What is the significance of SMART objectives in strategic planning?

In the fertile ground of strategic planning, SMART objectives are the potent seeds that sprout success. They banish ambiguity with laser-like clarity, defining the "what," "why," and "how" of your goals. Measurable milestones let you track progress, like watching a vine wind its way towards the sun. Ambitious yet attainable, they balance lofty aspirations with grounded realism, fueling motivation without discouragement. Aligned with your grand vision, each objective is a sturdy branch reaching towards the same canopy. And with a defined timeline and actionable steps, like the sturdy trunk, they provide a roadmap for every stride.

SMART is a great way for establishing realistic and measurable targets, but is used more as an internal tool for measuring success/failure, which at the micro level is great, but at the industry level you may need to use something more robust.

Managers prefer not to find themselves in a challenging situation at year-end when determining bonuses or appraising employees. Ambiguous objectives may lead to disputes over performance evaluations. SMART objectives ensure clarity, understanding, and alignment among all participants.

SMART objectives if used as a tool for measuring employees need to be integrated in support of existing performance KPI's. There is a thin line between having employees feel over pressured to deliver against undeliverable objectives, especially if its a departmental collaboration where others may not be performing at a higher standard.

They need to be articulated clearly, and in a way that doe snot overly complicate the end result, or how to get to it. Employees at any level in an organisation will automatically be deterred of any objective if they don't buy into it.

Personally i would incorporate a PESTLE analysis to begin with, that way you can have a much broader strategic look at the macro and industry environment your organisation is in, and then yes you could go one step further and do a SWOT analysis too. But, if you can incorporate your SMART objectives in with your PESTLE analysis, then you will have the makings of good and robust strategy.