New York Times Bestseller Legendaryventure capitalist John Doerrreveals how the goal- setting system ofObjectives and Key Results (OKRs)has helped tech giants fromIntel to Google achieve explosive growth

History

So, basically, OKR helps you set company, department, team, and personal goals. You connect each goal with 3-5 measurable results.As you achieve those results, the percentage of the entire Objective increases, so you can see the progress towards your aspirational goals.'Focus' is the most important step. You should only have 3-5 Objectives. Therefore, OKRs help you figure out what's most important (priority items) and how work at every level connects to your most important goals.

The powerfulness of the OKR Framework results from the complementary ideas of Objective and Key Result:

What Are OKRs? Learn the Basics of Objectives and Key

Results MethodologyYouTube

Objectives and Key Results

https://www.youtube.com/watch? v=eToFhWEml10&feature=youtu.be

Focus

Focus is the first benefit of OKRs because when you set OKRs, you are limited in the number of them.There can be more than one objective, but always less than seven. Fewer is better.Every objective should fit on one line.As for key results, you should have no more than five per objective.Because of this inherent necessity to limit the number of things to focus on, OKRs really force upfront choice- making.An OKR cycle should start with the question, What is most important for the next three (or six, or twelve) months?This time- bound query sets OKRs apart from other goal- setting systems because they bring to the surface the handful of initiatives that can make a real, immediate difference while deferring less urgent ones.By standing firmly behind a few top- line OKRs, leaders give their teams a compass and a baseline for assessment.

Benefits of OKRs

Alignment

Once top- line objectives are set is when the real work begins.As they shift from planning OKRs to execution, managers, and contributors alike tie their day- to- day activities to the organization’s company- wide vision.The term for this linkage is alignment, and its value cannot be overstated. According to the Harvard Business Review, companies with highly- aligned employees are more than twice as likely to be top performers.

Commitment

After focus and alignment come commitments.Commitments are OKRs that all have agreed will be achieved, and schedules and resources will be adjusted to ensure that they are delivered.Tracking these commitments is done transparently.Each team must create very clear signals for everyone that they are working towards their OKRs.Whether this is done through a Google Sheet or an OKR software tracking tool like BetterWorks, sharing OKR progress on all- hand slides every single month, or printing them out and posting them all over the office walls to say you now know what you’re striving for and if you’re hitting it or not, it doesn’t matter as long as there is alignment and transparency.

Tracking

Every OKR should be able to be tracked via the metrics established when they were written.And while OKRs don’t require daily tracking, regular check- ups— preferably weekly— are essential to prevent slippage.Having these reference points to grade your current OKRs is the long term magic of them on the individual level.Are you on track to meet this objective or not? Why or why not?

Stretching

“Stretching” is last but not least. As John Doerr says, “Larry Page of Google is the high priest of 10x- ing everything, stretching further.He’ll say, ‘I’d rather have the objective be to go to Mars, and if we fall short, we’ll get to the moon. This is how you make moonshots.’” OKRs inherently push organizations to strive further, to eke out a little more than what they thought was possible.

OKRs are agile The OKR process is simple

OKRs are set top- down and bottom- up

Good Practices

Put the customer firstDon’t skimp on ambitionTie OKRs to larger company goalsJust enough Os and KRs is enoughIf you can’t measure it, it’s not a good KRKRs are outcomes — not tasksAssign KR owners

OBJECTIVEInstitute a culture that attracts and retains A 

players

KEY RESULT 1Focus on hiring A 

player managers/leaders.

KEY RESULT 2Optimize recruitment function to attract A-

player talent.

KEY RESULT 3Scrub all job descriptions.

KEY RESULT 4Retrain everyone engaged in the 

interviewing process.

KEY RESULT 5Ensure ongoing 

mentoring/coaching opportunities.

KEY RESULT 6Create a culture of learning for the development of new 

and existing employees.

OBJECTIVEIncrease the 

geographical coverage of drivers

KEY RESULT 1Increase San Francisco 

coverage to 100

KEY RESULT 2Increase coverage of 

all active cities to 75%.

KEY RESULT 3Reduce pickup time to < 10 minutes in each 

area during peak hours

OBJECTIVEBuild the best web 

browser in the world

KEY RESULT 120 million weekly 

active users by the end of 2008

KEY RESULT 2Increase coverage of 

all active cities to 75%.

KEY RESULT 3Reduce pickup time to < 10 minutes in each 

area during peak hours

Objective: Ich möchte ideal für den New York Marathon vorbereitet sein!Dieses Ziel ist – zumindest für einen Läufer – sehr motivierend, übergeordnet und vor allem qualitativ.

Key Results1: Ich absolviere drei Tempoläufe pro Woche: 10 km unter 50 MinutenKey Results2: Ich absolviere einen 15- km- Lauf pro Woche mit einem Puls unter 160

SMART

Specific – target a specific area for improvement.

Measurable – quantify or at least suggest an indicator of progress.

Assignable – specify who will do it.

Realistic – state what results can realistically be achieved, given available resources.

Time- related – specify when the result(s) can be achieved.

Net Promoter Score

The 2 things that Measure What Matters got entirely

wrongYouTube

Personal Objective and Key Results

OKR Cycle

okrexamples.co

Company OKRs andCompany Objectives -OKRexamples.coYou can see that Team OKRs feed intothe Company Objective. This is why atthe Company level, you only wantObjectives and not Key Results. Let yourteams drive the results of the CompanyObjective with their OKRs. Read moreabout how to align Company O…

OKR Examples

https://www.youtube.com/watch? v=aEAR6PlB348