Christopher K. Bart

The Relationship Between Mission Statements and Firm Performance: An Exploratory Study

This paper examines the relationship between mission statements and firm performance using a sample of 136 large Canadian organizations. Previous writings suggest that mission statements are essential for superior organizational performance results. However, there is little empirical evidence to support this claim. The data from the present study demonstrate that mission statements and some of their specific characteristics are selectively associated with higher levels of organizational performance. The paper concludes with several propositions to guide future research.

A MODEL OF THE IMPACT OF MISSION STATEMENTS ON FIRM PERFORMANCE

A relationship between mission and organizational performance was modeled by drawing on previous research. The model was tested with data from 83 large Canadian and US organizations. We found that mission statements can affect financial performance, however, not as one might have anticipated initially. Several mediating elements were observed to exist. For instance, “commitment to the mission” and the “degree to which an organization aligns its internal structure, policies and procedures with its mission” were both found to be positively associated with “employee behavior”. It was this latter variable which was observed, in turn, to have the most direct relationship with financial performance.

Developing Mission Statements which Work

A mission statement is potentially an invaluable tool for formulating and implementing an organizations strategy. This article reports on a survey of large Canadian firms to determine the prevalence of mission statements and how they are created and used. Most large firms had a mission statement, the top management group was most involved in its creation, it was used for a variety of purposes, and the majority of firms were satisfied with the statement and the process they has used to create it.

Mission Statement Rationales and Organizational Alignment in the Not-for-Profit Health Care Sector

This article presents the findings from a research study conducted on the use of mission statements in not-for-profit health care organizations. In particular, the study sought to determine if a relationship exists between the initial “rationales” that led to the creation of a mission statement and hospital performance. The findings suggest that some of the rationales for developing mission statements are indeed more important than others and that organizational alignment with the mission statement is of key importance to both the missions and the hospitals success.

Industrial firms and the power of mission

Abstract This article presents findings from some research which examined and analyzed the content of industrial firm mission statements. In particular, the specific components of industrial firm mission statements were analyzed to determine if there were any which “made a difference” in terms of firm performance. The findings suggest that some mission components seem to matter more than others and it is these to which managers of industrial firms should pay especially close attention.

Mission statements in Canadian hospitals

One of the most popular management tools in the world, the mission statement also is subject to widespread criticism. In order to improve our understanding of the mission statements strategic value and to provide actionable recommendations for healthcare organizations, the paper adopted a social constructionist perspective in a mission statement study conducted among Canadian hospital executives. The paper found seven factors underlying 23 possible mission statement content items. Four of these (grand inspiration, benefactors, competitive orientation and business definition) corresponded to the dimensions of dominant managerial logic proposed by von Krogh and Grand, and were positively related to various behavioral, financial performance and mission achievement measures. The findings indicate that not all mission statement components are created equal and that the recommendations of major strategy texts may require reconsideration where this particular institutional context is concerned.

Mission Statement Content and Hospital Performance in the Canadian Not-for-Profit Health Care Sector

This article presents the findings from an exploratory research study that assessed the content and impact of mission statements in 103 Canadian not-for-profit health care organizations. The study especially sought to determine if a relationship existed between selected mission statement components and various hospital performance indicators.

A Comparison of Mission Statements and Their Rationales in Innovative and Non-Innovative Firms

This article presents findings from research which examiped and analyzed the content of mission statements from 72 North American corporations. Specifically, 25 mission statement components were analysed to determine if there were any differences between innovative and non-innovative organizations. In addition, the rationales behind the creation of the mission statements in both types of firms were also examined and compared. The findings suggest that there are some mission components and rationales which seem to vary significantly between innovative and non-innovative companies and it is these to which managers should pay especially close attention.

On the effectiveness of decisional guidance

Abstract The objective of this study was to determine the impact on decision makers of two forms of computer support — suggestive guidance and informative guidance — on the problem formulation stage of judgmental tasks. Three hypotheses were postulated regarding the effectiveness of these two forms of guidance. The three hypotheses were tested in two experiments comprising two judgmental tasks of differing complexity. The task performance of 282 subjects provided the basis for the assessment of the two forms of computer support. In the first experiment, which had the less complex task, we found that the availability of DSS improved task performance. In this scenario, suggestive guidance was found to enable subjects to perform significantly better than those subjects using informative guidance. However, in the second experiment, which had the more complex task, subjects using informative guidance outperformed those who were either supported with a suggestive guidance or who received no-DSS support at all (i.e., only pencil and paper was used). No significant difference was demonstrated to exist between those who were supported with suggestive guidance and those who were not supported with DSS. The results are analyzed with respect to current findings in decision research.

Mission statements in Canadian not-for-profit hospitals: does process matter?

Mission statements abound in health care organizations. And much is written on what they should contain. But, the process of creating and implementing mission statements in health care organizations has received virtually no attention in the literature. This article presents findings from a research study that sought to determine whether or not a relationship existed between selected mission process characteristics and various measures of a hospitals performance.