What term describes the process of aligning the organization's top-level strategic goals with the short-term goals set at lower levels?

• A. Cascading goals
• B. Mission statement
• C. Operating Plan
• D. Strategic planning

Answer: (A)

Cascading goals describe the process of translating the organization’s top-level strategic aims into concrete targets at every level, from departments to teams to individuals. This downward flow ensures that each layer’s objectives directly support the overall strategy, creating a clear line of sight from day-to-day work to strategic outcomes. Metrics, targets, and incentives are aligned across the organization so that everyone is pulling in the same direction. For example, a goal to boost profitability might cascade into cost-reduction targets for operations, revenue targets for key product lines, and personal performance goals for sales and support staff.

Other terms refer to different ideas: a mission statement states why the organization exists, an operating plan covers the specific actions and resources needed to run day to day, and strategic planning is the broader process of defining strategy itself rather than the downward translation of goals.