SMART TEST

Objectives are the ends for the achievement of which managerial activities are directed. Objectives are the pre-requisites of planning. It constitutes the purpose, the attainment of which is necessary for the business. These are the standing plans of the business. These are not only helpful in planning but also in other managerial functions like organizing, directing and controlling. Clear cut objectives helps in proper decision making and in achieving better results.

SMART TEST OF OBJECTIVES

The quality of an objective can be verified by the SMART test which is as follows:

S- Specific

M- Measurable

A- Appropriate

R- Realistic

T- Time Bound

SPECIFIC

Specific means the target is clearly defined. Example: Production of fans should be increased is NOT SPECIFIC OBJECTIVE. Increase the production of fans up to 2,500 units is SPECIFIC OBJECTIVE.

MEASURABLE

Measurable means that the target state is defined as a number. Example: Capture a good market share is NOT MEASURABLE OBJECTIVE. Capture the market share of 20 million customers is a MEASURABLE OBJECTIVE.

APPROPRIATE

Appropriate means that the employees can take necessary actions to meet the objective. Example: ‘Zero stolen PC’ is NOT AN APPROPRIATE OBJECTIVE as he or she cannot control all the thieves around the world. ‘Users informed twice about measures to avoid thefts’ is AN APPROPRIATE OBJECTIVE.

REALISTIC

Realistic means the objective is attainable in the face of real situations or real environment. Example: Production of 200 units of fans in 5 minutes is UNREALISTIC OBJECTIVE. Production of 200 units of fans in a day is REALISTIC OBJECTIVE.

TIME BOUND

The time to achieve target must be stated. Example: Deliver the food is NOT A TIME BOUND OBJECTIVE. Deliver the food within 30 minutes is a TIME BOUND OBJECTIVE. 

ALSO STUDY:	ALSO STUDY:	ALSO STUDY:	ALSO STUDY:
Management	Objectives of management	Functions of management	Process of management
Management as an art	Management as a science	Management as a profession	Company
Incentive plans	14 principles of management by Henry Fayol	Principles of scientific management	Scientific management
Work study	Time study	Motion study	Method study
Planning	Importance of planning in management	Advantages of planning in business	Process of planning
Types of planning in business	Setting objectives in management	Objectives	SMART test
Management by objectives	Policies in Business	Management and business administration	Functional areas of management
Limited Liability partnership	LLP Vs company	LLP vs Partnership

ALSO STUDY:	ALSO STUDY:	ALSO STUDY:	ALSO STUDY:
Management	Objectives of management	Functions of management	Process of management
Management as an art	Management as a science	Management as a profession	Company
Incentive plans	14 principles of management by Henry Fayol	Principles of scientific management	Scientific management
Work study	Time study	Motion study	Method study
Planning	Importance of planning in management	Advantages of planning in business	Process of planning
Types of planning in business	Setting objectives in management	Objectives	SMART test
Management by objectives	Policies in Business	Management and business administration	Functional areas of management
Limited Liability partnership	LLP Vs company	LLP vs Partnership

ALSO STUDY:	ALSO STUDY:	ALSO STUDY:	ALSO STUDY:
Management	Objectives of management	Functions of management	Process of management
Management as an art	Management as a science	Management as a profession	Company
Incentive plans	14 principles of management by Henry Fayol	Principles of scientific management	Scientific management
Work study	Time study	Motion study	Method study
Planning	Importance of planning in management	Advantages of planning in business	Process of planning
Types of planning in business	Setting objectives in management	Objectives	SMART test
Management by objectives	Policies in Business	Management and business administration	Functional areas of management
Limited Liability partnership	LLP Vs company	LLP vs Partnership