presentsLeadership Fundamentals:Creating an OGSM Frameworkto Rally Your TroopsDAVE BALTER@davebalter
OGSM
…a different type of ORGASMOBJECTIVESGOALSSTRATEGIESMEASURES
load ofBullshit
BzzAgent RevenueQ103&Q203&Q303&Q403&Q104&Q204&Q304&Q404&Q105&Q205&Q305&Q405&Q106&Q206&Q306&Q406&Q107&Q207&Q307&Q407&Q108&Q...
Loads ofsuccess
top-down strategic planning frameworksimple. clear. concise.
fits on one page
gives you a mediumand long-term plan
guides yourshort-term successes
managed by the leader,formed by stakeholders
used as part of a businessplanning cycle
[YEAR] [COMPANY] OGSM[YEAR] [COMPANY] OGSM[YEAR] [COMPANY] OGSM CONFIDENTIALVision Your Vision of the FutureYour Vision of...
what’s your vision of the future?what will happen when you get there?step 1: set your vision & global objective
planning starts with defining objectivesthat overlap the corporate missionAnd global objectivethese elements are stable an...
• numeric measurement thatdetermines if you succeeded inobtaining your objective• related to financial performance• stable...
goals are translated into choices,which are the strategies you willdeploy in order to achieve your goalsstep 4: define 1 s...
• how you know your strategy is working• can be quantitative & qualitative• may focus beyond financialperformance, since m...
CHECK YOUR WORK!1. S y n c h r o n i z a t i o n2. S u f f i c i e n c y3. S e l e c t i v e4. S u s t a i n a b l e
review your Objectives and Goals to seeif they jive with your Strategies andMeasures—if they don’t, you don’t likelyhave s...
rigorously assess whether the strategiesand measures outlined within the OGSM,if attained, are sufficient to achieve youro...
review the strategy to see if it clearly lays outwhat you are NOT going to doit should be clear that you have adequatemanp...
"Does this set of strategies offer my company abarrier to entry versus competition?”"Does it meet a real consumer need?”"D...
multiple strategy sessionscheck your pathbring it into your vocabularycascadeNOW WHAT?
THANK YOUI specialize in helping startups or series A or B companies develop effective OGSMs. Findme if you’d like some he...
Course TitleCourse TitleINSTRUCTOR NAME
OGSM Strategy Framework
OGSM Strategy Framework
OGSM Strategy Framework
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OGSM Strategy Framework

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The OGSM--Objectives, Goals, Strategies and Measures--is a framework for aligning your team. Dave Balter, CEO of BzzAgent and Exec Chair of Smarterer, reviews how to create an OGSM for your organization, ans shares concrete tactics to help your entire team learn, to win.

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  • We’re here to talk about the OGSM.Let’s get this out of the way: yes, this looks a bit like…
  • THIS
  • …or this…
  • Now that we’ve gotten that out of the way…The OGSM stands for Objectives, Goals, Strategies and Measures
  • I used to believe that business frameworks were a total waste of time.That businesses ran through a driven CEO, and talented people.That people would just know what to do if you gave them individualized feedback, had a great idea, and knew how to execute.Many folks told me that nothing could be more important than nailing down your vision, mission and values. But I’d had a lot of success without FORMALLY doing that, so I ignored it.
  • But that was before 2008, when my 5th startup, BzzAgent, was taking off like a rocket.Then, in 2008, everything started to change.Market forces were straining the business, and I ended up having to lay off a big chunk of staff.After that, I couldn’t lead just through execution. Employees lost faith in what we were doing. We lost track of where we were going.
  • The reality of the situation hit home: we needed to do something fast.I joined a CEO group – and the first they they asked me was whether I had clear Mission, Vision, Values.And then the real work began – to clarify exactly who we were and what we were doing as a business.With these in hand, we rebuilt the company, and eventually successfully sold it 18 months later.And much of that success is because of our ability to create a framework we could lead the business by. And there is no better framework for doing that than the OGSM.
  • The OGSM was initially developed by auto manufacturers in the 1950s, as they needed to scale for massive growth.It was eventually popularized by Proctor & Gamble, who began using it across the entire organization shortly thereafter.BzzAgent was purchased in 2011 by dunnhumby, a division of Tesco – where the OGSM is used to manage an incredibly successful (~$800M, highly profitable) business.An OGSM is used as part of a business planning cycle. It’s result is SIMPLE, CLEAR and CONCISE.
  • It fits on one page.
  • It provides a plan that you can look at and work on every day, while keeping an eye on the long-term goals.
  • And importantly, helps you understand if the successes you’re achieving each day, are appropriate to hit those long term goals.
  • It is the responsibility of a leader (CEO or department head if the company is large enough) to drive the formation of the OGSM – but it is INCLUSIVE. Many stakeholders should have input in shaping and creating the output. The result is that the entire company can become bought into the structure.
  • The OGSM should be used as part of a regular business planning cycle.For large companies, it can be developed annually (with some parts changing, but not all of it).In smaller firms, where change happens often (ie: a startup), it could be looked at every 6 months (or even every quarter, given how fast things can change).In any case, it’s the form that’s used to help the business know where it’s going. If you ever feel lost, the OGSM can help clarify the way.
  • This is an OGSM template, with descriptions of each section. A final OGSM can fit onto this one sheet.In order to develop an OGSM, it’s recommended that a set of key stakeholders on a team have a series of in person meetings to develop. The leader will drive the sessions, but it’s key that input from a variety of people in the business is obtained.Many smaller teams can achieve a strong OGSM output in 2 four hour sessions; but don’t rush these. Spend the time to discuss the items where there isn’t aligned. Remember that WORDS matter – if you are debating specific words, it’s ok!!Email me at davebalter at gmail dot com if you’d like an excel version of this for easy creation.
  • Using the spreadsheet, you should begin by clarifying your vision and objective.Your vision should be the statement that everyone in your business can rattle off on a second’s notice. What is it you DO?For the global objective, you should make sure it is quantitative and sets a specific timeframe (we will deliver X for Y consumers by 2020…)…
  • Your objectives are 2-3 items that map to your vision and global objective. These items are unlikely to change over time, even over multiple workings of your OGSM; these are the pillars of what you’re building. Short, broad statements are ok here (“Drive Scale”; “Generate Revenue”; “Build Culture” are all good examples)
  • For each objective, deliver a set of goals. There should be 2 or 3 for each objective.These are quantitative and will likely change annually. (example: in order to “Drive Scale” your goal might be to “Acquire 100,000 users this year”)For many startups, these may not be financially oriented, but it’s never too early to start thinking about revenue 
  • In order to achieve your goals, you’re going to need a strategy. So, what will you do to achieve your goals?Strategies might change more often, say ever 6 months – be careful of changing your strategy too often, BUT also make sure you adjust your strategy if it isn’t working!(an example: if your goal is to “acquire 100,000 users” your strategy might be to “create an affiliate marketing channel” or “become a promotion powerhouse”, etc.)
  • Now that you have strategies, you need to measure if they’re working.Your measurements should change along with your strategies. (Example: if your strategy was to “develop an affiliate channel” your measurement might be “sign 100 affiliates”)Often this section of “M” can be also delivered with some “T” or tactics mixed in…measurements and tactics may overlap. In the above, signing affiliates could also be considered a tactic.
  • Once a leader has developed an OGSM with their team, a good rule is to go back and check things…these are the 4 tips for checking your work.
  • As a summary, an OGSM should be developed for the overall business, but often sub units (if large enough) within a company can develop their own OGSM to map their own progress (say a U.S. division of a global organization).OGSMs are to be shared throughout the entire organization. They are only truly valuable if everyone in the company is aligned by them.In order to make the most of the OGSM, the leader should refer back to it often, within the daily workstream; employees should recognize it as the ‘map’ for what they’re working on and achieving --- for reviews, they should be able to appreciate if what they’ve done has had a more significant impact and why they’re being asked to work on specific items.
  • OGSM Strategy Framework

    1. 1. presentsLeadership Fundamentals:Creating an OGSM Frameworkto Rally Your TroopsDAVE BALTER@davebalter
    2. 2. OGSM
    3. 3. …a different type of ORGASMOBJECTIVESGOALSSTRATEGIESMEASURES
    4. 4. load ofBullshit
    5. 5. BzzAgent RevenueQ103&Q203&Q303&Q403&Q104&Q204&Q304&Q404&Q105&Q205&Q305&Q405&Q106&Q206&Q306&Q406&Q107&Q207&Q307&Q407&Q108&Q208&Q308&Q408&Q109&Q209&Q309&Q409&
    6. 6. Loads ofsuccess
    7. 7. top-down strategic planning frameworksimple. clear. concise.
    8. 8. fits on one page
    9. 9. gives you a mediumand long-term plan
    10. 10. guides yourshort-term successes
    11. 11. managed by the leader,formed by stakeholders
    12. 12. used as part of a businessplanning cycle
    13. 13. [YEAR] [COMPANY] OGSM[YEAR] [COMPANY] OGSM[YEAR] [COMPANY] OGSM CONFIDENTIALVision Your Vision of the FutureYour Vision of the FutureYour Vision of the FutureYour Vision of the FutureYour Vision of the FutureGlobal Objective What Will Happen When You Get There (Quantify)What Will Happen When You Get There (Quantify)What Will Happen When You Get There (Quantify)What Will Happen When You Get There (Quantify)What Will Happen When You Get There (Quantify)goals strategies tactics (measures)A set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThe goals aretranslated into choices,which are whatstrategies you willdeploy in order toachieve your goals.A set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThe goals aretranslated into choices,which are whatstrategies you willdeploy in order toachieve your goals.•How you know your strategy is workingA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThe goals aretranslated into choices,which are whatstrategies you willdeploy in order toachieve your goals.•Can be both quantitative and qualitativeA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThe goals aretranslated into choices,which are whatstrategies you willdeploy in order toachieve your goals.•May focus beyond financial performance since many aspectsoforganizational activity are considered.A set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThe goals aretranslated into choices,which are whatstrategies you willdeploy in order toachieve your goals.A set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesA set ofobjectives thatoverlap thecorporatemission andBIG Objective.NumericMeasurementthatdetermines ifyousucceeded inobtaining yourobjectivesThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnuallyThese elementsare stable anddon’t have adefinitivedurationCommunicated to allStakeholdersRelated toFinancialPerformanceStable andReviewedAnnually2-3 ObjectivesTotal2-3 Goals PerObjective~1 Strategy Per Goal2-3 ObjectivesTotal2-3 Goals PerObjective~1 Strategy Per Goal2-4 Measures Per Strategy2-3 ObjectivesTotal2-3 Goals PerObjective~1 Strategy Per Goal2-3 ObjectivesTotal2-3 Goals PerObjective~1 Strategy Per Goal2-3 ObjectivesTotal2-3 Goals PerObjective2-3 ObjectivesTotal2-3 Goals PerObjective2-3 ObjectivesTotal2-3 Goals PerObjective2-3 ObjectivesTotal2-3 Goals PerObjective
    14. 14. what’s your vision of the future?what will happen when you get there?step 1: set your vision & global objective
    15. 15. planning starts with defining objectivesthat overlap the corporate missionAnd global objectivethese elements are stable anddon’t have a definitive durationstep 2: define 2 – 3 objectives
    16. 16. • numeric measurement thatdetermines if you succeeded inobtaining your objective• related to financial performance• stable and reviewed annuallystep 3: define 2 – 3 goals per objective
    17. 17. goals are translated into choices,which are the strategies you willdeploy in order to achieve your goalsstep 4: define 1 strategy per goal
    18. 18. • how you know your strategy is working• can be quantitative & qualitative• may focus beyond financialperformance, since many aspects oforganizational activity are consideredstep 5: define measures for strategies
    19. 19. CHECK YOUR WORK!1. S y n c h r o n i z a t i o n2. S u f f i c i e n c y3. S e l e c t i v e4. S u s t a i n a b l e
    20. 20. review your Objectives and Goals to seeif they jive with your Strategies andMeasures—if they don’t, you don’t likelyhave strategic alignments y n c h r o n i z a t i o n
    21. 21. rigorously assess whether the strategiesand measures outlined within the OGSM,if attained, are sufficient to achieve yourobjectivess u f f i c i e n c y
    22. 22. review the strategy to see if it clearly lays outwhat you are NOT going to doit should be clear that you have adequatemanpower to achieve them, and it shouldestablish parameters around dealing withrequests that come to your team(e.g. I will not do X because it is not aligned with strategy Y)s e l e c t i v e
    23. 23. "Does this set of strategies offer my company abarrier to entry versus competition?”"Does it meet a real consumer need?”"Does it address customer profitability needs?”"Does it meet my companys financial needs?”s u s t a i n a b l e
    24. 24. multiple strategy sessionscheck your pathbring it into your vocabularycascadeNOW WHAT?
    25. 25. THANK YOUI specialize in helping startups or series A or B companies develop effective OGSMs. Findme if you’d like some help.Dave Balter@davebalterdavebalter@gmail.com
    26. 26. Course TitleCourse TitleINSTRUCTOR NAME
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