A company without goals is a company that isn’t going anywhere. As a business owner, you need to have goals for your employees, which will shape the future of your business. Setting SMART Goals for your team is the best way to make sure that your business continues growing.
Employee goals are critical to helping your team reach new heights and keeping your overall productivity levels up. Your employees should be in the know about their own individual goals but also the company’s as a whole. That’s why implementing SMART goals can help you develop a consistent system for measuring progress, which will give you the opportunity to work together to achieve the same overall mission.
What is SMART goal setting?
Have you ever heard of SMART goals? These are statements that help you achieve your objectives in a clearly defined, actionable way. First appearing in the November 1981 issue of Management Review, SMART goals are specifically designed to bring your attention to what matters and help you allocate the right time and resources to your prioritized tasks. If you have a big project coming up, this system can help you define success and narrow in on the steps you should take to get there.
SMART goals are defined by five key criteria:
- Specific goals are clearly defined in terms of expectations and outcomes
- Measurable goals are easily tracked and evaluated
- Attainable goals are realistic given the available resources
- Relevant goals are tailored to your unique objectives and have an impact on your business
- Time-based goals are narrowly defined by a specific timeframe
As you create goals for your team, make sure they check off each of the five SMART criteria. If they’re too broad, don’t disregard them! Instead, try breaking them down into actionable steps while keeping the overall goal in mind.
Smart goals vs KPIs
SMART goals and key performance indicators (KPIs) are closely related, but they are not the same thing. SMART goals define what you want your team to achieve using specific, measurable, achievable, relevant, and time-bound criteria. KPIs, on the other hand, are the metrics you track to determine whether your employees are making progress toward those goals.
How to implement employee goals that align with business goals
Not sure how to introduce your employees to setting SMART goals for their work? Here are some of our top tips.
Align the whole team
It might take some work on your part to set up training, meetings, and check-ins to keep your team on track, but you’ll probably find that it’s worth the effort. A group that’s on the same page in terms of process and expectations is more likely to perform at higher levels of productivity.
Share examples
What better way to implement a major change than by leading by example? If you’re transparent about the way you set and organize your own SMART goals, your team will have an easy way to gauge their progress and see where they fit in your priorities, too.
Create a shared schedule
Another great way to keep everyone in sync is to create a schedule that’s easily accessible by everyone on the team. Sending regular updates when SMART goal plans are created, as well as maintaining a collaborative schedule, means that everyone can see what’s in the works. This will also encourage continuous reviews, feedback, and adjustments to goals.
Define success metrics
What does success look like at your organization? Your team should know the specific ways you’re measuring productivity so they can work to meet those benchmarks. For example, do you track employee performance with time-based measures, or do you value task completion rates more? Choosing the right metrics can take some fine tuning, but without them, your team members will probably be working according to their own personal standards.
Make adjustments based on feedback
Don’t forget to ask for employees’ opinions, not only as you’re implementing the SMART goal system but once it’s in place as well. Whether it’s a quick question in the hallway or a formal, anonymous satisfaction survey, every piece of feedback is valuable. A detail you might have overlooked or considered not important might actually make a significant difference in your team’s productivity.
What are some potential obstacles to achieving a SMART goal?
One of the biggest obstacles to achieving SMART goals is a lack of buy-in from the people who are responsible for carrying those goals out. If the goals do not feel achievable or relevant, team members are far less motivated to follow through on them. A lack of communication can also lead to team members misunderstanding why the goals matter and how their participation will impact them. Additionally, goals that look good on paper but fail to address actual operational needs often lose momentum quickly. Ensuring that every goal feels meaningful and supported is crucial for long-term success.
7 SMART goal examples for your business
Now that your team is ready to start setting and accomplishing SMART goals, here are some examples that you can reference if you’re ever unsure of some of the elements of the SMART guidelines. These goals are specifically designed with business growth strategies in mind, so they will probably be on your plate. Make sure you share them with your employees so that they’re aware of how their projects can support the direction of the whole company.
- Closing sales: Gain four new clients for the business this quarter by conducting three or more customer meetings every week.
- Improving customer service: Deliver customer support with an overall “Satisfied” or “Very Satisfied” customer satisfaction rate and reduce customer contact volume by 10% before the start of the next quarter.
- Completing employee training: Make sure that at least 90% of the team has completed training on the new inventory management software by the end of the month.
- Raising brand awareness: Increase the number of social media followers by 10% every month through targeted content, promotions, and events.
- Managing customer reviews: Strategically respond to all negative reviews received on a weekly basis.
- Hiring new employees: Reach out to at least three candidates every day and conduct at least two onsite interviews with the goal of hiring a new employee by the end of the quarter.
- Managing business finances: Create a comprehensive financial plan for your business this month and have it set in motion by the end of the year.
7 SMART team goals examples
Growing as a team is essential for meeting business goals because it creates a sense of community, strengthens accountability, and fosters a sense of shared success. These goals also help teams provide structure, mentorship, and support for new employees while improving collaboration across departments. Strong team goals can reinforce sales initiatives, boost productivity, and ensure everyone contributes meaningfully to the organization’s long-term growth.
7 SMART employee goal examples for professional development
A successful small business leader will invest in their employees’ professional development to increase retention and performance. Here are some SMART goals your employees can use as a reference as they continue to grow within the company.
- Improving public speaking skills: Present at two or more stakeholder meetings every quarter to boost confidence.
- Gaining industry knowledge: Attend at least one networking event, talk, conference, or workshop every month, and share notes with the rest of the team.
- Building product understanding: Spend at least an hour a week exploring the product or service we offer to feel comfortable making pitches to customers and potential business partners.
- Completing relevant certifications: By the end of the quarter, finish all required coursework and exam preparation for the certification that enables professional growth.
- Spending time with customers: Dedicate two days a month to working with the sales team to understand customer needs and expectations and inform decision-making.
- Growing a professional network: Schedule at least one lunch with a potential partner every month and follow up the following day.
- Boosting productivity: Reduce the number of daily meetings by at least 10% and spend 30 minutes at the end of each day organizing and prioritizing tasks.
Support your goals with a cash influx
Successful business owners are those who understand how to help their employees achieve their goals, and sometimes, that takes money. Depending on your current financial status, you may need a cash infusion to help your team meet the goals that you’ve set. See if you pre-qualify for an SBA loan in 5 minutes or less.
