Wondering if your company is OKR ready?
5 Tips On How To Set Up OKRs In 2021
Did you know how beneficial OKRs can be for your business? They can be looked upon as a leadership process for setting up business goals. All that it requires is effective communication and a method for monitoring goals and results every quarter. Many known brands like Walmart, Twitter, Spotify, Microsoft, and Google use OKRs for the success of their business since it connects the company with teams and helps define personal objectives, and help measure them. It also allows different employees to work in one direction to achieve company goals.
OKRs were the brainchild of Andy Grove, the former CEO of Intel. At their core, OKRs are a goal-setting tool used by teams to set challenging objectives followed up with measurable results. An OKR spells out a company’s priorities and aligns them with a specific performance target.
How to Set Up OKRs?
When you set up OKRs, each team member gets to know what is expected of them. To make OKRs even more effective, they are made public to know what is expected from the other person and the kind of dependency each one has on different departments. It enables the team to move forward to achieve the same business goal.
OKRs have been seen to benefit businesses of all kinds. It’s a fantastic opportunity to focus on work, learn from mistakes, share critical feedback and then offer each member to excel and perform well. Here are five tips on how to set impactful OKRs:
1. Keep Them Straight and Simple
If you want to ensure that your OKRs are practical and easily understood, keep them simple. These are meant to be goals that each and everyone should be able to achieve in minimum time. , give a thought about plans that are realistic and can be completed in a given time frame.
Additionally, think about what can fuel your business and what is the need of the hour. Is it social followers that can be potential leads, or is it higher CTR leading to better conversations? These are few examples of goals that can be realistically set and can be achieved in a lesser amount of time.
Further, it is a good practice to keep your goals as simple as possible. It enables your team to stay focused, and the goals become more achievable. In cases where your goals are too complex and deep, your team may lose track, and the goals will take a longer time to achieve. They would have questions after questions and slowly and gradually may lose interest. Keep the goals straightforward as far as possible.
2. Be Precise and to the Point
While setting your business objectives, try to be precise about what you wish to achieve. Try to imagine how you can turn your dreams into a reality. For you to succeed, it would not be a bad idea to draw out an action plan. In the plan, try to capture all the steps possible to complete your business goal. It should also best illustrate how you can reach the goals in minimal time.
Last but not least, try to set clear expectations for each team member. Chalk out the list of expectations for every team to know what needs to be achieved and how. Try to focus on your goals and then delegate responsibilities. It will ensure that each person is well prepared and knows what to do to achieve success.
3. Set Measurable Goals
A large part of any OKR is the results. Only through monitoring and evaluation would you come to know how close or far you are from success. When you set OKRs, ensure that your goals are measurable at each stage. Putting a number against the plans makes it easy to measure and see if you are on track.
Challenges arise when you find it difficult to measure your goals. In case they are unquantifiable, then you have made it challenging for the team to achieve results. Create targets or milestones that are time-dependent, and then see if your team is performing or not.
If you cannot set OKRs that can be measured, it is best not to put OKRs first. It will only leave your team confused and frustrated since they would not know how to complete the business goal.
4. Break Down Large Goals into Smaller Ones
Small to medium-sized goals are seen to keep any team motivated and much more focused. This way, the group slowly and gradually progresses towards the larger purpose, and the team members also feel much more confident.
Mini goals need to focus on the task that needs to be accomplished in a given timeframe. They can also be seen as critical milestones that best illustrate the team’s progress. These goals need to be targeted quite similarly to your OKRs.
By breaking down large tasks into smaller ones, you can make things less confusing for your employees. It makes the job much more manageable and also helps boost confidence. Team members will feel much more motivated, and that would push them to achieve the bigger goal.
5. Have the Right Resources at the Right Time
To succeed in your business, you need to have the right person at the right time in your team. Talented individuals who know how to work on practical tools can only steer your ship to success. You must have an HR team that knows what qualification, talent, and experience you are looking for.
While hiring the right person, you need to keep a tab on budgets. Do you have the funds to hire the right person and then enable them to reach your business goals? You would need to note the kind of costs you would incur while supporting your team.
Money is always a critical factor to help you decide on what you can do and what not. Always ensure that the HR team is aware of your budgets while hiring the right talent. And when the talent is on board, you would need to make him aware of the budget you have to attain your business goals. It’s always a great idea to create a budget plan and help them see where all you can allocate funds.
Your team may also need additional resources like office supplies, computer hardware, and software tools. If you want them to succeed, you would need to arrange for these resources at a cost that you can afford. It will allow you to achieve your business goals most effectively with minimal hiccups.