Mission vs Vision vs Purpose

Understanding a company’s mission statement, vision, and purpose is critical to understanding its overarching strategy and future direction. A unified mission, vision, and purpose sets and binds a company’s culture and provides a strategic beacon that rallies stakeholders. However, these terms often get confused. This article sets out what is a mission, vision and purpose,

Gary Fox

Mission Vision Purpose

Mission vs Vision vs Purpose

Understanding a company’s mission statement, vision, and purpose is critical to understanding its overarching strategy and future direction. A unified mission, vision, and purpose sets and binds a company’s culture and provides a strategic beacon that rallies stakeholders.

However, these terms often get confused. This article sets out what is a mission, vision and purpose, why they are important, and how to align them to powerfully and clearly communicate a strategy.

The Mission Statement

A mission statement clearly articulates an organization’s core purpose, focusing on its current operations and the unique value it delivers. It describes the organization’s activities, target audience, and distinct advantages, emphasizing immediate actions rather than future aspirations.

How a Mission Links to Vision

The mission provides a foundation for the vision, detailing the organization’s present objectives and activities. The vision then extends this framework to articulate long-term aspirations, ensuring both elements work in tandem to guide strategic direction.

Why Use a Mission

  • Provides clarity and direction.
  • Aligns efforts with core values and goals.
  • Essential for strategic planning.
  • Communicates purpose to stakeholders.
  • Fosters a unified organizational culture.

Principles To Develop A Mission Statement

  • Core Activities and Present Focus
    • Highlight essential activities and operational focus.
    • Detail how your organization serves its stakeholders.
  • Stakeholder Engagement
    • Ensure it aligns with stakeholders expectations.
    • Set out how it bridges strategic ambition with collective effort.
  • Customer-Centric Approaches
    • Emphasize the value proposition(s) and how they meet customers expectations.
    • Focus on meeting customer needs with excellence and innovation.
  • Strategic Direction
    • Construct it to serve as a decision-making beacon.
    • Align the mission with core values.
  • Adaptability and Responsiveness
    • Showcase how it reflects a readiness to adapt to market changes.
  • Ethical and Social Responsibility
    • Reflect current and future commitments to ethical standards and societal impact.
    • Express how and what will change to meet sustainability goals.
  • Distinctive Competence
    • Articulate the unique strengths and market position.
  • Transparency and Communication
    • Provide clear insight into organizational priorities.

Problems with How Firms Use/Develop Mission Statements

A lot of mission statements fail to clearly communicate a strategic direction or worse they are misaligned with the vision and purpose. Here are some common mistakes:

  • Lack of Specificity: Generic statements that fail to provide clear direction.
  • Misalignment with Reality: Gaps between the statement and actual practices.
  • Failure to Engage Stakeholders: Overlooking key stakeholder input.
  • Static Approach: Not updating the statement to reflect organizational change or growth.
  • Overcomplication: Using jargon that obscures the message

How to Develop a Mission Statement – Best Practice

Make it real by gathering information prior to any strategic workshop. As an example, who are the critical stakeholders, and what are their concerns or sentiments over the future of the organisation? How are customers changing? What will that mean for the future, what are their expectations? Who are your competitors and what differentiates your company? What is your strategy?

  1. Reflect on Core Values and Purpose: Determine what your organization stands for.
  2. Analyze Your Unique Value Proposition: Identify what sets you apart from competitors.
  3. Involve Stakeholders: Include employees, customers, and others in the development process.
  4. Focus on Clarity and Simplicity: Use understandable language.
  5. Ensure Alignment with Strategic Goals: Your mission should guide decision-making.
  6. Make It Inspiring: Create a compelling vision to motivate stakeholders.
  7. Incorporate Flexibility: Allow for future adaptations.
  8. Commit to Action: Ensure the statement is actionable.
  9. Communicate Widely and Often: Share the mission across all organizational levels.
  10. Review and Revise Regularly: Keep the statement relevant through regular reassessment.

How to Assess if a Mission is Effective

  • Strategic Alignment: Check if the mission supports the organization’s strategic goals.
  • Stakeholder Resonance: Ensure it resonates with and is meaningful to stakeholders.
  • Market Differentiation: Assess whether it effectively distinguishes the organization from competitors.
  • Adaptability: Evaluate its capacity to evolve with the organization and market.
  • Motivational Impact: Determine if it inspires stakeholders towards shared goals.

What is a Vision?

The Vision Statement

A vision is a strategic declaration that outlines an organization’s aspirations for the future. It paints a compelling picture of what the organization aims to achieve long-term, serving as a guiding beacon for its strategic endeavors and decision-making processes.

Why Use a Vision?

Organizations utilize vision statements to provide direction, inspire stakeholders, and align future initiatives with overarching goals. It represents a commitment to achieving significant objectives, driving innovation and growth, and ensuring sustainability and ethical integrity in operations.

Principles To Develop A Vision

  • Future Aspirations and Long-Term Goals: Vision statements articulate an organization’s ambitions. Set out a clear trajectory towards future achievements.
  • Inspirational and Motivational: They are crafted to energize and motivate stakeholders. Convey how and who shares the commitment to the organization’s future.
  • Guidance for Strategic Planning: Visions serve as a foundation for strategic planning. Ensure initiatives are aligned with long-term goals.
  • Cultural and Ethical Ambitions: Reflect the organization’s commitment to values and ethical principles. Set out the guiding principles.
  • Benchmark for Success: A vision acts as a criterion for assessing progress. Express how achievements and objectives will be measured.
  • Stakeholder Aspirations: Consider the expectations of employees, customers, and the community. Aim to fulfil these through the organization’s growth.
  • Innovation and Growth: Highlight the organization’s dedication to continuous improvement and commitment to innovate.
  • Longevity and Sustainability: Emphasize sustainable practices and long-term societal well-being. Align goals with environmental and social health.

Problems with How Firms Use/Develop Vision

  • Organizations often create vague or overly ambitious visions that lack practical applicability.
  • Failure to align the vision with actual capabilities and market realities.
  • Insufficient stakeholder engagement in the vision’s development process.
  • Neglecting to regularly review and update the vision to reflect changes in the organization or its environment.
  • Lack of communication and integration of the vision into daily operations and strategic planning.

How to Develop a Vision – Best Practice

  1. Envision the Future: Start with a broad, ambitious view of what you want the organization to achieve.
  2. Engage Stakeholders: Include diverse perspectives to ensure the vision resonates broadly.
  3. Align with Core Values: Ensure the vision reflects the organization’s fundamental beliefs and principles.
  4. Focus on Impact: Consider the long-term impact on stakeholders and society.
  5. Be Clear and Concise: Articulate the vision in understandable and inspiring terms.
  6. Ensure Feasibility: Balance ambition with practicality and attainability.
  7. Incorporate Flexibility: Allow for adaptation as circumstances change.
  8. Communicate and Embed: Share the vision widely and integrate it into all aspects of organizational strategy.
  9. Review and Refresh: Periodically reassess the vision to keep it relevant.

How to Assess a Vision

  • Alignment with Strategy and Values: Check if the vision is consistent with strategic goals and core values.
  • Stakeholder Resonance: Evaluate whether it inspires and aligns with stakeholder expectations.
  • Differentiation: Assess if the vision sets the organization apart in the marketplace.
  • Adaptability: Determine its flexibility to adapt to future changes.
  • Realizability: Measure the feasibility of achieving the vision within a realistic timeframe.

What is a Purpose?

The Purpose Statement

A purpose statement articulates the existential reasoning behind an organization’s existence, focusing on its societal impact and the broader role it plays beyond profit. It embodies why the organization does what it does, emphasizing its commitment to contributing positively to society.

How a Purpose Links to Vision and Mission

Purpose serves as the bedrock upon which the mission and vision are built, guiding the organization’s strategic path. While the mission focuses on current objectives and activities, and the vision outlines future aspirations, the purpose underpins both, providing a deeper reason for the organization’s existence and ensuring that strategic initiatives contribute positively to society.

Principles To Develop A Purpose

  • Existential Reasoning and Societal Impact: Purpose statements highlight an organization’s commitment to societal contributions, going beyond mere profit maximization.
  • Guiding Principle for Strategy: They inform strategic decisions, ensuring alignment with core values and societal impact.
  • Employee and Stakeholder Engagement: Purpose serves as a key factor in engaging individuals with the organization’s broader goals.
  • Brand Identity and Differentiation: It significantly shapes the organization’s brand, setting it apart by its unique societal role and value proposition.
  • Strategic Clarity and Direction: Purpose provides clear direction, aligning all efforts with the organization’s foundational reason for existence.
  • Authenticity and Corporate Responsibility: Emphasizes a genuine dedication to making a positive impact and upholding corporate social responsibility.
  • Long-Term Orientation and Sustainability: Reflects a commitment to sustainability and the long-term well-being of society.
  • Foundation for Corporate Culture: Acts as the cornerstone of corporate culture, influencing behaviors and decisions to align with core values and objectives.

How to Identify Your Purpose – Best Practice

  1. eflect on Core Values: Identify the fundamental values that define your organization.
  2. Assess Societal Impact: Consider the impact your organization has on society and how it contributes to the greater good.
  3. Engage with Stakeholders: Consult employees, customers, and the community to gain diverse perspectives.
  4. Analyze Your Unique Contributions: Identify what sets your organization apart in terms of societal contributions.
  5. Consider Long-Term Goals: Think about the legacy you want your organization to leave.
  6. Evaluate Authenticity: Ensure the purpose resonates genuinely with your organization’s actions and culture.
  7. Align with Strategic Objectives: Ensure the purpose complements your mission and vision.
  8. Articulate Clearly: Craft a purpose statement that is concise, clear, and inspiring.
  9. Integrate into Operations: Embed the purpose into all aspects of your business operations.
  10. Review and Adapt: Regularly revisit your purpose to ensure it remains relevant and impactful.


While the mission, vision and purpose are distinct, together they form a trinity that reinforce each other.

  1. Synergistic Relationship: Purpose, mission, and vision statements are related but distinct, each plays a unique role in forming a coherent strategic narrative that aligns an organization’s efforts towards its goals.
  2. Strategic Cohesion and Communication: The nature of these statements ensures effective communication of the organization’s identity, goals, and values to stakeholders.
  3. Unified Organizational Identity: Each statement contributes to the overall organizational identity. Purpose offers the overarching motive, mission outlines the operational approach, and vision presents the future aspirations.
  4. Differentiation in Strategic Communication: Clearly distinguishing these elements improves strategic communication. Together they help stakeholders to understand the organization’s strategy and future direction.
  5. Integration in Strategic Planning: The integration of purpose, mission, and vision within strategic planning ensures that organizational efforts are not only aligned with immediate operational goals but also with long-term goals and the fundamental reason for the organization’s existence.
  6. Adaptation and Evolution: It’s important for purpose, mission, and vision statements to adapt and evolve in response to changes. Just as the operations and strategy need to be adaptive so too should the statements.
  7. Foundation for Brand Personality and Corporate Ethos: The purpose, mission, and vision statements lay the foundation for the organization’s brand personality and corporate ethos, and align its identity with stakeholder expectations and societal values.

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