There are so many promises that we
make to ourselves and our employees as
business owners and managers…we will
start using all the technology that we bought…we will
regularly review management reports to monitor
progress…we will institute better compensation
plans…we will finally install that CRM system. Very
few of these ever get implemented. The fact is that
most business owners are busy running their businesses
and don’t have the time to handle the big projects
unless they are intentional about doing it and follow a
systematic process.
Goal setting comes in many varieties and can
range from 5-year strategic plans covering all aspects of
company operations to short term goals that address a
few key areas.
Following are some guidelines and tips from industry
gurus on the task of setting and achieving goals:
1. Have Goals. Simple to state but often the hardest
part of any exercise is to recognize the need to set goals.
Most companies think they have one goal: to generate
revenue which results in profit. However, once you put
your mind to it, there are many other components that
may be just as important: having a stable workforce,
providing excellent goods and services, creating a loyal
customer base, identifying successors. Setting goals is a
way to measure success as you grow. Without it, an organization
becomes tactical, a day-to-day operation
with no end in sight.
2. Include the Leadership Team. Setting goals that
everyone has been part of formulating ensures success.
A top down agenda may be easier to pull together but
harder, if not impossible, to implement. Plus, management
and supervisors are often closer to the issues
being addressed and usually much more knowledgeable
about what needs to be achieved. Coming up with
the goals is also a great team building exercise. It
reminds everyone that this is a journey that you are
on together. Setting goals can also help weed out
the non-believers. One consultant described the
process of setting up a strategic plan like getting
on a bus; planning together ensures that you have all
agreed to, first, get on the bus, and, second, head in the
same direction.
3. Get Help. There are people that make their living
doing this. Consultants can be key in many aspects of
planning. They can help facilitate the initial discussions,
articulate the goals and help you formulate
the process for achieving the goals that have been set.
They will also bring the extra eyes and ears that an
organization may need to hear what everyone is
saying and making sure that all viewpoints are taken
into consideration.
4. Share the Goals and the Results. Employees like
certainty. If management starts implementing goals
that they don’t understand or even know about, it could
create a chaotic environment. Knowing the end results
that the company is trying to achieve, and their role in
the process, could be empowering. It may even re-energize
a workforce. Especially if those goals include improvements
that directly affect them or their salaries.
5. Measure your Goals. One of the most important
things to consider when goal setting is its measurability.
What metric will confirm your progress? A measureable
goal broken down to clear, specific, daily tasks
has a greater chance of success. The exhilaration of
continued progress is a tremendous motivator.
6. Reassess Goals Midway. Or more often. Markets
change. Customers and employees may come and go.
Review the goals, progress made and adjust as necessary
to make sure the goals are still clear and achievable.
Revenue projections may need to be modified
based on how financials are trending. Don’t be afraid to
switch course if that’s what is needed.
Setting goals by itself is not what leads to a successful
organization. However, having goals establishes
an orderly and intentional process for achieving results.
Business Insights is hosted by the Law Firm of
Kumar, Prabhu, Patel & Banerjee, LLC (KPPB).
Sonjui L. Kumar is a founding partner of KPPB Law,
and a corporate transactional lawyer representing
companies in all aspects of corporate law, including
cross-border transactions. Disclaimer: This article is
for general information purposes only, and does not
constitute legal, tax, or other professional advice.