Goal Setting and Goal Achievement

A goal is a clearly defined measurable target, purpose, objective, or intention to which an endeavour is directed.

Goal Setting

Goal setting is an aligned, balanced, focused and measured process.
Goal setting asks the questions:

• Where do we want to be as individuals?
• Where do we want to be as a division/department?
• Where do we want to be as a business?

A key to effective performance management is skilful goal setting that leads to goal achievement.

Goal Achievement

Execution and goal achievement encompasses talent management, measurement, motivation and on-the-job learning. Execution and goal achievement asks the questions:

• How do we stay on track?
• How do we track if we are getting there?
• How do we get to where we want to be?

Key Performance Indicators

Key Performance Indicators (KPI) or Key Success Indicators (KSI) help an organisation define and measure progress toward organisational goals. Once an organisation has analysed its mission, identified all its stakeholders, and defined its goals, it needs a way to measure progress toward those goals. KPIs and measures are used to do this.

Key Performance Indicators are quantifiable measurements, agreed to beforehand, that reflect the critical success factors of an organisation. They will differ depending on the nature of the organisation. A business may have as one of its KPIs, the percentage of its income that comes from return customers. A school may focus its KPIs on the graduation rate of its students.

The definition of what they are and how they are measured does not change often. The measures for a particular KPI may change as the organisation gets closer to achieving a goal or “raises the bar”.

Whatever KPIs are selected, they must reflect the organisation’s goals, they must be key to its success, and they must be quantifiable (measurable). KPIs usually reflect long-term considerations. If a KPI is going to be of any value, there must be a way to accurately define and measure it. It is also important to define the KPIs and stay with the same definition year after year. In addition, each KPI needs to have set measures.

Many things are measurable. That does not make them key to an organisation’s success. In selecting KPIs, it is critical to limit them to those factors that are essential to the organisation reaching its goals. It is also important to limit the number of KPIs, to keep everyone’s attention focused on achieving the same KPI.