Updated: Feb 28
Big corporations and conglomerates have one thing in common— goal setting systems. These systems help establish goals that help drive the company and its people trample down challenging milestones.
The Objectives and Key Results or OKRs is a type of goal setting system that guides organisations in crafting the best objectives and critical milestones through strategic agility.
If a company wants to achieve an objective, OKRs help defines the necessary steps towards reaching the goal. Measurable milestones are crucial in OKRs since they track progress, and the management will have the capability to assess the current morale and drive of their people.
Here are some tips you can do to create OKRs that form a space of leadership uplift and well-driven employees.
Reach for the Stars
The objectives established in OKRs are set to the highest standards, which are another step than what seems possible. Contrary to most goal-settings that set realistic and achievable targets, OKRs push people to their limits. The act of stirring a person’s inner drive unlocks their potential and helps them achieve greater heights. Also, OKRs guide employees in leadership roles in enabling leadership growth by assisting team members to achieve their OKRs.
It’s Okay to Fail OKRs
With unrealistic objectives, the ideal clearance percentage of OKRs are often set to 60-70 per cent. Organisations should know that the only goal of OKRs is to push people outside of their comfort zone. OKRs with a 100 per cent clearance rating is set to the lowest standards and don’t offer any mindset change in people.
OKRs are more for the people rather than the company itself. Driven and motivated people perform better than those who are lacklustre. If OKRs have helped develop the mindset of the company’s people, then it has done its job correctly.
Quantifiable Is the Way to Go
Vague objectives don’t offer a challenging experience since people can subjectively tell themselves they’ve reached their goal. Take the goal that states, “Get positive feedback from clients” as an example. If two or three client clients gave positive feedback, would you still consider it an accomplished objective even if there are eight or nine clients who disapprove of your work? Technically speaking, with a vague intention like that, you can consider it cleared because it only warrants positive feedback without regard to others.
Quantifiable numbers and percentages should be incorporated into objectives to measure progress. Numbers don’t only provide clarity, but they’re more likely to push people to achieve them.
Communication Is Key
Any relationship expert would tell you that open communication is the best ingredient in meeting goals. It works like a charm in organisations too. A team that openly communicates opens possibilities that can help the team achieve goals faster or even make things easier.
Team meetings help track down the progress and identify possible solutions to make development move faster. A one on one conversation between leader and teammate dispels any concern and keeps motivation intact.
If you’re in Sydney or Melbourne and are looking for assistance in creating effective objectives and key results for your business, get in touch with us today! We're a full-service organisational alignment and leadership uplift advisory firm, offering everything from strategy definition to organisational change, to facilitation and training.