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Writer's pictureCarsten Ley

How to implement OKRs in start-ups and corporations

The best way to implement OKRs (Objectives and Key Results) depends on your organization's specific needs, culture and organisational set-up or maturity.



Ten proven steps to implement OKRs

First we start with a more general step-by-step approach you can adapt in every organization:

  1. Understand OKRs: Get a training or basic methodology introduction to understand the difference between Objectives, Key Results and actions and if the methodology could work for your organisation.

  2. Set Clear Goals: Start by defining a clear company-wide vision or objective for the period (quarter or year). This will guide the entire organization.

  3. Define the Scope: Determine which teams or departments will be involved in the initial OKR rollout. It's often best to start with a pilot group before scaling it across the whole organization.

  4. Select a Pilot Group or start with Management team: Choose a team or department that is enthusiastic about OKRs and willing to experiment. This pilot group's success can later inspire others.

  5. Get Buy-In top-down and bottom-up: Ensure everyone involved understands what OKRs are, their benefits, and how they align with the overall company goals. Address any concerns or skepticism upfront.

  6. Provide Training and Coaching: Offer comprehensive training on how to set effective OKRs, including defining ambitious objectives, measurable key results, and clear timelines. Provide ongoing coaching and support to help teams stay on track.

  7. Implement the First Cycle: The pilot group starts setting their OKRs and tracking progress regularly. This is a crucial step to identify any challenges or roadblocks in the implementation process.

  8. Review, Learn & Adapt: After the first cycle, gather feedback from the pilot group. Identify what worked well and what needs improvement. Adjust the OKR process based on these insights.

  9. Plan the Rollout: If the pilot phase is successful, gradually expand the implementation of OKRs to other teams and departments. Customize the process for each team's specific needs and goals.

  10. Continuous Improvement: OKRs are not a one-time thing. Encourage a culture of continuous improvement where teams regularly review and adjust their OKRs based on feedback and changing circumstances. Consider to train and have OKR Champions.


Our OKR Asia method based on over 60 client implementations


Short-term targets like OKRs need to be derived from a strategy and further tracked and reviewed on a regular basis. Therefore we usually have following OKR implementation modules with our clients:



  1. Strategy Workshop: We support clients to write or adapt and align their strategy and break it down in one year targets to be able to come up with 3 or 6 months OKRs.

  2. OKR Training: Learn and train your teams on how to set-up, measure and implement OKRs. Understand the benefits and the cultural prerequisites to use OKR efficiently.

  3. OKR Set-up Workshop: Develop OKRs out of the strategy, the yearly targets and the feedback and ideas from your team in form of an inclusive workshop.

  4. Weekly or Bi-weekly tracking: Track your work output against the Key Results and measure regularly on a transparent databoard or tool to understand or correct the progress of your teams.

  5. OKR Review Workshop: Review the OKR achievement at the end of the quarter or 6 months and collect retrospective feedback from the teams. Set-up OKRs for the next term in the same workshop.


Further modules & services

  1. Existing OKR & KPI reviews: For clients already using SMART Goal Setting, we offer a comprehensive review to advise how to use current set-up and how to improve with OKRs.

  2. OKR Tool suggestion & implementation: With more than 20 tool partners, we can advise you to choose the right tool based on your IT landscape and needs.

  3. OKR Champion Training & Certification: We provide advanced OKR Training to educate your internal OKR Champions to be ready to guide and facilitate your OKR roll-out and replace us as consultants.

  4. OKR Coaching: For leaders and start-up founders we offer personalized OKR Coaching to get familiarized with the methodology and practice it for one quarter.




Implementing OKRs (Objectives and Key Results) in startups and corporations differ significantly due to their varying structures, cultures, and goals. Here's a breakdown of the key differences:


Startups:

  • Agility and Flexibility: Startups are known for their fast-paced, dynamic environments. OKR implementation tends to be more agile, with frequent adjustments and iterations based on rapid feedback and changing market conditions.

  • Focus on Growth and Innovation: Startups often prioritize ambitious growth targets and disruptive innovation. Their OKRs reflect these goals, emphasizing experimentation, learning, and quick adaptation.

  • Flat Hierarchy: Startups typically have flatter organizational structures, allowing for easier communication and collaboration. OKRs are often set collaboratively, with everyone having a voice in the process.

  • Limited Resources: Startups may have limited resources and budgets, requiring a leaner approach to OKR implementation. They often prioritize efficiency and focus on high-impact initiatives.

  • High Risk Tolerance: Startups are more accustomed to risk and failure, encouraging a culture of experimentation and learning from mistakes. OKRs might be bolder and more ambitious, pushing boundaries.


Corporations:

  • Stability and Predictability: Corporations tend to operate in more stable and predictable environments. OKR implementation is usually more structured, with a focus on long-term planning and predictable outcomes.

  • Focus on Efficiency and Optimization: Corporations often prioritize operational efficiency, cost reduction, and optimization of existing processes. Their OKRs reflect these goals, emphasizing incremental improvements and risk mitigation.

  • Hierarchical Structure: Corporations usually have hierarchical structures with multiple levels of management. OKR implementation can be more top-down, with senior leaders setting strategic goals and cascading them down to individual teams.

  • Ample Resources: Corporations typically have greater resources and budgets, allowing for more comprehensive OKR implementation. They can invest in training, software, and dedicated OKR teams.

  • Lower Risk Tolerance: Corporations tend to be more risk-averse, favoring proven strategies and predictable outcomes. OKRs might be more conservative, focusing on incremental improvements and maintaining stability.


Additional Considerations:

  • Culture: Company culture plays a crucial role in OKR implementation. Startups with a culture of innovation and risk-taking might find OKRs more readily accepted than large corporations with established processes and risk-averse cultures.

  • Communication: Effective communication is key for successful OKR implementation in both startups and corporations. Ensuring everyone understands the OKRs, their purpose, and how they contribute to the overall goals is essential.

  • Buy-In: Getting buy-in from all levels of the organization is crucial for OKR adoption. Leaders need to champion the process, while employees need to understand how OKRs can benefit them and their teams.


For more information how to implement OKRs successfully please contact us on transform@asiapmo.com or on our contact form.


This blog was written by Carsten Ley, Entrepreneur, Enabler & Project Lead in Customer Experience, Project & Business Transformation leading large scale project implementations in Retail, E-commerce, Banking, Consulting & Experience Management for companies like Deloitte Germany, VW Mexico, Rolls-Royce UK, Lazada Vietnam and H&M South East Asia. He founded 2018 Asia PMO, a consulting firm focussing on getting clients fast and efficient into implementation of company objectives, customer & employee experience improvements to foster a result- and team-oriented environment.

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