The mission statement is a documentary statement of values, action guidelines, etc. that companies and employees should share, and is similar to the “company motto,” “company motto,” and “management philosophy” that Japanese companies have long advocated. ..
Introducing the difference between the mission statement and the management philosophy and how to make it.
What is a mission statement?
A mission statement is a corporate action guideline that serves as a criterion for realizing the management philosophy. It can be said that the mission statement is indispensable in corporate activities.
Business scenes are constantly changing, so we need to understand the needs of our customers and the trends of the times. In addition, corporate activities based on the intentions, business performance, and scenes of shareholders are not always successful.
It is necessary to make decisions even with these uncertainties, and the mission statement is useful there. Clarifying specific indicators in your mission statement will allow you to make decisions in any situation.
Maintaining motivation and spiritual support within the company
In addition, it is possible to unify the intentions of employees by raising a mission statement.
Some employees may retire without finding a “meaning to work”. However, if you put up a mission statement, it becomes a mental pillar that keeps employees motivated, and the turnover rate decreases. You will not let go of the best talent.
Appeal social contribution activities and beliefs to the outside
Incorporate activities, in addition to the products and services we handle, what kind of thoughts and beliefs we have are also important. Especially in modern times, social contribution activities by companies also regard as important, and it is necessary to clarify them.
The mission statement is a power to appeal your thoughts, beliefs, and social contribution activities to the outside. You can simply express the significance of the existence of a company.
The significance of a company’s existence tends to be ambiguous, but by opening it as a mission statement, the meaning can reconfirm.
Presenting goals to shareholders
For a joint-stock company, there are many shareholders who need to report the results of their economic activities for the year and return profits. It requires not only numbers but also business plans and goals, but it must understand by shareholders.
By raising a mission statement, you can present your goals to shareholders.
The mission statement is
- Corporate activities
- Maintaining employee motivation
- Corporate appeal to the outside
- Presenting goals to shareholders
Difference between mission statement and management philosophy
Every company has a management philosophy, and many people have a similar image of the mission statement and management philosophy. What is the difference between the mission statement and the management philosophy?
Difference from management philosophy
The management philosophy expresses the guidelines and significance of the existence of a company and has many abstract and conceptual contents. Therefore, it is often not possible to convey specific content.
In contrast, the mission statement is a more specific action guideline that incorporates the management philosophy. Being specific, it will serve as a criterion more effectively.
Mission statement and employees, customers
When providing products and services, companies need to clarify their characteristics and the social mission they are fulfilling. By clarifying the degree of contribution to society, employees can concentrate on their work with higher motivation.
Also, when working with customers and markets, you need to think about what kind of customers you will be offering products and services to. By providing value to customers, we understand the mission of the company.
Furthermore, clarifying the target market as well as the customer will reaffirm the social mission of the company.
Mission statement and competitive advantage
In addition, competition with other companies in the same industry is created in any industry, but it requires a competitive advantage of the company. If you know the competitive advantage in your corporate activities, you will be able to continue your business.
Competitive advantage leads to the self-confidence of the company, not only gaining high credibility from customers and shareholders but also improving employee motivation. This is one of the elements that should mention in the mission statement.
Mission statement, social responsibility, and consideration for the environment
The mission statement also requires corporate social responsibility and consideration for the environment. In recent years, awareness of ecology has increased, and it is necessary to consider consideration and efforts for environmental issues.
In Japan during the period of high economic miracle, the pursuit of profits caused major problems such as pollution and environmental destruction. To avoid repeating these mistakes, it is a good idea to clarify your consideration for the environment with a mission statement. It also leads to a public image of the company.
Difference between mission statement and vision statement
When thinking about a mission statement, it is often confused with a vision statement. Both have similar images, but how are they different?
A mission statement is now, a vision statement is a future
The mission statement also embodied the values and social mission that share by companies and employees. Sharing a mission statement will reduce the chances of getting lost in business activities.
On the other hand, the vision statement is a document of the company’s goals and future and has a great influence on strategic planning in corporate activities.
Specifically, the mission statement expresses the presence of the company, while the vision statement expresses the future of the company. Therefore, it can say that the direction we are aiming for is different.
What is “vision” with a vision statement?
The vision statement talks about the future, but what does that vision mean? Vision means an image of the near future, similar to what you first envision when starting a company. A vision that is a long-term goal is called a vision.
However, the goal tends to be ambiguous, and it is difficult to share it with all employees as it is, so we will translate it into as simple a word as possible so that everyone can share it with the same amount of heat. This simple word is called a vision statement.
The vision statement is not just a goal for your company. Goals that involve the entire industry and society as a whole can also be called a vision statement.
A vision statement clarifies a company’s course of conduct, allows it to respond flexibly to changing markets and environments, and by sharing it, it becomes a foundation for smooth decision-making. ..
For the vision statement to work, it needs to be a simple language that employees can share.
The effect of making a mission statement
Appeal to the deep part of the company with a mission statement
In job hunting, you will find out about the company you want to work for, and you will find out about the business and capital. However, the deep parts such as the way of thinking and the actual situation of the company are difficult to understand.
Therefore, I would like to recommend checking the mission statement. Since the mission statement is a guideline for the company’s actions, it is possible to understand the aspect of the company in a little deeper part.
The mission statement has the role of appealing to the outside world. If you have a good mission statement, it will be easier for you to get sympathy from the outside, and you can expect to gather people and work.
However, the mission statement is so influential that you should avoid raising it without fully considering its meaning.
Creating a mission statement makes it easier to control the company
Mission statements also affect employees. Employees will be able to streamline their work and provide more active ideas by clarifying goals and guidelines through mission statements. You can understand the business contents more deeply than now.
How to make a mission statement
Create based on corporate philosophy, services, social responsibility, etc.
- Improving employee motivation
- Improving the image outside the company
- Securing human resources
It is a mission statement that has various merits such as, but how should I make it?
Launch a dedicated team of creation
The first thing to do is to set up a dedicated team for mission statement writing.
The point is to involve employees in all positions. These specialized teams are inevitably limited to the executive level, but that doesn’t allow them to share mission statements with their employees.
Since the mission statement is meant for employees to share their intentions, let’s involve various employees. Shareholders may include.
Content for all employees, customers, shareholders, and job seekers
Next, think about what you want to include in your mission statement. At that time, it is important to understand the intentions of all team members.
At that time, the content tends to direct only to employees, but the mission statement is
- job seeker
The mission statement is directly linked to the public image of the company and has a great impact on corporate activities. We also check job seekers, so we need to spend more time on social contributions and awareness of ecology.
Put your ideas together in a sentence
Finally, I will summarize the ideas that the creative team came up with within a sentence. Check that it’s made up of simple words to ensure that the content is shared. No matter how effective the content is, it is meaningless unless it is conveying.
What is important when summarizing the text is the awareness that the mission statement is sent to society. Therefore, choose a word from the perspective you receive.
- Corporate strong points
- Social contributions
- Consideration for the environment
Corporate activities with a mission statement
The mission statement is a corporate goal and guide. By making it in the form of a mission statement, the guideline becomes clear and it functions as one of the judging criteria.
Markets and environments are constantly changing in any industry, and with the need for quick and flexible responses, delays in making decisions can be devastating. However, you can mitigate the risk by putting up a mission statement.
Also sharing in the form of a mission statement, awareness of employees, improvement of a sense of mission and productivity, reduced turnover, also leads to excellent human resources ensure.
There are many benefits to creating a mission statement, so let’s set up a creative team.