Major types of Objectives
Objectives are an organization’s performance targets — the results and outcomes it wants to achieve. They are a call for results that connect directly to the company’s – strategic vision and core values.
There are basically two types of objectives. These are as follows:-
Strategic Objectives: Strategic objectives relate to outcomes that strengthen an organization’s overall business position and competitive vitality. As for an example: A bigger market share.
The strategic objectives of a company are as follows:-
- A bigger market share;
- Lower costs relative to key competitors;
- Broader product line than rivals;
- Better internet and c-commerce sells capability than rivals;
- Superior on-time delivery;
- A strong brand name;
- Superior customer service;
- Stronger global sales capabilities;
- Recognition as a leader in technology;
- Higher customer satisfaction.
Financial Objectives: Financial objectives relate to the financial performance targets that management has established for the organization to achieve. As for an example: Bigger profit margins.
The financial objectives of a company are as follows:-
- Higher dividends;
- Bigger profit margins;
- Higher returns of invested capital;
- Attractive economic value-added programs;
- Bigger cash flow;
- A rising stock price.