Every business regardless of their size or sector needs a clear sense of direction. That’s where mission, vision and values come in. These three small words often appear on company websites and employee handbooks but when implemented correctly they’re much more than just statements. They define what a business stands for, where it’s heading, and how it behaves along the way.
What do “mission”, “vision” and “values” really mean?
Although the terms are often used together, each serves a different purpose.
Mission explains why your company exists and what it does. It’s about purpose and day-to-day activity. As the website Coursera puts it, “A mission statement provides a concrete, action-oriented description of what a company or organisation will do and why.” In simple terms, it’s what you’re here to achieve right now.
Vision describes where you want to go, your vision defines your future aspirations. It’s the long-term picture of success that guides strategy and motivates your people. According to Harvard Business Review, a strong vision “provides an image of a future that is both desirable and achievable,” helping employees understand the bigger goal behind their work.
Values represent how you get there. They’re the principles and behaviours that shape decisions and relationships within your company. Forbes describes company values as “the fundamental beliefs that dictate how people interact, collaborate, and make decisions at work.”
In short:
- Mission = what you do and why
- Vision = where you’re going
- Values = how you’ll get there
Together, they form a framework that connects purpose, people and performance.
Why do companies use mission, vision and values?
Businesses use these statements for a number of reasons, all linked to clarity, consistency and culture.
- They provide direction
Having a clearly defined mission and vision helps everyone pull in the same direction. Without them, employees may struggle to see how their roles contribute to wider goals. A shared sense of purpose keeps teams focused, especially during periods of change or growth.
- They shape company culture
Values play a vital role in building culture. They set expectations for behaviour and decision-making, from leadership style to customer service. When lived authentically, values can improve engagement and reduce turnover. Research by Deloitte found that 94% of executives and 88% of employees believe a “distinct workplace culture is important to business success.”
- They strengthen your brand
A clear mission, vision and set of values communicate who you are to the outside world. They influence how customers, investors and job candidates perceive your business. Companies known for strong values, such as integrity or sustainability, often enjoy greater trust and loyalty.
- They support strategy and decision-making
When faced with tough choices, your mission and values act as a compass to guide you through the situation. They help leaders weigh options against what the business stands for and aims to achieve. This consistency builds credibility over time.
Practical tips for defining your mission, vision and values
If your business hasn’t formalised your mission, vision and values yet, or if they’re due a review and refresh, here are a few practical steps to get started.
- Start with “why?”
Ask yourself some key questions. Why does our organisation exist? What problem are we solving, and who benefits? The answers to these questions then form the heart of your mission. Make sure you keep it concise, clear and focused on action.
- Envision the future
Think about where you want your business to be in five or ten years’ time. What impact do you want to have on your customers, yours employees or even your industry? Your vision should be ambitious yet achievable and something that people want to be a part of.
- Identify your core values
Reflect on what behaviours and principles matter most to you and your business. Is it collaboration, innovation, respect, or transparency? Choose three to five genuine values that reflect your culture today and your aspirations for the future. Avoid generic buzzwords unless you can really show what they mean in practice.
- Involve your people
Your mission, vision and values shouldn’t be written in isolation. Involving employees at different levels encourages ownership and ensures your statements feel authentic and something that your team can live and breathe. You could hold workshops, surveys or focus groups to gather input.
- Communicate and embed them
Once agreed, share your mission, vision and values widely, not just in policy documents but in everyday communication. Reinforce them in recruitment, onboarding, performance reviews and recognition schemes. Some employers have signs or artwork around their premises which show their mission, vision and values and act as a reminder for everyone. Leaders should also model these principles in their actions.
Common pitfalls to avoid
Even the best-intentioned companies can fall into traps when developing their mission, vision and values. Statements which are full of corporate jargon or buzzwords often fail to inspire as they lack authenticity. It is important to keep language simple and meaningful. These statements should evolve as your business grows. You should aim to review them regularly to ensure they still reflect your purpose and priorities, don’t just write them and forget about them. Authenticity really matters. If your stated values don’t match the employee experience, then your credibility will suffer so consistency between words and actions is key. When creating your mission, vision and values you must keep in mind that what works for one organisation won’t necessarily suit another. Is it essential that your statements reflect your company’s unique identity and goals and are not just a copy and paste of someone else’s.
Why it all matters
A clear mission, inspiring vision and genuine values give your organisation a solid foundation. They connect strategy to culture, help people make better decisions, and show everyone what you stand for. Defining your mission, vision and values is a vital part of building a purposeful, successful business, take time to articulate what drives you, where you’re heading, and the values that will guide the journey.
Do you have any questions about today’s blog, need help in becoming legally compliant with contracts/policies or can we support you in taking away any people pains to give you peace of mind?
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Why not also check out last weeks blog A Guide to Embedding New Starters into your Company Culture.
We also have a YouTube channel with loads of handy videos outlining various HR related scenarios.
