June 18, 2021
Raise your Game with Objectives and Key Results Framework
OKRs are widely adopted as a powerful management strategy and a cultural model. The management aspect of OKRs focuses on managing business goals and gauging employee performance. On the other hand, the cultural component focuses on what is more important in driving the organization forward. The real value comes from the objectives and key results framework that help drive operational excellence, accelerate growth, and unlock business success. Objectives resemble the organization’s vision and purpose to encourage everyone for a faraway horizon. They keep everyone aligned in the same direction, thus setting a solid core to identify the difference between what is important and what is not. Key Results are quantifiable metrics to measure goal accomplishments. Organizations must link three to five key results against each objective to focus and achieve the best possible outcomes rather than predictable output.
Why are OKRs on Top of the Game?
A powerful Objectives and key results framework not only helps with goal-setting and performance enhancement but also increases the business ROIs. Have you ever thought of how OKRs can impact the bottom line of your business? The Sears Holding Company released performance metrics after implementing OKRs for 20,000 associates. In a span of 1.5 years, they witnessed-
- Teams consistently using OKRs were 11.5% more likely to move to the ‘higher performance’ category
- 8.5% surge in their hourly sales
The above data can be a good example to showcase the impact of OKRs in increasing ROIs as well as strengthening your goal-setting and performance management strategies. Other benefits that organizations can leverage from the OKR framework include-
- The consistent use of OKRs for effective goal-setting helps companies double their focus on the priorities in the given timeframe. When the business goals are prioritized, everyone within the organization can pave the path of success with increasing business productivity and performance levels.
- An engaged workforce turns out to be more productive. As per the Gallup Study, 53% of employees still fall in the ‘not engaged’ category. Driving employee engagement can improve productivity, higher retention, and a 21% increase in business productivity. Organizational leaders and managers use the OKR framework to define a shared set of goals for their teams to build radical focus around what is most important for the company. In addition, weekly or monthly check-ins facilitate communication between managers and their teams to realign with new priorities, learn about new opportunities, and share updates on overall progress.
Andy Grove, the Father of OKRs, once asked the question, “Where do we want to go and how do we get there?” Objectives and Key Results framework is the answer to this question. With OKRs, you can set a clear focus on the priorities, collaborate during regular check-ins, and align to the company’s vision to attain improved business outcomes.
The traditional goal-setting and tracking approach is quite outdated. Have you ever thought how much more you could achieve for your organization and raise your game with a more efficient tool like OKRs? The tangible key results from OKRs drive businesses to measure ROIs and add value to cultural growth and organizational success. Unlock:OKR is a simple yet powerful tool that can help your business grow faster through intense focus, alignment, rhythm, and agility. Want to know more? Book a Demo.