Given your organisation has its Vision, it now needs a set of Strategic goals that will drive its activities, priorities and decisions towards making that vision a reality. It’s in the Goals you find out how serious the organisation is about creating a future that is more than just a larger set of financial numbers than it’s currently achieving.
- Strategic Goals don’t normally number more than 10.
- They will be clearly articulated, easily passing the ‘water cooler’ test of being understood by everybody.
- Although simply stated, they will have significant detail underneath with a clear plan of how they will be achieved, with milestones and accountabilities clearly labelled. Strategy is essentially the mechanism for delivering the Strategic Goals.
- Strategic Goals need to be masters (not servants) of, and integrated with, the current year’s business plans.
- They should be more than just about financial growth. Profit is an output of doing something, so making more profit is a function of doing different things. The most effective sets may cover such things as:
– What it is you are selling?
– How you intend to engage differently with customers?
– Expansion, where, how, when?
– Solo or by making new partnership or alliances?
– Organic or acquisition?
– How you intend to use and develop your people capital?
– Technology, a disruptive focus or just a condition of play?
– Intellectual property development?
– New markets and/or new segments?
– Challenging existing orthodoxies?
– New/emerging value chains?
– New costing models?
– New routes to market?
– Optimising or transforming – or both?
- Leadership is critical to the process of developing effective and mobilising Strategic Goals. Without a point of view about the future, linked to the vision of what your organisation isto become, your Strategic Goals will not drive anything.
- The best time frame is 4-7 years.
See Vision and Values for the other two components of an effective Purpose Framework.