Mission Statement

Building a Foundation for Organizational Success

Definition of a Mission Statement
A concise statement that articulates the fundamental purpose and identity of an organization.

It communicates what the organization does, whom it serves, and its fundamental values and
objectives.

Purpose of a Mission Statement

Communicates the organization's reason for existence.
One of the primary purposes of a mission statement is to clarify what business the organization
is in
A mission statement also communicates what the organization does and whom it serves.
Provides a framework for strategic planning, goal setting, and decision making.
Ensures alignment with organizational values, vision, and goals.
A mission statement clarifies whether an organization is for-profit or not-for-profit by articulating
its core purpose and objectives.

Importance of Mission Statements

Provides clarity, focus, and direction for the organization's activities and decisions.
Impact on Organizational Culture, Strategy, and Performance
Influence on Stakeholder Perceptions, including Employees, Customers, and Investors
Role in Guiding Decision Making and Goal Setting
Guiding Organizational Direction: Mission statements provide a clear and concise statement of
the organization's purpose and reason for existence, guiding decisions, and actions towards
common objectives.
Setting Strategic Direction: Mission statements shape the organization's strategic direction by
defining its scope, target markets, and priorities for resource allocation and growth.
Communicating Purpose: Mission statements serve as a communication tool internally and
externally, conveying the organization's identity, and goals to stakeholders.
Inspiring and Motivating: A compelling mission statement inspires and motivates employees by
instilling a sense of purpose and meaning in their work, driving engagement and commitment.
Differentiating from Competitors: Mission statements differentiate the organization from
competitors by communicating unique selling propositions and core values that resonate with
customers.

Characteristics of a Strong Mission Statement

Clear and Concise: Clearly communicates the organization's purpose in a succinct manner.
Inspirational: Inspires and motivates stakeholders, including employees, customers, and investors.
Relevant and Timeless: Remains relevant over time and adaptable to changes in the business
environment.
Unique and Differentiating: Sets the organization apart from competitors and highlights its unique
strengths.

Examples of Mission Statements from Various Organizations

Example 1: "To inspire and nurture the human spirit – one person, one cup, and one
neighborhood at a time." Starbucks
Example 2: "To be Earth's most customer centric company, where customers can find and
discover anything they might want to buy online." Amazon
Example 3: "To organize the world's information and make it universally accessible and useful."
Google
Example 4: Tata Steel Founder: Shri Jamsetji Tata,
Tata Steel strives to strengthen India's industrial base through the effective utilization of men
and materials. The means envisaged to achieve this are high technology and productivity,
consistent with modern management practices.
Tata Steel believes that honesty and integrity are essential ingredients of a strong and stable
enterprise, profitability provides the main spark for economic activity.
Overall, the company seeks to scale heights of excellence in all that it does in an atmosphere
free from fear, and one which encourage innovativeness and creativity.

Compiled by:
Dr Ajaya Shankar Gupta Ainapur
BE (Mining), MBA (Tech. Mgmt.),PhD (Management) with + 40 Years’ experience. 19 Years in Tata
Steel, 2 years Tata Projects, 1.5 Years Abhijeet Group & 2 Years Dangote Nigeria, +15 years
Director Consultancy etc. He was an Assessor for CII-EXIM Award, Tata Business Excellence Award
Model, JK Group People Management Award and Lead Auditor ISO 9001,14001,45001 etc