The SMART Framework: How to Set Better Business Goals

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This article provides a detailed overview and expert insights on the SMART approach to help you select the appropriate framework to support business growth and sustainability.

What Is the SMART Framework? 

SMART was developed to complement an organization’s existing strategies by offering a guide to setting clear and attainable goals. To accomplish this, the framework emphasizes five core elements: specific, measurable, achievable, relevant, and time-bound.

Who Created the SMART Approach? 

The SMART acronym stands for specific, measurable, achievable, relevant, and time-bound — a business framework developed by George T. Doran in 1981 to help improve the clarity and achievability of goals within an organization. As a consultant and former director for Washington Water Power Company, Doran saw an opportunity to improve broader business tactics with SMART, ensuring that goals/objectives are clear, actionable, and aligned with existing strategies.

Key Elements of the SMART Model 

• Specific: Goals need to be clear and specific to answer key questions, including what is to be achieved, who is involved, where it takes place, and why the goal is critical.
• Measurable: To better measure progress and success, goals must have criteria assigned that allow for proper tracking and analysis.
• Achievable: Considering resources, barriers, and capacity, goals should be realistic and achievable.
• Relevant: Goals should align with the organization’s broader goals and objectives and be relevant to the mission and vision.
• Time-bound: To measure progress successfully, goals should adhere to a set timeline with clear start and end dates.

Also known as: 

• SMART goals

Key Pain Points Addressed

The SMART approach was developed to address common Stage 2 organizational challenges, including:

When to Apply the SMART Framework

The SMART framework is applied in organizations that have reached Stage 2 (Sustain) of Ninety’s Stages of Development. A Stage 2 organization:

Pros and Cons of the SMART Framework

As you evaluate this framework, consider the top pros and cons:

Pros

Cons

TLDR: The SMART Framework In Summary

Guided Approach to the Smart Framework 

If you think the SMART model is a good fit for your organization, it’s time to start preparing for a successful implementation. The following offers a guided approach to support your efforts.

Ensure an understanding of SMART criteria.

Dedicate time and effort to team education. This should include training on the principles of SMART goals and how they are applied to enhance goal setting and achievement.

Evaluate current goals.

It’s hard to know where improvements are needed until you assess existing goals and determine if they meet SMART criteria. Once complete, you should be able to pinpoint areas needing improvement.

Set SMART goals.

Working collaboratively with a dedicated cross-functional team, develop goals that are specific, measurable, achievable, relevant, and time-bound. Plotting goals on a “SMART matrix” can help organize planning.

While there’s no official SMART matrix based on Doran’s work, you can devise a simple table to plot and evaluate goals against SMART criteria. For example:

Use the matrix to:

1. List goals in the left-hand column.
2. Evaluate how well each goal meets SMART criteria (for example, 1–5, where 1 is poor and 5 is excellent).
3. In the “Overall SMART Score” column, calculate an average or sum of the individual criteria scores.

This matrix supports:

• Quick identification of SMART criteria where goals may be lacking
• A side-by-side comparison of multiple goals
• Prioritization of goals based on their overall SMART alignment
• The ability to track improvements as goals are refined

Monitor progress.

Set recurring check-ins to review progress and course-correct when needed.

Foster a supportive culture.

Encourage open communication and collaboration to support the successful adoption of the SMART approach across your organization.

Seek expert guidance if needed.

To support efforts, consult with experts in goal setting and performance management to optimize the implementation process.

Overall, implementing the SMART framework requires commitment, time, and a systematic approach if organizations are to realize their full potential in elevating organizational performance and alignment.

Next Steps

For those ready to take action, consider these actionable steps: