Planning for a successful 2019?
Success is a measure of performance. In order to measure an activity you require a baseline and a target.
One approach for setting targets that is widely used is the SMART system which is explained in this link.
When setting targets it’s important to recognise their interaction. A sales target may cause a tension with a margin target.
The target must be relevant to the person receiving the target. Giving the HR department a sales performance target clearly isn’t going to be an effective target.
As a management team you are looking to get the targets to align to achieve the corporate goals.
Logically therefore, the overall corporate strategy is the source for the SMART targets. As a team take the corporate strategy and break it down into a set of targets that contribute towards the Corporate Goals.
Using an analogy consider the targets as stepping stones to cross a river. Each contributes to achieving the overall objective of crossing the river.