Journal Article

When SMART Goals Are Not So Smart

Reeves, Martin, Fuller, Jack

2018

Overview

We rarely question the need for goals, and the familiar acronym SMART instructs us that good goals should be specific, measurable, achievable, realistic, and time-based. But none of these attributes say anything about the context in which we are setting goals. In stable, predictable environments, it makes sense to set goals that are specific and measurable. For instance, some markets, such as confectionary and cosmetics, grow with gross domestic product and follow relatively predictable trends. Thus, a company like Mars Inc can plan out a multiyear strategy in its core categories. In more dynamic and uncertain environments, however, SMART goals can be problematic. It's hard to manage to specific, time-based targets when demand, technology, business models, and competitor sets are incessantly shifting, as is common in emerging or recently disrupted industries, like genetic testing services or augmented reality technology. SMART goals, by specifying details such as the destination and arrival time, help us identify the right actions in the right order.

• Publisher: Massachusetts Institute of Technology, Cambridge, MA
• Subject: Augmented reality / Brain / Business models / Economic growth / Goal setting / Trends