Revisiting the link between mission statements and organizational performance in the non-profit sector: The mediating effect of organizational commitment

Macedo, Isabel Maria; Pinho, José Carlos; Silva, Anabela Martins

doi:10.1016/j.emj.2015.10.003

Cited by 89 publications

(100 citation statements)

References 85 publications

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“…These authors demonstrated that a mission statement has a positive relationship with the performance of nonprofit organizations and high-quality mission statements have significant effects on nonprofit performance. Recent studies have also been conducted to explore the relationship between mission statements and organizational performance in non-profit sector by taking into account the role of several variables in mediating (see Macedo et al [2] for organizational commitment) or moderating (see Patel et al [28] for affective commitment and Williams et al [29] for top management commitment) that relationship. The findings of our study confirm the several results of recent studies in the literature [2,[28][29][30] by examining the relationship between mission statements and firm performance in Turkish manufacturing SME context.…”

Section: Discussionmentioning

confidence: 99%

“…Drucker's remark seems to be as true today as it was then. Due to main financial and economic constraints induced by the greatest economic crisis in recent decades, SMEs are increasingly compelled to develop strategies to increase their effectiveness and sustainability, in order to gain financial and performance goals [2]. According to Analou and Karami [3], developing a mission statement is considered to be a crucial factor in the formulation of sustainable business strategy in organizations.…”

Section: Introductionmentioning

confidence: 99%

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The Sustainable Strategy for Small and Medium Sized Enterprises: The Relationship between Mission Statements and Performance

et al. 2016

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Abstract:The study aims to contribute to the literature by empirically examining the relationship between small and medium sized enterprises' (SMEs) mission statements and their performance in sustainable strategy formulation. Although it seems that there is a relatively vast amount of research with regard to mission statements of companies, very few studies have focused on the relationship between mission statements and performance. When these few studies are taken into consideration, it is difficult to reach any overall conclusion since their findings are mixed and inconclusive. To achieve this aim, 3034 SMEs operating in organized industrial zones in Turkey were examined via a survey approach. In order to investigate the relationships among the variables, nine categories of mission statements as independent variables and four performance indicators (financial, market, production, and overall) as dependent variables were analyzed through logistic regression. This study identified three mission components, (1) survival, growth, and profit; (2) philosophy and values; and (3) public image, as the common independent variables in explaining the performance of SMEs. Survival, growth, and profit is the most frequently observed mission component regardless of the subsector differentiation in the entire sample, which reflects the significance of business sustainability for SMEs in the Turkish manufacturing context. Besides, among all performance indicators, SMEs' market performance was found to be the lowest when compared to other performance indicators (financial, production, overall). Although the firms were placed in different manufacturing subsectors, similar mission statements were highlighted so that the discourse similarity might be considered as evidence of isomorphism characteristics for SMEs.

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Section: Discussionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

The Sustainable Strategy for Small and Medium Sized Enterprises: The Relationship between Mission Statements and Performance

et al. 2016

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“…Today, managers consider mission statement as one of the important managerial tools which has the power of directing the behaviour in organization. They are of the opinion that it gives focus and encourage strategy implementation, improves organizational climate, internal and external communication and improves management and leadership in a company (Macedo, 2009). from the fact that the mission statement gives a sense of purpose and direction to the organization and legitimates its existence (Analoui & Karami, 2002).…”

Section: Introductionmentioning

confidence: 99%

Leveraging Organizational Performance through Effective Mission Statement

Ekpe¹,

Eneh²,

Inyang³

2015

IBR

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The mission statement is a critical and an integral part of the organization as an entity and the operating plan, which has become a unique vehicle through which the organization in the business world, articulates it strategic intent to exist, survive, grow and how it relates with stakeholders around it and including the wider society. The important question to ask is whether or not the existence of a mission statement is associated with or influences organizational performance? The findings from the various studies which explored this relationship appear rather inconclusive. Adopting a qualitative research approach, this study critically explored the essential link between a mission statement and organizational performance. The study established that the potential power of an effective mission statement in leveraging organizational performance was derived mainly from the fact that a mission statement is the starting point of the organization's entire planning process, which serves as the basis for the formulation of objectives and strategies appropriate to the organization's overall purpose and legitimate its existence. The study proposed that organization should strive to improve its mission statement as well as communicate same effectively to create mutual expectations among stakeholders.

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“…Statistically significant difference between companies with stated missions and companies without them was found in one measure of performance which is Value Added per Employee (VAE). Macedo and Pinho (2014) also concluded that research findings indicated contradictory evidence regarding the relationship between mission statements and organizational performance. They stated that this relationship can be 'better understood if there is taken into account the influence of other intervening variables such as the organizational commitment which proved to act as a mediator variable in the aforementioned relationship'.…”

Section: Literature Reviewmentioning

confidence: 95%

Can mission predict school performance? The case of basic education in Oman

Al-Ani

Ismail

2015

School Leadership & Management

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This article reports on a study that examined the relationship between the mission statements and performance of Basic Education Schools in Oman. The process of mission statement framing was also investigated. A sample of 161 school mission statements was randomly collected from the Ministry of Education school mission portal database representing 19% of the total population. A sequential mixed method of analysis was chosen. The mission statements being classified with respect to 12 themes of which the most frequently of them appearing Academic Achievement (74.5%) and the least frequent Scientific Research Methods (26.1%). Results show that Learning Outcomes Excellence significantly correlated with a theme around Reconstructing School Environment (r = 0.243). Also, Islamic Values and Ethics significantly correlated with Scientific Research Methods (r = 0.221). It was also appeared that school principals spent great efforts on designing school mission statements that directed schools towards achieving their purpose and improving their performance.

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Revisiting the link between mission statements and organizational performance in the non-profit sector: The mediating effect of organizational commitment

Cited by 89 publications

References 85 publications

The Sustainable Strategy for Small and Medium Sized Enterprises: The Relationship between Mission Statements and Performance

The Sustainable Strategy for Small and Medium Sized Enterprises: The Relationship between Mission Statements and Performance

Leveraging Organizational Performance through Effective Mission Statement

Can mission predict school performance? The case of basic education in Oman

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