A mission statement is a formal, short, written statement of the purpose of a company or organization.

The mission statement should guide the actions of the organization, spell out its overall goal, provide a sense of direction, and guide decision-making. It provides "the framework or context within which the company's strategies are formulated."[1] Historically it is associated with Christianreligious groups; indeed, for many years, a missionary was assumed to be a person on a specifically religious mission. The word "mission" dates from 1598, originally of Jesuits sending ("missio", Latin for "act of sending") members abroad.[2]

Contents
All effective mission statements have in common critical components that clarify each organization's purpose.

Mission statements often contain the following

Purpose and aim of the organization The organization's primary stakeholders: clients, stockholders, congregation, etc. Responsibilities of the organization toward these stakeholders Products and services offered

According to Hill, the mission statement consists of: 1. a statement containing the reason for using your product 2. a statement of some desired future state (vision) 3. a statement of the key values the organization is committed to 4. a statement of major goals

The mission statement can be used to resolve differences between business stakeholders. Stakeholders include: employees including managers and executives, stockholders, board of directors, customers, suppliers, distributors, creditors, governments (local, state, federal, etc.), unions, competitors, NGO's, and the general public. Stakeholders affect, and are affected by, the organization's strategies.

According to Vern McGinis, a mission should:

Define what the company is? MISSION Define what the company aspires to be? VISIONS STATEMENT. Limited to exclude some ventures Broad enough to allow for creative growth Distinguish the company from all others Serve as framework to evaluate current activities Stated clearly so that it is understood by all

Mission of the company communicates the firm's core ideology and visionary goals. It should contain the company's core values, core purpose, and visionary goals. When the visionary goals are selected, the core values and purpose of the firms should be discovered. Values and purpose are in the company already; the mission just describes them. In that case, the stakeholders are more likely to believe in the company's mission.

A mission statement is a brief description of a company's fundamental purpose. A mission statement answers the question, "Why do we exist?" The mission statement articulates the company's purpose both for those in the organization and for the public. For instance, the mission statement of Canadian Tire reads (in part): Canadian Tire is a growing network of interrelated businesses... Canadian Tire continuously strives to meet the needs of its customers for total value by offering a unique package of location, price, service and assortment. The mission statement of Rivercorp, business development consultants in Campbell River, B.C., is: To provide one stop progressive economic development services through partnerships on behalf of shareholders and the community. As you see from these two mission statement samples, mission statements are as varied as the companies they describe. However, all mission statements will "broadly describe an organization's present capabilities, customer focus, activities, and business makeup" (Glossary, Strategic Management: Concepts and Cases by Fred David). The difference between a mission statement and a vision statement is that a mission statement focuses on a companys present state while a vision statement focuses on a companys future. Every business should have a mission statement, both as a way of ensuring that everyone in the organization is "on the same page" and to serve as a baseline for effective business planning. See How to Write a Mission Statement to learn how to write one of your own.

Definitions of vision on the Web:

a vivid mental image; "he had a vision of his own death" sight: the ability to see; the visual faculty the perceptual experience of seeing; "the runners emerged from the trees into his clear vision"; "he had a visual sensation of intense light" imagination: the formation of a mental image of something that is not perceived as real and is not present to the senses; "popular imagination created a world of demons"; "imagination reveals what the world could be" a religious or mystical experience of a supernatural appearance; "he had a vision of the Virgin Mary"

The act of seeing external objects; actual sigh

the act or power of sensing with the eyes; sight. 2. the act or power of anticipating that which will or may cometo be: prophetic vision; the vision of an entrepreneur. 3. an experience in which a personage, thing, or event appearsvividly or credibly to the mind, although not actually present,often under the influ ence of a divine or other agency: aheavenly messenger appearing in a vision. Comparehallucination ( def. 1 ) . 4.

something seen or otherwise perceived during such anexperience: The vision revealed its message. 5. a vivid, imaginative conception or anticipation: visions ofwealth and glory. 6. something seen; an object of sight. 7. a scene, person, etc., of extraordinary beauty: The sky wasa vision of red and pink.

A vision statement is sometimes called a picture of your company in the future but its so much more than that. Your vision statement is your inspiration, the framework for all your strategic planning. A vision statement may apply to an entire company or to a single division of that company. Whether for all or part of an organization, the vision statement answers the question, Where do we want to go? What you are doing when creating a vision statement is articulating your dreams and hopes for your business. It reminds you of what you are trying to build. While a vision statement doesnt tell you how youre going to get there, it does set the direction for your business planning. (For more on the role of your vision statement in business planning, seeQuick-Start Business Planning.) Thats why its important when crafting a vision statement to let your imagination go and dare to dream and why its important that a vision statement captures your passion. Unlike the mission statement, a vision statement is for you and the other members of your company, not for your customers or clients. When writing a vision statement, your mission statement and your core competencies can be a valuable starting point for articulating your values. Be sure when youre creating one not to fall into the trap of only thinking ahead a year or two. Once you have one, your vision statement will have a huge influence on decision making and the way you allocate resources.