In this article:
Progress for Objectives
An Objective's progress is based on its Key Results only. Initiatives do not affect the Objective’s progress. The logic is as follows:
An Objective tells you where to go.
Key Results are the results you need to achieve to get there.
Initiatives are all the projects and tasks that will help you achieve your Key Results.
Key Results are weighted equally
If I have one Key Result that is at 100% progress, and two that are at 0% progress, my Objective progress will be 33% (average of the percentage progress of all 3 weighted equally). Always weighing Key Results equally boosts transparency (everyone understands how progress for each Objective is calculated), reduces complexity, and removes the subjectivity of which Key Result each coworker might think is more important than the others.
* NOTE: Any negative values will be treated as 0% in this weighting process.
Progress for Key Results
A major benefit of Perdoo is that it helps you focus on results (outcomes), instead of activities (outputs). An output is something you do, an outcome is something that happens as a consequence of what you do. For example, “I’ve demonstrated our product to a prospect” is an output, and “I’ve acquired a new customer” is an outcome. Key Results are for tracking those outcomes/results, whereas Initiatives are for tracking the outputs/activities.
When you want your Key Results to measure outcomes, they need to contain a metric. EBIT, Cashflow, Burn rate, Churn Rate, Monthly Active Users, Net Promoter Score, are all metrics.
You may not always succeed at finding (good) metrics for your Key Results. This is fine, it's most important that your Key Results measure what matters most to you. However, a good amount of your Key Results should contain a metric in order to shift your team’s and organization’s focus from activities to results.
When your Key Result contains a metric, only that metric can drive its progress. If your Key Result is to increase NPS from 20 to 40, then the metric NPS will define what the current progress for your Key Result is.
What about aligned OKRs?
Because an Objective’s progress is based on its Key Results, and a Key Result’s progress is typically based on a metric, progress for aligned OKRs will not directly impact the parent-OKR’s progress.
However, Perdoo displays progress for aligned OKRs alongside progress of the Key Results. We do this on each Objective’s Aligned Objectives tab as well as on Roadmap.
By surfacing progress of Key Results alongside progress of any aligned OKRs, Perdoo gives you full flexibility and a more accurate assessment of success.
Finally, to learn about the status indicators for Objectives and their Results (Key Results or Initiatives), read this article.
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