The Proper Way to Set Goals

OKR: Objectives and Key Results is a framework a company follows to establish “objectives” and “key results” to assist the wanted outcome. Usually, following a quarterly basis.

KPI: Key Performance Indicators, are used within the umbrella of OKRs. To measure an individual’s performance or the performance of a team.

OKRs have a larger vision of what the organization wants to achieve, whereas KPIs always aim to measure a certain metric.

OKRs and KPIs can have extreme benefits to both employers and employees, even though they seem daunting. From an employee perspective having an OKR framework and KPIs to meet can bring clarity on priorities in your role.

Having OKRs and KPIs implemented into daily life in a goal framework can have huge benefits. From a personal perspective, a sense of clarity and what to prioritize will come naturally with personal OKRs and KPIs, the key is choosing the right type.

“When setting and tracking goals, we get the most accurate picture of our progress when we’re measuring the correct goals with the appropriate units - Hannah K. Phillips

When choosing personal goals or OKR to accomplish it is important to note there are good and bad goals. The difference between a good goal and a bad goal is in what the outcome is measured on (KPI).

Example: If you are a Podcaster, a bad OKR would be “I want to reach 5,000 subscribers”

This is a bad ORK because it requires external influence. It is also a bad OKR because it has no KPI, no metrics, or small steps to take to help achieve the goal.

All OKRs and KPIs (goals) for personal use should only rely on internal influence. If your goal and focus were to reach 5,000 subscribers and you reached 4,500 a feeling of defeat is likely to happen even if your all was given in the time frame set out.

The issue is in the perspective. The focus shouldn’t be on external factors outside your control only on internal factors entirely in your control.

Same podcaster, different OKR’s and KPI’s

Big Picture: OKR

Objective: I want to create podcast content I’m proud of

Key Result #1: Build my knowledge base on my niche

Key Result #2: Record two podcasts a week

Small Picture: KPI

Spend two hours a day developing podcast content

Spend two hours a week developing podcast calendar

These OKRs and KPIs deliver a much higher return on investment for the podcaster because they are metrics to hit that are entirely in his/her control. Often when setting out metrics to hit that are in your control the external goal in the back of your mind becomes much more obtainable because you are focused on what you have the power to do and delivering on it instead of hoping the world delivers for you.