Scaling agile within your organization depends on cross-functional team collaboration. This article guides you how to set OKRs for cross-functional teams to inspire transparency, collaboration, and focus and ensure effective utilization of Gtmhub.
You should aim for the following:
- Form entrepreneurial, proactive groups in your organizations, so that they can meet customers' expectations and deliver flawlessly on top priorities.
- Urge development teams to work directly with customers to not just release yet another MVP, but to deliver value to the end-user.
Cross-functional teams are at the core of Agile at Scale. When setting goals for cross-functional teams, there are the following approaches:
- Top down
The CEO of the company sets a strategic priority for the organization.
This approach requires teams collaborate when there is a strategic company priority set by the CEO.
- Bottom up
To deliver on a specific project, cross-team collaboration is involved in setting the objective.
This approach requires individuals from different teams to collaborate towards achieving a common goal.
Example of Top-down approach
The CEO of the company has set an annual objective for the company and has assigned five key results to it, which have five different owners - Sales, Customer success, Sales enablement, Growth, and Marketing and Communications. The CEO also create five tasks, assigned to particular team members.
Objective: Skyrocket our revenues again
Assigned to: Andrea Hill, CEO
Session: Annual OKRs 2020
Tags: highest-priority, ceo, company-level-okr
Key results: The objective has the following key results, assigned to teams:
- Achieve at least 10% month-over-month growth
Assigned to: Sales
- Reactivate 50% of the existing customers
Assigned to: Customer success
- Keep TCV of each new deal above $50K
Assigned to: Sales enablement
- Decrease net monthly churn to 7%
Assigned to: Growth
- Strategize for retention
Assigned to: Marketing and Communications
Tasks: The objective has the following tasks, assigned to team members:
- Come up with a retention plan for success
Assigned to: Rebeca Wilson, Sales
- Make a list of 50 companies to test the strategy
Assigned to: Will Carson, Sales enablement
- Analyze the gathered data
Assigned to: Jill Manson, Marketing and Communications
Goals: In this example, the CEO goals are the following:
- Set a higher-level objective
A higher-level objective is an objective that is marked as a priority and is set in an annual session.
- Ensure this OKRs belongs to the appropriate session
In this case, the session is annual that indicates more strategic intent, rather than setting an OKR in a quarterly session.
- Tag the objective with relevant tags for quick filtering options.
- Assign specific key results to teams
Assigning specific owners improves for accountability and clear progress tracking.
- Assigned tasks to particular team members that are part of the teams, owning the key results.
Results: By doing all this, the CEO of the company ensured that everybody's efforts are:
- Focused on achieving the top-level priority
- Aligned and transparent to everybody in this cross-functioning project
- Progress is easy to track
BEST PRACTICE: The best practice when it comes to setting OKRs, is to do this in a collaborative manner. This means that instead of cascading down OKRs, all the stakeholders should decide which of the near or midterm goals has the highest priority. As a result, priorities are determined, focus is narrowed, and resources are allocated in the most effective way.
NOTE: Another variation of this example is for the CEO to set her own OKRs and then involve the stakeholders - both teams and team members, to set their OKRs that will be directly aligned to her objective.
Example of Bottom-up approach
Because cross-team collaboration is needed to deliver on a specific project, the objective is assigned to the project owner. Together with the stakeholders, they created three key results, assigned to particular team members.
Objective: Develop a new EEG headset prototype
Assigned to: Helena Bell, Head of Product development
Session: Q3 2020
Tags: cross-team, product, prototyping, Q3-priority
Key results: The objective has the following key results, assigned to team managers and team members:
- Increase the speed of the first production batch by at least 25%
Assigned to: Audrey White, Head of Production
- Find new European manufacturers to be interested to co-produce the first batch
Assigned to: Dan Harris, Head of Growth
- Generate interest from new industrial designer
Assigned to: Brandon Gibson, Designer
Goals: In this example, the Head of Product development goals are:
- Ensure that this OKRs belongs to the most appropriate person.
In this example, the OKR is a short-term, quarterly OKRs, therefore, Helena Bell created it in the most current quarterly session in her account - Q3 2020.
- Tag the objective accordingly
- To promote inclusion and cross-collaboration, involved individuals from different teams.
- In general, shared ownership is not recommended, because the responsibility cannot be shared. It must be clear who owns an objective and who owns the key result.
- Both team and team members can own specific key results that are assigned to objectives. They can also set OKRs that are aligned with a higher-level objective. Alignment is a must-have, because it is the basis of progress tracking and attainment aggregation.