The Importance of Goal Setting In Business

Question 1

Goal Setting In Business

Answer 1

A business goal describes what a business expects to accomplish over a set period of time. Without a goal, a business has no clearly defined purpose and nothing to aspire to. Goals provide a business with direction and help to measure its results.

Question 2

Goals/Objectives/Aims

Answer 2

A goal is something that the business wants to achieve. A goal is important as it gives the business a target to work towards and also evaluate performance against.

Question 3

SMART stands for?

Answer 3

Specific Measurable Attainable Relevant Time bound

Question 4

Specific

Answer 4

This means that the business will have a clear understanding of what it is.

Question 5

Measurable

Answer 5

Numbers are needed so an amount exists that performance can then be set to. An improvement to a specific amount like more sales than 400 last month.

Question 6

Attainable

Answer 6

It should be an amount that can be reached. If the amount is too high the business may give up and gain nothing the aim is to push the business to improve.

Question 7

Relevant

Answer 7

It must be related to what the business does and wants to improve in , otherwise it is of no value.

Question 8

Time Bound

Answer 8

The objective should be set for a set period of time so that it maintains relevance for the business.

Question 9

Types of Goals

Answer 9

Financial - 3

• Increase sales
• Increase market share
• Maximised Profits

Social - 4

• For the community
• Employment
• Environment
• Social Justice

Question 10

What goal to set on the SAC?

Answer 10

Increase or decrease number of something. Eg - Suppliers in a year

• Specific: refers to an in/decrease of something
• Measurable: Has a specific number that needs to be reached.
• Attainable: not too far from original number
• Relevant: Will increase supply to meet demand of customers
• Time bound: Has allowed a specific time for the goal to be completed.