How To Set Right Objectives
objective is a specific step, a
milestone, which enables you to
goal. Setting objectives
involves a continuous process of research and
objectives must be:
focused on a result, not
be related to time
Strategic planning takes place at
the highest levels; other managers are involved with operational planning.
step in operational
planning is defining objectives – the result expected by the end of the
budget (or other designated) cycle.
Setting right objectives is critical for
Corporate intents such as higher
profits, shareholder value,
are not objectives because they don't tell managers what to do. Objectives
specify priorities and focus. They must
map the journey ahead
towards better solutions for the customer and higher profits.
The Starting Point
yourself and your unit is a vital starting point in setting objectives...
MBO: Setting Objectives
In Management by Objective (MBO)
systems, objectives are written down for each level of the organization, and
individuals are given specific aims and targets.
Managers need to identify and set
objectives both for themselves, their units, and their organizations. Ensure
that you set the right objectives if you want to
the right results...
analysis to compare actual results with expectations. Whenever you take a
decision or action, write down what you expect to happen. Review results at
regular intervals, and compare them with expectations. Use this feedback
analysis as a guide to reinforce strengths and eliminate weaknesses as well
as for the next round of setting objectives.
At Fidelity Investments
(a continuous improvement strategy) is reflected in its
performance management and
compensation systems. Each fall, Fidelity companies establish business goals
for the coming business year. These goals are tiered through the company's
various divisions down to the individual manager level. Many of these goals are
focused on improvements in existing products or processes...