Goal Setting with OKRs
I’ve had a few conversations with leaders about goal setting this past week, so I thought I’d share some thoughts. Whether you’re a new leader or a veteran, you know that setting goals for your team or business is a key part of your role. You’re the one who decides where you need to go. Then, ideally, you leave it up to the team to figure out how to get there. Having a clear goal gives the team focus and a rallying point—it helps with decision-making and can cut through ambiguity, inaction, and indecisiveness.
But what makes a good goal?
Recently, I worked with two leaders, and each started with one of these goals:
- Increase revenue by 10%
- Close 10 new deals
Those are good things to want to do, but I don’t think of them as standalone goals. Instead, I’d put them in the category of a Key Result from the OKR (Objective and Key Result) framework.
Let’s explore how we can use OKRs to set goals that get teams moving in the right direction.
Objectives: The “Why” that Inspires
In the OKR framework, the Objective is a single, inspirational, and aspirational target. By inspirational, I mean it gets people motivated. And, by aspirational I means it’s a stretch – it’s not guaranteed you can make it happen, at least not completely.
Objectives should be qualitative in nature, meaning they aren’t exactly measurable. Think of the Objective as the “WHY” behind what the team is doing.
Examples of good Objectives:
- Drive sustainable business growth
- Expand our presence in small clinics
- Win back customers through mobile innovation
- Streamline operations to improve customer experience
As you create Objectives, ask yourself:
- Why is this important?
- What will your team think and feel as they read it?
- Is it a stretch, but still possible?
- Is it qualitative (not directly measurable)?
Key Results: The “What” You Can Measure
Key Results are how you’ll know you’re achieving, or heading toward, the Objective. You should have 3-5 per Objective. These focus on the WHAT the team is accomplishing, not the HOW (the specific actions or initiatives).
Key Results are specific, quantitative, and time-bound. They answer: “What will success look like?”
When breaking your Objective down into Key Results, consider:
- What is the team directly in control of?
- What can the team do?
- By when should it be done?
It helps to blend in the SMART acronym:
- Specific:The team knows exactly what’s being asked for
- Measurable:You know how you’ll track results
- Attainable:Realistic and within the team’s control
- Relevant:Clearly tied to the Objective
- Timebound:There’s a deadline
Sample Key Results
Let’s tie Key Results to one of the sample Objectives:
Objective: Expand our presence in small clinics
Sample Key Results:
- Sign partnership agreements with 15 new small clinics by December 31.
- Increase inbound leads from small clinics by 30% quarter-over-quarter.
- Launch a targeted outreach campaign to 100 small clinic administrators within the next 90 days.
- Achieve a customer satisfaction score of 90%+ from new clinic partners by year-end.
Notice how these are measurable, specific, and time-bound. They don’t dictate how the team will do it (that’s up to the team!), but they make it clear what success looks like.
A Note on Initiatives or Tasks
It’s easy to confuse Key Results with initiatives or tasks. Key Results are outcomes; initiatives are the actions you’ll take to achieve those outcomes. For example, “Host three webinars for small clinic leaders” is an initiative, not a Key Result. The Key Result would be “Generate 50 qualified leads from webinars.” Be careful to leave the HOW up to the creative people on the team.
Let’s Wrap It Up
OKRs are more than just a trendy acronym, they’re a powerful way to more clearly set goals that will focus your team, drive real results, and create alignment across your organization. By taking the time to create inspiring Objectives and pairing them with clear, measurable Key Results, you give your team both a vision to rally around and a scoreboard to track progress. The best part? You empower your team to figure out the “how,” unlocking creativity and ownership. That’s what they come to work for, right?
If you haven’t tried OKRs yet, consider piloting them with your team this quarter. Start with one or two Objectives and 3-5 Key Results for each one. See how it shifts your team’s focus and energy. You might be surprised by how much clarity and momentum you gain.
What’s Your Experience?
What’s your experience with OKRs? Have you found them helpful, or do you have questions about getting started? I’d love to hear your thoughts, drop me a line!
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