This process actually must take place at the beginning of the hiring process. It should not occur six months later when the person is not performing to your expectations. It is often impossible to bring these expectations into congruence at this late a date.

There are some basic rules for setting goals: 

1. The goals must not be unilateral. Both parties must set these goals together. If they come from above, there is no emotional commitment on the part of the sales person. It is best to ask their feedback first. Note the objective of setting goals WITH a loan officer, not FOR a loan officers.
2. Goals must be realistic. The tendency for goals offered by the sales person is “pie-in-the-sky.” Do not let them set goals that are completely unrealistic. Good goal planning helps a person stretch to reach their capacity. However, the ultimate goal must be reachable.
3. Goals must be specific. It is not acceptable for the goals to merely specify a dollar income level. If they say, 'I would like to make $100,000 this year,' how will that goal be obtained? It is in the details that real success is achieved. This is why short-term goals are most important.

There are three types of goals: short-term, intermediate and long-term. All three are important, but success is built day-to-day and that is why short-term goals are most important. Short-term actions are the building blocks that make the achievement of other goals possible:

• Long-term goals would be the most general. They may include business goals and personal goals. An example of a loan officer’s long-term business goal may be early retirement or the purchase of a second home. How are you going to help them reach their long-term goals? Just knowing these goals may assist with regard to helping you direct them.
• Intermediate goals are those that can be reached over the year. These may include annual income, reaching bonus levels, winning a trip or even taking a certain type of vacation. You can see that these goals are “closer” and therefore may be even more important with regard to motivation. If the company’s annual trip is to Hawaii, then perhaps a picture of the Islands should be posted. What support will they need to help them achieve their intermediate goals?
• Short-term goals are the foundations that define success. All goals are achieved one step at a time and these short-term goals are actually the steps. If the goal is $100,000 in income this year, how many loan applications will it take to achieve this goal? What actual marketing actions must be taken every day to achieve this level of loan applications?

Does your loan officer make a “to-do” list every day? This list should be loaded with short-term goals. It will give them the opportunity to prioritize their everyday actions as well. Which items on the list will be more important with regard to achievement of their goals? Often, loan officers don’t prioritize their activities. They are too busy accomplishing everything on their list. There is no doubt that this exercise will be extremely important with regard to the support of your loan officers.

Dave Hershman is Senior VP of Sales of Weichert Financial and the top author in the mortgage industry. Dave has published seven books, as well as hundreds of articles and is the founder of the OriginationPro Marketing System and Mortgage School – the online choice for expert mortgage learning and marketing content. His site is www.OriginationPro.com and he can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it..