OKR (Objectives and Key Results) is a management framework you might have heard of in connection with Google. OKRs facilitate prioritisation, collaboration, alignment, transparency, entrepreneurialism and the acceleration of outcomes in an organisation. Although it´s not entirely new, this leadership model is an innovative management method that fits especially to agile companies and to those who do not support a pure top-down approach. OKRs connect the strategic dimensions of vision, mission and the company´s strategy with the operational level. Main goal is to set clear focus for the next three months across an organisation´s management, throughout departments and employees.
Even employees in agile, growing companies very often miss the clarity towards the bigger picture. Although this seems to be a typical downside of much bigger „supertanker“ companies. OKRs help to provide the neccessary clarity for employees where their focus is on. With a disciplined goal setting process, the management integrates valuable bottom-up input to decide where to concentrate on for the next 3 months. This way the vision, mission and strategy is being constantly translated into small digestable chunks. Furthermore they decide on ressources across departments and avoid that employees or departments run behind opportunities off target.
OKRs describe a limited set of objectives and key results, in order to set focus for the company and their individual departments in the next three months. Further it defines how the goals can be successfully achieved. Each objective will be specifically described with a defined number of key results in order to identify the value drivers. The objectives (O's) are motivating, challenging and often not fully accomplishable. Whereas key results (KR's) describe a very specific, measurable path, towards the achievement of objectives. They specify how to measure the achievement of objectives and how the results are evaluated. They define the expected value of the planned success.
The model is limited to a maximum of five goals (O´s), with four milestones (KR´s). Limitation is key. The great advantage of this framework is to ensure that the objectives of every level can be broken down (cascaded) to the respective level below. The top company targets deliver the Big Picture.
OKRs as leadership model add value to all kinds of company sizes. Starting from 3+ employees to thousands of employees. Google, Zynga, LinkedIn, Orderbird, mymuesli, posterxxl.de are just a few who still work with OKRs. Depending on size and industry type, there might be some individual tweaks neccessary, but the basic framework stays untouched.
I work as an OKR consultant since 2013 and have implemented OKRs in all different types and sizes of companies. From early stage companies with a team of 5, to fast growing companies with 250+ employees up to multinational Groups with 3000+ employees. Over the years I have developed a slim process to train the methodology, but also to make sure that the connection points towards the daily business routine and the strategic layers are working seamlessly. This reduces the risk significantly to implement such a leadership framework throughout the company. Read more about the options here...
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Let´s have a Skype Call or Google Hangout how I can help you. In this area I work on a simple project basis as an OKR-Coach or OKR-consultant. Yes, I also do remote OKR-webinars.
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