It will motivate employees
High goals will always motivate employees and make them perform to their optimum level. When small businesses want to achieve high goals they can get help from erp cloud software. If one of their goals is to reduce costs then they can use this because it reduces costs in a lot of ways. You will avoid the upfront costs for computing infrastructure like data servers, you do not have to pay upfront for the license of application software, this also decreases IT support services and it will also reduce the cost of taking care of the applications.
Organizations can also use ERP system implementation to achieve goals because it produces a higher efficiency rate, it reduces costs, it will raise an organizations output and it will also raise the profit level of a business.
Characteristics of an effective goal
For a goal to be effective it should be measureable. This means that when it is possible goals should be in quantitative terms because vague goals tend to not motivate employees. Goals should be challenging but realistic, this means that goals should challenge the employees but be within the existing resource base of the company. Goals should be linked to rewards; the importance of goals will depend on how salaries and wages, benefits and other rewards increase with goal achievement. Rewards should be given to people who accomplish goals to give some significance and meaning to goal achievement and commitment. Goals should have a defined time period in which they should be completed in, this is because if there is no period set for which the goals need to be achieved then employees won’t be motivated to accomplish them. Goals should also cover key performance areas which are the area’s that are most crucial to an organizations success.
Level of goals
Goals can be separated into three different levels in an organization. Strategic goals which are the top level and these are normally long term goals which tend to be one to five years long. Operational goals which are midterm goals and they tend to be one to three years long and are present at the second level. Tactical goals which are at the bottom level tend to be less than a year long and are considered short term goals. Effective goals are put in a hierarchy of goals which means that in order for the top goals to be achieved the ones at the bottom have to be achieved first.