A mission statement is a phrase which guides the day to day operations of a company. It defines what the company want to do, when, where, why and how. It is a statement which regulates core business activities of the company.
On the other hand a mission statement states what the company or organization wants to achieve in the future. It encourages and inspires people to work hard towards achieving a desired outcome or the objectives of the company.
A mission statement of ABC Bank Limited
To be a financially stable bank globally able to meet customer’s needs professionally in trying to uplift people’s living standards socially and economically using modern technology.
A vision statement of ABC Bank Limited
To empower people economically by upholding integrity, teamwork, values, and professionalism in the banking industry.
The mission statement is important to ABC Bank Limited in that it guides the management to focus on achieving the company’s set goals and objectives. It acts as a guiding principle on daily operations of the bank. The Chief Executive Officer can use it since it acts as a sign of unity within and without the bank. Since mission statement leads to achieving the vision it ensures the business transactions are in line with the set goals and objectives of the ABC Bank Limited.
The rules and regulations of the ABC should be in line with the mission statement hence no conflicts arising. A mission statement will help the ABC Bank Limited to compete favorably with other banks to match with modern technological trends so avoid being kicked out of the market. A mission statement is therefore essential since it explains why the company exists and prioritizes what is to be achieved within a certain time frame hence reducing time and resource wasting.
A vision statement depends on how mission statement is implemented since it is a future or long term goal to be achieved. It helps the management and the subordinate to remain optimistic, committed, focused, determine, and objective since they know there reward and success need to be realized in the future. It also gives a sense of direction on which path to be followed so as to realize the future goals (Scott et. al., 1993).
The Chief Executive Officer can utilize the vision statement at ABC Bank Limited to market the bank since customers are motivated when they know that their deposits are safe and secure hence giving them confidence that the bank has a sound management and a brighter future. By winning the hearts of its customers ABC Bank Limited can plan well the use of available to invest in investments with high consistent returns.
Having an inspiring and motivating vision at ABC Bank Limited brings a difference on how to speculate a future stability of the bank financially. A stable financial base means more customers, expanded markets not only locally but also internationally or globally. A vision statement keeps everybody involved on the achievement of the target alert so as to grab any opportunity available and utilizes it. This in the long run improves the image and reputation of the bank.
In conclusion, it is paramount for the ABC Bank Limited to adopt a well phrased objective mission and vision statement for it to serve the intended purpose of ensuring the company operations are run and managed in a manner to suggest it is heading for a better future with consistent progress. It is quite clear that without a mission and a vision statement in a company there is a likelihood that daily operations and activities may not yield anything useful and of importance since it lacks guiding rules and regulations.
Therefore, both statements are the foundation of a company having well planned goals and objectives to accomplish (Scott et. al., 1993).
Scott, C. D., Jaffe, D. T. and Tobe, R. G. (1993). Organizational vision, values and mission. Crisp Publications