Most founders can set ambitious annual goals.
Very few can actually achieve them.

Not because the goals are wrong, but because the execution system is missing. Annual goals are too big, too distant and too abstract for teams to act on. Without a structure to break them down, they get buried under daily tasks, distractions and the never ending whirlwind of running a business.

Quarterly Rocks solve this problem.
They turn long term direction into short term focus.
They create clarity, simplicity and momentum.

This guide explains how to take your annual goals and convert them into focused quarterly Rocks that your team can actually complete.

Why Annual Goals Fail Without Quarterly Breakdown

Annual goals tend to fail for predictable reasons:

• They are too large to visualize
• They feel distant and unurgent
• They lack ownership
• No one knows what “done” really means
• They are not tied to weekly execution
• They are forgotten by February

A Harvard study found that 92 percent of people fail to reach their long term goals because they underestimate the importance of consistent short term milestones.

Quarterly Rocks bridge the gap between ambition and action.

The Formula: Annual Goals → Quarterly Rocks → Weekly Actions

Great companies use a simple but powerful sequence:

1. Set annual goals
2. Break them into quarterly Rocks
3. Break Rocks into weekly actions and measurables

This turns your strategy into a predictable operating rhythm instead of a set of distant aspirations.

Let’s walk through each step.

Step 1. Start With Clear Annual Goals

Annual goals answer one question:

“Where do we need to be 12 months from now to move the company forward?”

Strong annual goals share these qualities:

• Measurable
• Aligned with long term vision
• Limited in number (5 to 7)
• Focused on big outcomes

Examples of good annual goals:

• Increase MRR from 40k to 100k
• Reduce churn from 6 percent to 3 percent
• Launch Version 2 of the product
• Hire and onboard three key roles
• Improve customer satisfaction from 30 to 50 NPS

Once you have strong annual goals, the next step is to break them into achievable quarterly chunks.

Step 2. Identify What Must Happen in the Next 90 Days

Quarterly Rocks answer this question:

“What must get done in the next 90 days to stay on track for our annual goals?”

This step forces prioritization.

Ask yourself:

• What is the most important next step
• What is blocking this goal today
• What capability must we build
• What milestone must we hit
• What problem must be solved now

Each annual goal usually turns into one or two Rocks per quarter, depending on stage and complexity.

Step 3. Turn Each Annual Goal Into 90 Day Rocks

Here are examples so you can see the pattern.

Example 1: Grow Revenue

Annual Goal:
Increase MRR from 40k to 100k

Quarterly Rocks:

• Build new outbound sales playbook
• Increase qualified pipeline to 300k
• Launch updated pricing model
• Improve demo to close rate from 18 percent to 25 percent

These Rocks build toward the bigger outcome.

Example 2: Improve Customer Retention

Annual Goal:
Reduce churn from 6 percent to 3 percent

Quarterly Rocks:

• Redesign customer onboarding to shorten time to value
• Launch customer feedback system
• Build customer success playbook
• Increase weekly active users from 60 percent to 75 percent

Each Rock strengthens retention in a measurable way.

Example 3: Scale Product Development

Annual Goal:
Ship Version 2 of the product

Quarterly Rocks:

• Complete V2 architecture
• Ship onboarding redesign
• Release analytics dashboard
• Reduce bug backlog by 40 percent

Each Rock represents a key milestone on the path to V2.

Step 4. Assign One Clear Owner Per Rock

Accountability drives execution.

A Rock must have:

• One owner
• One finish line
• One definition of done
• One deadline

When multiple people own a Rock, no one owns the Rock.

The owner is responsible for driving progress even if they are not doing every task themselves.

Step 5. Break Rocks Into Clear Milestones and Tasks

A Rock without milestones becomes a vague aspiration.

Break each Rock into:

• Major milestones
• Supporting tasks
• Clear weekly checkpoints

This is where Wave shines by connecting Rocks directly to tasks, owners, weekly meetings and scorecards.

Rocks become part of the weekly operating rhythm instead of a once a quarter conversation.

Step 6. Review Rock Progress Weekly

Rocks fail when teams set them in January and revisit them in March.

Weekly review is the secret to consistent execution.

The weekly rhythm should include:

• On track or off track
• What got done
• What is blocked
• What help is needed
• Next actions

Teams that review Rocks weekly are significantly more likely to complete them according to EOS Worldwide data.

Wave builds this into your weekly meetings automatically.

Common Mistakes When Breaking Goals Into Rocks

Avoid these pitfalls:

• Setting too many Rocks
• Confusing Rocks with tasks
• Making Rocks vague
• Not tying Rocks to annual goals
• Assigning multiple owners
• Never connecting Rocks to weekly actions
• Tracking Rocks in scattered tools
• Forgetting to update Rocks weekly

Great Rocks are simple, clear and connected to execution.

A Quick Checklist for Strong Quarterly Rocks

Ask these questions for each Rock:

• Does it tie directly to an annual goal
• Is it achievable in 90 days
• Is it measurable
• Is it meaningful
• Does it have one owner
• Is the finish line clear
• Can it be discussed weekly

If the answer is not yes, refine it.

How Wave Makes Quarterly Execution Easier

Wave turns your strategy into a connected operating system:

• Annual goals live in Foundation
• Rocks are set each quarter
• Each Rock connects to tasks
• Scorecards track measurables
• Weekly meetings review progress
• Accountability is built in
• Issues surface early
• Everyone sees priorities clearly

Instead of spreadsheets, docs and scattered tools, Wave makes your annual goals visible, actionable and trackable every week.

Quarterly planning becomes execution, not theory.

Final Thought

Annual goals give you direction.
Quarterly Rocks give you traction.

When you break big goals into 90 day chunks and review them weekly, your business becomes more focused, more aligned and more predictable. This is how great companies turn vision into reality one quarter at a time.

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