The Art of Setting Business Goals (and Hitting Them!)
Setting aspirational business goals is a key to growing your business. By establishing benchmarks for each area of your business, you can measure, track and evaluate progress towards your goals.
The key is to plan properly so that the goals you set are valuable. Here are a few tips on how to set goals and always hit them!
Steps to Setting Business Goals
Start With Identifying Your Wants and Needs
A good way to start with goal-setting is to ask some critically important high-level questions about your organization. The answers to these questions can frame the goals you set and help you, and others in your organization understand why.
Here are a few key questions to ask:
- Where do you want your business to go? Articulating your long-term goals and vision gives you a clear path to follow.
- How much do you need to live a lifestyle you enjoy? This question may seem out of scope, but as an owner, you need to identify the expectations you have for your personal life and set business goals that deliver.
- How much do you need to upgrade your office space, buy new machinery or add a new location? Major growth requires careful planning to enter new markets or expand locations and tools.
- Are there areas you want to improve, such as customer service, employee satisfaction, or marketing? If there are areas of the organization you want to focus on, you should include them as part of your goal-setting.
Understand What it Takes to Build Good Goals
Having a process to use is a helpful way to set goals. The SMART framework is a good approach. As you set your goals, make sure they follow the SMART guidelines:
- S (Specific). Goals need to be as specific as possible and narrowly precise.
- M (Measurable). Measures, metrics, and milestones that demonstrate progress are needed for every goal you set.
- A (Attainable). Are your goals realistic? It’s wonderful to aspire for big goals, but they need to be achievable and have shorter-term goals that show movement towards the larger desires.
- R (Relevant). Goals need to align with the overall business plan and fit with existing work processes.
- T (Time-Based). Set deadlines and defined time periods for each of your goals.
Also, involving your team in the goal-setting process can be a powerful opportunity. Staff members who are largely responsible to accomplish the goals will have easier buy-in if they help create them.
Set Your Goals By Working Backwards from What You Want
Where should you start in the goal-setting process? Consider creating a goal you want to accomplish within the year. Break that goal down into smaller goals, by quarter, then by month, and then by week. The more granular your planning, the more specific the goals will be.
Breaking down each goal into these smaller goals lets you chart out the year and see how many, and how ambitious, your goals should be.
Track and Measure Progress
Once you’ve set your goals, you will need to build a strategy for measuring them. The measurement component is essential.
Having key performance indicators (KPIs) in place, which are specific measures of functional areas, gives you insight into the progress being made and where attention is needed.
Using performance measures for your business goals lets you make adjustments quickly.
Add an Experienced Accounting Partner to Your Team
Setting goals means having a strong understanding of your numbers and your business. By tracking and measuring progress, you’ll have a clearer understanding of where the business is headed and what you need to do to meet the critical goals you’ve set.
At U-Nique Accounting we help small businesses with important accounting and bookkeeping functions. From payroll management to month-end financial reporting, we provide the details and track the numbers so you can focus on growing your business.
Learn how U-Nique Accounting can help you set your goals and achieve them by scheduling an initial consultation today.
