OKR is a forward looking goal setting framework. Here intention of setting goals is not only to manage performance in the current cycle but also to lay down a foundation for future success. For example, if all top level OKRs are related to achieving targets for the ongoing cycle the firm is setting itself for failure in the next cycle. Ideally the top level OKRs should be balanced in the sense that they not only help you achieve the goals for current cycle but also set you up for achievement in the next cycle.
And this can happen only if the company OKRs are extracted from your strategy which in turn is leading you towards your company vision.
One question we often hear is – how well do OKRs play along with Balanced scorecard? While there is no one size fits all answer, from what we have seen – BS & OKRs fit together fairly easily. Reason being, at the core of balanced scorecard are the 4 different perspectives – Financial, Customer, Learning, Internal processes. When migrating to OKRs, these perspectives can become different key results/metrics/KPIs within company level objectives.
Some of the key features of company level OKRs –
Maximum 3-5 top level objectives
Derived from vision, mission & strategy
Majority of the times, these will be owned by CXO level individuals i.e. people in your leadership team
These should be visible to everyone across the company & easily accessible
Creating top level company OKRs is always the first step