According to the Schumpeter column in @Economist, management by goal-setting is making a comeback. “Management by Objectives” was a theory introduced by Peter Drucker in 1954, the article notes.
“SMART” objectives (specific, measureable, actionable, realistic, and time-sensitive) were part of Drucker’s theory. That concept remains active today in practices such as the Entpreneurial Operating System (“EOS” or “Traction”).
The article notes, “A study of big companies by Deloitte, a consulting firm, found that those who set goals quarterly were nearly four times more likely to be in the top quartile of performers.”
But it elaborates, “It can be hard to judge the dividing line between goals that are suitably stretching and ones that are excessively demanding, says Max Bazerman of Harvard Business School.”
Schumpeter also reports, “Google expects its goals to be met only 60-70% of the time, for example.”
Read the full article on The Economist.