Business Objectives SME Enterprise
Note: This is an electronically generated translation. It may not be 100% perfect.Read more.
Long term business objectives
Business objectives are long-term general directives aimed to realize the vision of the company.
What are the objectives of your company?
How do you see the future of your company and how will you achieve the objectives? Lists the long-term business objectives, whereby the delivered products and/or services are optimally geared to the demand of the customer.
Essence of entrepreneurship
The basis of every company, large or small, is that it delivers products or services against payment to third parties.
The essence of entrepreneurship is that the company for the production and the supply of products or services, undertake activities. In most cases, you need to make investments before you are delivering the first product or service. Such investments are usually primarily time and energy that you must make available. Bringing together and organizing the necessary activities. In the second place out of money for the production means and or payment of people how are on the realization of the product or service. When the product or service seems to be a success, which means that there are enough customers willing to pay for it, then the company can be futher developed.
How big is your vision as the development phase of the company is completed?
Will it become a turnover of one million, five hundred thousand , five million Euro or more? This is the first dilemma you encounter. How can you know? Market research is the basis for preparing a sales forecast for the next five / ten years. Gross margin and net profit are an integral part of the forecast. Turnover is not enough to achieve your personal objectives, the company should be profitable. How much income do I need from my company to be independent of any other income sources? The next question is what is the ultimate goal that I am starting a business? There is only one reason to start a business and that is to sell it! You want to be compensated because of the efforts that have been made, not to mention the financial risks that you took to develop your business.
Questions that must be answered
How big is your vision, what do you want to accomplish between now and five years?
How big will your market share be and where are you going to sell your products or service? How do you want the customers experience your products and organization? Which financial standards your company must meet to ensure profitability? How do you want that the society judge your company? Which responsibility do you want take for your employees? What requirements do you demand from your suppliers before they may deliver deliver their products or service? All questions have to do with the continuity and development of the SME business..
By setting goals it is meant that this are concrete targets. So not: the company needs to grow, but turnover should grow at least 8% per year. In order to achieve the 8% annual growth the actions are: A, B and C are implemented and executed. The objective now is defined and is also measurable. Monthly turnover figures will be compared with last year, equal period. And verify compliance with the growth objective of 8% is met, if that is not the case, there are corrective actions taken to realize the plan.
Below refers to comprehensive information. The parts that apply to your company can be incorporated in your business plan.
- Mission ; what the company wants to convey to the environment? In a single sentence or at most a few sentences summarizing where the company stands for.
- Vision ; how big is your vision for your enterprise as the development phase is completed? A five-year plan is part of the business objectives.
- Profitability : the company is a “system” which aims to achieve a positive operating result. A positive result is needed to ensure continuity of your business.
- Customers : customer focus is the ultimate goal! Without customers, your company has no right to exist.
- Quality Requirements : internally and externally, each employee in the company has a customer!
- Community ;each company must aiming to be seen by the communty as a reliable partner.
- Suppliers : the chain is as strong as its weakest link.
- Employees: the company bears responsibility for its employees.
- Market Potential : is there a market share to acquire for your product?
- Marketing ; the business objective must be translated in a marketing strategy.