I love Jim Collins, and Good to Great is one of the best business books ever written.
Many organizations have adopted his ideas, including the “Big, Hairy, Audacious Goal” or BHAG concept. But, in most organizations, their Big, Hairy, Audacious Goal is really a “Big, Hairy, Audacious Delusional Pipe Dream.”
These are the corporate equivalent of New Year’s Resolutions – easy to set, but darn near impossible to keep.
I prefer to see organizations take a radically different approach, one that differentiates between a vision and a goal.
First, they should articulate a big and inspiring vision. Such as, “we want to be the market share leader in our segment.”
Next, they should develop one overall SMART goal. Specific, such as “grow revenues to $3.6M by 12/31/2010.” This is specific, measurable, and crystal clear. It can be easily communicated and everyone in the organization can understand how they fit in. It can be broken down into a set of intermediate goals, such as a revenue target for each month between now and 12/31/2010.
In addition, it can be tied to other metrics which are leading indicators, such as the number of new proposals submitted every month and the overall win-rate. You can align the rest of the business processes, such as the reward and recognition system, to the goal, thus reinforcing its importance.
And assuming that people in the organization feel that the goal is realistic and attainable, they will sign up to achieve it. There is nothing more de-motivating than to have your CEO set some delusional goal that everyone knows can’t be achieved.
So leaders, have a clear and inspiring vision of what you want to be someday, but set a specific and measurable goal for what you want to achieve this year.
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