Setting Good Business Goals With Examples
When it’s time to move your company forward, you may need some good examples of business goals.
Thus, I have compiled this comprehensive business goals examples list. So you can choose from some of the best options.
Whether your objectives include strategic planning, growth, or profitability. We have these areas covered. And much more.
So, let’s dive into some top business goals examples to set now…
Examples Of Business Goals
Here are the business goals we are covering today:
- Define your value proposition
- Improve your company and brand reputation
- Develop a business plan
- Improve product or service quality
- Achieve higher on-time delivery
- Increase customer satisfaction
- Improve customer retention
- Increase sales volumes
- Optimize product and service pricing
- Increase market share
- Develop new customers
- Expand into a new geographic market
- Market through a new channel
- Penetrate a new demographic
- Develop new products or services
- Implement an employee development program
- Increase employee satisfaction
- Decrease expenses
- Implement productivity improvements
- Migrate to a new technology platform
- Improve profit margins
- Increase absolute profits
- Make investments for the future
- Acquire a competitor
- Forecast cash flows
- Develop a cash plan
- Put financing sources in place
- Earn a clean audit report
- Increase shareholder value
Disclosure: At no cost to you, I may get commissions for purchases made through links in this post.
A little later, we will review each of these examples of business goals in more detail.
But first, let’s cover some important background information…
What Are Business Goals?
First of all, a goal is an end or an outcome you desire to achieve. Thus, goals require a vision of a future state, a plan, and a commitment to make that vision a reality.
Furthermore, goals can apply to every aspect of our lives. However, today we are focusing on your business, your company, or where you work.
Finally, business goals serve to support a company’s overall business objectives. And they are achieved through detailed steps or actions that must be accomplished in support of each goal.
The Importance Of Business Goals
Every business has limited resources. So, it’s important to focus those resources on the most critical activities.
That’s where goal setting comes into play.
Because by successfully setting and achieving goals. You focus your employee’s work on the right activities. That supports the company’s overall objectives.
In other words, goals help to align resources up, down, and across the organization.
Types Of Business Goals
There are three types of business goals. And they are differentiated by the time frame necessary to complete them.
First, we have short-term business goals. They are to be accomplished in no more than 1 year.
Second, there are medium-term business goals. From start to finish, they should be completed in more than one year. But, less than 5.
Finally, consider long-term business goals. For the big things that need to be accomplished more than 5 years out.
How To Set Business Goals
I suggest the SMART goal-setting system. It’s just a phrase that stands for the following attributes that each of your business goals should possess.
Specific. Make your goals as specific as possible. To do so, outline in writing exactly what you expect to achieve.
Measurable. Determine how you will measure success. This will help in monitoring progress. Also, define when a goal has been accomplished.
Achievable. Don’t waste time setting goals you have no chance of achieving.
Realistic. Ensure your goals are realistic.
For example, becoming a billion-dollar company may be achievable. After all, other companies have done it. But, it may not be realistic if your target market isn’t that big.
Time-bound. Every goal you set should have a firm date for when it is to be accomplished. This builds commitment and a sense of urgency.
Next, let’s review each of the 28 business goals examples I highlighted at the beginning of the article one by one…
28 Examples Of Business Goals Explained And Discussed
We will start with higher-level strategic business goals. Then move to more tactical business goals as we progress.
Keep in mind that these are appropriate goals for a small business. And larger businesses too.
Define Your Value Proposition
Your value proposition is what you want to deliver to your customer. It may be a product or service.
And it should target a specific quality level. For example, good quality, better quality, or best quality.
With the product or service, and quality defined. You are positioned to target the right customers. And tell them exactly what you are going to deliver for them.
Improve Your Company And Brand Reputation
Whether you sell branded products, or not. Every company has a brand reputation. It is also called a brand image.
And your reputation makes a big impression. With customers, suppliers, employees, and other stakeholders.
So, set out to protect and improve your company’s brand reputation. It’s critical for achieving future business objectives.
Develop A Business Plan
The best businesses have a plan. Since planning requires business owners to detail how they are going to build a successful business.
At a minimum, a business plan outlines:
- Products and services to be sold
- Marketing strategy
- Sales plan
- Operations plan
- Organization structure
- Financial forecast
The plan details where the business is at today. And what it will be in the future. Then make sure all of your business goals support the plan.
Finally, developing a business plan is one of the best short-term business goals a company can set. And achieve.
The next objective in our list of business goals focuses on existing customers.
Improve Product Or Service Quality
Nothing will harm a business more quickly than poor-quality products and services. So, set a business goal to ensure your products and services meet your customer’s expectations.
Because if your value proposition states you are delivering the “best quality” product. Then it must meet that standard.
Achieve Higher On-Time Delivery
The second thing that will kill a business is this. Not delivering on time.
Your business should solve your customer’s problems. And fill a need that they have.
So, say what you are going to deliver and when. Then do it on time!
Increase Customer Satisfaction
Your business has nothing. If it doesn’t have satisfied customers.
And delivering the appropriate quality. At the agreed-upon time. Will go a long way to achieving high customer satisfaction.
But there may be more you can do. So, ask your customers about their satisfaction level. And see how you can improve upon what they have to say.
Improve Customer Retention
Meet your quality standards. Deliver on time. Ensure your customers are satisfied.
What will this lead to? A high customer retention rate.
And retaining customers is critical to success. Because it is much easier to sell more to existing customers. Versus finding new ones.
Higher customer retention is one of the best non-financial business goals you can set for your company. And I think these types of business goals are very important.
With current customers well taken care of. The next business objective is growth.
And that’s what the following grouping in this list of business goals covers…
Increase Sales Volumes
Whatever it is you sell. Set a business goal to sell more of it.
Just make sure of this one thing. That what you are selling is profitable.
If it is not. Then here’s another one of our top business goals you should consider…
Optimize Product And Service Pricing
Assess your prices against the competition. And make sure of two things.
First, set your pricing per your quality standards. Second, increase prices to what your market will allow.
Because there is little sense in underpricing your product. Unless you have high fixed costs for excess capacity. That you need to fill.
Increase Market Share
Another one of the top medium-term business goals is to penetrate your target markets more deeply.
Regardless of how you define your market. The market indicates the revenue opportunity for your business. Given all of the markets you serve.
Proper pricing, besting competitors, and advertising are several ways to increase market share.
Develop New Customers
Another example of a good business goal is new customer development. Since it is inevitable you will lose some of your existing customers. Hopefully, at no fault of your own.
Thus, it is always a good idea to target new customers. And bring them into the fold.
So, tie new customer prospecting. Directly into the goals of the people responsible for sales at your company.
Expand Into A New Geographic Market
Another excellent way to grow is by targeting a new geographic market.
It can be as simple as expanding to a nearby town. Or, a neighboring state.
But, make sure you give this some thought. Because it’s a lot more difficult to manage your operation when it is physically farther away.
Market Through A New Channel
Make a list of all the possible channels through which you can market your product. This will be different for every business.
From online channels, distributors, retail stores, wholesalers, and more. Then consider expanding into one or more of the channels that you do not utilize.
Penetrate A New Demographic
Take a hard look at your marketing plan. And your current customer base.
Who are your customers? And why do they like your product?
Is it possible you could have success with a different demographic? Or, customer profile?
I don’t know. You have to decide.
Develop A New Product Or Service
Innovation is critical in today’s business world. Because by staying the same, your business will fall behind.
Look at your current products. Can they be improved? Or, modified to serve a different purpose?
Are there related products that you do not have today? That could make for a more robust and complementary product and service offering. Across your entire company.
Okay. That covers a possible list of business growth goals. Next in our list of business goals, let’s turn our attention to your operation.
Implement An Employee Development Program
Whether you are a one-person show. Or, have hundreds of employees.
Training and career development for staff is a critical goal every business should have.
After all, everything starts with people. And the people who work for your business are one of your most important resources.
So, make a business goal to set up an employee and management development program.
Increase Employee Satisfaction
Satisfied employees are good employees. Good employees are productive employees.
And they are the engine that drives your business forward. So, look for ways to increase employee satisfaction.
Striving to have better and happier employees. Is one of the best ideas for business goals.
Decrease Expenses
Have your finance department do this: run a list of business expenses for the last several months. And go through them with a fine-tooth comb.
First of all, look for expenses that can be eliminated. Then, identify expenses that can be reduced.
Implement Productivity Improvements
A productive business is a good business. Thus, identify the best business goals where you can be better at what you do. And faster at what you do. Or, both.
I think of productivity like this…
Being better means doing more with fewer resources. In other words, doing more with less.
On the other hand, being faster means getting the most out of the resources that are already in place. To put it a different way, do more with the resources that are in place.
Finally, don’t forget about outsourcing non-core processes to increase productivity. And accounting and financial management is a great place to start.
These are all great ways to become more cost competitive.
Migrate To A New Technology Platform
These days, the use of technology is like oil in a car engine. Because you won’t get far without it.
If you are running your business without an information system. Or, your current information system is outdated.
Then it’s one of the best ideas for business goals. To upgrade your technology platform. Sometimes it is referred to as an enterprise system.
Improve Profit Margins
For every dollar, your business sells, the profit margin is what is left over after paying all expenses. Including income taxes.
By increasing prices, absorbing excess capacity with higher volumes, reducing costs, or paying less in taxes. Your business’s profit margin will increase.
And higher profit margins are almost always better than the alternative.
Increase Profits
And while higher profit margins may lead to higher profit dollars. They may not. Especially if the business is contracting.
So, combine better margins with stable sales volumes. Or, better yet. Higher sales volumes. And watch the absolute profits of your business increase.
Make Investments For The Future
Next, look to identify business goals associated with making smart investments. Those investments can make your business bigger and better. Because oftentimes it takes money to make money.
Making good business investments can include land, buildings, equipment, vehicles, hardware, and software just to name a few ideas.
Just make sure your investments will bring a good return on the money spent.
Acquire A Business
Sometimes the quickest path to business success is through an acquisition. Be it a competitor. Or, a non-competitive company that has offerings your business does not.
It’s the classic buy it, or build it dilemma. Buying businesses can achieve faster results. But, it is not without its pitfalls.
So, carefully think about it. You have to decide which route is best for your company to achieve its goals.
Our next group of business objectives falls on the topic of company financial goals. And it is the last grouping in today’s list of business goals examples.
Forecast Cash Flows
Every company should forecast cash flows. Since, along with employees, cash may be the most important resource for most companies.
Thus, you have to be certain your business has enough cash resources today. And will have enough in the future.
Furthermore, knowing how to forecast cash is fairly easy. So, start this important business process right away.
Develop A Cash Plan
And if your business is fortunate to generate excess cash. Your business bank account and cash flow forecast will tell you that.
So make a plan for any excess cash. Being able to do so is one of the many benefits of cash forecasting.
Then you can use this important resource productively. And not let cash sit idly in the bank.
Some ideas for using excess cash include paying off debt, making business investments, or rewarding owners with dividends.
Put Financing Sources In Place
On the other hand, your business may not be generating enough cash to support itself. Once again your cash flow forecast will give you an early warning if this is the case.
Then it’s critical to make arrangements for external financing. In advance of when your business needs the money.
Earn A Clean Audit Report
Whether you have external audits, internal audits, or both, earn a clean and issue-free report every year.
Set goals with your internal audit team for continuous improvement. Use them as an independent set of eyes on your operation.
Keep your external auditors happy by having sound internal controls over financial reporting.
Increase Shareholder Value
Finally, I’ve saved one of the best examples of good business goals for last. Because in one way or another every business activity should strive to make your business more valuable.
As a small business owner, it may be the largest asset you possess. So, make one of your long-term company goals to increase the value of your business.
Okay. Those are all of the examples of business goals that I can come up with for now. Let’s close with a summary…
Examples Of Business Goals – Summary
Start planning your business goals today.
Make SMART business goals. And stay focused. So, choose 3-5 goals from today’s list.
Achieve those goals. Then come back and select a few more.
Here’s a summary of the company goals examples we covered today:
- Define your value proposition
- Improve your company and brand reputation
- Develop a business plan
- Improve product or service quality
- Achieve higher on-time delivery
- Increase customer satisfaction
- Improve customer retention
- Increase sales volumes
- Optimize product and service pricing
- Increase market share
- Develop new customers
- Expand into a new geographic market
- Market through a new channel
- Penetrate a new demographic
- Develop new products or services
- Implement an employee development program
- Increase employee satisfaction
- Decrease expenses
- Implement productivity improvements
- Migrate to a new technology platform
- Improve profit margins
- Increase absolute profits
- Make investments for the future
- Acquire a competitor
- Forecast cash flows
- Develop a cash plan
- Put financing sources in place
- Increase shareholder value
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Author Bio: Tom Scott founded the consulting and coaching firm Dividends Diversify, LLC. He leverages his expertise and decades of experience in goal setting, relocation assistance, and investing for long-term wealth to help clients reach their full potential.