• Successful Business Goals

    There are loads of ways to work out if your goal or outcome is well formed, the SMART acronym is a good place to start, and I use a 13 point system to define a well formed goal or outcome.

    I don’t want to go through the whole 13 point list here, but I do want to highlight the first point, and that is what specifically do you want? And  I mean SPECIFICALLY!

    Let’s look at some typical examples of what people might often say as their goal.

    I want increased turnover

    Increased by how much? And is turnover the thing to measure anyway? If I buy a Bugati Veyron for £1m and sell it for £1m I have turnover of £1m but no profit, which is no good to anyone…

    I want increased profit

    Here are a few questions to ask:

    1. Increased by how much?
    2. Before or after tax?
    3. Before or after owners drawings?
    4. Before or after interest payments?
    5. How much of it is passive income, if any?

    I want a new house

    1. Where will it be, specifically?
    2. How big?
    3. How many rooms?
    4. How much land?
    5. What is the debt/equity ratio?
    6. What will it look like, specifically

    A goal could even have all of these in it, however the more we add, the more specific we need to be. If we are specific and have thought our goal through it is easier for our minds to focus on achieving it.

    So, how specific is your goal?

     

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