The term "Big Hairy Audacious Goal" (BHAG) was first coined by James Collins and Jerry Porras in their book "Built to Last: Successful Habits of Visionary Companies". A BHAG is a long-term goal that is both ambitious and inspiring, challenging a company to think beyond its current capabilities and pursue something truly significant.
A BHAG is typically set for a period of 10 to 30 years and should be a clear and compelling statement of the company's ultimate purpose or mission. It should be specific enough to be measurable, yet broad enough to inspire and motivate the company's stakeholders, including employees, customers, and investors.
The idea behind a BHAG is that it provides a long-term direction for the company, helping to guide its strategic decisions and prioritize its resources. It also helps to rally employees around a common purpose and inspire them to think creatively and innovatively to achieve the goal.
Examples:
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Google: Organize the world's information and make it universally accessible and useful.
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Microsoft: A computer on every desk and in every home.
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Amazon: Be the world's most customer-centric company.
Setting a BHAG can be a powerful tool for companies of all sizes, as it provides a clear and inspiring vision for the future and helps to align the efforts of all stakeholders towards a common purpose. However, it is important to set a BHAG that is realistic and achievable, while still being challenging and inspiring. A BHAG that is too unrealistic or unattainable can actually be demotivating and may undermine the company's overall performance.