Leaders who execute flawlessly set clear goals and focus on few priorities that everyone can easily understand and follow. This principle is especially true in our current environment. Organizations have evolved tremendously from hierarchical (strong chain of command) to modern matrixed (highly fragmented and decentralized) formats. As a result, people in organizations need a few clear priorities to execute well, and in my experience, three or four priorities will produce the best results. In addition, strive for simplicity when setting goals.
Here are the five steps to set goals and flawlessly execute them:
1) Set clear objectives: Prioritize and agree on a few objectives to measure performance depending on short, medium, and long-term aspirations. If margin improvement is a priority in the short term, cost reduction and efficiency should be the focus.
2) Establish a measurement system: Develop an accurate and simple method to measure performance. Remember, what gets measured gets managed.
3) Deploy objectives to the lowest level: This is a critical step where top-level objectives are waterfalled to the lowest level in the organization. This activity empowers all levels of the organization and builds ownership and accountability and delivers results.
4) Follow up and evaluate objectives: Once the objectives are agreed upon, and actions are defined, a robust governance system with structured follow-up and evaluation is required. This activity keeps the team focused and addresses roadblocks promptly.
5) Communicate results: Results provide fuel to the transformation journey. Communicating and celebrating wins empowers people and builds momentum. On the other hand, failures need to be discussed with openness to learn and correct the course.
Cheers, and enjoy the transformation journey.