One of my favorite mantras is, “With one eye on the destination, there is only one eye left with which to find the way.”
It’s so easy in business to get caught up in the march towards goals, i.e. the destination. Money is and will always be a powerful motivator. So much so that some founders lose their way in the process and forget their original vision for the business.
I once told a company I was working with that their vision and mission should be so definitive, so permanent, that they should be willing to etch it onto the outside of their offices.
Having vision and mission as your bedrock can be the difference between success and failure.
Vision versus mission
Lots of companies confuse the two. They are distinct, but they also work in parallel with one another.
Vision outlines the desired future state of the business. It answers the question, “Where do we want to go?” I’ll use a person example. In 2023 I launch an initiative to build free financial plans for 10,000 people by the end of 2025. Update - I’m almost at 1,500.
Mission focuses on why your company exists, i.e. its purpose. It helps guide day-to-day operations and what the company stands for. For example, to help people achieve financial freedom.
The two are integral.
My vision of 10,000 free financial plans is furthered my mission of helping people achieve financial freedom and vice versa.
The Value of Vision and Mission
When you have a vision and mission, that’sauthentic, they have huge upside like:
- Aligning stakeholders: customers, employees, investors, and prospects that share your vision and mission will be more drawn to your company than one that doesn’t align with their values.
- Guiding Decisions: I mentioned earlier that vision and mission act as guardrails for your company. If you ever get stuck on a decision between multiple options just pick the one that better aligns to your vision and mission (side note - man, I’m getting tired of typing that all out).
- Attracts talent: people want to work for companies that share and exhibit their values. If you are focused on environmental sustainability you don’t want to work for a company whose mission is to destroy the planet.
- Differentiation: These aren’t things you do because they are expected. There are plenty of companies that have visions/missions that don’t truly live by them. Don’t be that company. Prospects and customers can sniff out the fakeness from miles away.
In essence, vision and mission statements act as a compass, guiding a business towards its desired destination and ensuring that everyone is moving in the same direction.
Who Sets Vision and Mission
Hands down, the founder(s) of the company should drive formation of its vision and mission.
Other stakeholders should have a voice. But, they shouldn’t have authority over vision and mission.
There have been some public instances in the past few years of employees virtually taking over and redirecting a company’s vision and mission. For example, a group of employees at Coinbase were pushing a political agenda. Founder Brian Armstrong came out against employees using the company’s platform for political means.
I’ve personally witnessed instances where investors have pushed to influence company vision and mission. Like employees, they should have a voice, but they shouldn’t be the driving force.
Most businesses begin because the founder(s) had something they wanted to accomplish. That’s why a company’s vision and mission need to come from the top.
Resources for Developing Vision and Mission
Sometimes vocalizing your vision and mission can be tough. That’s when a guide can be helpful. Below are some resources that can be helpful.
- Asana:
- Provides a step-by-step guide on how to write a vision statement, including valuable tips and examples.
- Focuses on stakeholder involvement and keyword identification.
- Here is a link: https://asana.com/resources/vision-statement
- AchieveIt:
- Offers best practices for creating both mission and vision statements.
- Emphasizes the importance of communication and alignment.
- Here is a link: https://www.achieveit.com/resources/blog/best-practices-on-writing-a-business-mission-and-vision-statement/
- ECTA Center:
- Provides activities and worksheets for creating vision statements, especially useful for group settings.
- Focuses on aligning beliefs and values.
- Here is a link: https://ectacenter.org/topics/iep/iep-activity-creating-a-vision.asp
- Community Tool Box (University of Kansas):
- Offers comprehensive guidance on strategic planning, including detailed sections on vision and mission statements.
- Provides practical advice for community-based organizations.
- Here is a link: https://ctb.ku.edu/en/table-of-contents/structure/strategic-planning/vision-mission-statements/main
- Code for Science & Society:
- This resource is very good for open source projects, and community based projects.
- It gives good information on the alignment between mission, vision, and strategy.
- Here is a link: https://www.codeforsociety.org/resources/osaos-mission-vision-guide
My favorite place for capturing a company’s vision and mission is in your business plan. Business plans aren’t just for use in fundraising. They also act as operational guides and make a great place to capture your vision and mission, plus how you plan to achieve them.
Including vision and mission in a business plan does depend on the audience of the plan, but in general, I include them in every plan I write for companies.
If you have a vision and mission already, I’d leave to read them. Just hit reply and share them with me.
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