Capello has only been in charge of England for two matches
The Football Association has set England coach Fabio Capello the target of reaching at least the semi-finals of the 2010 World Cup or Euro 2012.
It is one of a series of ambitious aims set out by the FA in an extensive review published on Tuesday.
The governing body also plans to appoint an international performance director and has given the go-ahead to the National Football Centre.
The project at Burton will be up and running by 2010.
The review - which is believed to be the most extensive ever carried out by the FA - was ordered following England's failure to qualify for Euro 2008.
Capello was appointed in the wake of that, and has only been at the helm for two matches, but the FA's "Vision 2008-2012" makes it clear what is now expected of him.
The same expectations have been laid out for England's women's team, managed by Hope Powell.
England's men last reached a major semi-final at Euro 1996 when Terry Venables' side lost to Germany on penalties. Capello must now at least match that achievement either in South Africa in 2010 or at Euro 2012 in Poland and Ukraine.
But chief executive Brian Barwick insisted the FA is not asking too much of Capello and said the Vision document, which is subtitled "a world-class organisation with a winning mentality", was inspired by the new England coach.
Barwick told BBC Radio 5 Live: "Fabio Capello is a winner by his nature and wouldn't recognise targets other than those that reflect winning.
"That's the nature of the guy and that's the confidence we have in him. The phrase 'winning mentality' hasn't come from (chairman) Lord Triesman or Brian Barwick, it's come from Fabio Capello. It's a phrase he uses a lot."
However, the FA's consultation notes Capello's task is not helped by England producing "insufficient high-quality players to represent the England national teams and insufficient quality coaches".
To this end - and after years of delay - the National Football Centre at Burton has finally been approved and will be up and running by 2010.
According to the report, the centre will act as a "preparation base for all the international representative teams and a hub from where best practice can be shared".
Barwick added: "The plans for the NFC had come to a grinding halt when I joined - not least because of Wembley Stadium.
"It was a case of 'let's get one built, finished, and operational" and now it's time to turn to the NFC. We want it opened and we want it to be at Burton and I expect that to be 100% clarified by the board in June."
The new performance director will oversee all the national teams below the senior men's side. Capello said he welcomed the idea.
"It will be very important to make improvements, to bring new ideas in," he told BBC 5 Live.
"It's not just about helping me or anyone specifically, it's to help everyone achieve better results by bringing new ideas from throughout the football and sports world."
Among the FA's other 'Major Milestones' are:
Successfully bid to host the 2018 World Cup
Wembley achieving an annual operating profit by 2012
The FA's move to Wembley completed by 2010
RESPECT campaign improves overall disciplinary performance by 25% by 2012
Commercial/broadcast revenues increased by a substantial amount at the next review date in 2011
One million 5-11-year-olds trained through FA Tesco Skills Programme by 2010
125,000 existing teams retained and 20,500 new teams created by 2012
26,000 referees retained and an additional 8,000 referees recruited by 2012
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