VIEWPOINT: The Success Engine: Strategic Planning and Goal Alignment

Strategic planning, when coupled with goal alignment, is the engine that drives organizations to successfully achieve their goals. Whether your strategic goals include organic growth through capturing more market share, acquisitions, expanding into new markets, adapting to changing market demands, expanding facilities, or succession planning (or some combination of these and others), creating alignment from these top-level goals throughout your organization to each individual is the basis of ongoing success. Let’s start with the strategic-planning process. There are various approaches to developing a strong strategic plan. The one I prefer is one I have used many times with excellent results, both while working within companies as an operations leader and working with clients as a facilitator. The key will be to develop the plan together with the senior leadership group leading the way. Senior leadership must engage key leaders and team members across the organization throughout the process as well. I’m sure many of us can relate to working for a company and having new posters put up around the company with a “new” “vision” and “mission.” Or perhaps. You have been handed your annual goals in a “previous life” with no input whatsoever from you in developing them. It’s simple: the more engaged your team is in the development of the plan, the more vested they are in the success of the plan. Now, more about the planning process.

The Vision Statement

This statement should describe what or where the organization will be in a predetermined time frame that is appropriate for the organization. It is a “becoming statement;” it’s not who or what you are today, but rather what or who you aspire to be. You may want to view your vision in terms of a two- or three-year plan. That’s because it may be difficult to project much further as market dynamics, technology, and other externalities can change so quickly. This statement need not be specific. It does need to set a clear direction by describing something your organization currently is not but intends to become.

The Mission Statement

This is a brief statement, again in general terms, of what must be achieved in the next year to make significant strides in the direction of achieving the vision. What does your organization need to achieve in the first year to get a healthy start on achieving the vision in two or three years? The mission statement is usually longer than the vision statement, although it should still be brief and to the point.

Critical Goal Categories (Critical Success Factors)

These are the things both necessary and sufficient to achieve the mission. As the mission is a one-year focus, so too should be the critical-goal categories. These are usually limited to between four and eight. They should be more specific than the mission, but not as specific as goal statements.

Goals

These should meet the “SMART” criteria: specific, measurable, attainable, realistically high, and time sensitive. These again should be necessary and sufficient to accomplish the goal category.

Action Steps

These will define what actions need to be taken, by whom, and when they must be completed. There is a detailed process to go from goal statement to defined-action steps to best ensure the goal is met. The focus of this process is to define all obstacles to achieving the goal, then defining action steps to overcome the obstacles.

Alignment

If the senior leaders have done a good job of aligning on the plan throughout this process themselves while bringing in key leaders from across the organization to get their input during the process as well, then the organization is on its way to goal alignment. As an example, a VP of operations for a manufacturer would have involved its director of operations, director of procurement, director of planning, and director of logistics at the detail level throughout this process. Each of these directors should also be involving their direct reports in detailed discussions during the process, right through to the front-line workers. By asking for and hearing the input from all and then using this as the plan is developed and refined, everyone has a stake in the plan. This is more time-consuming and, especially at the beginning, may require more effort, but the result will be a plan that all employees have a stake in and understand. Another key to goal alignment is to assist all employees to see how the organization’s goals align with their personal goals and aspirations. This is vital to tapping into each person’s motivation. Real motivation comes from within. Leaders at every level of the organization must understand their employees’ personal goals and aspirations. This only happens when relationships are based on trust. Leaders that understand this and are capable of forming these types of working relationships throughout the organization at all levels is what will enable true goal alignment. Imagine what your organization could achieve with this level of alignment!

Attitudes and Sustainability

No sustainable positive behavior change (and therefore no sustainable positive result) is possible without the right attitudes. This is why initiatives fail so many times in all kinds of organizations. Most people have negative attitudes about change and uncertainty. Most people are not goal setters and achievers by habit. How then can leaders habituate goal planning and achievement in their organizations? The answer is to implement a goal planning and achievement process. This will create an “I can / We can” attitude that becomes part of everyone’s regular routine. It becomes part of the culture.      

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Mark A. O’Donnell is founder and owner of Operations Excellence, LLC, a consulting firm that helps small- to mid-sized businesses and organizations with anything from boosting productivity to planning leadership transitions. He is a certified business coach.