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Determining Mission Statement Effectiveness From A Fit Perspective

Author

Listed:
  • TOH Seong-Yuen

    (Sunway University, Malaysia)

  • KOON Vui-Yee

    (Sunway University, Malaysia)

Abstract

The purpose of this paper is to study the relationship between the organization's mission statement and its outcomes from a fit perspective in the alignment of the organization's structural and cultural elements. Based on an extension of Campbell's (1991) mission model by combination of ideas from two schools of thought in mission statement studies (structural and cultural), the authors introduce the concept of “fit” to show how it contributes towards a new mission statement model. The results show that both alignments are important to create a fit situation in order to positively impact organization outcomes. Based on Cohen (1988), the detected effect size of .322 is considered large. The managerial implication is that there should be more focus on managing organisational alignment to support a fit situation as this is instrumental to mission statement effectiveness. The originality of this study stems from the idea that while past studies develop model based on ideas from within the confine of a particular school of thought, this study is one of the first to combine ideas from both the structural and cultural schools of thought by extending Campbell's (1991) mission model using the fit perspective.

Suggested Citation

  • TOH Seong-Yuen & KOON Vui-Yee, 2017. "Determining Mission Statement Effectiveness From A Fit Perspective," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 12(2), pages 220-240, August.
  • Handle: RePEc:blg:journl:v:12:y:2017:i:2:p:220-240
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    File URL: http://eccsf.ulbsibiu.ro/RePEc/blg/journl/12216toh&koon.pdf
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    References listed on IDEAS

    as
    1. Barbara Bartkus & Myron Glassman, 2008. "Do Firms Practice What They Preach? The Relationship Between Mission Statements and Stakeholder Management," Journal of Business Ethics, Springer, vol. 83(2), pages 207-216, December.
    2. Li-Qun Wei & Chung-Ming Lau, 2008. "The impact of market orientation and strategic HRM on firm performance: the case of Chinese enterprises," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(6), pages 980-995, September.
    3. Braun, Susanne & Wesche, Jenny S & Frey, Dieter & Weisweiler, Silke & Peus, Claudia, 2012. "Effectiveness of mission statements in organizations – A review," Journal of Management & Organization, Cambridge University Press, vol. 18(04), pages 430-444, July.
    4. S. Desmidt & A. Prinzie, 2009. "Does your mission statement have any value? An explorative analysis of the effectiveness of mission statements from a communication perspective," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 09/568, Ghent University, Faculty of Economics and Business Administration.
    5. Ireland, R. Duane & Hirc, Michael A., 1992. "Mission statements: Importance, challenge, and recommendations for development," Business Horizons, Elsevier, vol. 35(3), pages 34-42.
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