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Mission statement, is a statement that describes the purpose of a firm business, and its future direction that differentiate it from other firms that are similar in nature. The mission statement is formulated through a process that involves all the firm managers to discuss the purpose of their business and the firm’s core values that distinguishes it from other firms. This statement reveals what a business wants to become and those it intends to serve. The process of mission statement involves reviewing several articles, which are concerned with the mission statement as background information, and the underlying strategies of the firm (Angerica). The information or the core values are merged to a single document that is distributed to all line managers in the firm to for documentation and organization as a single support for strategy formulation, implementation and evaluations activities. Greater opportunity is provided as the mission statement must have the required support from all the managers of the firm (McNamara). This process creates an emotional bond during discussion to develop a final statement which communicates effectively to the employees and the external constituencies of a firm.
The mission statement plays an important role, as it impact the effectiveness of strategy management of a firm. The mission statement has been perceived to ensure unanimity of the purpose of the firm, as it provides the basis by which resources are allocated in the organization effectively (USDA, 1999). The general tone of the organization is establishes by the mission statement as it creates environment which is conducive both internally and externally. The mission statement also helps the people to identify themselves with the organizations purpose and direction thus eliminating those who can not cope with the firm’s activities. The transformations of objects to work are facilitated by the mission statement through the assignment of tasks to elements that are responsible. The purposes of the firms are thus, translated to the objectives where by the parameters of performance are effectively assessed and controlled. Therefore a mission statement is a vital element in the operations and development of the strategies within a firm as it enhances t the business to identify its purpose and consequently the achievement of its objectives.
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