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In a corporate planning sense, an "objective" is usually a statement of a desired directional change or improvement in some characteristic (usually performance related) of a business/organization or functional area of a business.


A functional area of a business/organization is generally a part of the organization that contributes to its overall operations in some characteristic way and is usually represented by a functional unit.


A functional unit may or may not contribute directly to the sales/output of the business/organization (for example, accounts, salary payments and personnel services are generally functional areas/units of a business/organization, but they only indirectly contribute to the sales/outputs of the business/organization).


A functional objective is an objective to achieve something that is in the area of allocated responsibilities/functions of the functional area/unit. The objective is usually based on the organization's corporate objectives but, depending on the size of the organization, may relate specifically to improving the operations of a functional unit.

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Q: What is a functional objective?
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In a corporate planning sense, an "objective" is usually a statement of a desired directional change or improvement in some characteristic (usually performance related) of a business/organization or functional area of a business.A functional area of a business/organization is generally a part of the organization that contributes to its overall operations in some characteristic way and is usually represented by a functional unit.A functional unit may or may not contribute directly to the sales/output of the business/organization (for example, accounts, salary payments and personnel services are generally functional areas/units of a business/organization, but they only indirectly contribute to the sales/outputs of the business/organization).A functional objective is an objective to achieve something that is in the area of allocated responsibilities/functions of the functional area/unit. The objective is usually based on the organization's corporate objectives but, depending on the size of the organization, may relate specifically to improving the operations of a functional unit.


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