In developing strategic plans after scanning the macro- and microenvironments the managers will need to identify opportunities and threats to determine possible future directions. These opportunities and threats need to be balanced against the organization's current and potential competencies and capability to implement a particular strategic plan. Managers will want to set objectives or planned outcomes that should be a consequence of pursuing a particular strategic direction. Objectives need to be measurable so that managers can assess progress towards their goals. It may be trite to state that objectives need to be 'SMART' but SMART they should be, i.e.:

• Specific (the stated objective should be as precise as it can be);

• Measurable (need to be able to identify and measure actual achievements against the plan);

• Achievable (given resources at the firm's disposal);

• Relevant (does this objective fit the firm's purpose/mission);

• Timed (specific dates by which progress can be measured).

For example, the statement of a particular objective to satisfy the criteria might read: to achieve a 5 per cent increase in share of the UK mobile phone market measured in retail values rather than volumes by 2006.

There is often an assumption that setting objectives is a scientific process. Systematic it may be, scientific it is not. Setting objectives is a subjective process involving human judgement and as such involves all the human frailties that exist in individuals and in collective decision-making processes. Evaluations may be made subject to specific a priori