5 keys to setting business development goals and objectives
Your company needs to set business goals and objectives. They help create a plan to manage risks, get employees on board, improve teamwork, and carry out strategies. Besides, they let you measure how well your business is doing.
However, meeting goals can be challenging. A study by the Economist found that 90% of top executives from large companies said they did not reach all their strategy goals because of implementation issues. That’s why it is crucial to understand what can be done when setting company goals to develop strategies well.
To help you set realistic targets for your business, this article briefly overviews the five keys to setting business development goals and objectives and essential considerations.
What are business objectives and goals?
Business goals and objectives help guide a company’s progress. Objectives are the specific steps a company plans to take to achieve its goals. Business goals describe where a company wants to be in the future.
Objectives focus on addressing a company’s strengths, weaknesses, and opportunities. They usually stay the same until the business changes. On the other hand, Goals may shift over time as the business and strategy evolve.
There are different types of strategic goals. Some push companies outside their comfort zone, but they can be important to implement. For example, stretch goals encourage teams to think beyond past successes and motivate them to continuously improve.
However, it’s important to avoid unrealistic goals that can’t be achieved. Goals should be bold but also responsible. A balanced approach considers what is possible given a company’s resources and capabilities.
The benefits of setting business development objectives
Setting objectives provides direction. Well-defined objectives establish a roadmap for the company to follow toward its goals. Setting and pursuing specific steps through business goals can:
- Help shape culture. The objectives should reflect the type of culture the business wants to foster. They then guide employees to develop that culture.
- Support hiring. With clear objectives, a company can find candidates with the right skills and experience to achieve those objectives.
- Encourage collaboration. Employees work better as a team when everyone understands the objectives they are working to meet.
- Facilitate leadership. Clearly defined objectives allow leaders to get the resources needed to guide the business.
- Enable accountability. Tracking objectives shows where progress is being made and where issues may need to be addressed.
- Boost productivity. Objectives make processes and employees as effective as possible. Meeting objectives drives overall productivity gains.
Five key elements for setting business development goals and objectives
Careful planning is needed when setting objectives. Objectives should be considered at all levels of the business, whether it’s a large international company or a small start-up. Here are five key elements to consider when shaping objectives and goals.
Establish clear goals
You need to know the end target before determining how to get there. Tools like SWOT (Strengths, weaknesses, opportunities, and threats) and SMART (Specific, measurable, achievable, realistic, and timebound) frameworks can help identify concrete, specific, and realistic goals. Examples may include:
- Increase annual revenue by 20% over two years
- Lower production expenses by 8% within one year
- Offer health care benefits to all employees by the next fiscal year
- Hire eight additional design staff this year
- Gain 75,000 Instagram followers before a new product release
- Complete a full brand refresh ahead of a partnership announcement
Defining goals provides the finish line. From there, objectives to help achieve each goal can be identified. Being focused yet flexible will help goals remain an effective guide.
Know where to start
Establishing objectives requires understanding the current situation. Like a manager evaluating players, gather pertinent statistics from the get-go.
For example, if a goal centers on increasing website conversions, examine conversion rates over time. Related factors such as traffic volume, click-through rates, time spent on pages, and bounce rates should also be analyzed.
Reviewing baseline metrics provides context on performance to date. It allows you to assess how objectives can properly move key areas forward.
Baseline data may also help refine goals if needed. An aim to double conversions in six months may prove unrealistic based on past numbers. Baselines ensure goals strike the right balance of ambition and attainability.
Gather perspectives from across the organization
It’s important to seek contributions from employees at all levels who are impacted. For example, consider perspectives beyond upper management if you aim to reduce overhead costs. Also, hear from production, sales, customer service, and other teams.
Their on-the-ground expertise provides practical insights you may not see from above. For instance, a sales representative could warn that cutting material quality risks losing customers.
Listening to varied viewpoints can uncover unforeseen consequences or better alternatives. For example, replacing machines upfront may cut costs more significantly over the long run.
Objectives benefit from diverse problem-solving. Involving stakeholders helps balance priorities like savings versus brand reputation. It also builds buy-in as teams feel their perspectives shaped the objectives. Ensure everyone who can inform the process has an opportunity to contribute.
Set metrics for objective evaluation
Objectives require metrics to determine success or failure over time. Key performance indicators (KPIs) are used to introduce quantifiable assessments.
For instance, don’t just aim to “increase website traffic.” Rather, state the goal as a “15% rise in monthly users”.
Other examples could be:
- Percentage increase/decrease targets (e.g., 15% more sales)
- Numerical goals (like reaching 10,000 email subscribers)
- Range results (landing 5-10 new clients)
- Concretely defined changes (launching a revised website)
- Action items with timing (releasing monthly newsletters)
Objectives stating vague aims like “improving operations” won’t work. The outcomes must be provable through measurable data over time.
Regular reviews check progress against KPIs. Metrics show whether objectives are effective or require adjustment. They also demonstrate accountability for completing objectives on schedule.
Develop a schedule for objective completion
By this point, goals, baselines, metrics, and objectives have been identified. Now, you need to create a plan to execute it all. The roadmap should list objectives, action items, teams involved, and a timeline for key milestones. For example, for an objective to improve lead conversion by 10%:
- May 15 – Start recording daily team processes
- June 1 – Enroll selected staff in time management training
- June 15 – Adopt a new CRM system to streamline workflows
- July 15 – Review time logs. The goal is to reduce the time per lead by 3%
- August 1 – Implement automated lead assignment
- September 1 – Check metrics against the goal of 7% higher conversion
Conclusion
Setting clear business development goals and objectives drives growth and success. By following the five key elements outlined in this article, businesses can effectively establish, measure, and achieve their targets.
To get personalized guidance, consider partnering with WinHub, a leading consultancy firm. WinHub’s experts can work closely with your organization to develop a comprehensive goal-setting strategy customized to your unique needs and industry standards.