Do you know the concept of OKR (Objective & Key Results). Let’s look together what these famous OKR (Objective & Key Results) are !
OKR (Objective & Key Results)
The OKR (Objective & Key Results) is a framework to define and thus monitor the objectives and the results thereof. It was created by Andy Grove CEO of Intel and then used in large groups like Google, Linkedin, Twitter and Uber.
The aim of the OKR is to align all of the troops towards the same objectives. It’s really important to work the objectives before to work about the product vision (for example with the product vision board).
In a very simplified way, we define where we want to go (objective) and how we will get there (key results). So as you can see, the basic concept remains relatively simple.
Objective: increase the number of visitors to this blog
- improve natural referencing (+ 10% over 1 month)
- make more attractive articles (+ 10% seen on next month’s articles)
- find a new attractive option (concentrates 2% of visits next month).
Admittedly the example is simplistic but this is exactly how we will define his son OKR.
The structure of OKR
As you will see, the structure of it is really simple.
- Objectives: you must start by defining 3 to 5 objectives on the company, the team or on a personal level. These objectives must be ambitious, qualitative or even dated.
Results: for each objective, 3 to 4 measurable, quantifiable and achievable results must be defined. A result can also be based on a simple concept of “Done” / “Undone”.
How to organize them
The OKR (Objective & Key Results) can be multiple and follow the vision and the missions of the company:
Thus in large structures, there will be additional layers. Each department will have its OKR and each individual will also have its own OKR.
Here is a representative diagram:
The 5 golden rules
It is important to respect the following 5 golden rules to get the most out of this framework.
Iterative: the objectives and their respective key results must be defined annually or quarterly.
Simple and precise: the objectives and results must be simple to understand. We will make a maximum of 5 objectives per block.
Challenge: It is important to have ambitious goals to get teams to outdo themselves. Results will be announced 20% above the most optimistic view.
Measurable: results should not be subject to interpretation. They must be measurable and not questionable.
Non-punitive: the expected results are very rarely 100% achievable. Don’t punish those who don’t perform well.
The concept of OKR (Objective & Key Results) is not that complicated. Never forget, but it is important that everyone moves in the same direction. And this framework perfectly meets this need.
Have you ever used this concept of setting goals in your companies? With this article, do you think this concept can help your business?
Fell free to ask me your question in the comments of this page.
Useful link: Agile Framing use this concept in the mission step