Mission, vision and values of the company – key tools for its success

Nowadays, in order to be spectacularly successful in the market, in addition to providing quality products or services, a brand must also be guided by certain values and define its mission and vision.

What is the difference between these two concepts? How do they translate into the business?

To better understand what vision, mission and values are, it is important to make clear the differences between them. The concepts mentioned overlap, but also cover different scopes. Vision is by far the broadest term – it refers to an organisation’s idea of the future and its plans.

What is a corporate vision?

A company vision can be understood as a kind of dream about what you want your brand to be in a few years’ time. A vision usually covers a longer time frame than a company mission statement and is mainly intended to inspire action.

It should be seen more as an idea that encapsulates the company’s mission, values and strategic goals. To put it another way, it is the direction the brand intends to take in the years to come.

What is a company mission statement?

A company mission is smaller in scope and usually shorter in time. It refers to specific and concrete tasks to be implemented. They should always result from the organisation’s vision, its values and the current market situation. Pablo Cardon and Carlos Rey, authors of the book Managing by Mission, distinguish four types of mission for organisations:

• business, which involves generating profit and improving the market situation;
• developmental, which involves innovation or employee improvement;
• rational, which involves issues such as dealing with customers or business partners;
• related to the contribution to others, in which pro-social or pro-environmental activities are undertaken.

Every mission statement contains objectives. Unlike a vision, however, these must be measurable and achievable.

For example, the sentence ‘to sell 10,000 computers in a month’ is a clearly defined and measurable goal. Conversely, the phrase ‘to become the largest computer manufacturer in the country’ would work better as a company vision.

What are the company values?

Values are an important element of vision and mission statements. They can be seen from a financial perspective. If an activity is profitable for your organisation, it is valuable.

However, in the case of a vision and mission, a different way of understanding values will be more important. In this case, they refer to desirable and well-regarded attitudes and characteristics that employees, but also ideal customers, should possess. Examples of values that could guide your organisation are integrity, respect, responsibility or commitment.

Put differently, values are the ideas by which a company operates. They are the starting point for the mission and vision, and help define the internal organisational culture. They set the business framework and attract people (employees and customers) who share similar principles.

What are a company’s vision and mission statements used for?

The main goal of every company is to generate profits, but they do not operate in a vacuum. Their day-to-day activities have an impact on employees, customers, the community and the environment.

Today, almost every brand has a vision, mission and a list of core values. On any brand’s website, you will almost certainly find an ‘About Us’, ‘Mission’ or ‘Our Values’ tab.

Mission and vision should not be understood as empty slogans. Their definition brings specific and measurable benefits to the company. Vision and mission statements influence the organisation’s objectives and point the way forward. They also show customers the distinctive characteristics of the brand.

They can also be used as criteria for evaluating a company’s activities. Contractors may be more willing to work with a brand that actively pursues its mission and adheres to certain values. For example, if your organisation declares that it supports environmental protection, but fails to act on it, customers may perceive this negatively. This, in turn, may translate into fewer contracts or difficulty in acquiring new leads.

In addition to the above-mentioned benefits, the vision and mission statements provide an insight into the organisation’s operating model. Defining the core values translates into an organisational culture. This can improve the efficiency of operations and also have a motivating effect on employees.

How do mission and vision affect the company’s strategy and goals?

The vision and mission statement(s) set the framework for the company and indicate the areas in which it should take action. This, in turn, translates into the ability to better define objectives.

While vision and mission correspond to ideas, strategy defines the specific actions and processes necessary to achieve them. It refers to a specific, measurable and achievable plan that your brand will consistently follow.

How do you develop a mission, vision and values?

Defining values and building a vision and, later, a specific mission statement for a company based on these values can be a time-consuming and engaging activity. They point the way forward and define the most important principles of organisational culture, so it is not worth underestimating the process of creating them.

To be relevant to the actual state of your brand, they cannot be imposed from above. Better results will come from involving the whole team. It is easiest to start with the most general issues and answer questions like:

• What does your company do and how does it do it?
• Why and for whom does it do it?
• What makes your brand different?

Once you have the answers, you can move on to identifying your organisation’s values. In this case, it is useful to look at your team and identify them based on the characteristics of your employees. It can be very effective to include them in this process. It is your team that will deliver the goals and missions, so if they participate in their creation and identify with them, the likelihood of success will increase.

You can then move on to defining the overall vision for your organisation. It should reflect the nature of your brand and be encapsulated in no more than a few sentences. For best results, encapsulate it in a single, catchy slogan that will be the most important principle of your company. The same rules apply to developing a mission statement – it should clearly state the company’s objectives and be understood by all.

How do ESG and CSR affect a company’s vision?

It is also worth considering the company’s vision and mission in the context of CSR (corporate social responsibility) and ESG (an acronym for environmental, social responsibilty and corporate governance; environment, social responsibility, corporate governance). Especially the second concept will play a big role in the creation of a brand mission and vision, as from 2024 companies in the EU will have to report annually on their non-financial activities and environmental and social impacts.

CSR and ESG can be seen as a set of universal values that can be successfully transferred to your organisation’s operations.

Are vision and mission statements important for every company?

The short answer to the above question is – yes.

A vision statement sets out all the plans that your organisation may or may not be able to achieve in the near and distant future. A mission statement, on the other hand, is a set of goals and feasible actions that will translate into improvements in your business situation. Their common material is the company’s values. The tools used for implementation are business or marketing strategies.

It is worth remembering that vision, mission, goals and strategies are inextricably linked and together contribute to the success of your brand. When you set goals, keep the vision in mind and vice versa. This approach can yield better results than treating all factors separately.