Setting business goals is important to help you build the right road map so you stay on the right track. It can be challenging since it is not as simple as it looks. Each goal should make all difference in your business’s growth. They are not the same as New Year’s resolutions since it has way more money riding on it. Business goals are objectives linked to the vision you have for your company as well as all achievements you wish to accomplish.
How to create better business goals
Business goals pertain to your whole company, certain departments, specific groups, or other areas of your business. Your business goals can be about objectives whose the progress you can monitor and/or accomplish daily, weekly, biweekly, monthly, quarterly, or yearly. In business world, setting business goals should include five key elements called S.M.A.R.T (Specific, Measurable, Achievable, Relevant, Time-Bound).
Specific
It is important to make your business goals specific so you know exactly what to achieve. It also helps you understand what actions to take in order to accomplish them. For example, your goal is to increase business revenue. You can make it specific by specifying what amount or percentage of revenue growth you want to achieve, when you want it to be accomplished, which department can help drive the process, what resources you need to navigate the process, etc.
Measurable
Your business also must be measurable so you can track the progress and accomplishment with metrics such as dates and other numerical values. It helps you to evaluate your progress so you know what to do to stay focus and motivated.
Achievable
Better business goals should be achievable which means they are reasonable to accomplish with certain deadline and amount you set. For example, your goal is to increase revenue growth. You need to make it specific by writing the number. However, you also know a goal to make $2 million in one day is impossible to achieve for your small business. This kind of goal, though specific, will only set up for failure. Hence, create business goals that are actually reachable for your business to accomplish.
Relevant
Create business goals that are relevant to your business. It means you have to make goals that make sense and meet your business’s meets. For example, your business goal is to increase revenue growth. However, you need to find out if it makes a difference to your business. Maybe more relevant goal for your business is not about revenue but about how to serve others to the best of your abilities.
Time-bound
Your business goals should be time-bound. It means you need to make a deadline for the work you intend to do. If you don’t set a time limit, it is hard to track the progress. With deadline, you know what efforts that will push you to action. Deadlines keep you focus on your work because you know you cannot waste any time being distracted if you want to reach your goals efficiently.