Abstract
A company that intends on thriving will have to operate purposefully. Strategic business objectives are specific goals that are measurable and attainable, which is essential for the business to be effectively managed. The leadership and management departments play a direct role in setting strategic business objectives and setting a company’s direction. In this study are presented five examples of overarching programs and goals. The targets you have for your company are what you intend to do when you operate it. As an entrepreneur, you are concentrated on each of the business facets and must have clear goals in mind to keep your business on track.
Definition Strategic goals are dreams of the potential for the organization that has quantifiable outcomes. This means that obtaining the goal must be something you can quantify and track, either with increased numbers, financial achievements, or improved productivity rates. There are many different types of examples you might want to use in developing your aims and outcomes. What goals you choose to operate on will depend on how you use your time.
Keywords: strategic objectives; strategic goals; strategic business; financial objectives; customer objectives
Introduction
The main aim of the business is to meet the economic needs of people to establish harmony. Although whether this aim is debatable remains ambiguous. The disciplines find that business and professional goals differ. Numerous studies have been conducted on sustainable business and their social responsibility concerning the environment and society.
Financial Objectives
Financial objectives and strategies are usually published as ‘financial expectations.’ When creating your financial objectives, be sure to decide what you want to achieve financially in the time frame of your overall strategic plan. Examples of visionary strategic goals for this perspective include:
- Grow shareholder value
Your organization’s top priority should be serving the interests of your shareholders, stakeholders, and owners. Worth may be described in many ways, so this does need to be explicitly specified.
- Increase revenue
Revenue is a positive indicator of organization wellbeing, so rising revenue is a sign of profitable business. You can make this more specific by identifying how much revenue is generated from your organization’s key area.
- Market share
Market share reflects the amount of the overall market that the organization manages. The industry in which a corporation works, for example, the junk food industry. A goal for market share might be, “To have 5% of the fast-food market in a 100-mile radius within the first 12 months.”
- Ensure financial sustainability
If your business is developing or suffers from an uncertain economy, you need to ensure your financial stability. Cost-saving may be enforced, but it must be appropriately achieved for the company.
Customer Objectives
When reviewing a company’s consumer priorities, you can find that they are written like targets. Â In some cases, testimonials are written in the form of a statement or a question that the customer would use to express their satisfaction with your product or service.
- Reliable products/services
If your company has a reputation for consistently delivering its product or service, so this goal will be a good match for your organization.
This indicates the reliability of an airline or a printer that is capable of producing high-quality output regularly.
- Best value for the cost
This demonstrates that the buyers realize that they are not ordering the most costly item or service, but they have the best price.
This means that your customers are getting more value from their purchase than they would at other retailers.
- Increase share of the market
This approach focuses on growing consumer purchases, thus increasing the total demand as well.
For example, if your institution is a scenery company, you attempt to appeal to more household members. Alternatively, if your organization is a hospital, you will recruit more members into their community.
- Broad product offering
The goal must produce the best commodity in its class that is currently available, regardless of price. The hotel industry reflects the strategies of these complexes, such as the Four Seasons and the Ritz-Carlton.
- Partner with customers to provide solutions
This campaign approach represents consumer intimacy. You may focus on delivering system solutions as part of your strategy and have your actions in specific markets with your organization in research & innovation. Partnering often has a high cost but tends to foster customer loyalty and satisfaction.
Internal Objectives
The internal focus is on methods that your organization must retain or improve.
Based on Michael Treacy and Fred Wiersema—who have written extensively on the identified strategy processes can be classified into three generic areas: innovation, customer intimacy, and operational excellence.
- INNOVATION
- Differentiate the product
Your company can use this goal if you want to prove that you are attentive to the client’s needs. Now, you are asking yourself.
A new division to generate appropriate services or features around the product or service.
- Improve or focus research and development (R&D)
The goal seeks to emphasize innovation. If you have multiple product lines, you’ll want to focus your research and innovation on one of them as a means of achieving a specific goal.
1. CUSTOMER SERVICE
- Improve customer service
If you are concerned with customer support, you might want to concentrate on how it might be changed. Your organization’s biggest problem is likely in a specific area, so this objective should focus on that specific call center, volatile support, or other service function that you provide.
- Develop and use a customer database
This is a specific objective focused on implementing a large project like a customer relationship management (CRM) system that could take years to implement.
2. OPERATIONAL EXCELLENCE
- Invest in Total Quality Management
Total Quality Management (TQM) reflects a process around quality improvement, which can mean doing things more efficiently or effectively. This objective is used in organizations that have implemented (or are implementing) TQM.
- Capitalize on physical facilities
At department shops, this might involve choosing a suitable place for the shop. Often, the term can refer to finding resources and interact and either using them or selling/leasing them to others.
Learning & Growth (L&G) Objectives
Learning and growth objectives focus on skills, culture, and organizational capacity.
- Improve productivity with cross-functional teams
Large companies frequently see synergy from working together but often wish to drive employees to assist with this. A banking entity with multiple products or a multinational business with multiple business lines may have this aim.
- Create a performance-focused culture
This criterion can be used if you want to set goals and incentives for your group to pursue. This objective frequently appears in public and social sector organizations.
- Improve technical and analytical skills
Through the ever-increasing usage of machines and technological advances, this is a general goal for many organizations. Technical skills are specifically needed and a more specific definition may be included in objective statements.
- Attract and retain the best people
This is an appropriate goal to remember for most organizations that have not yet begun to utilize the Balanced Scorecard.
Undoubtedly, you will need to determine whom you will hire, how many will be hired, and a plan for retaining them once hired. You can then specify those challenges to a more detailed objective.
Conclusion
Focusing on existing customers can ignore future emerging opportunities in other markets and risks taken to leverage them. The narrow focus on information from customers may lead to ignoring other sources of information. Taking lessons from other industries, universities and government research centers can provide insight into new products and services. The mission statement must be accompanied by an employee-centered organization with employees empowered to implement it.
