What can’t your business survive without? Perhaps your products, your knowledge or your staff? Perhaps the cash you need to buy stock and operational cost? Your professional network or technology? What about business objectives?
The likelihood is business objectives weren’t the first thing that came to your mind. However, objectives are the cornerstone of our businesses.
In fact, we would go as far as saying:
“Without clear business objectives, your business is destined to fail.”
It’s a strong statement to make. In this article, we cover exactly why business objectives are not only paramount to sustainability but also why they the key to business growth.
Quick decision making
All business leaders will know that growth can only be achieved when there are systems in place to quickly make decisions. Without these systems, unresolved decisions can stall the flow of business and ultimately lead to a loss of profit.
Setting clear business objectives acts as a mechanism for making all decisions considerably easier. As you grow, more opportunities will appear for your business and therefore the need to make decisions between multiple opportunities occur more often.
For those with clear and concise business objectives, simply asking the questions:
“Which opportunity will help us achieve our business objectives in the quickest and most cost effective way”
Although this won’t necessarily let you answer every dilemma instantly, it will let you discount most options instantly, ultimately saving you a huge amount of time.
Create a strategic map
Without objectives, businesses cannot be strategic in their approach. Instead, they become tactical, focusing on day to day operations and tackling challenges as they occur.
Although there is nothing necessarily wrong with this, this approach does not allow for efficient and planned growth. When businesses set their objectives it allows them to create step by step roadmaps on how they plan to achieve those objectives. When these plans are followed if facilitates the continued positive growth of the business over time.
This effect can also be cascaded throughout the organisation. Overarching business objectives can then be fed down into other objectives such as marketing, sales and financial objectives which all contribute to achieving the bigger picture.
Business objectives = less wastage
One major benefits of using business objectives in order to create a strategic roadmap is the fact that it limits wastage.
A business without a roadmap may waste a considerable amount of time, money and energy in pursuing various routes which ultimately lead to nowhere or are cut off before seen through fully.
On the flip side, a business with a roadmap sees much less wastage of time, money and energy as they only pursue those routes which are part of their plan. These types of businesses are less likely to do a U-turn on an option as it has been carefully considered.
Attract and motivate employees
Ask any employee whether they LOVE business objectives and they are likely to give you a funny look.
However, business objectives actually have a huge impact on the attraction and retention of talent. For example, if you reworded the above question as ‘Do you like feeling you are part of achieving something bigger?” the answer is likely to be a big ‘Yeah, of course’.
Business objectives are just that. They offer employees a bigger picture which they can buy into. Employees that understand how they are contributing to achieving a bigger goal are more motivated to get the job done.
In turn, this attracts talent to a business. By getting buy-in from potential staff on what you are looking to achieve as a business you can relate to others on a personal level as well as offer them an opportunity to prove their talents in helping you achieve those objectives.
We can see that businesses that set clear, concise and measurable objectives can benefit in many ways. Businesses that fail to undertake with will also fail to take advantage of the opportunities that present themselves every day. At best this leads to a waste of resources and at worst can lead to a business failure.
Creating business objectives that offer all the benefits we highlight above can be somewhat of a challenge. At Make It Mana we have helped countless businesses create powerful objectives that have led to great success. Get in touch to discuss how we can help you do the same.