Goal-setting methods have increased in number and relevance over the past couple of years.
This is largely due to the emergence of new companies and organizations pushing to thrive in this competitive world.
That’s why it’s crucial to find new ways to measure your work on a regular basis.
Objectives and Key Results or OKRs is a popular approach in setting goals, implementing plans of action, and monitoring output.
OKRs apply widely to individuals (employees), teams, and companies.
This framework is governed by a number of rules and strategies and has been effectively used by companies, particularly, in organizing employees in achieving their shared goals.
OKRs are a favorite tool for setting expectations and measuring results at organizations. Over the years, its process has now been more or less standardized.
So, what are OKRs? In a nutshell:
An Objective is a description of a goal to be achieved in the future. It sets a clear direction and provides motivation. It’s similar to a destination on a map.
A Key Result is a metric with a starting value and a target value that measures progress towards an Objective.
A Key Result is like a signpost with a distance that shows how close you are to your Objective.
The Objective is qualitative, and the Key Results are quantitative.
The Objective sets a goal for a period of time, for example, a quarter.
The Key Results then measure if the Objective has been met at the end of the time frame.
OKRs date back to 1954 during the invention of Management by Objectives (MBO) by Peter Drucker, which was later adopted by several companies like Intel, Google, and Twitter.
To this day, both companies, among other famous ones and startups, have been using OKRs as a goal-setting method.
And it has consistently yielded favorable results.
Benefits of OKRs
The main benefit of OKRs is that it creates organized dissemination of the companies’ goals to its employees. It connects the higher management to its employees, enabling teamwork across the board.
This kind of transparency improves the employees’ focus, determination, and helps them assess their own work and align it with the company’s mission and vision.
OKRs also enables employees to have a sense of pride and responsibility, knowing that they are part of something huge. In effect, leaders and movers are able to effectively supervise the direction the company is heading to.
Lastly, OKRs aren’t time-consuming to implement and follow through. For a couple of hours each quarter, you are able to check your performance and assess your progress. So, it’s very easy to use.
- Creates organized dissemination of the companies’ goals to its employees.
- Connects the higher management to its employees, enabling teamwork across the board.
- Improves the employees’ focus, determination, and helps them assess their own work and align it with the company’s mission and vision.
- Allows employees to have a sense of pride and responsibility, knowing that they are part of something huge.
- Isn’t time-consuming to implement and follow through.
- Very easy to use.
What is an Objective
An Objective describes the goal you need to achieve within a target date. It can be a personal goal, a team target, or a company’s vision and mission. Essentially, it jumpstarts the direction you are taking.
What are the Key Results
Key results take all that inspirational language and quantify it. You set them by asking simple questions like, “How do we know if we have met our objective?”
More than usual, OKRs are interchanged with several goal-setting frameworks that are alike in a lot of ways.
An [OKR](https://weekplan.net/goals-okrs/) is very similar to a goal, but with very minor differences. Goals are usually nonspecific. They are encompassing. They drive you in a direction but without clear details and metrics on...
Key Performance Indicator or KPI is a type of performance measurement, aimed at evaluating the success of an ongoing process or particular activity. KPIs can apply to projects, programs, products, and a variety...
The Balanced Scorecard has long been used as a strategic management framework used by companies across the world. While it’s still a popular framework, the Balanced Scorecard has faced competition from other frameworks...
First, the Objective should help in achieving the company goals and should be aligned with the corporate strategy or its vision. You start by defining 3 to 5 objectives of the company, team...
So, what makes a good Key Result? Under each Objective, make sure to define measurable outcomes. [Key results ](https://weekplan.net/goals-okrs/)should be quantifiable, achievable, and difficult, but not impossible. They can be based on growth,...
Combining the two (Objective and Key Results), we now have effective OKR examples. ### **Example 1 (For Team/Individuals):** **Objective:** Create a specific diet [plan](https://weekplan.net/) according to every athlete’s track event **Key results:** 1....
You might have read it a lot of time why an effective time management system is useful and also the basic ideas behind what a successful one would be. Namely, a good time...
The journey of a business owner is unpredictable—whether you’ve just entered the startup phase or launched a brand several years ago, there will be obstacles, fears, changes, and instabilities. That’s why surviving as...
When you are a working mom, the concept of “managing” your time seems to be completely foreign, you might feel like you are the slave of other people’s schedule. It doesn’t have to...
Students are some of the busiest individuals. You need to complete assignments, prepare for exams, attend lectures, socialize, pursue hobbies and have fun all at the same time. We believe effective time management for college...