What is the difference between goals and objectives? How to set them effectively and improve organizational performance

by | Sep 22, 2021 | Motivation , Team | 0 comments

Many managers may be troubled by the fact that their company is not running well as an organization. There are many reasons for this, but one of the reasons may be the confusion between “goals” and “objectives”. In this article, I will show you how to set “goals” and “objectives” correctly to increase organizational strength.

The relationship between goals and objectives

The words “goal” and “objective” are similar, but their actual meanings are different. In order to set both correctly and utilize them in management, let’s have a clear understanding of the meaning of the words.

The difference between goals and objectives

In the case of organizations that confuse goals and objectives, it is possible that both are viewed as final goals.

Goals are the indicators and specific means to achieve the objectives. On the other hand, “objectives” are the final goal that a company should aim for.

In other words, only when there is an objective can we set goals. It is easy to understand if we think of the objective as the final goal and the smaller goals leading up to the objective as goals.

If you set specific actions or numerical values as goals, you will be able to achieve them more easily.

Challenges in setting goals and objectives

Goals are a necessary indicator for each employee to stay motivated and work hard.

However, if you set goals that are too difficult to achieve, your employees will probably lose motivation.

When setting goals, it is important to consider whether they can be achieved with current skills and whether achieving them will allow employees to maintain their motivation and grow to the next step.

On the other hand, the objective is the ultimate goal and also the mission of the organization to be accomplished. In order to motivate employees to achieve their goals, it is important to set objectives that are clear and that can be conveyed to employees correctly.

How to set goals and objectives to improve organizational performance?

Next, I will show you some points on how to set objectives and goals to increase organizational strength.

How to go from objectives to setting goals

Before setting goals, it is necessary to first clarify the purpose. Usually, this is expressed in the form of a “management philosophy” or “mission.

Once the objectives are set, they should be incorporated into a medium- to long-term plan on a multi-year basis in order to link them to the goals. It is a good idea to set objectives for each period of time, such as one year, three years, ten years, etc., so that you will always be aware of the objectives as you carry out your work.

Then, set goals for each department and individual in order to proceed with the mid- to long-term plan based on the objectives. At this point, it is important for the manager (administrator) to set appropriate goals, rather than leaving it to the individual.

The role of the manager

It is the role of the manager to show employees the objectives, which can be called the direction of the organization, and to set goals so that employees can work toward those objectives. Specifically, they are responsible for setting personal goals for subordinates, maintaining subordinates’ motivation, and monitoring their progress toward the goals.

The manager’s high level of communication skills is indispensable to increase organizational strength. This is because they act as a conduit between the frontline and the management team.
Therefore, it will be necessary to carefully consider ways to facilitate communication between the two sides.

Use tools to achieve your goals and objectives

In order to facilitate the communication necessary for management, the use of tools is recommended.

What is goal management “OKR”?

In goal management, there is a concept called OKR, which stands for “Objectives and Key Results”, directly translated as “Objectives and Key Result Indicators”.

In OKR, you set a goal and several result indicators that lead to the achievement of the goal. The first step is to set goals and result indicators for the entire company in a short span of time.

For example, if the company’s goal is sales, the result indicators could be profit margins, repeat business rates, and so on.

Also, set departmental goals and result indicators that are tied to those goals, and from there, incorporate them into individual goals. The feature is that the company’s goals are linked to the individual’s goals as well.

An OKR management tool refers to a tool with functions to facilitate the internal operation of OKRs, such as setting goals, checking progress to goals, and evaluation.

“Goalous” is recommended for OKRs

If you are thinking of implementing an OKR management tool, you can also use it for internal communication Goalous is recommended. Goalous is beneficial in the following ways.

Open goals make it easy to share your goals.
The photo action function allows you to visually grasp your progress.
You can communicate like a social network.

Goalouscan be used to share objectives and manage goals, as well as to communicate immediately in a chat format. By setting appropriate objectives and goals, you can use Goalous to strengthen your organizational capabilities.

Colorkrew, the developer of Goalous, also offers free seminars to help you manage your goals. We hope you will check out the seminar information as it will be helpful for your organization’s goal management.

To register for a seminar, please visit here.
What is the need for goal management?


It is easy to confuse “goals” and “objectives” because they have similar names. Goals are indicators necessary to achieve objectives, whereas objectives refer to the final goal. Objectives are the mission (goal) of the company, while goals are the long- and medium-term goals, departmental goals, and individual goals.

If you want to increase your organizational strength by setting objectives and goals, you need to make sure that your goals are in line with the company’s goals down to the individual. For goal setting and management, I recommend using an OKR management tool that incorporates the concept of OKRs.