Setting Aims And Objectives

Question 1

What is an aim?

Answer 1

The long term goal eg. Grow business into Europe

Question 2

What is an objective?

Answer 2

How to achieve the aims, the steps you use to get there

Eg. We want to achieve sales of £10million in European markets in 2027

Question 3

An aim or objective must be SMART.

What does this stand for?

Answer 3

SPECIFIC

MEASURABLE

AGREED

REALISTIC

TIME

Question 4

What are a few main objectives??

Answer 4

Survival
Profit maximisation
Profit satisfaction 
Sales growth
Increase shareholder value
Do what’s right socially and ethically

Question 5

Company’s and businesses can have different objectives this can depend on different things like…

Answer 5

The size of the company
Level of competition
And the type of business

Question 6

Objectives can change over time too…

Answer 6

They can do this to maximise growth and profit

Question 7

What do environmental and sustainability targets mean?

Answer 7

Businesses may want to make sure that the business does not damage the environment

Question 8

Effective objectives should clearly state

• what the target is?
• when it has to be achieved?
• who’s to achieve it?
• how to achieve it?

Answer 8

To be successful businesses must set objectives that are achievable and involve only those resources that are available

• time
• people
• money
• equipment