OKRs (Objective and Key Results) model is powerful to express and measure the value journey. | Agile Story 42
OKRs (Objectives and Key Results) can help to set strategy for an organization as they represent a handful of goals the company is trying to achieve. Moreover, this strategy can serve as a calibration tool, giving teams an opportunity to look at available metrics and information, abandon initiatives that won’t be completed and focus more on the initiatives that are on the bubble. At their core OKRs answer two questions — 1. Where do I want to go? (Objective) and 2. How will I pace myself to see if I am getting there? (Milestones\Key Results). OKRs can be considered to be similar to stretch goals in that they are meant to be just beyond the threshold of what we currently think as possible. They are meant to get us out of our comfort zones and bring our “A” game to the table.
A good place to start when setting objectives is to align them with organisational priorities. A rule of thumb can be to select 3 to 5 objectives and 3 key results for each objective. OKRs can come from a variety of sources that teams can relate to and are often a mix of top-down and bottom-up suggestions, pain-points etc.
While setting objectives, remember…
… to select between 3 to 5 objectives — more can lead to a loss of focus and wasted effort.
… to word objectives keeping in mind that they should stretch our perspective on what is possible — avoid verbs such as “keep doing {something}”, “maintain {something}”, “continue {some behaviour}”.
… to focus on tangible results — objectives should convey what an end goal or target would look like.
… to ensure that objectives are expressed in clear, unambiguous and objective terms — teams should be able to gauge if they have achieved the objective.
While setting key results, remember…
…to identify 3 key results per objective.
…to capture measurable milestones which when achieved advance the objective.
…to always describe outcomes and not mere activities. It is the impact of the activities that we engage in that we are looking to capture here.
…to represent milestones as evidence of completion.
Some common mistakes to avoid are:
· Communication between teams is key here. If there are dependencies between teams these should be made explicit as well as policies for handling them.
· OKRs require teams to stretch and get out of their comfort zone. They are meant to change the status quo and should not just be a statement of what the teams currently is doing.
· If a team is constantly meeting all of its OKRs then they are not sufficiently challenged and should change their OKRs to push themselves harder.
· OKRs should focus on high-value initiatives and always provide clear business value.
· Key results should capture all the measures that would indicate that an objective has been fully achieved.
In conclusion, OKRs are not a checklist. They are not about what a team (or organisation) wants done but about what a team (or organisation) wants to achieve.
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Disclaimer: The views expressed in the article are my own and don’t reflect company’s opinion. They should not be considered as an advice or suggestion in any way.
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