How-to... Goals

In the Goals module, the goals are set in a specific form. This form allows us to properly and clearly present the goals to the other team members.

Goal components

Goal name

The name should clearly and concisely indicate the goal without the possibility of being confused with another goal.

E.g.: "Increase sales in the next year".

Declarative goal

A declarative goal contains a general description of the essence and meaning of the goal. It expresses the desire to achieve something. 

E.g.: "Increase in next year's sales through all existing sales channels and the new online store." (It's not necessary to specify by how much.)

Operational objectives

We break down the goal into operational objectives, which represent specific stages toward achieving the ultimate goal. They are very specific and more detailed.

Operational objectives should always indicate some measurable value.

In this example, the operational goals could be set set as:- Total increase in sales by 12-15% in the next year.- Increase in sales in regions where competition is weak by 20%.- Start an online store with an initial turnover of 1.5 million.

It is measurable whether we have reached an increase in sales of 12% - 15%.

We know in which regions we have less competition and whether the total sales increased by 20%;

It is measurable whether internet sales have been launched and whether the initial turnover is 1.5 million.

If "new" goals for which we have not yet formed the organizational infrastructure in the company, it is necessary to state at the beginning, as an operational goal, the formation of the necessary processes. This establishes the foundation for the goal's realization.

Indicators

Operational objectives should always indicate some measurable value — the Indicator.

Indicators are values that are monitored at process control points. It is common to set several indicators to monitor the progress of the goals, not just whether the goal has been achieved or not at the end.

In our example, we could set the following indicators:

• Monthly monitoring of cumulative sales during the year.
• Quarterly sales increase of at least 3.5%.
• In the Northeast region, an increase of 28%.
• In the South region, an increase of 21%.
• The opening of the online store by the end of March next year.
• Turnover after 6 months of 0.6 million.

Well-set indicators point out potential issues in a timely manner.

Guidelines

When a goal is set, there should be an idea of how to achieve it.

The guidelines should very briefly suggest how to achieve the goal. They are not necessary or mandatory. It is recommended to use them only when there's something particular to propose; otherwise, there's a risk of micro-managing, which is not desired.

Other determinations of the goal

External

External goals are oriented toward the market. They relate to the customers, the competition, and the offer.

External goals deal with acting on opportunities and avoiding dangers in the market and are intuitively imposed during the SWOT analysis.

Internal

Internal goals deal with the internal situation in the company. They relate to eliminating internal weaknesses and supporting the strengths of the company, as well as creating new ones. Internal goals are exposed during the SWOT analysis.

Priority

Each goal has a priority level. A goal can be Low-priority, Urgent, Important, Urgent & Important.

Project Plan

Depending on the complexity of the goal, a project might be needed to achieve it. In that case, it is necessary to specify who sets up and manages the project, when the project starts, and what the milestones are. Regular reporting on the progress of the project and the final achievement of the goal should be included in the Project Plan and is necessary for the timely achievement of the goal.

Deadline

Setting a goal without a deadline makes no sense. That is why the deadline for achieving the goal must always be set. When goals are linked to other goals, it is necessary to consider how the deadlines should be distributed.