Developing organizational goals in view of SMAACT goals model criteria

Russian-Armenian (Slavonic) University, Institute of Economics and Business, Department of Management and Business, Yerevan, Armenia

¹ Corresponding author: arzik.suvaryan@rau.am

Abstract

The article is devoted to the study of goal setting methodology of a modern organization. This issue is relevant in the context of systemic changes of XXI century, as it generally leads to reassessing the philosophy of forming the management mechanism and goal setting methodology. Strategic management starts with the development of mission and goal setting. In order to set the goals it is necessary for any organization to determine the criteria in advance. A number of researchers have put forward theories regarding the issue of criteria for setting goals. This study outlines the approaches of the researchers including Andrew Grove (OKR), Edwin Locke and Garry Letham, Mark Murphy (HARD), David Van Roy (BSQ), Paul J. Meyer (SMART). Based on a comparative analysis of the approaches discussed in the article and other approaches, a unique approach for selecting criteria for the formation of SMAACT goals is proposed. According to the approach the goal should be specific, measurable, Act-small, achievable, controlling and time bound. In addition, based on the logic of complex strategic thinking, a matrix “goal – subgoal level – criterion” is formed. This matrix is the basis for creating the “Strategic Thinking Screen”. In the applied aspect, it allows an organization to form a systematic view of the compliance of goals and subgoals of all levels with the proposed six criteria (SMAACT).