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Most Crucial Mistake Entrepreneurs Make When Setting Business Goals

The idea of settings goals in order to be successful at work or at a personal level has persisted for so long, we often forget why it’s actually useless on its own. Sure, deciding where you want your business to be in five years is a sound idea. But there’s another important aspect that’s crucial in order to fulfill these ambitions, something people do not pay much attention to.

We’re not speaking about a brand new concept, but about a viewpoint that’s not discussed enough when you hear pep talks about how to be successful at business — technique and evaluation. That’s right; there’s so much focus on achieving goals such as meeting monthly sale quotas or creating a certain brand image, a lot of entrepreneurs and companies forget about emphasizing on how to achieve them, and how to evaluate whether their method works or not.

Setting a goal without not figuring out the exact method you will use to achieve it is one of the most critical mistakes you will ever make when it comes to business or life, in general. But picking a goal such as selling more products per month is achievable and not detrimental to my company’s interests, you might say. It actually is if you merely stress on higher sales. This could lead to some employees using any means necessary to achieve this end, even when their methods do not align with your company’s ethics, whatever they may be. It could damage your brand value in the long run.

Business data driven decision-making

business data analytics When, where and how you set in motion plans that will work towards your goal is more important than simply picking a goal and trying to meet it. Any decent enterprise software development company can offer solutions that will help your gather the relevant business data in order to aid in the decision-making process. Actionable insights organizations can collect based on data from customers, employees as well as industry-wide trends and practices help them grow and become profitable.

Hyper-connectivity and the Internet allow businesses to gather more up-to-date data on their customers and competitors than ever before. It is important to think about data quality early on, ensure the entire organization is using the same enterprise tools as much as possible in order to effectively unite data from various sources, and embrace emerging tech such as AI and machine learning. Otherwise, companies run the risk of uselessly sitting on ever-growing piles of data that cannot be analyzed and put to work effectually.

But placing facts before decision makers doesn’t mean they’ll come up with the perfect plan since we are hobbled by our internal biases, whether we want to accept it or not.

Follow these best decision-making practices

business checklist So how should you go about making decisions that will lead to achieving your business’ goal? Follow the best decision-making practices instead of announcing a lofty ambition for the future without a concrete plan on how to execute it. Most importantly, take down notes on everything related to this project so that you can evaluate how and which decisions were most successful over time.

As this checklist of the most successful approach points out, note down which existing company goals will be impacted by the new decision, choose some alternative tactics to tackle your latest objective, figure out what business data is missing, outline the expected outcome one year down the line, record everything and follow-up on the effects of the decision after a suitable period. Also, remember that too many cooks spoil the broth.

Encourage commitment by recording everything

guidelines Recording everything that everyone says including their suggestions and objections provides a way to measure the results of a decision and also forces the people involved to commit to the decision. Even after categorizing decision types optimally into big-bet, cross-cutting and delegating decisions, seeking commitment from everyone instead of unanimous agreement is important to achieve the goal your company is trying to meet.

Wrapping up, remember that setting a goal is not as useful as deciding on the methods you intend to utilize in order to fulfill it. Creating some flexible guidelines to help meet the objective lets employees know how to go about achieving this target in an unambiguous manner. So the next time you announce a goal at the team conference, don’t leave out the most important part which tells them how to ensure it is met.