Objective Setting - Objectives and Key Results (OKR)

Support To Create & Embed Balanced Scorecard Objectives

Setting objectives has been around for a number of years and called "The Balanced Scorecard" and is the strategic management framework used by many companies when agreeing objectives. Recently companies like Google have started using OKR (Objectives & Key Results). The difference is a subtle one and basically is one where Balanced Scorecards tend to be for one year whereas OKR can be for each quarter (90 days). 

Whatever approach fits your business need we can support you with the identification, implementation and also the training of your managers to land objectives into your business. In addition we can also support identify and implement an OKR or Objectives software solution with our HR Project Management and HR System Services.  As HR Practitioners and HR Consultants we have knowledge of managing people and setting and training for Performance Related Reviews (PRR's).

Key Steps To Deploy Performance Related Objectives - PRR

  • Providing support to identify key objectives within the Company - Top down
  • Supporting exec write the company objectives as part of the governance reporting
  • Assisting your Managers in identifying key objectives for their teams - workshops if necessary
  • Ensuring your objectives are balanced across key areas e.g. Sales, Customer, Product, Financial etc
  • Providing support to track performance against objectives
  • Supporting HR reporting on objectives including providing templates for 121's
  • Training your managers in completing PRR's including training
  • Linking your objective settings to training and development
  • Agreeing financial, bottom line performance tracking and work with finance teams
  • Ensuring objectives include key areas e.g. compliance, engagement, retention, attrition
  • Helping implement an OKR process including providing OKR Software Solutions
  • Working with your leaders to identify OKR objectives e.g. Key Results and Initiatives

The benefits of the Balanced Scorecard framework include improved focus, increased transparency, and better alignment. The acronym OKR stands for Objectives and Key Results, a popular goal management framework that helps you implement strategy.

Objective Setting - Objectives and Key Results (OKR) . OKR achieves this by organising employees and the work they do around achieving common objectives. An OKR consists of an Objective, which defines a goal to be achieved, and up to 5 Key Results, which measure progress towards the Objective. Each OKR can also have Initiatives, which describe the work required to drive progress on the Key Results. The framework includes several rules which help employees prioritise, align, focus and measure the outcome of the work they do. OKR helps you communicate you companies strategy to your employees in an actionable, measurable way. It also helps you move from an output an outcome-based approach to work. 

What is an Objective? An Objective is a description of a goal to be achieved in the future. An Objective sets a clear direction and provides motivation. An Objective can be thought of like a destination on a map. “Where do I want to go?”

What is a Key Result? A Key Result is a metric with a starting value and a target value that measures progress towards an Objective. A Key Result is like a signpost with a distance that shows how close you are to your Objective. “How do I know if I’m getting there?”

What is an Initiative? An Initiative is a description of the work you’ll do to influence a Key Result. If an Objective is your destination and a Key Result shows the distance to go, an Initiative describes what you’ll do to get there, (take a car, row a boat, etc.).

The Benefits of OKR to the Business Impacts. Current research shows that when comparing groups of employees who used OKR against those that don’t, those that used it proved much more effective at their jobs, resulting in better performance and increased sales. In fact, the group who didn’t use OKR actively asked to be involved in the process in future cycles. A full rundown of the ROI of Goal Management can be found here. Cultural Benefits -The biggest impact of using OKR in most organisations without goal management already in place, or those who focus purely on metrics and KPIs, is a cultural shift from output to outcomes. OKR creates focus, transparency, and alignment for all the work in an organization. These three factors combine and lead to increased employee engagement.