A company has to have a predefined and well-planned set of goals. It not only helps the business run efficiently, but also makes it easier to plan, track, and improvise the growth of a firm. Apart from that, a goal system helps improve the productivity of your employees as well. It may seem simple, but having such an effective system in place is not so easy. That’s exactly why you’d need OKRs.
What are OKRs? How Can You Benefit from Them?
Objective and Key Results, shortly known as OKR is a complex goal-setting framework that lets organizations plan objectives and goals, and ultimately track the outcome. Huge internationally successful companies such as Google, Intel, and Oracle actively use OKRs to boost their growth. Studying some of the proven OKR examples and implementing them will help your business flourish.
Some of the best benefits of using OKRs
- Help your employees understand your corporate goals
- Provide a clear vision to every individual and team
- Enhance productivity of your team members through focus on objectives and goals
- Track the progress of your employees towards goals
- Make better and sustainable decisions based on performance data
- Achieve greater transparency and accountability across teams and individuals
- Analyze and solve issues that hinder your goals
- Improve employee management and resource allocation
- Boost overall growth of your business with a clear plan and structure
A Brief Look at OKR Examples for Business Growth
The concept of OKR might seem a bit complex, but hang on, the following examples will simplify it for you. For a better context, imagine you are the owner of a Restaurant chain.
1 OKR – Laying Foundation
The goal is to establish a strong basis for your business, for which you’d need to:
- Increase the number of restaurant franchise by 25%
- Increase the profit by 10%
The numbers are solely for the purpose of demonstration. Anyhow, the two objectives help us to stay on track with where your business is going to be. To achieve such results, you’d have to:
- Pick 50 potential franchise candidates by April
- Train 40 of them by July
- Allot franchise contracts before October
- Open new restaurant franchise by January
2 OKR – Achieving Profits
The objective is to cut costs and achieve profits, for which you’d need to:
- Review and pick the best suppliers to save at least 10% on your spending
- Launch promotional campaigns, offering discounts to attract new customers
3 OKR – Expanding Business
As soon as you start to earn profits, the next goal is to expand your business, for which you’d need to:
- Start hiring new franchise candidates
- Receive at least 500 CVs by March
- Schedule interviews with the best 100 candidates before June
- Sing contracts with 50 by July
Make Use of OKRs to Grow Your Business
Whatever your long-term vision is, OKRs help you. Whether you want to improve employee management, product marketing, or customer experience, setting realistic goals will definitely help you. While implementing OKRs is important, make sure that you also review them periodically, so that you make necessary changes and improve your overall business growth strategy.