Chapter 9 - Setting goals and objectives

Question 1

How are the three types of goals (continuity, social and societal) linked with each other?

Answer 1

Continuity goal is always important and mostly the goal that comes first.
However, taking care of my social goals will make my employees become more happy and satisfied, which does good on the motivation and eventually the sales boost.
Also, if I go after my societal goals my reputation will increase and my customers might become more loyal, which also has a positive impact on my sales.

Question 2

What is the key difference between goals and objectives?

Answer 2

Goals are long-term (depending on the industry long-term means 3 years, but it can also mean 10–20 years)

Objectives are short-term (usually one year)

Question 3

What is the difference between stable and dynamic environments?

Answer 3

Stable environment means that we are in an industry in which changes are rather predictable and not coming overnight e.g. railway industry or power generation industry

Dynamic environment means that the speed of change is high and rather unpredictable. This often applies to high-tech industries, e.g. telecom businesses