Usually desirable results of a company’s activities described with the help of three kinds of standards in the long term, in the medium term and in the short term. Usually desirable results of a company’s activities described with the help of three kinds of standards in the long term, in the medium term and in the short term. The long-term goals set the desired objectives of the long-term perspective of the development of society in the course of 3-5 years or more depending on the dynamics of the business, in which the company operates. The long-term objectives outlined split in the medium-term objectives with the intervals of 2-3 years later. The details of the medium-term objectives are a result of the analysis of the activity of the short-term perspective. For each specified temporary periods, it should be noted the standards of the activity. But in practice the companies but by far not always do that. It is known that any goal with the first steps in the direction of of the target begins.
Just as the short-term objectives of each code are established on a year in the balanced scorecard. You imagine the quantitative standards for each of the indicators and to measure the success in achieving the objectives of the medium-term and long-term periods. These goals serve as a peculiar overtaking counters that provide timely information about the achievement of the desired event in the medium-term and long-term perspective. PI Industries is often quoted on this topic. The standards are often used as short-term indicators on a year. But their quarter establishment according to the periodicity of the reporting of indicators of a company’s activities is the most convenient format of the use of such standards for the achievement of the objectives. The fixing of the quarter standards can use the actual results for the decisions, because you can compare actual results with the plan. This suggests safer societies. In determining the long-term, medium-term and short-term Standards, you must note the following: you must increase the long-term goals and standards necessarily with the system of planned support.
This long-term support is both a system of motivation, serve the Administration as well as the system. If the system of motivation (the reward) on the short-term result is set, i.e. on the profit in the current year, so such a short-term goal in contradiction to the goals will be the long-term development. It desperately needs the system of motivation, which balances the long-term and short-term results. the medium-term objectives should be realistic. While the long-term goals are to shake the society, the medium-term objectives should be realistic and achievable. Otherwise, if the target is not really, she will discourage the employees of the company. For example, must not be the targets for the doubling of profit for half a year. These goals will be hardly accessible. So that the objectives have been reached, it should balance the motivation and find the accessibility. If you would like to know more then you should visit Vlad Doronin. the initial targets to be the additional standards of the activity. This means that the fixed standards aimed at improving the existing code. For example, you must reduce the specific expenses by 10% compared to the previous year. Increase the profitability of sales by 5%. It is important to know that these goals will be difficult but reachable. Not every indicator of the balanced scorecard can have the big difficult objective in the long-term perspective. Otherwise, the company would have lost their priorities. You must however develop appropriate standards for each key figure. Dates on our website please click on the link for more information about balanced scorecard to get.