Business aims and objectives - OCRWhat are aims and objectives in business?

All businesses have aims and objectives. These give a business direction and provide a purpose for what the business does each day. A business aim is the overall target or goal of the business, whereas business objectives are the steps a business needs to take to meet its overall aims. A business may have several different objectives that will help it to meet its aim.

An example of a business aim is ‘to make £120,000 profit’. An example of a business objective is ‘to make £10,000 profit each month for the next year’.

Business aims and objectives fall into two main categories: financial and non-financial.

Business objectives are often created using the SMART acronym:

• S – Specific
• M – Measurable
• A – Agreed
• R - Realistic
• T – Time-bound