Most companies are measured on some standard metrics like their revenue, number of customers, or satisfaction ratings. It may be easy to associate your goals with those key performance indicators (KPIs), but at Amazing Workplace, we encourage you to think about the bigger picture when you look at how to set company goals for the new year.
Step 1: Set Goals that Employees Understand
If your goal is to increase revenue by 20%, it’s a good goal because it’s easy to understand and measure. But a broad goal like that also has disadvantages; for example:
- Many employees won’t know what they personally can do to increase the company’s revenue
- Employees may also feel overwhelmed with an intangible goal, especially if they’re not in the sales department
Ask yourself: are there ways you can focus some goals on the process? Process-oriented goals may be more attainable and more under the immediate control of every single employee. Orienting employees to goals that focus on operations, including those around communication, production, and reporting, can be vital aids in achieving primary KPI goals.
Step 2: Know Where You’re Starting
Before you set goals, it’s essential to know your baseline. Yes, you can make progress without understanding your baseline, but you’ll never be able to measure the progress accurately. Making improvements relies on knowing which of your efforts were effective so you can replicate and optimize them, setting yourself up for success.
Measuring your employee happiness baseline is the best place to start. Employees’ happiness levels can affect your business’s reputation and your ability to hire/retain the best talent. However, it’s not easy to understand where you stand with a metric like employee happiness; this is where it often pays to bring in an expert. If you’re going to spend time and money on achieving your goals, you’ll want to ensure you’re set up for success.
Step 3: Include Short and Long-Term Objectives
When you’re looking at how to set company goals for the new year, it’s important to give your employees and leaders both short-term and long-term goals:
- Short-term goals are an excellent way to help people focus, build systems they can test, and ensure you’re heading in the right direction.
- Long-term goals give the essential big picture and help team members feel connected to the company's objectives.
Step 4: Ensure All Goals Have Measurable Outcomes
We always hear about SMART goals: specific, measurable, attainable, realistic, and time-based. This acronym has graced many articles, courses, and management strategies because it is truly meaningful. Your company and team members need to know what they’re aiming for and be able to see progress. Is there any point in setting a goal if you can’t work towards meaningful and measurable progress? Use this easy acronym to make sure you’re structuring your goals well.
Amazing Workplace Can Help You Set Your Company Goals
If improving employee happiness and satisfaction is one of your company goals for the new year, reach out to us. Let us show you how we can optimize your efforts and set you up for success. Contact us today!