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The
difference between a goal and a dream is the written word. --
Gene Donohue
Setting realistic
goals will be one of the most important steps in running a successful
incentive program. If you follow a few simple steps, you can effectively
create a clear program.
- Set realistic
goals. Whatever you are striving for -- be it a sales quota,
safety goals, number of recruits, etc. --the goal has to be high
enough that people will have to reach for it, but not so high
that is impossible for a good portion of your team to accomplish.
Don't set it so low that it won't create excitement and people
won't feel motivated to do their best. According to Edward E.
Lawler III, in his book Rewarding Excellence:
Setting
performance goals that are too easy can result in suboptimal
performance because individuals feel that once they have achieved
the goal, they need to do no more. Stretch goals can be powerful
motivators if they are not so difficult that the individual
feels they are unachievable. This leads to the suggestion that
when only one performance goal is set for each measure, it should
have at least a 20 to 30 percent probability of being achieved.
Better yet, for each performance measure, multiple goal levels
should be set, with reward size increasing as goal difficulty
increases.
- Set specific
goals. Be clear and precise. Goals have to be measurable,
and you should be able to track milestones by quantitative measures.
For example:
| Vague |
Specific |
| Sales:
Increase sales by end of March |
$12,
000 in product sales by March 31st |
| Product:
Release product by early April |
Product
release by April 1st |
| Recruiting:
Increase number of recruits |
Place
10 new recruits by July 15th |
- Set goals
that reflect your company values.
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Buy
the Book, Rewarding Excellence |
-Buy-
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Creative
Solutions for Company Culture |
-Read- |
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- Does
your company value smashing the competition?
- Does
your company strive to promote a positive
presence in the
market?
- Will
this promote a positive image to your clients?
- Does
it reflect your employees' values?
- Is the
goal something they would really want to achieve?
- Does
the goal reflect your employees' values?
- Make it
a positive goal. Consider these comparisons:
| Negative |
Positive |
| "Let's
not let sales' opportunities slip away" |
"Reach
$12, 000 in sales for this quarter." |
| "Don't
miss the deadline on the 1st." |
"The
product will be out the door on July 1st." |
Go for the Goal!
By now you should have a clear statement for your incentive program
goal? What is it?
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