Take A Tour Strategic objectives are statements that indicate what is critical or important in your organizational strategy. Your objectives link out to your measures and initiatives.
Share on Facebook As a small business leader, you establish sample business plan objective statements and business objectives to ensure your company accomplishes what it needs to accomplish to remain a going concern. For example, a goal may be to triple the sales of your e-learning courses.
A supporting objective might be to attract 1, new customers in two months time by offering a package deal consisting of the course and a certification exam at a discounted price.
Possible business objectives are as numerous as the companies that adopt them. However, many objectives pertain to sales volume, customer satisfaction, profits, product quality and productivity.
Sales Volume Growth Sales objectives provide your sales force an incentive to achieve an increased sales volume, which can mean increased profits.
Examples of sales-volume growth objectives include increasing sales to existing accounts by 10 percent by the end of the quarter and acquiring five new accounts each month.
Other examples include devoting 80 percent of a salesperson's time to his twenty most profitable accounts and the development of five new markets by year-end.
Profit Maximization Steadily increasing profits are dependent on the consistent generation of revenue and the careful management of expenses incurred to manufacture a product or provide a service. Profit maximization objectives might include replacing legacy computer systems with a new company-wide system by year-end or contracting with a new service provider to decrease production line maintenance costs by a specified percent by the end of the quarter.
You might also increase profits by changing your company's product or service mix, increasing sales revenues goals or contracting with new vendors to decrease the variable costs of manufacturing a product component. Improved Product Quality Customers' needs and expectations require that you provide them products of high quality.
To do otherwise leads to high maintenance and replacement costs, vanishing repeat sales to existing customers and the loss of any competitive advantage based on product performance. Examples of improved product quality objectives include training five service personnel a quarter in new quality control procedure and installing quality measurement mechanisms in your production line by year end.
Other objectives might include a 15 percent decrease in defect rates, a 20 percent decrease in total quality costs or a 25 percent decrease in the number of defective units for a product line. Increased Productivity Your ability to utilize your available resources to produce goods and services and earn a profit determines the financial performance of your company.
Increased productivity decreases your cost per unit, which allows you to decrease prices and be more competitive in your market. You might implement increased productivity objectives such as implementing new equipment to decrease process time and production costs. Other objectives include reviewing and revising production line processes to decrease processing time, wait time, inspection time and move time to decrease your total manufacturing cycle time.
You might also identify new quality measures that will minimize defects and improve productivity by a certain percent for the year or improve your capacity by adding a production line that will enable you to respond more quickly to customer demand.
Enhanced Customer Satisfaction You enhance profits by reselling to current customers and getting new sales through customer referrals. Therefore, improving customer satisfaction is an important goal.
Additional objectives include correctly fulfilling customer orders 95 percent of the time and solving customer issues within 48 hours of the customer's initial contact. You might also commit to improving product functionality, decreasing prices and improving service quality and convenience.
References University of Southern Indiana: The Purpose of Business About the Author Billie Nordmeyer works as a consultant advising small businesses and Fortune companies on performance improvement initiatives, as well as SAP software selection and implementation.
During her career, she has published business and technology-based articles and texts. Nordmeyer holds a Bachelor of Science in accounting, a Master of Arts in international management and a Master of Business Administration in finance.How to Write a Great Business Plan: Overview and Objectives The third in a comprehensive series to help you craft the perfect business plan for your startup.
By Jeff Haden Contributing editor, Inc. Business objectives should be tailored to your own specific situation, however many objectives between businesses are quite similar.
Most businesses, for example, want to increase sales, maximize profit, improve quality and increase productivity. Business objectives should be tailored to your own specific situation, however many objectives between businesses are quite similar.
Most businesses, for example, want to increase sales, maximize profit, improve quality and increase productivity. Your strategy statement articulates your startup’s competitive advantage, objectives & scope. Here’s how to write one. Entrepreneur’s Toolkit, MaRS The one specific objective that will drive the business over the next few years; Scope: There are three basic elements of a strategy statement: the objective, the scope and the.
Clean Office Pros janitorial services business plan executive summary. Clean Office Pros is a startup janitorial cleaning service specializing in office cleaning and serving the Kansas City, Missouri area.
Objectives. Clean Office Pros seeks to establish itself as a leader in office cleaning in the Kansas City, MO area. Your business /5(37). In a business context, objective statements show particular plan details to achieve some business goal. Objective statements are also used in job search which exactly describes what a job seeker wants or the goals for employment and why he is ideal for the job.