In order to create the planning of a viable business, it is essential to set goals in the most correct way possible.
They serve as a compass for company employees, allowing everyone to move in alignment towards the established objectives.
The goals directly contribute to enabling a company to maintain its competitiveness in the market, make better forecasts about possible scenarios, and optimize its results.
That is why it is important to develop intelligent and strategic goals. To do so, there is the SMART methodology, a tool that helps managers to consider the necessary variables.
In this post, we present what is the SMART methodology, and how you can use it to boost the performance of your business. Enjoy your reading!
What is the SMART methodology?
It is a simple tool used to create goals, by which it is possible to check if each of them takes into account 5 (five) main characteristics:
- S – Specific
- M – Measurable
- A – Achievable
- R – Relevant
- T – Time-Based
Each of these words – which form the acronym SMART – represents one step in the methodology, and they are all essential to the success of the strategy.
The first characteristic of a goal is specificity. It should be very clear and objective, so that it can be understood by all employees, from the simplest worker to the top management.
This avoids misinterpretations; therefore, the goal must answer questions such as: what, how, where it should be done and who should do it.
The second characteristic of the SMART methodology is measurability. This means that every goal must have an indicator (values, percentages, etc.) by which its evolution will be verified.
A measurable goal is the only way to prove and guarantee the performance of the work carried out. It can also be easily followed up and generates more efficient reports.
The third characteristic determines that every goal must be achievable by the work team; otherwise it is quite likely that they will be discouraged from pursuing the results desired by the organization.
When setting goals, the incompatibility with real possibilities is a big mistake. In order to set an achievable goal, it is imperative that it be doable and developed based on company history.
Every goal must be in accordance with the strategic planning of the company, that is, it must be truly relevant for the development and growth of the business, as well as for the achievement of its objectives.
A relevant goal is one that, in a perceptible way, will directly impact the business, motivating the team to achieve it.
As such, it is important to create challenging goals for the work team.
The last characteristic of the SMART methodology is time-related. This means that every goal must have a deadline set to achieve it.
It is vital to understand that a goal without a deadline will never be concluded. Ideally, they should be brief – biweekly or monthly – so they do not fall into oblivion or are postponed.
The SMART methodology is a tool that has helped many managers to achieve surprising results in companies in a wide range of industries.