I learned a new term this weekend: Yoga babble. It’s a phrase that explains something I hear all too often when it comes to corporate mission statements. I just didn’t have a good way of describing it—until now.
What is yoga babble? “It’s as if my yoga instructor went into investor relations,” says NYU marketing professor, Scott Galloway. He made the reference in a Sunday New York Times article about the recent crop of troubled IPOs, some of which are run by founders who substitute lofty rhetoric for real profits.
For example, WeWork co-founder, Adam Neumann, stepped down after a failed attempt to take the company public. Investors got fed up with his lavish spending and impulsive ideas. In light of the fact that the company lost $1.6 billion last year, Neumann’s mission to “elevate the world’s consciousness” began to wear thin, especially for a company that subleases office space.
Neumann isn’t alone, of course. Company missions that “transform the lives of people” or “unleash the world’s creative energy” are commonplace. But soaring rhetoric is increasingly being met with skepticism. “People’s radar for yoga babble is on high alert right now,” said Galloway.
Although the radar is on high alert, companies shouldn’t throw out the mission statement entirely. Carefully crafted mission statements serve a purpose if they meet three criteria. First, a mission statement should be specific. Second, it should be aspirational but achievable. Third, its words must be consistent with the CEO or founder’s actions.
Be Specific. The trouble with WeWork’s mission and the others in the New York Times article is that they lack specificity. “Companies need a mission statement that is concrete enough to describe what they will do, as well as what they won’t do,” according to Microsoft president, Brad Smith.
Earlier this year, I had a conversation with senior executives of TaylorMade golf. The company’s mission is to be “the best performance golf brand in the world.” The company is highly specialized and clearly focuses solely on the game of golf. They’re not trying to elevate anyone’s consciousness. They know their lane and they intend to stay in it—and own it.
Be Aspirational. Let’s take a look at the mission statement of Southwest Airlines, one of America’s most admired companies. Its mission is dedicated to “The highest quality of customer service delivered with a sense of warmth, friendliness, individual pride, and company spirit.” It’s specifically dedicated to customer service, yet it’s also aspirational. While the mission isn’t as lofty as “unleashing the world’s creative energy,” it is dedicated to being named among the top brands in America.
You don’t always have to change the world. Aspiring to be the best in your field will give you, your employees and investors plenty of inspiration.
Be consistent. If leaders don’t live the values they articulate in a mission statement, then it’s a worthless exercise. Empty rhetoric dampens motivation.
Investors might be growing tired of companies that “set the world in motion” (Uber) or that “unlock the potential of human creativity” (Spotify), but the company mission statement still holds a purpose. A carefully crafted mission can help your team focus on the right things and motivate them to be the best in the category. Just keep the yoga babble out of it.