Management Tools – S.M.A.R.T Concept (B)
What you need to do when setting an Objective? When the Objective target is too small, meaning non productive? When the Objective Target is too high, meaning demotivating?
Posted: Feb 2008
One of the tools during the process of Objective setting is the S.M.A.R.T concept. This concept is acronym for terms that represent business imperatives which need to be delivered, in order to set objectives that will bring result.
Specific - meaning the exact outcome to be achieved for the period.
Measurable - units of accuracy, timeliness, completeness, quality, quantity rate or cost used to determine progress and achievement.
Attainable - so that the objective can be achieved (but stretching) within the scope of the role, skills and capabilities with appropriate effort and motivation.
Relevant - so that the objective states the individual’s share of the work to be done for the department.
Time-framed - so that the objective has a realistic time frame for completion.
The Objective setting tool can be based on this or similar example:
S.M.A.R.T. Objective can be defined like the following Sales Presentation of Salesmen to the Customer ( Outlet Owner ):
"I am sure that you can increase your sales of Chips by 20% in the next month, that will bring you extra 150 €, if you place Chips Display next to Beverage section".
It is important to remember that objectives should neither be “out of reach” nor too easy to achieve. At same time objectives should address expected achievements and performance.