Goal Setting – Importance and meaning

What is goal setting?

Setting goals is the process of deciding for your business what you want and expect your business to achieve. Goal setting starts with setting goals for your business and then setting the goals for your employees aligning with your business goals.

Goal setting involves deciding on an action plan and chalking the necessary steps to achieve desired results. It gives employees direction and does not run around without any purpose.

In this goal setting glossary, we also cover-

1. How to set goals?
2. How to measure set goals?

Let’s look at them successively, one at a time.

How to set goals?

Even after understanding the importance and meaning of goals, businesses fail to achieve the goals they set. The reason for it could be setting vague, unrealistic goals or not aligning business goals with employee goals. Below we tell you the right steps to set goals for your employees. Take a look.

1. Think of the results you want to achieve 
2. Create SMART Goals- specific, measurable, attainable, realistic and time bound
3. Jot your goals in the HR software you use
4. Create an action plan- write measures you would take in detail to achieve the goals you have set
5. Set a timeline for your tasks under each goal set
6. Start working and take action 
7. Review the progress

How to measure goals?

To measure goals you must define the performance indicators under it in the HR software you use. Both quantitative and qualitative measurement of work is necessary. You can measure goals by using a combination of or any one of these most widely used performance indicators-

• KRAs(Key result areas)
• KPIs(Key performance indicators)
• OKRs(Objectives and key results)