OKRs have been the talk of the town. The pandemic has given us great insights and the value OKRs can bring.
We frequently hear from leaders who are having trouble implementing OKRs in their organizations, so we will walk you through the process step-by-step and teach you how to make OKRs work for your team and your bottom line.
What is OKR
OKR stands for Objectives and Key Results, and it is a powerful goal-setting framework for measuring goals in organizations. Originally developed by Intel and popularized by companies like Google, OKRs provide a simple, yet powerful way to align teams and focus on key priorities.
In brief, an OKR consists of an objective, which is a high-level goal that aligns with the company’s vision and strategy, and key results, which are measurable milestones that help track progress toward the objective.
Here are some key points to keep in mind when thinking about OKRs:
- Objectives should be aspirational and challenging, yet achievable.
- Key results should be specific, measurable, and time-bound.
- OKRs should be set collaboratively and aligned with the company’s vision and strategy.
- OKRs should be reviewed regularly and adjusted as needed.
- OKRs should be separated from performance evaluations to encourage risk-taking and innovation.
Overall, OKRs provide a simple yet effective framework for setting and measuring goals in organizations, helping teams stay focused on what matters most and drive progress toward shared objectives.
10 Steps to successfully implement OKRs in your company
Set Vision 👀
Before diving into setting OKRs, it’s essential to start with a clear and compelling vision for your company. This vision should guide your OKRs and provide a sense of purpose and direction for your team. Make sure everyone is aligned on the vision, and use it to guide your OKR-setting process.
Measure Value 📈
When setting OKRs, it’s crucial to focus on value creation. Identify the metrics that matter most to your business and set Key Results that align with them. Your OKRs should be specific, measurable, achievable, relevant, and time-bound (SMART), and should reflect your company’s overall strategy and priorities.
One of the benefits of using OKRs is the ability to focus your team’s efforts on the most important goals. Make sure your team has a clear understanding of what’s most important and focus on achieving those goals. Avoid setting too many objectives, as this can dilute focus and reduce overall effectiveness.
OKRs require a cultural shift towards transparency, accountability, and continuous improvement. Make sure your team understands the purpose and benefits of OKRs, and create a culture where everyone feels comfortable setting ambitious goals and taking risks to achieve them.
Have Patience 🕰️
Implementing OKRs takes time and requires patience. Give your team the space and time they need to adjust to the new process and avoid rushing things. It may take a few OKR cycles before you see significant progress, but stay the course and you’ll start to see the benefits.
Separate OKRs and Performance Reviews👥
OKRs should be used as a tool for setting goals and aligning your team, not for evaluating individual performance. Separating OKRs from performance reviews helps ensure that people feel comfortable setting ambitious goals and taking risks without fear of negative consequences.
Avoid Individual OKRs 🙅♀️
While individual goals are important, it’s best to avoid setting individual OKRs. This can create a competitive culture that can be counterproductive and lead to a lack of collaboration. Instead, focus on team-level OKRs that align with the overall vision and strategy.
Communicate and Reward Regularly🗣️
Communication is key when it comes to implementing OKRs. Make sure everyone understands the goals and how they relate to the overall vision and strategy. Regularly communicate progress and celebrate successes along the way. This will help keep everyone motivated and engaged.
Receive Top-Management Buy-In👑
OKRs require buy-in and support from top management to be successful. Make sure leadership is fully onboard with the process and understands the benefits. Get them involved in setting and tracking OKRs and use their support to help drive adoption throughout the organization.
Use Moonshot or Roof Shot Objectives🚀
Finally, when setting Objectives, consider using Moonshot or Roof Shot goals. These are ambitious, long-term goals that can inspire your team and drive innovation. While they may seem unrealistic at first, they can help push your team to achieve things they never thought possible.