Setting Goals

SETTING GOALS

The first step in shaping or growing your business is to decide what you want to achieve. Goals you set should be designed to move your business forward. If you don’t have a destination in mind, how will you know if you’re headed in the right direction? The easiest goals to set are those that are layered—long-term, mid-term, and short-term. You need to be able to translate your long-term goals into actions you should be taking right now. So, if you want to increase annual sales by 10 percent, how many new orders a day is that?
Most small businesses have multiple goals. However, it’s counterproductive to focus on more than two or three at a time and you should make sure these are complimentary, not conflicting.

Long-term goals

Long-term goals are usually strategic and expressed at the “results” level—what you want to have happen. For example, let’s say your long-term goal is to be known as an expert in your industry within five years. A complimentary goal might be to have also written a book, since authors tend to be regarded as experts. In contrast, a conflicting goal might be to develop a new product within that same time frame. While the inventor of a new product might also be regarded as an expert, the time and effort spent on creating a new product might keep you from being able to write the book, and if your new product doesn’t catch on it won’t position you as much of an expert.

Mid-term goals

Mid-term goals are more tactical in nature. What do you need to have accomplished by a year from now to be on track to hitting your long-term goals? In our example, if you want to be seen as an expert, your mid-term goals could include being the chair of an important committee in your professional association within two years. You might aim to be a speaker at four industry conferences within three years. You could plan to submit your book manuscript for publication within four years.

Short-term goals

With short-term goals, you’re deciding what actions you will take within the near future (this month or this quarter) to ensure you’ll achieve your mid-term goals. Now, it’s clear to see you need to join that professional association right now and find out which are the most prestigious committees. You might join Toastmasters within the next three months to sharpen your speaking skills. And you should start gathering material for your book by interviewing one expert per month to learn what industry trends your potential readers will be most interested in five years from now.
You’ll recognize certain things about the way the goals above are described. They follow a formula using the acronym “S-M-A-R-T.” You’ll find that different people use the letters to represent different words, but they‘re all similar. I like to use the following: Specific, Measurable, Action-oriented, Relevant, and Time-limited.

Specific – clearly defined

Be very specific about your goals and put them in writing. Just writing them down will cause your thinking to become clearer.

Use “commitment” language. Don't write, "I want to…;" write, "I will." This tells your subconscious that there is no choice. It will help you attract the people and situations you need to achieve that goal.

List the benefits you will enjoy once you have accomplished your goal. This will keep you focused when you’re tempted to let things slide a bit.

Measurable – quantifiable

Choose goals that can be measured. Measurable goals are motivating because you can track progress toward reaching them.

Measurable goals are concrete; either you did it or you didn’t

Action oriented – can be accomplished by doing something

Action is the engine that drives goal achievement because taking action is within your control.

When you write your goal, include an action plan that will ensure your goals are achieved. You should feel confident that as long as you follow the action plan, results will follow.

Anticipate challenges you’ll encounter and plan how you’ll overcome them.

Take daily action toward achieving your goals.

Relevant – to your business objectives

Goals must contribute to the success of the business, to move you forward and spark positive change.

Time-limited – done by a deadline

Goals without deadlines are only dreams. Worthwhile goals aren’t accomplished overnight; you’ll need to make time and expend effort to make them happen.