What is a mission statement?

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Every organization must have a mission statement shapes the entire company architecture. It is an action-based statement that defines the purpose of an organization and how it operates its business or service. The mission statement ultimately becomes the company’s operating guideline that all employees and members follow to achieve the goal and the vision of the organization.

Let’s learn about how mission statements can affect the culture of companies.

1. Mission statements are the underlying guide to all decisions

The mission statement is the first thing to consider when a company makes decisions. Before committing to a decision, it is important to first identify the purpose, and specify how it aligns with the company’s goals. In other words, all product decisions made by the company must be consistent with the mission statement. The company needs to consider whether every decision serves the purpose of the company and whether it is suitable for achieving its goals.

2. Mission statements are used to set a common goal

A company’s mission statement can be used to set a common goal among employees. Along with the core values of the company, the mission statement sets out how employees must consider and approach their works. Ensuring that employees clearly understand the purpose of their work and knowing exactly what is expected of them is important to the company. This can be done by sharing the mission statement with employees so that they can align their work to share common goals.

3. Clear mission statements lead to higher productivity

Promoting the mission statement to the employees is also important as it can result in a higher level of employee engagement and positive workplace culture. Companies that cultivate a strong workplace culture driven by deep engagement and meaningful work are likely to find success. Studies show that 81% of employees that work in companies with clearly defined mission statements feel a strong trust bond with their leaders, whereas only 54% felt the same way in companies without mission statements. As the mission statements are managed and grown by leaders, companies that shares clear mission statements seem to form stronger bonds between leaders and followers, resulting in higher productivity.




Colawork helps companies build cultures based on core values by providing tools to incentivize employee recognition and engagement.

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Colawork (COLA)

Colawork (COLA)

Colawork helps companies build cultures based on core values by providing tools to incentivize employee recognition and engagement.

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