Tag Archives: OKR

Is it Time to ReLearn to Work?

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Is it Time to ReLearn to Work?

GUEST POST from Geoffrey A. Moore

In white-collar industries where remote work is not only viable but often highly productive, we are still struggling to find a post-pandemic formula for integrating office attendance into our weekly routine. Continuing to waffle, however, does no one any good, so we need to get on with things. Part of what has been holding us back is that we have been talking about getting back to the office as an end. It is not. It is a means. The question it begs is, what is the end we have in mind? Why should we get back to the office?

Let’s start by eliminating one reason which gets frequent mention—we can manage better. This is not a good why. Supervision is an artifact of a prior era. Digitally enabled work logs itself, and we can hold each other accountable for all our KPIs, OKRs, and MBOs without having to be collocated. Managers may feel more in control with people in sight, but that is a poor return on the overall commute investment entailed.

A far better reason to return to the office is to reactivate learning. The biggest problem with remote work is that we do not learn. Specifically, we do not:

  • Learn anything new about ourselves, because we need the input of others to do so.
  • Learn new soft skills, because online courses don’t cut it.
  • Learn about our teammates, because video calls lack the needed intimacy.
  • Learn about our customers, because we need to go to their offices to do so (going to our offices would at least let us share the ride)
  • Learn about the current state of our company, because that kind of thing never gets published.

In short, just as our children experienced a learning gap at school, so we inherit the same dynamics with remote work. We consume the skills we have, but we do not develop the ones we need next. We are harvesting, but we are not seeding, and there will be a reckoning if we do not alter our course.

So, there is a good why for returning to the office, but that in turn begs the question of how? Here we need to be clear. We do not know how. We do not know what is the right formula. Unfortunately, waiting won’t help either, so now what?

Let me suggest that the best course of action is to implement a clear policy effective immediately with the following provisos.

  1. We publicly acknowledge that we suspect this policy is wrong.
  2. We are putting it in place for 90 days.
  3. We want everyone to abide by it religiously so that we get the right signals.
  4. We will review the policy publicly and transparently after 90 days and implement a new policy at that time.
  5. We will put that policy in place for 90 days, following the same protocols as before.
  6. We will rinse and repeat until no longer necessary.

The point is, we have to get on with getting on, and running the experiment is the fastest way to get there.

That’s what I think. What do you think?

Image Credit: Pixabay

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The Role of KPIs in Measuring Innovation Performance

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The Role of KPIs in Measuring Innovation Performance

GUEST POST from Art Inteligencia

In today’s rapidly evolving business landscape, innovation has become an imperative for survival and growth. Organizations around the globe are striving to harness innovation to drive competitive advantage, increase market share, and improve customer satisfaction. However, measuring the performance of innovation initiatives poses a significant challenge. Enter Key Performance Indicators (KPIs) – a vital tool in quantifying success, identifying areas for improvement, and driving innovation forward. But how can KPIs be effectively utilized to measure innovation performance? Let’s explore.

Understanding Innovation in Organizations

Innovation is not just about groundbreaking products or novel services; it encompasses processes, business models, customer experiences, and even organizational culture. Measuring its performance, therefore, requires a multilayered approach tailored to the strategic objectives of the organization. KPIs can provide a structured framework and a clear direction to streamline the measurement process.

Defining KPIs for Innovation

KPIs are quantifiable metrics that reflect the critical success factors of an organization. In the context of innovation, KPIs must be carefully selected to align with the organization’s vision and strategic goals. Effective innovation KPIs typically fall into a few categories:

  • Input Metrics: These measure the resources and efforts invested in innovation, such as R&D expenditure, number of innovation projects, or employee training hours.
  • Process Metrics: These KPIs evaluate how innovation is managed and executed within the organization, reflecting the efficiency of innovation processes, speed to market, and development cycle times.
  • Output Metrics: These assess the outcomes of innovation efforts, including number of patents filed, new products launched, and incremental revenue from new offerings.
  • Impact Metrics: These KPIs measure the broader effects of innovation on business performance. This includes customer satisfaction, market share, and long-term financial performance.

The Importance of Tailored KPIs

The challenge with measuring innovation through KPIs is ensuring they are relevant to the unique context of each organization. A one-size-fits-all approach is likely to falter. Instead, organizations should customize KPIs based on their innovation maturity, industry specifications, and strategic goals. The right KPIs can uncover insights that lead to actionable strategies for enhancing innovation performance.

Case Study 1: 3M’s Commitment to Innovation

3M is often hailed as a model of innovation, boasting a track record of transforming inventive ideas into profitable products. For decades, 3M has successfully used KPIs to drive its innovation strategy. The company has set a specific KPI: 30% of its sales must come from products developed in the past five years.

This KPI fosters a strong culture of innovation, incentivizing teams to consistently innovate and refresh their product offerings. By regularly assessing the percentage of sales from new products, 3M ensures a steady pipeline of innovative ideas while maintaining focus on customer needs and market trends. The KPI is embedded across the organization, with executive compensation often linked to performance in this area. As a result, 3M continues to push the envelope, sustaining its competitive edge in various industries.

Case Study 2: Google’s Use of OKRs in Innovation

Google’s prolific innovation engine can be attributed in part to its use of Objectives and Key Results (OKRs), which are a complementary approach to KPIs. OKRs facilitate a robust framework for fostering and measuring innovation efforts. At Google, these objectives are set quarterly and revolve around ambitious, oftentimes audacious, innovation goals.

Key Results are established alongside these objectives to track progress and ensure alignment with company-wide priorities. For instance, an objective could be to “improve user engagement on YouTube,” with key results related to the duration of video watches, number of content uploads per day, or specific feature rollouts. Through this dynamic approach, Google remains agile and enables teams to seek moonshots, while maintaining accountability and visibility into innovation activities.

Implementing and Iterating KPIs

Successful implementation of KPIs for innovation requires thorough planning, cross-functional collaboration, and ongoing assessment. Organizations should regularly revisit and refine their KPIs to reflect changing strategic priorities and market conditions. Introducing a feedback loop from employees, customers, and other stakeholders can provide valuable insights into the effectiveness and relevance of KPIs.

Remember, KPIs aren’t an end in themselves; they are tools to guide decisions and enhance innovation capabilities. It’s important for organizations to cultivate a culture of learning and experimentation, where KPIs evolve alongside innovation processes.

Conclusion

KPIs play a pivotal role in measuring innovation performance, driving accountability, and aligning efforts with strategic goals. By carefully selecting and implementing KPIs that resonate with the organization’s unique innovation context, companies can navigate the complexities of the innovation landscape more effectively. Through case studies like 3M’s commitment to sales from new products and Google’s use of OKRs, we see the tangible impact of KPIs in fostering a culture of continuous innovation. Ultimately, in this age of rapid transformation, those organizations that adeptly leverage KPIs in their innovation endeavors are better positioned to thrive and lead the future.

Extra Extra: Futurology is not fortune telling. Futurists use a scientific approach to create their deliverables, but a methodology and tools like those in FutureHacking™ can empower anyone to engage in futurology themselves.

Image credit: Pexels

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