OKR

Also called Objectives and key results

A goal-setting method: an ambitious objective with a few measurable results attached. Useful, and frequently turned into a reporting chore.

What it means

An objective is a qualitative statement of what you are trying to achieve in a period. Key results are two to five measurable outcomes that would demonstrate it had been achieved.

The distinguishing feature is that key results are outcomes, not tasks. "Launch the new site" is a task; "increase enquiries from the site to 60 a month" is a result.

Why it matters

It forces the question of what success actually looks like, which most goal-setting avoids by staying vague.

It also makes prioritisation explicit. A team with three objectives is a team that has agreed what it is not doing.

What it looks like in practice

Set them quarterly. Keep the number small — one to three objectives for a small business.

Review them fortnightly rather than at the end. An OKR reviewed only at the quarter's end is a report, not a tool.

Separate them from performance reviews. The moment pay depends on them, targets become conservative and the method stops working.

What to watch out for

Turning every routine activity into an OKR. Business as usual belongs in KPIs; OKRs are for what you are changing.

Key results that are really tasks with a date on them.

Adopting the ceremony of a much larger company. A five-person business does not need a quarterly planning offsite.

Where to get proper advice

The method is well documented publicly and simple enough to adopt without help. The discipline is the hard part and cannot be bought.