Performance management is the act of continuously ensuring your company, teams, and individuals are aligned with your overall strategic objectives. It used to be common for a company to set goals across the organization at the beginning of the year and then do a performance review with each employee at the end of the year. This process has evolved dramatically.
Objectives and key results—or OKRs—can be traced back to the 1970s when they were first used by Andy Grove, co-founder and then CEO of Intel. They’ve experienced a resurgence recently thanks to the book “Measure What Matters” by John Doer.
Establishing the right OKRs in the right way is critical to running a sound performance management program. Although it’s not necessary to have OKRs that cascade from the top down to the very bottom of your organization, your department or team OKRs should support your company’s OKRs.
OKRs should serve as a guide. They are not a to-do list or project planning document. OKRs are supposed to allow your business to be ambitious. If all of your OKRs seem 100% attainable, you’re probably not thinking big enough.
Download the templates below to define your objectives and team results.
The beauty of establishing and following a performance management process that’s based on OKRs is that your team members should be able to spend more time working toward set objectives and less time planning and following a rigorous process. Here’s an example of the meeting cadence for PI’s sales and marketing team:
Quarterly (beginning of the quarter)
Monthly (end of the month)
Daily or as determined by team lead
Performance management is no longer a once-a-year endeavor. Instead, it’s about continually assessing how your employees are performing compared to expectations.
Use the templates provided to support your employees in their personal and professional development, then watch how they increase engagement and productivity.