Every company sets its vision, mission and company objectives, but most companies do not use the term objectives correctly. Objectives do not equal long term goals or dreams. But instead company objectives are short term, inspiring targets a company needs and wants to achieve to further develop and strengthen its position in the marketplace. So what actually do we mean by company objectives and how should we set them? The OKR method can and also should be applied to properly set company objectives. As we know there are three different levels of OKR setting, the company level, the team level and the team member level. Here we are going to have a closer look at the company level objectives.

levels of okr

What are company objectives

Objectives set on a company level are the short term targets that the company wants to achieve. Every company will set an annual objective as well as quarterly objectives. Some might argue that a company should only set an annual objective but actually it is fine to also set quarterly objectives to keep the company as a whole on the move forward. Usually objectives are met by key results, which need to be achieved first. On a company level you can replace the key results by the objectives of your team level. As you can see from the illustration the different level lead to each other in a pyramid shape. Basically you are trying to achieve your company objectives by successfully accomplished team objectives. Your company objectives are like a path your company wants to walk to be successful.

How to set company objectives

We always set our objectives annually and quarterly, same goes for company objectives. Now that you know that those objectives are like targets the company wants to achieve you can imagine that this will be pretty easy to define. But the actual process of defining and setting your company level OKR is pretty difficult. Do not underestimate the time you should actually invest to set your company objectives as everything, the whole company direction is dependent on those objectives. Here are three rules that apply to setting company objectives.

  1. Set them in your management team
  2. Publish them and involve the whole company to gather information and opinions
  3. Use your teams feedback and finalize the company objectives

As you can see those are pretty simple and straightforward rules. OKR are meant to make your company more transparent and involve the whole team to create a more creative, relaxed and familiar atmosphere. That is exactly why you need to publish your objectives to your whole company and get opinions and feedback. Like this everyone will feel involved and inspired to actually help move forward the entire business.

Boost motivation

Use your company objectives to always keep the overall motivation level high. Maybe you are not aware of how important the mental fitness and attitude of your team members are towards your company and your product. You business will shine and fall with your team always remember that. You can use your company objectives well to encourage motivation and participation. By keeping each and every employee informed about the targets and the progress of your company and by asking them for their opinion you are able to create a perfect atmosphere of creativity and engagement.

As you can see, using the OKR method in your company can be a successful way of improving the motivation and attitude of your employees while boosting business. Stay creative and treat your company as a family that is the secret to success.

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