With the ever-changing business practices and policies, there’s a need to integrate methodologies that enhance performance. Businesses wish to remain competitive as the market and environment change depending on numerous factors.
OKRs have become the new buzzword among companies. The framework plays a significant role in projecting the organizational objectives across the board.
But What Is OKRs?
OKRs stand for Objectives and Key Results. It is a framework that defines and tracks goals and outcomes within a company. The objective should be realistic and qualitative while the Key results are measurable and quantitative.
Chiefly, the OKRs framework is used to focus the entire company around a common goal. The methodology is set on timeframes, with most companies reviewing it every quarter. Understanding the mechanism of this framework would improve your employees’ performance and steer your organization to greatness.
To develop the most effective OKR framework, you need to establish what you want to accomplish and cite it as your objective. The key results should be the measures you are going to take to achieve the objective.
The OKR examples covered below will help you understand better about the framework. But first, is the framework worth it?
Why Should I Use OKR Framework?
The framework has gained popularity and has been the drive behind popular companies such as Netflix, LinkedIn, and Google. The tech companies have yielded positive results from the framework commonly known for;
- Providing a clear direction- Whenever the employees understand the company goals, they clearly understand what is expected of them and regularly check their performance. Besides, the OKR framework enables the top management to break down the company objectives for every department and employee.
- Enhanced productivity- The clear focus that the OKRs framework provides informs employees of their goals and provides the room to reorganize efforts towards the specific objectives. The key results challenge employees to work harder, thus boosting their empowerment and engagement.
- Alignment- Effective use of the OKR framework will help you connect and align all the employees to the organizational objective. Efficiently. This way, the entire workforce understands the goals and how they can contribute towards them.
- Trackability- Since the OKRs framework is reviewed quarterly, you can make the necessary changes and improvements as soon as possible to facilitate progress and focus. It is easy to identify employees who rag behind, and prompt intervention would be crucial.
OKR Examples Covered
Below are some of the examples of OKRs to be used at different company levels
Objective: Expand the corporate business globally.
- Increase the organizational deal size by 30%
- Reduce churn by 10% annually
- Increase the sales target to $100 million
Objective: Improve the company’s corporate culture
- Celebrate minor improvements every week.
- Achieve a Pulse score above 8 every week.
- Launch a weekly feedback process for every department.
Objective: Improve the company’s SEO
- Improve on-page optimization
- Improve the website loading speed
- Acquire 20 new inbound links for relevant websites
Unlike the traditional goal-setting frameworks, OKRs have provided a quick and efficient framework to achieve organizational goals on time. This feature, among others, has made the methodology a critical aspect among top businesses across the world. All you need is to understand your company’s best framework and the best way to integrate it.