I’ve recently come across a great video by Rick Klau about setting goals at Google.
OKRs stands for Objectives and Key Results and are used at Google for setting goals at company’s, teams’ and individuals’ level. A great advantage of this system is that individual goals are aligned with company’s goal, therefore, everyone is rowing in the same direction.
Key points about OKRs at Google:
- Objectives should be ambitious, not straightforward.
- Key Results are measurable, they should be easy to grade.
- OKRs are public (starting from CEO).
Last but not least, OKRs are independent from employee’s performance evaluations. That is, promotions, salary discussions, bonuses, etc. should be separated from OKRs. They are used to make people contribute to company’s goals rather than evaluating how employees are performing.
More in Rick’s post: How Google sets goals: OKRs