Objectives and key results (OKRs) is a collaborative goal-setting tool that offers a framework for setting organizational goals and tracking progress.
The OKRs methodology was introduced by Andy Grove, who firstly implemented it at Intel. Then, Google followed and made it popular.
This fascinating methodology is still misused and misunderstood. However, once you understand the concept, it becomes your #1 companion in achieving great results. We prepared a template and some guidelines to help you draft great objectives and key results.
OKRs: Best practices
Objectives
- Set clear objectives that will give you and your team a direction. Think bigger and ask yourself: Where do I want to go? What do I want to achieve?
- Your objective shouldn’t be measurable. It should set a direction.
- Objectives are described as ambitious, significant and inspiring. A well written objective will generate some discomfort.
- Good practice: set 3-5 objectives per quarter.
- Avoid linking employees compensation to this performance management tool, OKRs.
- Set quarterly OKRs. Having a shorter period will help you be innovative and agile.
Key results
- Key results measure progress toward your objective.
- Think of key results as milestones, moments of celebration.
- A key result positively impacts the performance of a specific metric.
- Key results are not “to do’s”.
- Usually, a key results leads to answering to the following questions: How will we know we can celebrate? What are the results I am aiming to achieve my objective?
- Key results measure the outcome, not the activity itself.
- A well written objective will have a limited number of key results – from 3 to a maximum of 5.
Initiatives
- Initiatives detail the work required to progress on key results. In other words, you can look at initiatives as your and your team’s “to do’s”.
- To plan for success, ask yourself the following questions: What do I have to do to achieve the expected results? What will it take to get there?
We know how overwhelming OKRs might sound at first. This is why we prepared a template to get you started with the methodology. This template will guide you to identifying ambitious objectives and set clear key results that will lead you, your team and company toward success.
We hope this template will help you with writing good OKRs and become a pro in using this goal-setting framework.
