Unlocking the Power of Objectives and Key Results (OKRs)
What are OKRs?
OKRs are a goal-setting framework that helps organizations define and track objectives and their measurable outcomes. Developed by John Doerr in the early 1990s, OKRs have become a popular tool for measuring progress and enhancing performance.
Why Use OKRs in Product Management?
Product managers use OKRs to:
- Keep track of multiple priorities and objectives
- Focus on the most important things
- Communicate product objectives to stakeholders
- Measure progress toward product objectives
How to Create Effective OKRs
To create effective OKRs, product managers should:
- Align objectives with company goals
- Align with other functions
- Align to the product strategy
Best Practices for Writing OKRs
When writing OKRs, keep in mind:
- Objectives should be specific, measurable, achievable, relevant, and time-bound (SMART)
- Objectives should be aligned with the company’s strategy
- Key results should be quantifiable
Example OKRs
Here are two examples of OKRs:
Outcome-based OKR
Objective: Create a high-performing demand-gen machine.
Key results:
- Grow number of users to website by 10 percent
- Generate 100 new leads per month
Turning a Delivery Objective into an OKR
Objective: Deliver X project by the end of the year.
Key results:
- Engineering teams maintain a sprint velocity of X story points throughout the quarter
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Tracking Progress and Staying Focused
To stay focused and track progress, product managers should:
- Check in on progress during team meetings
- Check on your product management tool
- Send async progress reports
Quarterly Review and Reflection
A quarterly review session is essential to:
- Reflect on achievements and current state of metrics
- Introduce the team to new OKRs
- Deep-dive into new problem areas and articulate why they’re important
### Example Quarterly Review Template
* Review of current OKRs
+ Progress toward objectives
+ Successes and challenges
* Introduction of new OKRs
+ Overview of objectives and key results
+ Rationale behind new OKRs
* Deep-dive into new problem areas
+ Review of current state and metrics
+ Articulation of why new problem areas are important
Note: The code snippet is just an example template for a quarterly review, it’s not a programming language code.