OKRs

The other white meat in the world of goal tracking, part 2.

     It is clear, in business today you must have goals and these goals should do something that moves you or the company forward. Previously, we talked in detail about what OKRs are and how to create them.  In the second part of this two part series on OKRs, we will look at the benefits of OKRs, when to use them and avoiding common mistakes. Like SMART goals OKRs take some thought and you can’t just throw them together.  

Benefits:
Two key benefits to OKRs: they are flexible and easy to use or change. These benefits make OKRs attractive to use; however, it also makes it possible to fall into some pitfalls.

• Flexible:
  OKRs are flexible and change with your needs. If your company's direction changes, your OKRs can be adapted to match.  No process should be more important than good sense in everyday business.

• Simple to use and manage.
  When set up and used regularly, OKRs are simple to use and do not take much time to implement. Often, it takes just a few hours each quarter to check and review your OKRs. Although, you should check them a little more regularly to keep up with progress and mark said progress on a weekly basis.

Common OKRs pitfalls or mistakes:

1. Using OKRs as a task list. Use OKRs to measure if you are adding value, not if you are delivering tasks. Therefore, you need to understand the difference between goals and tasks.
2. Setting too many OKRs. This mistake is a common consequence of the first one. Rather than being a laundry list of every single thing you do, OKRs list your top priorities. OKRs define what is most important during that quarter.
3. Not aligning your OKRs. OKRs is an alignment tool, so you should never set your OKRs in isolation. You must to talk to the other teams.
4. “Set it and Forget it.” OKRs are not New Year's Resolutions. Without regular follow-through, you will never achieve them.

Tips for writing good OKRs
 
For Objectives:

• First of all, Objectives should be simple, short and easy to memorize. If you have to stop to breathe while reading your Objective, you are doing it wrong.
• Second, Objectives shouldn’t be boring. They can fit the organizational culture and be informal and fun. You can use slangs, internal jokes – whatever fits your culture.

 For Key Results:

• Separate metrics from initiatives
• Set few of them. Usually between 2 and 5 per objective.

Example:
Let’s say that you are the HR director for a small tech company and need to develop a training academy for your new and existing employees. You could create an Objective that says: "Design and launch internal employee training academy". Now, you need to determine how you are going to get that done by creating the Key Results to measure how you are doing.

This example would be:
     O: Design and launch internal employee training academy
     KR: Survey 10 department directors for our educational needs and gaps
     KR: Talk to four other HR Directors on how to do internal education
     KR: Define five training modules and design content for each
     KR: Conduct the first training sessions to test out the curriculum
 
The Key Results define what we mean by "design and launch internal employee training academy." As with anything in life, there are many ways to accomplish the same objective; although, in the end, both OKRs and SMART goals will help you achieve your goals and will help you have a clear direction on what you are trying to accomplish, you may find it easier to use OKRs over SMART goals. The key is to use a program that works for you and your company and to be consistent and follow through. Hopefully, this 2-part series gives you a better understanding of OKRs and how to use them.