Goals are not the end game. They are the beginning of the ‘game,’ business goals are set for a certain period or market status and are continuously reviewed for modification of business strategy or fit with organization status.
A significant part of the setting, validating and measuring business goals is to have them reviewed by a ‘board’ of objective advisors you can trust giving you accurate feedback.
- Set goals that can be realized while still being challenging
- Communicate the Goals with the team that will work with you to accomplish these goals
- Document and Share the goals with the appropriate outside audience, your financial institutions and sometimes your customers as it may fit into your business planning.
- Review the Goals with a defined timing of each quarter and year
Some of the various types of goals are:
What do you want from creating and driving the business?
- Strictly Financial success?
- Something for family continuity in the business?
- Contribution to the craft of the business?
- Recognition as a leader in this type of business?
- Contribution to the community?
Some Potential Financial goals for your business could be:
- Return on Sales
- Net Profit before Taxes
- Growth Factors
- Return on Investment (ROI)
Potential Marketing business goals:
- Volume of Units
- Size of business as to $’s
- Location of business
- Markets addressed, geographically and customer segments.
- Market Share (this is sometimes a problematic area given that market assessments are not necessarily easy to attain)
- Price Points for product/service
Operational business goals:
- Size of Business as to employees
- Size of business as to facility requirement
- Owner’s time spent in business by week, month, year.
- Plans regarding Personnel:
- Only hire local employees (or not)
- Only hire (preferred) employees with a specific background
And it is Important to have an Exit strategy:
- At what time/size/financials sell the business or transfer to family/other.
These are just some examples of business goals to set for businesses of any size.
At Cogent Analytics, we never stop looking for ways to improve your business and neither should you. So, check out some of our other posts for helpful business information: