It’s that time of year. Q4 wraps up with leadership teams finalizing business goals for the coming year, and now as we move into Q1, those goals cascade down to employees. If you’re like most leaders we talk to, there’s one phrase that comes up immediately: “We need to make sure these are SMART goals.”
I agree. We need goals that are Specific, Measurable, Achievable, Relevant, and Time-bound. But here’s my concern: that’s where most people stop. As long as the goals check the SMART boxes, we’re done.
The problem? SMART goals alone don’t solve the real challenge of goal cascading. When we stop at SMART, we miss the critical pieces that actually drive performance.
The Disconnect Between Business Goals and Employee Goals
Think about the typical goal conversation. Leadership announces, “Here’s what the business will accomplish.” Then managers ask employees, “What do you need to accomplish?” These conversations often feel disjointed. Business goals live in one world, employee goals in another.
But goals should motivate. The conversation should be: “Here is what the business needs to accomplish. Here is what you need to accomplish to be a part of that.” We’re creating alignment with a direct connection employees can see.
You don’t always have to tell people what that connection is—sometimes it’s more powerful to ask. Start with where the business wants to go: “We need to improve our margins this year.” Then ask your grain merchandiser or agronomy sales rep: “Where do you have the biggest impact on profitability? What steps can you take in your territory or with your customers to ensure we’re profitable in those areas where you can make a difference?”
This creates goal ownership, not just goal assignment.
Leading Indicators vs. Lagging Indicators
Most business goals are lagging indicators—they tell you when you’ve achieved something. “Increase feed tonnage by 15%” or “Reduce shrink by 2%” are lagging indicators. You find out at the end whether you hit the target.
Leading indicators tell you if you’re making progress toward getting there. They’re the actions and behaviors that, done consistently, will result in achieving the lagging indicator. For that feed tonnage goal, a leading indicator might be “Complete 20 on-farm nutrition consultations per month” or “Call 50 lapsed customers by February 15th.”
While business goals are typically lagging indicators, employee goals should be leading indicators. They should tell employees what to do, not just what outcome to hope for.
The Specificity Problem
Here’s where it gets interesting. “Increase agronomy sales by 10% by the end of March 2026” qualifies as a SMART goal. It checks all the boxes.
But does it provide the clarity needed to drive behavior? Does it tell your agronomist or location manager what to do differently starting tomorrow?
Not really.
Goals that drive behavior are even more specific: “Increase seed treatment adoption from 40% to 50% on corn acres by March 2026” or “Grow prepay enrollment by 15 customers in the north district by February 28th.” We’re narrowing it to where the employee can have the biggest impact and answering the question: “What should I be doing differently?”
This goes beyond making goals SMART. It’s asking: Are we specific enough to drive the behavior we want to see? Do employees understand how their steps align with business success?
Putting It All Together
Effective goal cascading requires three critical pieces:
Context and alignment. Every employee should draw a clear line from their individual goals to business success. They should understand not just what they need to do, but why it matters.
Leading indicators at the employee level. While business goals might be lagging indicators, employee goals should tell people what actions to take—specific enough to drive behavior, not just measure outcomes.
Focus on the impact zone. Goals should be narrowed to where each employee has the greatest influence. Your grain merchandiser shouldn’t have a goal about agronomy sales, and your feed specialist shouldn’t own grain margin targets. A goal outside someone’s control isn’t motivating—it’s frustrating.
As you cascade goals to your team this Q1, don’t stop at SMART. Ask the questions that create ownership. Get specific enough to drive behavior. Make sure every person can connect what they do every day to where the business is going.
That’s when goals stop being checkboxes and start becoming the roadmap that drives your organization forward.