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Abstract
Even though mission statements are standard tools in organizations, their effectiveness is subject to substantial skepticism. This review integrates hitherto published research based on a broad range of objective and subjective effectiveness criteria above and beyond financial performance in for-profit as well as not-for-profit organizations. We conclude that the distal outcome effectiveness of mission statements depends on the following antecedents and intermediate outcomes: (1) the rationale underlying their development; (2) the process of their development and implementation; (3) their content and form; and (4) individual attitudes toward the mission statement. We thereby clarify preconditions of mission statement effectiveness in organizations, and reveal shortcomings in current research.
Keywords: effectiveness, mission statements, review
A renowned American ice-cream producer, Ben & Jerry's Homemade Inc., is represented by a threefold mission: (1) its social mission (i.e., improving life locally, nationally, and internationally); (2) its product mission (i.e., producing highquality ice-cream with natural ingredients and environment-friendly practices); and (3) its economic mission (i.e., achieving profitable growth in the interest of internal and external stakeholders). Co-founder Jerry Greenfield said about the company's mission: 'We measured our success not just by how much money we made, but by how much we contributed to the community' (Folino, 2010). In contrast, Bart (1997b, p. 9) referred to 'sex, lies, and mission statements' as the dark side of a superficial, profit-oriented use of mission statements. In the end, organizational scholars and practitioners are leftwondering: are mission statements only 'fashion fads' or serious strategic tools?
The introduction of mission statements as organizational tools is said to originate mainly from Drucker's (1974) handbook of management. From that time on, mission statement literature as well as the application of mission statements in for-profit and in not-for-profit organizations has proliferated. In this context, it has been widely assumed that mission statements: (1) facilitate coherence within the organization by providing direction and purpose; (2) serve as a control mechanism; (3) constitute a guide for organizational decision-making; and (4) give a meaning to work that inspires and motivates organization members (Bartkus, Glassman, & McAfee, 2000). Yet, do mission statements really have measureable benefits for organizations? Scholars have voiced considerable skepticism regarding the effectiveness of mission statements (Bart, 1997b; Mullane, 2002) due to inconsistent results, and varying research approaches upon...