Gaurav SabharwalUltimate Guide to Objective and Key results – OKR Meaning and Examples
Do you dread setting goals for your organization as you don’t see useful results? […]
Are you struggling to make sense of OKR tracking? Many individuals and organizations, despite their best intentions, often grapple with the complexities of OKR (Objectives and Key Results) tracking.
Welcome to “OKR Tracking Essentials: A Comprehensive Handbook for Success.”
This blog aims to demystify the world of OKR tracking and provide you with the knowledge you need to navigate it effectively.
Whether you’re new to OKRs or looking to refine your tracking strategy, we’ve got you covered.
What is OKR tracking?
OKR tracking is a method to measure the progress of these objectives and key results to plan, course correct, and achieve the top-level company objectives.
It’s all about setting clear objectives and pinpointing specific key results that tell you when those objectives are met.
For example, your objective is to “Boost customer satisfaction.” A key result could be “Increase customer survey scores by 10%.” OKR tracking involves routinely checking in on these key results to ensure they’re on the right track. To make things easier and keep everyone on the same page, organizations often use goal-setting tools or OKR software. Plus, they hold regular check-ins to discuss progress and tweak strategies as needed.
Why you cannot skip ‘OKR tracking’
The purpose of OKR tracking is to spot deviations from your goals so that you can take corrective actions to get back on track before you veer too far off course.
1. To solve problems and hurdles in the progress
OKR tracking isn’t just about monitoring progress; it’s about actively addressing any problems or obstacles that arise. Business performance management tool can enhance this process by providing real-time insights and alerts. By regularly tracking your Key Results, you can quickly identify issues and take corrective actions to get back on track.
2. To maintain high individual accountability
OKR tracking fosters a culture of high individual accountability. Team members can clearly see how their work contributes to the larger objectives, making them more responsible for their tasks and outcomes.
3. To align team efforts toward achieving top-level company objectives
By monitoring OKRs, you ensure that all team efforts are aligned with the top-level company objectives. This alignment keeps everyone moving in the same direction, reducing conflicts and wasted efforts.
4. To enable employee growth and skills development
Team members learn to innovate and take suitable initiatives to achieve challenging yet achievable OKRs, which can lead to professional development and increased skill acquisition.
5. To identify poor OKRs and refine them for future cycles
Regular tracking helps in identifying poorly defined or unrealistic OKRs. This, in turn, allows for refinement and improvement in formulating objectives for future cycles, making the process more effective over time.
6. To continuously learn to become better at planning and execution
It enables organizations to continuously learn from their experiences, both in planning and execution. Implementing an hr performance tracking system can further enhance how organizations capture and utilize these learnings. This knowledge contributes to better decision-making and strategic planning in the long run.
How do you track OKRs that lead you to their achievement? (Steps)
1. Ensure you create meaningful OKRs for everyone
To ensure your OKRs are meaningful and motivating, follow these guidelines:
Align with company goals: OKRs should directly support your organization’s top-level objectives. For example, if the company aims to increase market share, an individual’s OKR could be “Launch a new marketing campaign to boost customer acquisition by 15%.”
Be specific and measurable: Make your OKRs clear and quantifiable. Instead of a vague objective like “Improve customer service,” opt for “Increase customer satisfaction ratings from 80% to 90% by the end of the quarter.”
Ownership and accountability: Assign OKRs to individuals or teams to establish ownership. For instance, assign the key result “Reduce customer support response time by 20%” to your Customer Support Manager.
Stretch but achievable: OKRs should be challenging but attainable. If they’re too easy, they won’t drive improvement; if they’re too hard, they might demotivate. For instance, if the marketing team usually achieves a 10% increase in website traffic, setting a 50% increase might be too ambitious.
2. Use an efficient and transparent OKR software
Selecting the right OKR software is crucial for a seamless tracking process. Look for these attributes:
Real-time updates: Ensure the software allows for real-time updates. For instance, you should be able to see progress percentages change as team members report their achievements.
Transparency: The software should offer transparency across the organization. It should be easy for anyone to view and understand the OKRs. For instance, visualize your company’s OKR progress through charts and dashboards that all employees can access.
Notifications and reminders: The software should have features that send notifications or reminders for updates, deadlines, and check-ins. For example, team members should receive automated reminders to update their weekly key results.
3. Appoint in-house OKR Champions to manage OKR tracking
Having in-house OKR Champions can greatly enhance the effectiveness of your OKR tracking process. Here’s what they can do:
Training and support: OKR Champions can train and support team members in setting and tracking OKRs effectively. For instance, they can conduct workshops to explain the OKR process.
Quality assurance: OKR Champions can review and provide feedback on OKRs to ensure they meet the SMART criteria. They can also assist in refining key results. For example, they can suggest improvements to make key results more measurable.
Reporting and insights: OKR Champions can analyze the data collected from OKR tracking and provide insights to leadership. For example, they can identify patterns or bottlenecks in the progress of key results.
4. Update your OKR progress weekly
Consistent updates are key to successful OKR tracking. Follow these actions:
Set a regular cadence: Choose a specific weekly day for OKR updates. For example, every Monday, team members should log into the OKR software and report their progress.
Review and discuss: After weekly updates, schedule brief team meetings to review progress, discuss challenges, and plan for the next week. This meeting keeps everyone aligned and accountable.
Adjust as needed: If a key result falls behind, use these weekly updates to decide corrective actions, whether allocating more resources, changing the approach, or seeking help.
5. Hold weekly OKR check-ins
Effective weekly check-ins are vital for ensuring that OKRs stay on track. Here’s how to do it:
Schedule regular meetings: Set up a weekly meeting, like a Monday morning or Friday afternoon, to discuss OKR progress.
Ask the right questions: During check-in, ask team members about the status of their key results. For example, “What progress have you made toward your key results this week?” and “What challenges did you encounter?”
Identify actionable items: Based on the responses, identify actionable items to resolve challenges and facilitate progress. These could be changes in strategy, resource allocation, or seeking help from other team members.
6. Grade and reflect on your OKRs at the end of each cycle
At the end of an OKR cycle, it’s crucial to evaluate and reflect on the results:
Grade OKRs: Assign grades or scores to each key result and objective. Use a simple scale like 0-1.0, where 0 signifies no progress, and 1.0 represents complete achievement.
Reflect on achievements and shortcomings: Discuss what went well and what didn’t during the cycle. Analyse the reasons for success or failure.
Apply insights to the next cycle: Use the reflections and grades to make informed decisions for the next cycle. Adjust your OKRs, strategies, or resource allocations based on your learning.
7. Celebrate milestones and achievements
Recognising achievements can boost motivation and team morale. Here’s how to do it:
Acknowledge milestones: Celebrate the completion of key results or significant progress toward objectives. This acknowledgment can be as simple as public recognition in a team meeting.
Incentives and rewards: Consider providing incentives or rewards for reaching milestones, such as bonuses, extra time off, or recognition certificates.
Cultivate a positive culture: Celebrating achievements fosters a positive culture where employees are motivated to meet and exceed their OKRs.
8. Learn from your mistakes and improve OKR goal-setting and tracking
Continuous improvement is at the core of effective OKR tracking. Here’s how to make it happen:
Post-mortem analysis: Conduct a post-mortem analysis of your OKRs at the end of each cycle to identify mistakes or areas for improvement.
Feedback loops: Encourage team members to provide feedback on the OKR tracking process and any challenges they face.
Iterate and evolve: Use the feedback and insights to iterate and evolve your OKR goal-setting and tracking process. Make necessary adjustments to enhance efficiency and effectiveness.
Best practices for your OKR tracking
By incorporating these specific practices into your OKR tracking process, you’ll create an environment where team members can openly discuss OKRs, focus on problem-solving, and celebrate achievements.
1. Ask the right questions
During weekly check-ins, ask specific and action-oriented questions. Inquire about progress, roadblocks, and next steps. Encourage team members to provide context. Use open-ended questions such as “What can we do to overcome obstacles and achieve these key results?” to promote discussion and problem-solving.
2. Let people speak openly about their OKRs and progress
Create a safe and non-judgmental environment for team members to discuss their OKRs and progress openly. Encourage individuals to voice concerns or doubts about their OKRs so they can receive help or guidance.
3. Foster a transparent process
Share company-level OKRs and their alignment with individual or team OKRs. Maintain transparency in decision-making processes related to OKRs, including any adjustments or changes.
4. Celebrate milestones and achievements
Recognise and celebrate achievements, whether they are small wins or the attainment of key results. Publicly communicate achievements to reinforce the culture of success and motivation.
5. Provide the necessary training and support
Offer training sessions to ensure that team members understand the OKR tracking process and its significance. Support individuals in using the chosen OKR tracking software effectively.
6. Cultivate a learning culture
Encourage a mindset of continuous improvement and learning from both successes and failures. Reward and recognize individuals or teams that demonstrate a commitment to learning and improvement.
7. Data-driven decision making
Use OKR tracking data to guide your decisions. Base resource allocation, prioritisation, and strategy adjustments on real-time insights and progress data. Encourage cross-functional teams to collaborate and share data insights for better decision-making.
OKR tracking in Software vs Spreadsheets (Let’s see what’s more productive!)
| Factors | OKR Software | Spreadsheets |
| Progress Tracking | Effortless real-time updates | Manual updates, potential delays |
| Alignment | Multiple visual alignment views | Limited visualisation options |
| Accessibility | Accessible from anywhere | May require file sharing, version control |
| Automation | Automated reminders, notifications | Manual tracking, fewer automation options |
| Data Analysis | Data visualization and insights | Limited data analysis capabilities |
| Collaboration | Real-time collaboration, comments | Limited collaboration features |
| Integration | Integration with other tools | Limited integration capabilities |
| Security | Data security measures | May lack robust security features |
| Scalability | Scales with growing teams | May become unwieldy for large teams |
| User-Friendly | Intuitive interface | Requires Excel skills, learning curve |
| Customization | Adaptable to organization’s needs | Limited customization options |
OKR software is clearly more productive and has several advantages regarding real-time tracking, alignment, and advanced features.
It is particularly beneficial for larger teams and organizations with complex OKR structures.
However, for small-sized teams with simpler needs, spreadsheets may suffice, especially if they are well-versed in spreadsheet tools.
Live Example: How Spotify Tracks OKRs Across Teams
Spotify utilises OKRs to maintain alignment between its agile teams and company-wide goals.
Objective: Improve User Engagement on the Mobile App
Key Results:
- Increase weekly active users by 10% in Q3
- Reduce app crash rate from 2.5% to under 1%
- Launch the “Smart Shuffle” feature globally by the end of the quarter
- Achieve a 4.7+ rating on the Google Play Store.
How Spotify Tracks It:
- Tool: A combination of custom dashboards (via Tableau) and third-party OKR software integrated into their internal squad rituals.
- Cadence: Bi-weekly squad reviews and a monthly leadership sync.
- Visibility: OKRs are transparent across squads via a central dashboard—everyone can see progress and dependencies.
- Grading: Spotify uses a colour-coded system (Green = On track, Yellow = Needs attention, Red = Off track).
- Culture: Failure on a Key Result is discussed openly—seen as learning, not punishment.
Key Results:
- Faster feature releases (tracked by % of roadmap delivered on time)
- More cross-team collaboration (OKRs are linked across squads)
- Higher accountability with regular progress check-ins
FAQ's
1)How to set effective OKRs for tracking success?
To set effective OKRs for tracking success, make sure they are inspiring, clear, and ambitious objectives that align with the company’s priorities. Limit OKRs to maintain focus, and involve the team in refining key results.
