I think that having very specific goals up front, i.e., SMART (maybe we work at the same place actually), seems like a good idea in practice but it isn't very practical for most teams.
The problem really is our incremental goals change. The business changes and as developers we need to react and react properly and in a reasonable time frame.
Consider setting goals that tie with your team or group's purpose in the organization. Your team wouldn't be funded if it didn't serve a purpose - a macro purpose. Have collective goals that exist across your entire team and that align to the business. Give people responsibility and hold people accountable. Celebrate their successes and failures (if we don't fail at times we're likely not trying and that's what you want from people). HTH
