importance of goal setting

Question 1

goal setting

Answer 1

• setting goals provides direction to a business + helps measure success. goals clearly outline a businesses purpose + encourage employees to achieved these goals.
• should meet the criteria of a SMART goal.
  NOTE: goals will always have a strategy.

Question 2

why is goal setting important?

Answer 2

• key components of successful busi.
• w/o goals busi. may struggle to identify direction it wants to take.
• est. goals allow employ. + manager to set shared targets over set period.
• achievement of busi. goals can indicate if strategies=successful

Question 3

SMART goals: specific

Answer 3

goals need to be clear and outline exactly what the business wants to achieve.
e.g a specific area or function within the business

Question 4

SMART goals: measurable

Answer 4

business goals need to be quantifiable so that the business can track progress and identify goals that have been achieved.
e.g businesses will use percentages, actual figures or $ values.

Question 5

SMART goals: attainable

Answer 5

business goals need to be challenging but also possible for a business to achieve so that it is motivating.

Question 6

SMART goals: relevant

Answer 6

business goals need to be beneficial to the business as well as consistent with other goals.

Question 7

SMART goals: time-bound

Answer 7

business goals need to have specific time frames to help keep the business accountable for its goals.

Question 8

types of goals: financial

Answer 8

targets for improving the financial performance of the business.
profit = a price figure after expenses/costs have been subtracted
profit margin = % of revenue left over from sale of g/s after expenses deducted.

Question 9

types of goals: social

Answer 9

targets set by a business that aim to improve the welfare of the commun, enviro, or employ of a business