OKR is a goal setting framework invented at Intel. Methodology helps companies focus effort on the important issues needed for growth.
The framework is increasingly gaining popularity and being adopted by a number of companies such as LinkedIn, AirBnB, Twitter, Dropbox, UBER, Google. Works for every size of the company (even for self-employed).
Idea is to set measurable goals for an every quarter of the year.
What does mean OKR?
OKR = Objective + Key Results
Objective – what I want to accomplish. Using aspirational Objectives is highly recommended.
Key Results- how I will accomplish the objective and how it will be measured (set for every Objective):
- Quantitative & time related.
- Success Criteria that show if we are progressing.
- Metrics (recommended) or Milestones.
- Limited in number.
What’s unique about OKR?
- Simplicity: The process is extremely simple. The OKRs themselves are supposed to be simple and easily understood.
- Shorter cadence: Instead of using an annual static planning process, OKR uses shorter goal setting cycles (usually every quarter), enabling dynamic planning and faster adaptation to change.
- Stretch Goals: Goals that take the team out of the comfort zone and make them rethink the way they work to reach maximum performance.
Grading and reflecting on past OKR progress is ctitical for setting future OKRs.
When you are reviewing OKRs you should assign grade from 0 to 1 for each.
- 1 – fully satisfied (100% done)
- 0.5 – 50% done
- 0 – nothing was done
According to Johgn Doerr (Google) you should point at 0.6 – 0.7 grade, because the goals should be optimistic.
Objective: Develop new skills at ES6
- Refactor the code of the old project (Project Name) and rewrite JS, using Classes.
- Finish 80% of Wes Boss ES6 course.
Objective: Increase web traffic by 20%
- Add at least 2 portfolio realizations.
- Enhance the design of Case Study details page by adding videos and animations to at least 2 case studies.
- Publish at least 3 blog posts.
Objective: Add at least one agency client to portfolio
- Attend at least 2 networking events and get at last 10 contacts to CEO/Directors for each event.
- Pitch our offer to at least 30 agencies.
- Send follow up emails to at least 30 CEO/Directors.
Why OKRs are so popular?
- It helps to architect the simplest strategy for achieving company-wide goals.
- You know what you are going to do, so you are focusing on important things, ignoring the rest.
- Establishes indicators for measuring progress
- Focus on 2-3 objectives at every Quarter, with 3-5 key results for each.
- Set optimistic OKRs, because it is better to get 0.6 grade of optimistic goal than 1 of weak goal.
- Review the progress by yourself every two weeks.