Sometimes, especially as sole traders, we think we don’t need a target. Or if we work with a small team, as business owners we may think we shouldn’t give them a target as it will pressure the team, and of course we don’t want that.
However a target is not there to pressure people and to give out to them if they don’t achieve it. Setting the right targets and goals can have a very positive effect on you, your team and your entire business. Here are 5 points of why you should set targets for you and your team.
It Gives Your Company Direction
Think about it this way, if you want to visit a friend in a town you’ve never been to, how will you find your friend? If you only have a name that will not help you. You need at least an address.
Without the address, you would just drive around for hours, with no idea where to go, when you will get there etc.
It’s the same without targets in your business. If you don’t set a goal/ target for you and your team, how will you know that you have achieved anything?
It Gives You & Your Team Purpose
If you set the right targets it will inspire people to do more. If your target is too high, it will do the opposite but if you set it right, it will help your team to think outside the box. You will come up with new ideas of how to reach your target. Imagine you want to build a house but you have no idea why.
Direction only will not motivate you to build the house, you need a purpose. Be it for your own shelter or to simply make a customer happy. You know what its like to move into a new home. Having a purpose of why you do what you do is as important as having directions.
Motivation Is A Big Driver For Employees & Business Owners Alike
You might own the business but if you are not motivated to get up every morning to run your business, you won’t have a company for long. Being motivated gives you the drive to succeed.
But as it is with having no direction, no purpose and no job satisfaction, if you don’t have a goal to work towards it, then you might just as well go home and enjoy life with your family. A goal or target can motivate you to thrive, to go beyond your own capabilities.
You Also Need Job Satisfaction
Have you ever worked for a company and you just didn’t like it?
The biggest demotivator in a job is actually not what most people think, money or incentives; It’s targets.
There is 3 differentiators: target is to low, to high or no target at all.
Guess which one is the biggest demotivator?
Yepp, it’s not knowing where a business is going.
A Target Provides Faith In Your Business
Sometimes it’s the sheer believe that you will achieve your target, no matter what. Imagine you actually hold the power in your hands to either succeed or fail. If you knew you couldn’t fail if you set a target, what would you do? If I told you today, the only way to fail is by not setting a goal, would you now set a goal?
With the right goal and target in mind you will achieve it. Faith or believe is not only a one sided solution. Yes you need to believe in yourself, but your customers need to believe in you as well. If they don’t have faith in you or your business, why should they buy from you?
If you set your targets and corporate goals, even though you may not tell your customers what it is, it will help you be more focused, more trusting and you automatically are a lot more appealing to do business with.
Imagine the following: you want to sell a product or service, but you know you can only deliver it if you have a certain amount of money in the bank, what are you now projecting to your customers? You may sound desperate, you may push your customers away.
However if you do have the money in your account and you don’t need your customer, you may sound sure and certain in what you do. You know you will deliver, no matter what and this will provide the confidence in you and your business.
So, as you can see, having a target is not a bad thing at all. A target is a positive outlook unless we make it into something that it’s not supposed to be. A tool to degrade, manipulate and demotivate people. A target is there to give you and your team not just something to do, but a mindset to help your business thrive. What are your thoughts on having a target? Do you have a daily/ weekly/ monthly/ quarterly or yearly target?