smart meaning in business plan

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How to write SMART goals

It’s easier to succeed when you have clearly defined objectives that are based in reality.

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5-second summary

• Teams often fall short of meeting their goals due to a lack of consensus on the definition of success.
• SMART goals use a specific set of criteria to help ensure that objectives are clearly defined and attainable within a certain timeframe.
• Working through each step of creating a SMART goal can reveal instances where priorities and resources are out of alignment.

Meet Jane. She’s a product manager at a mid-sized tech company – let’s call it Techfirm, Inc. Jane has been tasked with increasing usage of Techfirm’s mobile app.

She knows she’ll need all hands on deck to make this happen, but when Jane has set team-wide goals in the past, they’ve quickly fallen off track. Nobody seemed to have a clear understanding of what success should look like; progress wasn’t monitored closely enough, and inevitably, that important objective slipped to the back burner (before toppling off the stove entirely).

That’s why, this time around, Jane plans to leverage SMART goals for setting an action plan and staying the course.

Want to get started right now?

Use our template to define the different components of your SMART goal.

What are SMART goals?

The SMART in SMART goals stands for Specific, Measurable, Achievable, Relevant, and Time-Bound.

Defining these parameters as they pertain to your goal helps ensure that your objectives are attainable within a certain time frame. This approach eliminates generalities and guesswork, sets a clear timeline, and makes it easier to track progress and identify missed milestones.

An example of a SMART-goal statement might look like this: Our goal is to [quantifiable objective] by [timeframe or deadline]. [Key players or teams] will accomplish this goal by [what steps you’ll take to achieve the goal]. Accomplishing this goal will [result or benefit].

Let’s use Jane’s objective to work through each component.

S: Specific

In order for a goal to be effective, it needs to be specific. A specific goal answers questions like:

• What needs to be accomplished?
• Who’s responsible for it?
• What steps need to be taken to achieve it?

Thinking through these questions helps get to the heart of what you’re aiming for. Here’s an example of a specific goal Jane might come up with:

Grow the number of monthly users of Techfirm’s mobile app by optimizing our app-store listing and creating targeted social media campaigns.

M: Measurable

Don’t underestimate the outsized impact of short-term goals

Specificity is a solid start, but quantifying your goals (that is, making sure they’re measurable) makes it easier to track progress and know when you’ve reached the finish line.

Jane and her product team want to grow the number of their mobile app users – but by how much? If they get even one new signup, that’s technically positive growth – so does that mean they’re done? Same goes for their strategy – how many platforms will they advertise on? 

To make this SMART objective more impactful, Jane should incorporate measurable, trackable benchmarks.

Increase the number of monthly users of Techfirm’s mobile app by 1,000 by optimizing our app-store listing and creating targeted social media campaigns for four social media platforms: Facebook, Twitter, Instagram, and LinkedIn.

A: Achievable

This is the point in the process when you give yourself a serious reality check. Goals should be realistic –  not  pedestals from which you inevitably tumble. Ask yourself: is your objective something your team can reasonably accomplish?

Jane might look at her goal and realize that, given her small team and their heavy workload, creating ad campaigns for four social platforms might be biting off more than they can chew. She decides to scale back to the three social networks where she’s most likely to find new clients.

Increase the number of monthly users of Techfirm’s mobile app by 1,000 by optimizing our app-store listing and creating targeted social media campaigns for three social media platforms: Facebook, Twitter, and Instagram.

Safeguarding the achievability of your goal is much easier when you’re the one setting it. However, that’s not always the case. When goals are handed down from elsewhere, make sure to communicate any restraints you may be working under. Even if you can’t shift the end goal, at least you can make your position (and any potential roadblocks) known up-front.

R: Relevant

Here’s where you need to think about the big picture. Why are you setting the goal that you’re setting? Jane knows that the app is a huge driver of customer loyalty, and that an uptick in their app usage could mean big things for the company’s bottom-line revenue goals. Now she revises her statement to reflect that context.

Grow the number of monthly users of Techfirm’s mobile app by 1,000 by optimizing our app-store listing and creating targeted social media campaigns for three social media platforms: Facebook, Twitter, and Instagram. Because mobile users tend to use our product longer, growing our app usage will ultimately increase profitability.

T: Time-bound

To properly measure success, you and your team need to be on the same page about when a goal has been reached. What’s your time horizon? When will the team start creating and implementing the tasks they’ve identified? When will they finish?

SMART goals should have time-related parameters built in, so everybody knows how to stay on track within a designated time frame.

When Jane incorporates those dates, her SMART goal is complete.

Grow the number of monthly users of Techfirm’s mobile app by 1,000 within Q1 of 2022. This will be accomplished by optimizing our app-store listing and creating targeted social media campaigns, which will begin running in February 2022, on three social media platforms: Facebook, Twitter, and Instagram. Since mobile is our primary point of conversion for paid-customer signups, growing our app usage will ultimately increase sales.

Knowing how to set goals using the SMART framework can help you succeed in setting and attaining goals, no matter how large or small.

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• What are SMART goals? Examples and temp ...

What are SMART goals? Examples and templates

Vague goals that lack clarity are often left undone, even if they have great potential. Transform fuzzy objectives into attainable goals with the SMART goals framework. SMART is an acronym for specific, measurable, achievable, realistic, and time-bound. In this article, we'll dive into why each element of the SMART goals acronym is essential and how to apply them to your own goals.

But hitting an ambitious goal isn’t just about reaching for the stars—you also need a path to get there. That’s where SMART goal setting comes in. With SMART, you can make sure every goal—from project goals all the way to larger company objectives—has everything you need to achieve it. Here’s how.

What are SMART goals?

So, what are SMART goals? Fundamentally, SMART goals are a way of setting objectives that are clear, trackable, and achievable. The SMART goals acronym stands for five crucial qualities your goals should have: 

Measurable 

Achievable 

When you're deliberating the meaning of SMART goals, think of them as a tool to transform lofty resolutions into a concrete roadmap. The SMART goals acronym can help you build a blueprint for success in personal and professional settings alike.

How to write SMART goals

Writing SMART goals is all about breaking down your objectives into smaller, more manageable components that are easy to track and achieve. Here's a simple step-by-step guide to make the goal-setting process a breeze.

Keep in mind that you’re setting your SMART goal to attain a specific objective—not a broad one. You don’t just want any initiative to succeed; you want your specific project to succeed. To make sure you can achieve them, make sure your goals are specific to what you’re working on.

For example, instead of creating a goal to raise more money, you might create a goal to raise $20,000 by the end of the year. This is much more specific and gives you a roadmap to work off of. In this case, you can break down how much you need to raise each day to hit your goal and then create an action plan that enables you to hit that number every day.

The “M” in SMART stands for measurable, which helps you evaluate the success or failure of your project. Your goals should have some sort of objective way to measure them—whether that’s a deadline, a number, a percent change, or some other measurable element.

One way to do this is with benchmarks. Benchmarks show you what’s “normal” for specific, recurring scenarios in your company, so you know what to expect. Using standardized benchmarks, you can set more relevant goals that are easier to measure. For example, let’s say you have a benchmark showing that you have three new marketing campaigns each year to help you hit key performance indicators . You can then use that benchmark to set measurable goals to track progress for both the launches and their related KPIs.

You don’t want your goals to be easy to achieve, but you also want to make sure you’re setting goals that you could, conceivably, hit. Achievable says that your goals shouldn't be totally outside the realm of possibility. Ask yourself this question: Is the goal within your project scope ? If not, it’s not Achievable.

For example, let’s say you want to learn to speak Spanish in order to be competitive in your field. If you’ve never spoken a word of Spanish before, you can’t expect to be fluent by next month. That simply isn’t an achievable goal. However, you could set a goal to learn from your foreign language app for 20 minutes every day. By establishing a consistent practice, you can set a more achievable goal.

What about stretch goals—are those achievable?

Stretch goals are goals that are purposefully challenging. For example, if you usually get 30,000 monthly visitors to your website, a stretch goal would be to get 50,000 monthly visitors. That’s a big increase! But this stretch goal is still within the realm of possibility. Make sure you make your stretch goals ambitious, not impossible—like aiming to go from 30,000 monthly visitors to 300,000 monthly visitors, for example.

The “A” and “R” of SMART are closely related. In addition to setting attainable goals, you also want to set Realistic ones. For example, maybe a goal is achievable, but getting there would require every team member to work overtime for six weeks straight. Even though it might be an achievable goal, it’s not a realistic one. Make sure yours is both by creating a clear resource management plan .

Using our attainable goal example of learning to speak Spanish, the goal of setting 20 minutes aside each day to practice Spanish is both realistic and achievable. On the other hand, a goal to practice speaking Spanish for two hours every day is probably not realistic for most working adults, even though it’s technically achievable.

Your SMART goal should have an end date. Without a time limit, your project could drag on, have unclear success metrics , and suffer from scope creep . Deadlines provide a sense of urgency so that short-term tasks don’t drag into long-term goals unnecessarily. If you haven’t already, make sure you outline a clear project timeline .

Deadlines are crucial to implementing goals, since they pretty much force you to take action. If you want to have more focus time at work, you can decide to set a goal to only check your email for 30 minutes every day. But without a deadline, it’s easy to brush it off. Imagine instead if you set a goal to only check your email for 30 minutes every day for one week—now, it starts to feel more attainable.

SMART goals pros and cons

Making sure your important goals have all of the SMART components might be more time-consuming than setting regular goals, but the value you get from SMART goals outweighs the additional time spent on the goal-setting process. Goals shouldn’t be something you set and forget—they’re a key part of your project planning process. When setting SMART goals, here’s what you and your team can expect.

Pros of SMART goals

Clear communication and alignment. When your project team knows exactly what they’re working towards, they’re more motivated and aligned as a team. Team members who know how their individual work contributes to broader company goals are 2X as motivated as their counterparts. Setting and sharing SMART goals can help you boost your entire team’s motivation.

Clarity towards project success. Have you ever gotten to the end of a project and not really known if you hit your project goals or not? SMART goals help you set clear goals, so you can avoid vague or confusing goal language.

Clear roadmap and finish line. With SMART goals, you know exactly what you want to achieve and when you expect to achieve it. You’ve verified that these goals are realistic and achievable. And you know you’ll be able to measure them to see if you hit them or not.

Trackable metrics. When you finish your project, SMART goals help you evaluate its success. Don’t beat yourself up if you don’t achieve it. In fact, at Asana, we aim to hit about 70% of our goals. That way, we know we’re setting challenging—but possible—goals. Whether you hit your goal or not, SMART goals can help you evaluate your goal, and you can learn from that.

Effective resource allocation. SMART goals make it easier for managers to distribute necessary resources efficiently, whether that's staff, budget, or even time.

Motivation and career development. When goals are achievable and relevant, it boosts team morale. It also creates opportunities for individual career development, as team members may need to acquire a new skill to meet their objectives.

Cons of SMART Goals

Oversimplification. Although the SMART goal framework can be incredibly effective for clarifying objectives, it may also lead to the oversimplification of more intricate, multilayered goals. If your goal is complicated, consider breaking it down into smaller sub-goals before using the SMART framework.

Short-term focus. The emphasis on time-based objectives might discourage more visionary planning, especially around the long-term mission of your business. If this applies to your situation, try creating a vision statement instead. 

Potential to hinder creativity. SMART goals can box you in. Their strict guidelines make you zero in on specific tasks, leaving little room for unexpected, game-changing ideas.

Possibility for a narrow focus. Adopting a SMART objectives approach could lead to tunnel vision, causing team members to lose sight of the organization's broader strategic goals. To avoid this, make sure to connect your SMART goals back to larger organizational objectives —so it’s clear why they matter and how they’re contributing to business success. 

Resource intensive. Smaller teams might feel a bit overwhelmed by the need for measurable outcomes. This is because tracking those metrics often requires investing time and money in specialized analytics tools. 

5 SMART goals examples

Ready to get started? Before you write your own, take a look at these five examples of SMART goals to see how each one aligns with the SMART criteria.

1.  Business goal

Example: Produce at least three different types of large-scale marketing assets (e.g. ebook, webinar, videos, sales one- or two-pagers) per month for Q1.

Why it’s SMART: This business goal is specific (large-scale marketing assets) , measurable (three different types) , achievable and realistic (this depends on how many project team members there are, but we can assume there are enough to cover the three assets per month), and time-bound (per month for Q1) .

2. Team goal

Example: The product team will partner on five cross-functional projects focused on usability testing, customer surveys, customer marketing, or research and development during the first half of FY22.

Why it’s SMART: This goal is specific (projects focused on usability testing, customer surveys, customer marketing, or research and development) , measurable (five cross-functional projects) , achievable (five projects in six months), realistic (the project spans the entire product team), and time-bound (during the first half of FY22) .

3. Professional goal

Example: During 2021, I will develop my management skills through mentorship, with at least two mentees from either our company Employee Resource Groups or my alumni network.

Why it’s SMART: This goal is specific (management skills through mentorship) , measurable (at least two mentees) , achievable and realistic (this person has given themselves two different avenues through which to find mentees), and time-bound (during 2021) .

4. Personal goal

Example: I will train to run the March San Diego half marathon in less than two hours.

Why it’s SMART: This goal is specific (San Diego half marathon) , measurable (in less than two hours) , achievable (two hours is an ambitious but doable pace for most runners with proper training), realistic (this person has established they will train in preparation for the half marathon), and time-bound (March) .

5. Nonprofit goal

Example: We will provide 100 hours of free tutoring for middle school students in math and history during the month of February.

Why it’s SMART: This goal is specific (tutoring for middle school students in math and history) , measurable (100 hours) , achievable and realistic (depending on the amount of volunteers the nonprofit has), and time-bound (during the month of February) .

6 steps to make your goal SMART

When you’re ready to set your own SMART goal, kick things off by jotting down your project objective in a sentence or two. Then fine-tune it with each of the five SMART attributes. 

To make the goal-setting process smoother, you can use this SMART goals template to get some hands-on practice in setting your SMART objectives.

1. Initial goal:   Write down whatever your initial goal is. Don’t worry about it not being completely SMART—we’ll get to that later in the template.

Example: I want to improve our company brand on social media.

2. Make it Specific:   Does your goal define exactly what you want to do? If not, re-work the language to make it specific to your particular project.

Example, continued: Improve our company brand on Instagram with company-specific hashtags.

3. Make it Measurable:   Have you established how you’ll measure your goal once your project is complete? If not, add a way to measure success or failure at the end of your project.

Example, continued: Develop company-specific hashtags to generate 1,000 new Instagram followers.

4. Make it Achievable:   Is your goal something you can achieve, given your project scope? Make sure this specific goal falls within your project capabilities.

Example, continued: Develop and use company-specific hashtags, in conjunction with popular hashtags in our industry, to generate 1,000 new Instagram followers.

5. Make it Realistic:   Can your project team reasonably hit your goal? Even if it’s a stretch goal, make sure this is something you can accomplish with your resources.

Example, continued: Post once daily on Instagram, and ensure every post has a mixture of company-specific hashtags and popular hashtags in our industry in order to generate 1,000 new Instagram followers.

6. Make it Time-bound:   When will you achieve your goal? Make sure you clarify your target date or time frame in your SMART goal.

Example, continued: Post every workday on Instagram for the first half of FY22. Ensure every post has a mixture of company-specific hashtags and popular hashtags in our industry in order to generate 1,000 new Instagram followers by June 30th.

What to do after creating your SMART goals

Do you track your goals in emails, meetings, or spreadsheets? If so, you’re not alone. According to the Asana Goals Report , 53% of businesses track their goals via email, 36% track them in spreadsheets, and 31% track them in in-person meetings.

The challenge with tracking your goals is finding a way to connect your goals with your team’s daily work. You’ve taken all of this time to create a SMART goal—keeping it front of mind can help you make sure you achieve it. At Asana, we believe goals should be closely connected to the work they’re, well, connected to. Here’s how you can do that:

1. Share your SMART goals with project stakeholders and team members

At the start of the project, make sure you surface your SMART goals to everyone involved in the work. Your SMART goals should guide your whole team as you work on project deliverables, so you know exactly whether or not you hit your project objectives.

The best way to do that is with a work management tool like Asana. That way, your team has a central source of truth with all information in the same place—from your daily work all the way to your project’s goals. Instead of hiding your goals in docs, decks, and other hard-to-find places, connect them to your daily work so everyone is motivated, focused, and on the same page.

2. Check in on progress regularly

In addition to sharing your SMART goals with your team at the beginning of your project, make sure you periodically measure the progress you’ve made towards your goal. You don’t want to work on the project and then find, at the very end of the work, that you’ve missed your goals. You’ve worked hard to set specific, measurable goals for a reason—you can use them as your north star, and course correct during your project if necessary.

The best way to regularly check in on your SMART goals is to send weekly project status updates . Status updates are a great way for you to highlight the important work your team did, any upcoming milestones, and whether or not you’re on track.

3. Evaluate your success

SMART goals bring clarity to your goal-setting process—so you can gauge exactly whether or not you hit your project goals. If you did, it’s time to celebrate! And even if you didn’t, having such clear goals—and checking in on your goals regularly—can help you best identify what went wrong and where you can do better next time.

Remember, not hitting your goals doesn’t mean your project was a total failure. You may have purposefully set a stretch goal to challenge yourself or your team. Even if you didn’t set a stretch goal, it’s more important to calmly evaluate why you missed your target rather than pretend it didn’t happen. That way, you can learn from your mistakes and bring those learnings with you the next time you set SMART goals.

Set smarter goals

SMART goals can help your team succeed by bringing clarity into the goal-setting and project management processes. When your team has clarity and is moving in the same direction, they’re more likely to be motivated and to know what work to prioritize.

Visualizing and tracking your goals both makes them easier to measure and achieve. In Asana, you can set, track, and report on your SMART goals all in one space. With the ability to connect with everyone on your team and share with stakeholders, you can coordinate everything you need to achieve your most ambitious goals.

SMART goals FAQ

What does the smart goals acronym stand for.

The SMART goals acronym stands for Specific, Measurable, Attainable, Relevant, and Time-bound. George T. Doran popularized this framework, which offers a methodical approach to setting goal-specific objectives. By following the SMART acronym, you're more likely to set specific goals that are both effective and achievable.

What are the 5 SMART goals

The 5 SMART goals refer to the five criteria that any SMART objective should meet. These are:

Specific: Clearly defined objectives that spell out what you aim to achieve.

Measurable: Quantifiable goals that allow you to track your progress.

Attainable: Goals that are challenging yet achievable, ensuring you're not setting yourself up for failure.

Relevant: Objectives that align with your broader aims and values.

Time-bound: Goals that come with a deadline promote effective time management.

How do I write a SMART goal?

To write a SMART goal, begin by defining what you specifically want to accomplish. Next, determine how you'll measure success and ensure that your objective is attainable. Make sure the goal is relevant to your broader life or career ambitions. Finally, add a timeframe to create a sense of urgency. A well-crafted SMART goal might look like this: "I want to increase my LinkedIn network by 200 connections within the next three months."

What are the best SMART goals?

The best SMART goals are those that are closely aligned with your own or your organization's broader aims, serving as stepping stones toward your ultimate goal. They should challenge you while still being achievable. These goals should be easily measurable and promote effective time management, allowing you to allocate resources wisely. For example, if career development is a priority, an excellent SMART goal could be "to complete an advanced course in digital marketing within the next six months."

Related resources

Unmanaged business goals don’t work. Here’s what does.

How Asana uses work management to effectively manage goals

Beat thrash for good: 4 organizational planning challenges and solutions

Use critical success factors to support your strategic plan

SMART Business Goals: Definition, Examples, Benefits, and Drawbacks

In a way, business success is just the realization of every goal that you set over time. With every goal that is accomplished, you are taking steps toward what you ultimately want to achieve as an entrepreneur or business owner. However, there are many ways to accomplish those goals. Some ways are better than others. One of the better ways is by setting SMART goals. We’ll take a look at what SMART goals are, their advantages and disadvantages, and some examples in this article.

What are SMART Business Goals?

 SMART  business goals   stand out as a framework that ensures goals are effective and achievable. SMART is an acronym that stands for Specific, Measurable, Achievable, Relevant, and Time-bound. Each element of the SMART framework plays a crucial role in goal setting, making it a widely adopted strategy in various industries.

The “s’ in the smart acronym stands for Specific. This means that your goals should be clear so you know exactly what needs to be accomplished. This can eliminate any vagueness. The clearer the goal the more likely you will be to focus on it and the strategy needed to accomplish it. For a goal to be specific, it should answer the key questions: What needs to be accomplished? Who is involved? Where will it take place?

Your goals need to be able to be tracked and measured. This means that your  goals should be quantitative  so you can measure if you are on track or not. Think of it as the numbers for your goal. For example, a measurable goal could be increasing sales by 20% within the next quarter.

You should set  realistic goals  if you want to accomplish them. Your goals should be something you and your team feel are achievable. If they are not, you could get discouraged or lose motivation if you miss milestones.

Goals should also be relevant to your business’s mission and values. You don’t want to set goals that you can hit but really don’t contribute much to the growth of your business. For example, if you have a business that sells to other businesses (b2b), you may not benefit from having a goal of reaching 10,000 followers on Instagram.

SMART goals should have a deadline. Think of them as an expiration date. Without knowing the cutoff point, it will be hard to know if you are succeeding or failing. By having an end date or time for your business goals you can motivate you to take more action to reach your goal.

Benefits of Using SMART Goals

One of the reasons why it seems SMART goals are a go-to method for goal setting is because there are a lot of benefits to setting your goals this way. First off, because your goals are specific, it gives you clarity and allows you to focus more intently. When goals are specific, you become less likely to get distracted by other things that seem important but are not in line with your goals.

Also, since you are able to track your goals, you may maintain motivation in the process. If you’ve created a measurable goal, you will be able to monitor exactly where you are en route to your destination. That can help avoid the feeling of not knowing how much more ground you have to make to hit your targets.

Another benefit is that, since your goals are realistic, you are not setting yourself up for failure. It is important to set  goals that stretch you . However, setting goals that are too lofty makes it harder to bounce back if you don’t reach them. But, when you use SMART to set realistic goals, you are getting a boost of confidence by logging some wins for you and your team. 

The sense of urgency SMART goals create helps in prioritizing tasks and managing time. When there is a clear deadline, there tends to be less procrastination and more focus. Not only that, because your goals are relevant to what the business is trying to accomplish, you feel a sense of purpose when pursuing those goals.

Drawbacks of Using SMART Goals

While the SMART goal method is a great way to go, it’s not a magic bullet. There are some drawbacks to setting your goals this way. If you’re serious about reaching your goals, understanding these limitations is crucial.

One of the first problems that can arise is due to the time-bound aspect. When there is a deadline, the focus could switch too much on short-term gains. If you’re not careful, the goal accomplishment process can seem more transactional. It can also be tempting to take shortcuts to reach the goal. 

Another issue that can come up is the way the method is highly structured. If the method is followed too closely, you may limit your flexibility and creativity. This is because you may have blinders on while focusing on your goals that you miss opportunities or stay in a well-defined lane.

One last downside of this is the opportunity cost of setting your goals too low. While it is important to not set goals that are too high, setting goals that are attainable, but too easy won’t help your business long-term. For example, you can set a goal of a 10% revenue increase because you know you can get there without much issue. However, you and your team may be capable of making that increase 30%. Since you set the goals too low to attain them, you may have missed out on 20% more revenue.

Examples of SMART Goals

Now let’s take a look at a few examples of SMART goals for business. These will give you some insight into what a SMART goal should look like and why it makes sense to set goals this way.

Example 1: Increasing Sales Revenue by 15% over the next quarter

This goal is Specific as it clearly shows what the company wants to achieve- a 15% increase in sales revenue. It is Measurable through the quantifiable target of 15%. It’s achievable as long as the company has the resources to pull it off. The goal is relevant because the revenue would directly contribute to the company’s growth and profitability. Finally, it is Time-bound with a clear deadline of one quarter.

Example 2: All team members to complete the course and pass the certification exam within six months.

This is an example of  goals set for employees .  The goal is specific because it states what the goal is for everyone to complete a course and pass an exam. This is something that can be easily tracked so it is measurable. If the certification goal is something that will help the business and is typically attainable in less than a year, then the goal also is achievable, relevant, and time-bound.

Example 3: Reduce operational costs by 10% over the next 12 months.

One last example that shows the same format. Operational costs are certainly relevant to any business’s goals. A 10% reduction is also something that is attainable for most businesses. Depending on the type of business, doing that within a year is time-bound and is most likely very realistic.

At the end of the day, your most important   business goals should grow  your business in some way. Using the SMART method, you create a potential to narrow down which goals will do that. Also, the method will give you a better opportunity to reach those goals.

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Article • 12 min read

SMART Goals

How to Make Your Goals Achievable

By the Mind Tools Content Team

Key Takeaways

• SMART goals are S pecific, M easurable, A chievable, R elevant, and T ime-bound.
• They allow you to write goals that are clear, attainable and meaningful.
• Having clarity in your goal-setting provides the motivation and focus you need to be successful.

The trouble with not having a goal is that you can spend your life running up and down the field and never score.– Bill Copeland

Do you ever feel like you're working hard but not getting anywhere? Maybe you see little improvement in your skills or achievements when you reflect on the last five or 10 years. Or perhaps you struggle to see how you'll fulfill your ambitions during the next few years.

Many people spend their lives drifting from one job to another, or rushing around trying to get more done while actually accomplishing very little. Setting SMART goals means you can clarify your ideas, focus your efforts, use your time and resources productively, and increase your chances of achieving what you want in life.

In this article, we'll explore what SMART goals are, and we'll look at how you can use them to achieve your objectives.

Learn how to set SMART goals with our video and transcript .

What Are SMART Goals?

SMART is an acronym that you can use to guide your goal setting. To make sure your goals are clear and reachable, each one should be:

• S pecific (simple, sensible, significant).
• M easurable (meaningful, motivating).
• A chievable (agreed, attainable).
• R elevant (reasonable, realistic and resourced, results-based).
• T ime bound (time-based, time limited, time/cost limited, timely, time-sensitive).

Its criteria are commonly attributed to Peter Drucker's Management by Objectives concept. The first-known use of the term was in the November 1981 issue of Management Review by George T. Doran. Later, Professor Robert S. Rubin (Saint Louis University) wrote about SMART in an article for The Society for Industrial and Organizational Psychology. He stated that SMART has come to mean different things to different people, as shown above.

Professor Rubin also noted that the definition of the SMART acronym may need updating to reflect the importance of efficacy and feedback. However, some authors have expanded it to include extra focus areas; SMARTER, for example, includes E valuated and R eviewed.

What Are the SMART Criteria?

SMART Criteria

How to Write a SMART Goal

Paul J. Meyer, businessman, author and founder of Success Motivation International , describes the characteristics of SMART goals in his 2003 book, " Attitude Is Everything: If You Want to Succeed Above and Beyond ." We'll expand on his definitions to explore how to create, develop and achieve your goals:

1. Specific

Your goal should be clear and specific, otherwise you won't be able to focus your efforts or feel truly motivated to achieve it. When drafting your goal, try to answer the five "W" questions:

• What do I want to accomplish?
• Why is this goal important?
• Who is involved?
• Where is it located?
• Which resources or limits are involved?

Imagine that you are currently a marketing executive, and you'd like to become head of marketing. A specific goal could be, "I want to gain the skills and experience necessary to become head of marketing within my organization, so that I can build my career and lead a successful team."

2. Measurable

It's important to have measurable goals, so that you can track your progress and stay motivated. Assessing progress helps you to stay focused, meet your deadlines, and feel the excitement of getting closer to achieving your goal.

A measurable goal should address questions such as:

• How will I know when it is accomplished?

You might measure your goal of acquiring the skills to become head of marketing by determining that you will have completed the necessary training courses and gained the relevant experience within five years' time.

3. Achievable

Your goal also needs to be realistic and attainable to be successful. In other words, it should stretch your abilities but still remain possible. When you set an achievable goal, you may be able to identify previously overlooked opportunities or resources that can bring you closer to it.

An achievable goal will usually answer questions such as:

• How can I accomplish this goal?
• How realistic is the goal, based on other constraints, such as financial factors?

You might need to ask yourself whether developing the skills required to become head of marketing is realistic, based on your existing experience and qualifications. For example, do you have the time to complete the required training effectively? Are the necessary resources available to you? Can you afford to do it?

Beware of setting goals that someone else has power over. For example, "Get that promotion!" depends on who else applies, and on the recruiter's decision. But "Get the experience and training that I need to be considered for that promotion" is entirely down to you.

4. Relevant

This step is about ensuring that your goal matters to you, and that it also aligns with other relevant goals. We all need support and assistance in achieving our goals, but it's important to retain control over them. So, make sure that your plans drive everyone forward, but that you're still responsible for achieving your own goal.

A relevant goal can answer "yes" to these questions:

• Does this seem worthwhile?
• Is this the right time?
• Does this match our other efforts/needs?
• Am I the right person to reach this goal?
• Is it applicable in the current socio-economic environment?

You might want to gain the skills to become head of marketing within your organization, but is it the right time to undertake the required training, or work toward additional qualifications? Are you sure that you're the right person for the head of marketing role? Have you considered your partner's goals? For example, if you want to start a family, would completing training in your free time make this more difficult?

5. Time-bound

Every goal needs a target date, so that you have a deadline to focus on and something to work toward. This part of the SMART goal criteria helps to prevent everyday tasks from taking priority over your longer-term goals.

A time-bound goal will usually answer these questions:

• What can I do six months from now?
• What can I do six weeks from now?
• What can I do today?

Gaining the skills to become head of marketing may require additional training or experience, as we mentioned earlier. How long will it take you to acquire these skills? Do you need further training, so that you're eligible for certain exams or qualifications? It's important to give yourself a realistic time frame for accomplishing the smaller goals that are necessary to achieving your final objective.

Used with Permission from The Meyer Resource Group,® Inc.

The Pros and Cons of SMART Goals

SMART is an effective tool that provides the clarity, focus and motivation you need to achieve your goals. It can also improve your ability to reach them by encouraging you to define your objectives and set a completion date. SMART goals are also easy to use by anyone, anywhere, without the need for specialist tools or training.

Various interpretations of SMART have meant that it can lose its effectiveness or be misunderstood. Some people believe that SMART doesn't work well for long-term goals because it lacks flexibility, while others suggest that it might stifle creativity. For more information on the potential weaknesses of SMART, see our article, Locke's Goal-Setting Theory .

Frequently Asked Questions About SMART Goals

What does smart stand for.

SMART stands for S pecific,  M easurable,  A chievable,  R elevant, and  T ime-bound.

What about SMARTER goals?

In this expanded acronym, the E stands for Evaluated, and the R for Reviewed.

Who invented SMART goals?

The SMART goals concept is commonly attributed to Peter Drucker, author of Management by Objectives . The first-known use of the term was in the November 1981 issue of Management Review by George T. Doran.

What’s an example of a SMART goal?

Let’s say you’re a marketing executive, and you think you'd like to become head of marketing. This is a specific goal. You might measure your goal of gaining the skills to become head of marketing by deciding it will take five years. Ask yourself whether gaining these skills is achievable , based on your existing experience and qualifications. Are you at the right point in your career? Is it relevant to what you want? Give yourself a realistic time frame for accomplishing the smaller goals that are necessary to achieving your final objective.

How do I write a SMART goal plan?

• Start by asking exactly what you need to accomplish. This will make your goal specific.
• Quantify your goals. Measurable goals are easier to track, so build in milestones.
• Your goal should be achievable. Is this something you can do with the resources at your disposal?
• Think why you’re setting this goal. How will it improve your life or career? This is what makes it relevant.
• Know exactly when you’ll have reached your goal. Have a firm schedule, and stick to it.

For other goal-setting resources, see our articles, Golden Rules of Goal-Setting , Using Well-Formed Outcomes in Goal Setting , Personal Goal Setting , and Treasure Mapping .

• SMART is a well-established tool that you can use to plan and achieve your goals.
• While there are a number of interpretations of the acronym's meaning, the most common one is that goals should be S pecific, M easurable, A chievable, R elevant, and T ime-bound.
• When you use SMART, you can create clear, attainable and meaningful goals, and develop the motivation, action plan, and support needed to achieve them.

Rubin, R. (2002). Will the Real SMART Goals Please Stand Up? [online]. Available here . [Accessed January 27, 2016.]

Meyer, Paul J. (2003). " Attitude Is Everything: If You Want to Succeed Above and Beyond ." Waco, TX: Meyer Resource Group.

Haughey, D. (2014). A Brief History of SMART Goals [online]. Available here . [Accessed January 27, 2016.]

Smart Goals Guide, (2014). Why Goal Setting Is Important [online]. Available here . [Accessed January 27, 2016.]

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How to Set SMART Goals In Business: What They Are, Examples, and How To Use Them

• Written by Rob Biedron
• 17 min read

KEY TAKEAWAYS

• SMART goal setting is crucial for small businesses and entrepreneurs who want to grow.
• SMART goals guide you through exactly what you want to accomplish and when.
• SMART goals improve your overall business – with clearer pictures of what needs to be done and how.

The SMART goal framework has been used since the early 1980s to guide the development of measurable goals. Smart stands for Specific, Measurable, Achievable, Relevant/Realistic, and Time-bound. Each letter can stand for many variations, but these are the most commonly used.

This acronym is a great way to ensure that your organization’s goals are well thought out and will lead to successful results.

What Are SMART Goals

SMART goals are specific, measurable, achievable/attainable, relevant/realistic, and time-bound. They are often used in businesses as a way to measure progress and success.

But why? Well, these types of goals tend to be more successful than those that are not specific or measurable. And, who doesn’t want their business to be successful?

Breaking Down The Components

Let’s break down each component so that you have a better understanding of what goes into a SMART goal.

A specific goal is clear and easy to understand. This goal should identify what needs to be accomplished and when. For example, “Increase our market share by 5% by the end of Q3 2020” is a specific goal.

On the other hand, “Improve our marketing efforts” is not a specific goal. It lacks the details necessary to understand what needs to be done and when it needs to be completed.

A measurable goal is one where you can track progress and determine whether or not it has been achieved. For example, “Generate 100 new leads per week” is a measurable goal because you can track how many leads are generated every week and determine whether or not the goal has been met.

On the other hand, “Increase social media presence” is not a measurable goal because it is difficult to track progress and determine whether or not the goal has been achieved.

An achievable or attainable goal can be realistically accomplished given the resources available.

For example, “Achieve $10 million in annual revenue” is an achievable goal if your company currently generates $8 million in annual revenue.

However, it would not be an achievable goal if your company only generates $1 million in annual revenue because dramatically increasing your revenue to that level would require too much growth in such a short time frame.

A realistic or relevant goal aligns with your company’s mission, values, and long-term goals. It should also be something that can be accomplished given the resources available.

For example, “Launch a new product line by Q3 2020” is realistic and relevant if your company operates in the Consumer Packaged Goods industry and you have the resources necessary to develop and launch a new product line.

However, it would not be realistic or relevant if your company operates in the Services industry because launching a new product line would require a completely different set of skills and resources.

A time-bound goal has a deadline associated with it. For example, “Reduce customer churn by 2% by December 31, 2022” is time-bound because it specifies when the goal should be accomplished. Goals that are not time-bound tend to lack urgency, leading to procrastination.

Some companies are moving to another model of SMARTER goals, which adds: Evaluate and Re-Do to the equation. This optional step isn’t necessary for every goal but can be helpful for some industries.

As you move toward your goal completion, you may find that you have to evaluate things. Circumstances change, especially with economic uncertainty and other external factors at play.

If in the middle of a project, one of your top employees gets sick and has to go out on leave for six weeks, you’ll have to evaluate things to determine what to change and how to make it work.

It’s also possible that as you evaluate things, a goal you set a month ago may not be as relevant as it was when you set it. That means going back to adjust it so that it continues to make sense for your organization.

Why Use SMART Goals?

Business owners who use SMART goals can accomplish more because they have something specific and measurable. This leads to increased productivity and results.

Measurable goals make it easier to track progress and keep your team motivated. As you progress, you can evaluate and make changes where necessary to keep your projects on track.

When you hit targets, that dopamine rush keeps you moving toward the next milestone.

You can use smart goals to complete projects and improve individual or team performance.

How to Write a SMART Goal

First, identify what you want to achieve. Once you know what that is, you can start setting your sights on making it happen by writing a SMART goal statement when you work on goal setting.

With smart business goals you:

• Specify what you want to accomplish
• Measure progress along the way
• Make sure the goal is achievable and realistic
• Tailor the goal to your company’s needs and culture
• Set a deadline for completion to create a sense of urgency

Here’s an example of a non-SMART goal: “I want to increase sales.”

And here’s an example of the same goal written as SMART goal: “I want to increase sales by 10% in the next quarter.”

The second goal is much more specific than the first one. It’s also:

• Measurable (you’ll be able to track whether or not you’ve increased sales by 10%),
• Attainable (increasing sales by 10% is realistic),
• Relevant (increasing sales aligns with your company’s objective of making money),
• Time-bound (you’ve given yourself a deadline of one quarter)

Once you’ve written your SMART goal statement, create an action plan for achieving it.

This plan should include specific tasks that need to be completed and deadlines for completing them. Think of it as a roadmap to guide your initiatives.

By breaking your goal down into smaller pieces, you’ll make it much easier to achieve it—and you’ll be able to track your progress along the way.

Don’t forget to celebrate once you’ve achieved your goal! Achieving any sort of significant business milestone is cause for celebration—so make sure to give yourself (and your team) a pat on the back once you’ve hit your target.

SMART goals add clarity that make it easier to plan and act.

Ways Your Business Can Use Smart Goals

You can use smart goals in every facet of your business plan. Here are some examples of SMART goals in everyday business settings.

Social Media Marketing Campaigns

Let’s say you want to grow your LinkedIn following by 1,000 followers by the end of the year.

You’ll use metrics like page views, click-throughs, and engagement rates to tell you if your content and messaging are working.

You can even set social media goals for each network. These goals should be determined by your entire organization and should be consistent with the SMART framework.

You can enlist your marketing team’s help to devise a plan to accomplish this goal.

Ideas include:

• Running LinkedIn ads that ask people to follow your page
• Including your Facebook Page updates on your website with an embeddable widget
• Adding social media buttons to your website and email signature
• Planning content and posting on a consistent schedule.

The sales team can take over the new leads and increase your company’s revenue, which can help you reach other goals.

Search Engine Optimization

We want to increase the number of website visitors from organic search results by 100% over the next 12 months.

In the current competitive market, it’s not enough to attract traffic to your site. You must analyze your sales funnel and conversion rate to see which parts of the website are more effective.

You should also identify where leads are dropping off and measure conversion rates across different channels.

SEO is an ever-changing discipline, and no one answer works for every site. Some site owners focus on the technical aspects of SEO to earn a good ranking on Google, while others focus on generating more business through the site.

The plan of action here may look like this:

• Analyzing the most important keywords for the company and seeing where those pages currently rank.
• Adjusting on-page content to boost rankings on pages that need a little help.
• Starting a link-building campaign to boost traffic on the pages that aren’t performing as well as others.
• Conducting more keyword research to find low-hanging fruit – the relevant keywords that aren’t difficult to rank for.

Generate New Customer Leads

Every business could benefit from more customers, right? A SMART goal here may look something like this:

In the next 30 days, we want to increase our qualified leads by 10%.

Notice here how we specified qualified leads. It makes the goal even more specific. It’s easy to bring in generalized leads – but those are less likely to convert to paying customers.

By focusing your efforts on qualified leads, you automatically increase your chance of a conversion.

Your action plan could include:

• Offering a special discount for people who book a demo/purchase a product within 24 hours of subscribing to your email list
• Offer a lead magnet to grow your email list
• Run social media ads to attract new customers
• Start an affiliate or customer referral program
• Look to other businesses to partner with to share customers

Bring New Team Members on Board

Whether hiring your first employees or wanting to expand your team, having the right people in your company can make all the difference.

Setting SMART recruitment goals can attract the top talent you need to bring your business to the next level.

We want to add three new employees to our marketing team within six months.

Your plan of action could look like this:

• Meeting with your current employees to determine where they could use the most help. Do they need a copywriter on staff to help with creative copy? Do they need a graphics designer on hand to design marketing materials?
• Writing comprehensive job descriptions for each position you’re looking to fill.
• Sharing the job listing on various career websites like Indeed and Career Builder.
• Hiring a recruiter to handle finding people that fit the positions for you
• Conducting interviews with prospective candidates – including asking for samples of work.
• Putting together your offer packages for the chosen candidates

Cut Procurement Costs

Businesses need to spend money to make money, but spending frivolously could spell disaster. Cutting costs isn’t always about saving money but stretching the budget and making smarter decisions.

We want to decrease our procurement expenses across the entire company by 10% over the next 12 months.

You can take this goal and break it down into smaller goals for each department, paying special attention to the areas where most of the spending comes from.

Your action plan may look like this:

• Evaluate all current spending to pinpoint the most expensive items.
• Speak with your most valuable suppliers to negotiate better deals on those items
• Conduct supplier performance evaluations to ensure all the suppliers are maintaining their contractual obligations
• Start looking for alternative suppliers who can provide better pricing
• Leverage volume or early payment discounts

Start Setting Smart Goals Today

Setting SMART goals for your business is essential for measuring progress and determining whether or not you are achieving success.

These goals are specific, measurable, achievable/attainable, relevant/realistic, and time-bound. Remember this acronym next time you sit down to set some business goals.

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Setting SMART Goals for Your Small Business

With goals that are specific, measurable, achievable, relevant, and timely, you can take the steps needed for long‑term success.

With goals that are specific, measurable, achievable, relevant, and timely, you can take the steps needed for long-term success.

According to the U.S. Small Business Administration , only about half of new small businesses survive for 5 years, and only one-third make it to 10 years. To stand the test of time, it’s important to set goals for your business that are specific, measurable, achievable, relevant, and timely—in other words, goals that are SMART.

Small businesses tend to interact with their audience more directly, and on fewer fronts than corporations. Although you may have fewer resources, small businesses have many advantages if used wisely. Creating SMART goals to connect with your audience can make all the difference.

What are SMART goals?

The SMART acronym stands for goals that are specific, measurable, achievable, relevant, and timely. The SMART goal system is impactful for business marketing strategies, project management and overall growth, because it encourages you to look into your market and evaluate how your business stacks up. It provides a model to identify strengths, track progress and room for improvement.

Here’s a more detailed SMART goals definition:

Having a clear, specific outcome in mind is key to making a SMART goal. Making a specific goal means that you can narrow your focus—whether this is on marketing, data collection, sales, or customer relationship management—and get a concise picture of exactly what you want to achieve and thus, what steps you should take to accomplish this goal.

When you set goals, it’s important to make sure you know what metrics you will use to evaluate whether and when you’ve met your goal.

Measurable goals and objectives can be quantitative, like how many returns or outputs you receive or produce; or they can be qualitative, based on the quality of those same returns or outputs.

It’s important to prioritize achievability when you set business goals. This isn’t to say you shouldn’t dream big, but a goal that you can take feasible steps towards will tell you more about the nature of your business, the way you run it, your customers, and the goal itself, rather than working towards something outside your capacity. By defining achievable goals, you’re also allowing yourself to experiment with what works best for reaching this goal, based on your measurements.

Relevancy, in the case of SMART business goals, refers to the pertinent characteristics of your business. Most businesses want to attract a bigger audience and increase their revenue, of course, but relevant goals help you identify what you will do specifically to grow your business.

If you run an online magazine, for example, a relevant and timebound goal is to increase the number of monthly subscribers by 25% this quarter. Subscribers are relevant to the success of your business, and thus the goal meets SMART criteria.

Having a timeframe for when you want to achieve your goal makes the process of planning and executing clearer and more organized. A deadline can be a powerful motivator, and it will help your team work together towards a clear finish line and better time management. Plus, working towards timely goals can give you insight into a certain time of year or the seasonality of your business, which might inform future goals.

Why are SMART Goals Important?

Why is being SMART important, and where does it factor into your small business plan ? SMART goals enable small business owners to take actionable steps towards improvement, measure outcomes, and ultimately achieve scalable success.

Vague goals (like, “Find more customers”), can leave you at a loss when it comes to implementing changes to your current marketing campaigns or business models. Vague goals can also leave business owners feeling over-extended without a clear focus, or unsatisfied without substantial evidence of achievement.

Actionable, achievable goals that are relevant, timebound, and have measurable outcomes are crucial for surviving the inception years of your new business. They can lead to sustainable growth and innovation throughout the life of your company or your career development.

How to set SMART goals

You can start writing your own SMART goals in a few ways:

• Use the SMART acronym as an outline. Write down a goal, then break down how the goal is specific, measurable, achievable, relevant, and timely. Provide details about your goal for each letter in the acronym. You can use a list format, a flow chart, or an outline—whatever keeps your thoughts organized and helps in reaching this goal.
• Use a past/present/future question model. Ask yourself questions like: What have I already done? What is the current outcome? Where do I want to be at the end of this month/quarter/year? Although this model prompts you to look to the future, make sure to keep the goal timely and focused.
• Use marketing software data. Marketing software can provide a foundation to set SMART goals. By collecting your current campaign reports and analytics all in one place, you can start writing your SMART goals based on the quantitative data you’ve already collected. Remember, the data itself is only a starting point; its usefulness is determined by what you do with it.

Use this SMART goal framework that will help you to define a better action plan with the steps you'll need to take, resources necessary to get there and milestones to track progress along the way. With SMART goals, you're more likely to achieve your goal efficiently and effectively.

SMART goal examples

What is a SMART goal? Let’s imagine a small business with the impressive goal of becoming completely carbon neutral or reaching net zero emissions. The goal is laudable, but how will the company achieve it? One step toward that objective might feature the SMART goal of switching 50% of plastic packaging materials to compostable packaging materials by the end of the quarter.

The goal is actionable and brings the company closer to its overall goal of operating as a carbon-neutral entity. Compostable packaging alone won’t get the company to complete carbon-neutral status. Still, it will help get the company closer to that end goal, and it’s an excellent selling point on the company website and sales literature.

Below we’ve listed a few more examples where we take some common small business goals and make them SMART:

• “Build more customers” vs. “Secure 6 new business accounts before the end of the quarter.” Six is specific, securing new accounts is relevant to the ultimate goal of the business, having a quantitative goal correlates to measurable success, it’s small enough to be achievable, and “end of the quarter” is timely.
• “Make more profits” vs. “Increase revenue 10% each quarter until the end of the fiscal year.” 10% is a specific, measurable amount that’s relevant to the goal of increasing overall profits. It puts “increase revenue” into achievable terms, and using quarters of the fiscal year is a timely measurement.
• “Be more present online” vs. “Increase unique blog views by increasing social media marketing content over the next month.” Unique views are a specific audience metric that is captured by your website or marketing platform, increasing social media marketing is measurable quantitatively, and it’s an achievable, actionable item, while “over the next month” is timely.

SMART business goals are about building focus, deepening relationships with your audience, achieving your goals and improving your strategies as you grow. By using the SMART framework, you can improve your business operations, project management and start achieving the goals that matter most.

You can also write SMART goals for personal use, whether you want to improve your career development or achieve goals outside of your professional life. Using the SMART goal framework can organize the process and provide structure before you begin any projects for your small business.

Start setting SMART goals with Mailchimp

Mailchimp helps your company manage customer relationships , generate leads , and grow your small business with an all-in-one marketing platform for email campaigns, content management, and data analysis. Create and achieve your SMART goals by leveraging marketing tools from Mailchimp.

Frequently asked questions

When should i set smart goals.

SMART goals are best set when the company aims to achieve a particular objective or milestone. By taking advantage of SMART goal setting from the get-go, your company can increase productivity, increase profits, and improve client or employee retention.

What is the value of creating SMART goals?

SMART goals take the vagueness out of company operations and help the organization reach its yearly goals with precision. SMART goals can improve resource allocation, time management, and employee morale.

SMART goals help business owners figure out where their teams are succeeding or when they need additional guidance. Grow your small business using achievable SMART goals that will add up to greater success over time.

What are good SMART goals?

In order to set good SMART goals, you must determine what you hope to achieve in the long run, either as an organization or professional.

Learning how to write SMART goals requires creating goals that meet every letter of the acronym. Below are some SMART goal examples that you can use as inspiration:

• Grow the company Instagram page by gaining 100 followers over the next 6 months.
• Find a qualified graphic design intern by the end of the quarter by creating job listings on at least three unique career sites.
• Strengthen the sales team by ensuring that at least 80% of salespeople in your organization complete an inbound sales training by the end of the quarter.

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What are smart goals, smart goals introduction:.

SMART goals are short-term, strategic actions that support your organization’s long-term vision of success and strategy. The acronym SMART – Specific, Measurable, Attainable, Responsible, and Time-Bound – helps your organization build actionable goals to help it reach its long-term destination.

Setting goals for your organization and what you want your company’s future state to look like is essential to the strategy puzzle. While there are many principles and schools of thought on what you should aim for when creating your goals, we like to keep our goals SMART. We don’t just mean smart as in witty – but SMART goals stretch your organization to realize more of its full potential.

Pro Tip: In Strategic Planning , SMART goals aren’t just an acronym or adjective, they’re a guiding principle. Creating great goals is where your plan meets the road and making them SMART creates action.

The SMART goal acronym explained:

SMART is a framework for goals and actions to make every goal detailed and specific so you can clearly understand what you’re setting out to achieve, how it’s measured, who is responsible, and when it’s due. SMART stands for:

• Specific – What are you specifically trying to achieve?
• Measurable – How will you measure success?
• Actionable – Does this goal inspire and communicate action?
• Realistic – Who is accountable for achieving this goal?
• Time-Bound – When is this goal due to be completed?

Check out this video from Erica Olsen where she outlines what SMART goals are and how to write SMART goals that support your organization’s long-term objectives:

Where do SMART goals fit into your strategic plan?

As you think about where SMART goals fit into your strategic plan, these rules specifically apply to your organizational annual goals [or objectives] . And as you cascade down through your plan, the SMART goal rules still apply .

Quarterly goals or actions still need to adhere to SMART goal rules – meaning they still need to be specific, measurable, actionable, realistic, and time-bound. These actions just happen to be quarterly in nature.

Pro Tip: Are you using an OKR framework ? Well, SMART still applies! Objectives and Key Results need to possess the same attributes of SMART goals.

Do you really need SMART goals?

Goals capture your aspirations and build out what it’s going to take to reach your vision of success. They create focus in daily work and require your team to center their focus on what matters most to your organization. They need to be embedded into your team’s every day.

As a bonus, when your SMART goals are short-term, you can go back and reassess regularly and either add new goals or adjust pre-existing ones. So, what makes up a SMART goal, and how should you approach each phase? Make sure to check out the SMART Goals Examples post for inspiration

Deep-dive into the SMART goal acronym

The SMART goal acronym is a helpful tool to create memorable and actionable goals.

Each letter of the acronym holds equal importance as the next, and helps you create well-rounded goals that express what you’re seeking to achieve, why you need to achieve it, and when it will be achieved by.

Pro Tip: Each phase of the SMART goal designates a word that is just as important as the others in the acronym. You can’t spell ‘smart’ without an ‘S’ or an ‘A’, just like your goals can’t be SMART without being specific or attainable.

S – Specific

Every one of your goals needs to clearly express what you’re trying to achieve . The clearer your goals are and the whys are for each one, the easier it is to keep track of them. Specificity allows you to revisit your goals and pick up right where you left off. Additionally, it allows you to explain and justify the why of each goal to your stakeholders.

Pro Tip: You’ve met the criteria for specific when you can revisit a goal after a week [or month] and still clearly understand what you’re setting out to achieve.

When setting specific goals, be sure to ask these questions:

• What do I want to accomplish with this goal?
• Why is this goal important to our overall objectives?
• What resources do we have already/need to be successful?
• How will we accomplish this?

M – Measurable

The next piece of the SMART goal puzzle is determining how you’ll measure your goal. To accurately assess if your goal is being met, it needs to be quantifiable in some way.

Quantitative measures are objective measures that can be counted, measured, or expressed using numbers or statistics. Examples of quantitative measures include sales figures, revenue, profit margins, and the number of customers served.

Qualitative measures, on the other hand, are subjective and descriptive measures that cannot be easily expressed using numbers or statistics. Examples of qualitative measures include customer satisfaction, brand reputation, or to measure project completion. Qualitative measures are typically used to assess the more abstract or intangibles of performance and are obtained through surveys, interviews, or other forms of subjective feedback.

When setting measurable goals, ask these questions:

• What is the best way to measure this goal?
• How will we track this goal?
• What is a realistic number/ percentage to set for this goal?
• What is the consistent, reliable data source?

A – Actionable

The standard acronym for SMART goals says that the goal should be attainable. And that’s true, but we like to instead use actionable .

Actionable goals ALWAYS start with a verb to inspire motion forward. There’s nothing worse than setting up a bunch of goals that don’t inspire any action. That’s why we always encourage teams to create goals with verbs.

When setting attainable goals, ask these questions:

• Does this communicate movement forward?
• Does the goal start with a verb?
• Will this goal help my team put our plan into meaningful action?

R – Realistic

Ensuring that your goals are attainable probably feels like a no-brainer. There’s no point in setting a goal if it’s not a goal you can achieve or reach.

Attainable goals can be determined in several ways. Make sure your goals are set in a realistic time frame with reasonable measures of success. Also, consider your access to resources and make sure you have the right tools in place to set your goals up for success.

• How can I or my team accomplish this goal with the set parameters?
• Do I have the resources (time, manpower, finances) already in place to begin working towards this goal? If not, what do we need?
• Am I ready to begin working towards this goal now?

T – Time Bound

The final phase of setting your SMART goals is ensuring that they are time-bound or time specific. Consider how long it will take to reach each goal and set markers and midway points. To ensure that you are achieving these goals within the timeline you’ve set, consider setting midway checkpoints as well.

• What do we want to accomplish in 3 months? 6 months? In 1 year?
• How do we know that this timeline is realistic?
• What are our midway benchmarks for these goals?

Bonus: Add a Why to ensure your goals are purposeful.

To make your goals feel more inspiring, we always recommend adding a short “why” statement to each goal. Don’t go overboard but add a short statement about the goal’s impact. It helps motivate your team.

When adding a “why” statement, consider these questions:

• Why does achieving this goal matter?
• What impact will it have?
• How does it create our future?

Final Thoughts:

Now that you’ve read this basic overview on what SMART goals are and how to apply these principles to your own goals, read our other articles on setting SMART goals and more!

What are SMART goals?

The SMART goal framework consists of a set of criteria that ensures that your goals are strategic and effective: every goal is Specific, Measurable, Actionable, Realistic, and Time-bound. Make sure your SMART goals are also assigned to a specific person!

Why do SMART goals need to be purposeful?

SMART goals are more inspiring so motivate your team to know why the goal is important and what the purpose for achieving it is. Without the ‘why’ there’s nothing to bring your team on board to your vision and long-term objectives.

Can OKRs also follow the SMART goal framework?

YES! SMART goals are not just an acronym or adjective, they are a guiding principle. And OKR objectives can and should be developed with the SMART goal criteria in mind.

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5 Tips for Setting SMART Goals in Your Business Plan

Table of Contents

Goals and dreams have important differences. Dreams are wishes and fantasies; for example, many of us long to be rich, famous, more successful, happier and healthier. Goals put your dreams on a deadline and require actionable steps toward achievement. 

As with personal goals, you have a greater chance of achieving business goals when you work within a structure that sets you up for success. We’ll explore the SMART goals system and how you can apply this goal-achievement method to your business. 

What are SMART goals?

SMART is an acronym for specific, measurable, attainable, relevant and time-based. The SMART goals framework is a way to stay on target and achieve your goals more systematically. The process includes the following components:

• Making your goal specific
• Quantifying your goal 
• Ensuring your goal is attainable, reasonable and realistic
• Hitching your goal to a deadline

Why use SMART goals?

SMART goals allow you to chart a course and stay organized when reaching personal or professional goals. You’re more likely to succeed because you’re less likely to get overwhelmed and abandon your goal entirely. 

In a business setting particularly, SMART goals provide teams with clarity, structure and guidelines. Business goals can involve cost-cutting measures , marketing initiatives, sales increases and much more. 

With SMART goals, you and your team know what success in each endeavor means and how to measure it within a project’s framework. Everyone knows the steps they must take to reach the goals. With ambiguity gone and a direction mapped, SMART goals set up your team for success.  

Goal-setting and tracking tools and apps can help your team get on the same page and accomplish company objectives.

How to incorporate SMART goals into your business plan

We’ll take a closer look at each SMART goal element and offer implementation examples you can apply to your business. 

1. Make goals specific.

A specific goal clearly states what is to be achieved, by whom , where and when it is to be achieved (and sometimes why ).

For example, let’s say you’re a wedding planner. Here’s how a non-SMART goal compares with a SMART goal in specificity: 

• Example of a non-SMART goal: Market my business in Toronto.
• Example of a SMART goal: Start a monthly networking group for women on event planning in Toronto. Set a monthly attendance goal of 20 women, with two attendees per month signing up for my “How to plan your wedding without stress” workshop.

Some entrepreneurs may question whether a business plan is even needed. Past research has shown that only one-third of entrepreneurs spend time writing a business plan. However, our b. newsletter team spoke to many entrepreneurs who said the time it takes to write a business plan is well worth it. You can read more about their reasonings why here. For additional advice on starting and growing a business, subscribe to our b. newsletter . It is delivered straight to your inbox every Tuesday and Friday.

2. Make goals measurable.

Measuring your goal means evaluating the end results and the milestones you’ll need to hit on the way. When you measure, you assess if you’re on the right track toward achieving your goal by asking these questions:

For example, let’s say your goal is to reach sales of $96,000 per year. To measure your goal, you could take the following actions:

• You set a milestone target of $8,000 in sales each month. 
• You create a process that focuses on achieving $8,000 per month (adding up to $96,000 for the year). 
• You reason that it’s easier to attain an $8,000-per-month goal because there are many ways to get to this goal and it’s less stressful to think in smaller amounts.

Measuring draws your focus, helping you boost your odds of achieving your goal. One good way to measure is to have a dashboard arranged by month. For example, you could use a chart like this:

3. Make goals attainable.

When you set goals, ensure they’re achievable. If you believe you can reach the goal, it’s more likely you’ll get there. It’s a mistake to set unreachable goals, because you’re setting yourself up for failure from the beginning. Additionally, don’t let others set your goals.

Setting attainable goals is also essential for team goal setting and can boost employee engagement . If you set unrealistic goals for your team, your team members won’t fully engage in the project. They need to be fully on board for the project to succeed. Everyone on the team should share in the goal setting so they own the goal and know it’s attainable. 

Consider setting performance goals tied to an incentive so that your team operates with a sense of urgency on a crucial project.

4. Make goals relevant.

Goals tend to fall into two categories: short-term and long-term. It’s essential to understand how both goal types fit your organizational or personal vision, mission and purpose.

It’s tempting to set a goal because it’s easy or sounds great, only to find out later that it has no long-term importance in what you want to achieve as an individual or an organization.

5. Make goals time-based.

Setting a deadline attaches a time frame to your goals. A deadline can be an excellent motivator. For example, let’s say you want to run a marathon in a year. A time-based goal would look something like this:

• Run twice a week for three months, gradually increasing your distance.
• Run three times a week for three months, gradually increasing your distance.
• Be ready for a half-marathon by the six-month mark. 
• Increase your frequency and distance over the next six months. 
• Be ready for the marathon in 12 months. 

Time-based goals help you avoid procrastination because your process offers incentives as you meet smaller achievements along the way. 

If you’re interested in tracking employee performance, check out employee performance measuring tools such as Basecamp, DeskTime and Trello.

How to identify and reach your goals

It’s crucial to set a goal that matches your personal or professional vision. After you set the goal, focus on a process that makes your goal achievable. Here are some steps to follow:

1. Identify your goal.

If you are unable to set a SMART goal, it’s usually because you need to clarify exactly what you want to accomplish within a set time period. It’s inadvisable to skip the process of SMART goal setting and just “go for it.” You have a greater chance of success when you analyze your goals and match them to your vision.

To save time, prevent disappointment and avoid costly mistakes, perform the following exercise when implementing SMART goals.

What are your goals? Writing down your goals helps to clarify your thinking. Can you stretch yourself both personally and in your business by setting three goals in each area?

2. Focus on the system.

Once you’ve set a goal, find a way to develop a system to achieve that goal. For example, if you want to write a book in one year and you’re not an author, you may feel overwhelmed. 

Instead, try writing 250 words per day. Don’t agonize over what you are writing – just write. At that rate, if you write five days per week (260 days per year), you will have 65,000 words in a year, or approximately a 250-page paperback.

Business goals work the same way. Set the goal, and then find a system to help you reach that goal. For example, when setting a sales goal, you may want to focus on consistently achieving 10 quotes per month with a 50% success rate. 

Leah Zitter contributed to the writing and research in this article. 

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SMART Goal Examples

Alyssa Gregory is an entrepreneur, writer, and marketer with 20 years of experience in the business world. She is the founder of the Small Business Bonfire, a community for entrepreneurs, and has authored more than 2,500 articles for The Balance and other popular small business websites.

The Balance/Alison Czinkota

SMART goal setting , which stands for Specific, Measurable, Attainable, Relevant, and Time-Based, is an effective process for setting and achieving your business goals.   Applying the SMART grid to your goals will help you to create more specific, achievable targets for your business, and to measure your progress toward them.

Below are several examples of broad objectives that are reframed as specific, SMART goals. As you review the sample SMART goals, notice how each example outlines several subgoals, or specific actions, that need to take place in order to accomplish the overall goal. SMART criteria can also be applied to each of those smaller goals in the same way as shown here.

Broad Goal Example: I Want to Start a Business

• Specific : I will sell handmade cards through Etsy.com.
• Measurable : I will be ready to take my first Etsy order within four weeks, and I will aim to sell a minimum of five cards per week.
• Attainable : I will get set up on Etsy first. Then I will build an inventory of 30 handmade cards to sell. Finally, I will promote my business and build customer relationships through word of mouth, referrals, and local networking.
• Relevant : Selling handmade cards will allow me to benefit financially from my favorite hobby.
• Time-Based : My Etsy store will be up and running within four weeks, and I will have an inventory of 30 cards to sell within six weeks.  

Within a month, I am going to get set up to sell handmade cards on Etsy, which will allow me to benefit financially from my favorite hobby. Within six weeks, I will have an inventory of 30 handmade cards to sell and aim to sell a minimum of five cards per week, building customer relationships through word of mouth, referrals, and local networking.

Broad Goal Example: I Want to Grow My Business

• Specific : I will acquire three new clients for my consulting business.
• Measurable : I will measure my progress by how many new clients I bring on while maintaining my current client base.
• Attainable : I will ask current clients for referrals, launch a social media marketing campaign and network with local businesses.
• Relevant : Adding additional clients to my business will allow me to grow my business and increase my revenue.
• Time-Based : I will have three new clients within two months.

I will acquire three new clients for my consulting business within two months by asking for referrals, launching a social media marketing campaign, and networking with local businesses. This will allow me to grow my business and increase my revenue.

Broad Goal Example: I Want to Write a Business Book

• Specific : I will write a book about social media that is a minimum of 150 pages.
• Measurable : I will write one chapter per month or three to five pages per week.
• Attainable : I will work on the manuscript first, and once that is completed, I will begin to search for a publisher or explore self-publishing.
• Relevant : Writing a book on social media will help me establish myself as an expert.
• Time-Based : My manuscript will be completed and ready to be published in 10 months.

In order to establish myself as an expert, I will write a 150-page book on social media by writing one chapter per month (or three to five pages per week). The book will be completed in 10 months, and then I will search for a publisher or explore self-publishing.

Broad Goal Example: I Want to Become a Well-Known Expert

• Specific : I will become a well-known expert on the topic of small-business accounting.
• Measurable : I will be successful if I am asked to speak publicly on the topic at least once a month, receive interview requests every week, and write one article per month for a top industry publication.
• Attainable : I will accomplish this by acquiring the services of a PR or publicity firm and launching a publicity campaign.
• Relevant : Establishing myself as a small business accounting expert will reinforce my 20+ years of experience in the field and allow me to reach more small-business owners who need accounting advice.
• Time-Based : I want to be considered a small business accounting expert in two years.

I will acquire the services of a PR or publicity firm and launch a publicity campaign that will help establish me as a well-known expert in small business accounting who is asked to speak publicly on the topic at least once a month, receives interview requests every week, and writes one article per month for a top industry publication. This will reinforce my 20-plus years of experience in the field and allow me to reach more small business owners who need accounting advice.

Indeed.com. " SMART Goals: Definition and Examples ." Accessed May 11, 2020.

Corporate Finance Institute. " SMART Goal ." Accessed May 11, 2020.

Why are SMART Goals Necessary In Business?

If you're in business, it goes without saying that you want to be a success. But what is the definition of success ? To decide that, you need to set yourself goals. But not just any goals. You need SMART goals.

Why should you use SMART goals?

It's not enough to declare that you want to increase your turnover or open two new branches. That's vague thinking. The truth is, the best goals in business are SMART goals.Clearly, SMART is an acronym. It stands for Specific, Measurable, Achievable, Relevant and Time-bound.

SMART goals are strategically designed to give any business project structure and support and to set out more clearly what you want to achieve – and by when.With SMART goals, you get to track your progress and stay motivated. Assessing your progress keeps you focused, helps you hit your deadlines, and creates a sense of excitement when you get nearer to hitting your targets. SMART goal-setting can also stop you feeling overwhelmed by the enormity of a project.Let's look more closely at each of those five elements.

What are SMART goals?

Firstly, let's clear up where the term began. SMART goals were born in 1981, when George T. Doran, a consultant for the Washington Water Power Company, published an article in the November issue of Management Review. "There's a SMART Way to Write Management's Goals and Objectives" introduces SMART goals as a way of setting out criteria that improve the odds of achieving a goal.

What do you truly want to accomplish? Specifically. You might have written mission statements before. Well, this is the mission statement for your goal. To help formulate some answers here, think about your goal in terms of the six Ws:

• Who will you involve to help achieve the goal? A question that is especially important if you're getting a team involved.
• When do you want to complete the objective? More about this under ‘T', but it's prudent to have a broad timeframe.
• What are you trying to achieve? Be precise and detailed.
• What obstacles stand in your path? Identifying potential hazards can help you determine if your goal is feasible. As an example, if you aim to open a copywriting business, but you've never written copy before, maybe adjust your goal to "Learn how to write copy so I can start a copywriting business."
• Where will this happen? Not always applicable to everyone but if you specifically need things to happen in Edinburgh or New York, say so here.
• Why are you doing this? What's the purpose of the goal? If you're self-employed, the answer will probably be to drive the business forward. But try to make this a more-specific objective. For example, ‘to take 22 percent market share off Competitor X'.

How will you measure progress against your goal? Making goals measurable ensures that they're more tangible and attainable. It gives you a way of evaluating progress. Will the project take a few weeks or more? Consider setting a few milestones along the way by thinking about what micro-tasks you or your team can complete at various points.

How important is the goal to you? How can you make it happen? Do you need to develop new skills or embrace new technology? It's key not to get discouraged. Goals are designed to motivate you, to get you out of bed each day determined to move one step closer.

So what do you need to do to achieve the goal? Can you get there within your current skill set? Think about what needs to change to get you there.

Relevance means focusing on your wider business goals. You might be launching a new product. So your goals should be in tune with the business' overall objectives. Your team might have a product that's ideal for the Chinese market, but if Far-East expansion isn't on the company's agenda, it's not a worthwhile goal.

You could say, "I'm going to increase productivity by 23 percent," which would be nice and specific. However, as a goal, it's useless without setting a specific timeframe in which you want things to happen. You'll put events off, you'll let things drift, and it won't seem to matter because you hadn't nailed anything down to a set timeframe.

Coming up with a realistic deliverable date is vital. You'll have to ask yourself precise questions about the timeframe you set and whether it's genuinely feasible. Work backwards and see if your various staging posts will work. Then add in a little wriggle room in case of unforeseen circumstances.If you decide your goal will take nine months to achieve, determine what you should have achieved by three months, or at the halfway point, or after six months. With time constraints in place, you'll have a sense of urgency.

How do you write SMART goals?

You should start by asking you and your team a bunch of questions, thereby defining your strategy. Hopefully, you'll end up with something that's attainable. Try to be realistic, but not too conservative. Writing SMART goals is a positive move – giving you something to strive for.

Don't be put off by this exercise. If you do it right, it should shed a lot of light on your business. Here, we've created two scenarios where you might write SMART goals. One's for a project, and the other is for boosting performance .

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SMART goals for completing a project

Remember what SMART stands for. Let's address each of those letters in the formula in turn.

• Specific : The company is highly reliant on Google Ads to drive traffic to the website. However, this is an area where we're underperforming. Keyword choice has been ineffective, and adverts have low click-through rates, with some being disabled by Google for poor performance. We need to improve the Google Ads performance by the end of Q3. We'll need to involve the digital-marketing department, our Google representative and our digital agency.
• Measurable : By the end of Q3, we want to improve CTR (click-through rate) on our Google Ads account from an overall 1.25 percent to 4 percent. We also need to improve conversions by 15 percent by creating specific landing pages with a clear call to action.
• Achievable : Everyone who's involved has committed the necessary hours to make this possible. Now we have to manage the project and create clear milestones that make sure everyone stays focused and on target.
• Relevant : Getting a higher return on investment in Google Ads and driving more inbound marketing is a crucial target for the business this year.
• Time-Bound : To improve the CTR to 4 percent by the end of Q3, an action plan will need to be in place by the end of Q2. We propose fortnightly meetings with all parties to drive these plans effectively. We'll also need to continue these meetings after the end of Q3 to review how we're doing against our target and make necessary adjustments.

SMART Goals for improving individual performance

• Specific : My latest performance review indicated that my presentation skills could be better. Since this is becoming an important aspect of my job – I have to present training courses as well as project updates to my team – it's vital that I improve in this area. I'd like to be 50 percent better at making presentations, as judged by my immediate supervisor, by the time of my next appraisal in October.
• Measurable : By my next appraisal, I'd like to be 50 percent more confident addressing an audience, as measured by my supervisor. I'd also like to be able to put together a multimedia PowerPoint presentation in under two hours. I also want to be confident in creating PowerPoint templates for my colleagues.
• Achievable : Improving my presentation skills will involve setting aside time to attend short courses, watching courses on YouTube and taking advice from my supervisor and colleagues. I will need to allow two hours a week for this process.
• Relevant : Presenting to an audience right now takes up around one hour a week. However, as I progress in my career, it's imperative to become more proficient as I'll need to do much more presenting – perhaps up to five hours a week, or sometimes a full day if delivering a training course.
• Time-Bound : By the end of October, I should be confident enough to be 50 percent more proficient in presenting to an audience, as judged by my supervisor, and able to create PowerPoint presentations quickly. We'll set progress-review dates at one-month intervals from now.

Having written your goals in the SMART format, you should then be able to combine them into one overarching SMART goal.

SMART Goal: Completing a project

• Description : Improving the firm's performance on Google Ads is a key target this year. We'll need to raise our overall click-through rate to 4 percent by the end of Q3 and improve conversions by 15 percent by creating bespoke landing pages with a clear call to action. We'll involve the digital-marketing department, our Google representative and our digital agency.
• Milestone : Put an action plan in place by the end of Q2 through fortnightly meetings.
• Deadline : End of Q3.

SMART Goal: Improving my performance

• Description : To advance my career, I have to improve my presentation skills by 50 percent and be able to put together a multimedia PowerPoint presentation in under two hours. By taking courses and advice from colleagues and my supervisor, this should be achievable.
• Milestone : Progress reviews once a month.
• Deadline : By my next appraisal in October.

When SMART goals become SMARTER goals

In business, goalposts can move. And so must goals. That's when you might have to create a SMARTER Goal . What does the E and R stand represent? Evaluate and Re-Do.

The theory is that you might need to evaluate your goals and reset them as circumstances dictate. Things change fast in business, so perhaps that goal you set a few months back is no longer relevant or needs to be tweaked.

One thing's for sure – whether it's SMART goals or SMARTER goals you put in place, you'll discover that being clear about precisely what you want to achieve and when you want to accomplish it by can be the difference between success and failure.

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How to Create a Strategic Plan With SMART Goals

• October 3, 2019

The key to growth in a manufacturing business is to set goals for the results you would like to see. A business cannot succeed unless everyone has a clear understanding of what they are working toward.

If you are hoping to accomplish LEAN Manufacturing , you will want to incorporate realistic and effective goals. At MANTEC, our experts can help your business develop SMART goals to improve your ROI. In management, achieving SMART goals can help drive results and productivity.

What is The SMART Business Model?

SMART strategic planning is a management process that helps facilities stay on track toward goal achievement. In other words, a SMART implementation plan involves setting objectives for workers, systems and production lines that would lead to benefits such as efficiency or waste reduction. The “SMART” acronym stands for specific, measurable, achievable, relevant and time-bound efforts. Using the SMART principles, facilities can start accomplishing their strategic planning goals.

1. Specific

The first stage of “SMART” goal planning is to focus your attention on what exactly you want to accomplish. Set goals that are specific and will elaborate on a general idea. If you say you want to “increase sales revenue,” rephrase your thought process to include how you will make it happen.

Using who, what, when, where and why questions will make your mission more specific to share with other employees. The following specific goal serves as an official game plan for a manufacturing business:

• I want to increase sales revenue by 30% this year by using the sales team to reach more clients.

2. Measurable

A goal that is measurable uses metrics to record progress. Never just assume that your efforts are working when you can provide tangible evidence of success. Decide what data you can track to better decide if your efforts are on schedule.

Manufacturing businesses can determine success by measuring data points, such as:

• Accuracy rates
• Revenue or income
• Customer satisfaction reports
• Turnaround times

3. Achievable

Goals must be achievable based on current skills, resources and knowledge. Achievable goals can still challenge your team, but it is important to set goals that are not destined for failure.

If you set a goal and it is hard to see how you will accomplish it, you probably need to re-evaluate this stage of the goal-setting process.

4. Relevant

SMART goal planning will consider the importance of the results you are after. Are your goals going to benefit the entire organization and align with its morals? Relevant objectives are worthwhile, beneficial and applicable.

5. Time-Bound

Choose an end-date for your business efforts. This portion of the SMART planning process should factor into each part of the “SMART” acronym. Timelines for completion enable you to create positive motivation for keeping improvements on schedule.

Deadlines might be different for each part of your manufacturing team. However, setting up periodic reviews across your timeline is great for making sure efforts are in line.

Get Your Free Process Improvement Guide

Setting Objectives in Manufacturing Strategic Planning

SMART goals are pivotal for the manufacturing industry as managers can encourage employees, get teams on the same page and see results. Begin necessary change by implementing goals for teams and see how employees adapt to your new organizational structure. LEAN Manufacturing is possible for your facility when you unite your entire company through a shared SMART goal.

Smart Planning Model Benefits

A well-communicated mission can provide your business with the following benefits:

• Waste reduction
• Increase in employee productivity
• Increase in sales revenue
• Less standing inventory

Contact MANTEC for Consulting Services

MANTEC wants to help manufacturing businesses increase their return on investments. We are the best resource center for manufacturing companies in South Central Pennsylvania. Our experts provide ongoing support for efforts behind pricing and customer satisfaction.

Give us a call or Contact MANTEC today for more information about our consulting and traditional services.

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Business aims and objectives - Eduqas Use of SMART objectives in business

All businesses create aims and objectives to give them goals or targets to achieve. Businesses have a range of stakeholders that are all impacted in some way by aims and objectives.

Part of Business Business activity

Use of SMART objectives in business

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Business objectives are often created using the SMART acronym. This makes objectives clear and easy to understand, whilst making sure they provide clear goals for a business.

The SMART acronym stands for:

• S – Specific. This means that objectives must be clear, for example it must state that a business needs to make more profit, reduce waste, reduce environmental impact, increase sales
• M – Measurable. A business must be able to measure whether they have met an objective. A business needs to specify an amount. For example, a business may want a £10,000 increase or a 25% decrease
• A – Agreed. Stakeholders in a business must agree about their objectives, this will give objectives a much better chance of succeeding
• R – Realistic. Objectives must be realistic for the size and scale of the business. For example, a small café wouldn’t have an objective to make £1 million profit
• T – Time-bound. Objectives must have a time limit, for example 6 months or 1 year

Examples of SMART objectives include:

• To make an additional 15% profit within the next 12 months
• To increase sales by £7500 each month for the next 6 months
• To reduce waste by 50% in the next 6 months
• To reduce staff turnover by 10% within the next 12 months

More guides on this topic

• The nature of business activity - Eduqas
• Providing goods and services - Eduqas
• Business enterprise - Eduqas
• Business planning - Eduqas
• Business ownership - Eduqas
• Business growth - Eduqas
• Business location and site - Eduqas

Related links

• Personalise your Bitesize!
• Jobs that use Business
• BBC News: Business
• BBC News: Financial Glossary
• UK Government: Businesses
• The Times 100
• Financial Times Subscription