As a small business owner, setting clear, actionable goals for the year ahead can be the difference between simply surviving and thriving. Goals provide direction, motivation, and measurable benchmarks that keep you and your team focused. However, as James Clear emphasizes in Atomic Habits, while goals are important, focusing on the systems that drive those goals is what truly leads to success. Here’s how to set business goals—and build the systems to support them—to drive success for your small business in the coming year.
1. Reflect on the Past Year
Before setting new goals, take time to evaluate the previous year. What were your biggest successes? What challenges did you face? Identifying patterns and lessons will help you create more realistic and effective goals.
2. Make Your Goals SMART
The SMART framework ensures your goals are:
- Specific: Clearly define what you want to achieve.
- Measurable: Include criteria to track progress.
- Achievable: Ensure your goals are realistic and attainable.
- Relevant: Align goals with your business vision and priorities.
- Time-bound: Set a deadline to create urgency.
For example, instead of saying, “Increase sales,” set a SMART goal: “Increase monthly sales by 15% by December 31 by expanding online advertising.”
3. Focus on Systems (and Break It Down!)
James Clear argues that goals provide direction, but systems drive progress. Think of your goals as the destination and your systems as the trusty GPS guiding you there. Bonus tip: Break your big, shiny goals into bite-sized, manageable tasks. It’s like cutting a giant pizza into slices—much easier to tackle (and more fun, too)!
For example:
- Goal: Increase sales by 15% this year.
- System: Implement a weekly review of sales metrics, optimize ad performance monthly, and provide ongoing sales training for your team.
- Breakdown: Send weekly progress emails to the team, test one new ad platform every two months, and schedule monthly feedback sessions.
By developing effective systems and taking it step by step, you create repeatable processes that lead to long-term success.
4. Prioritize and Focus
It’s tempting to aim high and set multiple goals, but spreading yourself too thin can lead to burnout. Choose 2-5 primary objectives that will have the greatest impact on your business. Then, identify the systems needed to achieve them.
5. Track Progress Regularly
Set up a system to review your progress regularly—weekly, monthly, or quarterly. Tools like spreadsheets, project management software, or goal-tracking apps can help. Adjust your strategies as needed to stay on track. Think of this as your “progress pit stop”—a chance to refuel, recalibrate, and keep moving forward.
6. Celebrate Milestones
Acknowledge and celebrate progress, no matter how small. This boosts morale and keeps you motivated to reach the next milestone. Pro tip: Rewards can be anything from a team pizza party to treating yourself to that fancy pen you’ve been eyeing—whatever keeps you going!
7. Stay Flexible
The business landscape can change quickly, especially for small businesses. Be prepared to pivot and adapt your goals if necessary while staying true to your long-term vision.
Example Goals and Systems for Small Businesses:
- Goal: Grow email subscriber list by 20% by June.
System: Create a bi-weekly email campaign with value-driven content and add sign-up incentives on your website. - Goal: Increase customer retention rates by 10% by offering a loyalty program.
System: Develop an automated reward tracking system and schedule quarterly customer satisfaction surveys. - Goal: Launch a new product or service by Q3.
System: Set up a product development workflow with clear timelines and cross-department collaboration meetings. - Goal: Improve online presence by posting on social media three times a week.
System: Use a content calendar and schedule posts in advance using social media management tools.
With intentional goal-setting and strong systems, your small business can achieve remarkable growth and success this year. Use this process to align your team, focus your efforts, and set your business on a path to success.