone of the main goal and help to keep its reputation intact.
Creating Accountability with a Mission Statement
Any business will exist to fulfill a specific purpose or need and this needs to be stated clearly in your mission statement. A businesses needs to be accountable so that it can continue to improve and serve its customers better. If the overall purpose of the business is unclear then it is going to be difficult, if not impossible, to make these improvements.
You need to make it clear in your mission statement what your business wants to accomplish. This will help to hold both the business owners and employees accountable and ensure that everyone is striving to achieve the same goal.