The document discusses using OKRs (Objectives and Key Results) and EBM (Evidence Based Management) to measure what matters in organizations. It provides an overview of OKRs, explaining that they are a goal setting framework that combines top-down and bottom-up approaches to create organizational alignment. The document also discusses how OKRs complement agility and provides a case study example of implementing OKRs. Finally, it explains how OKRs and EBM can work together, with OKRs setting goals and EBM providing measures to track progress towards those goals.

1. Measure What Matters
with OKRs and EBM
Rituraj Patil

2. Rituraj Patil
 Bachelor of Engineering (BE) in Information Technology from Kolhapur Institute of Technology’s College of Engineering
(Autonomous), Kolhapur
 Master of Technology (MTech) in Software Development and Management from Vellore Institute of Technology, Vellore
 Master of Management Studies (MMS) aka MBA in Systems from University of Mumbai, Mumbai
 Executive Management Development Program (EMDP) in Business Technology Management Specialization - ISB, Hyderabad
 ~11 years of experience in IT industry to develop and deliver Agile IT Products and Services using Cloud, IoT, AI/ML, Data
Analytics, RPA, QA, and DevSecOps etc. technologies
 Currently working as Senior Analyst (Scrum Master / Agile Coach) with Tetra Pak
 Previously worked with Cognizant, ADP and Atos
 Published Author of Book “Mastering Advanced Scrum”
 Speaker at many global conferences and educational institutes including IIMs and IITs
 Holding 2 Innovation Patents and many globally recognized certifications
 https://www.linkedin.com/in/riturajtpatil/

3. Outline of Session
 A Brief History of how we are measuring things so far!
 Why should we measure what matters!
 Overview of OKRs (Objectives and Key Results)
 How OKRs complement Organizational Agility?
 A Practical Case Study for OKRs implementation
 Correlating OKRs with EBM (Evidence Based Management)

4. A Brief History of how we are measuring things so far!
MBOs
by
Peter Drucker
S.M.A.R.T
by
George Doran
OKRs
by
John Doerr at
Google
KPIs
EBM
and
Balanced
Scorecard

5. Why should we measure what matters!
https://agile-st.rip/output-vs-outcome/
https://mobile.twitter.com/voinonen/status/1044904792814997504

6. Understanding Outputs vs Outcomes
Outputs Outcomes
Create a new Marketing Plan
Run Customer/End-user awareness
campaign for Feature XYZ
Implement automated CI/CD pipeline
Incoming leads increased from 4000 to
5500
Usage of Feature XYZ increased by 50%
Deployment time using CI/CD pipeline
reduced by 20%
VS
Move from Outputs to Outcomes by asking “Why?” multiple times

7. Overview of OKRs (Objectives and Key Results) - What?
 OKRs (Objectives and Key Results) is a simple Goal Setting Framework
 Simple tool to create alignment and engagement around measurable goals
 Combination of Top-Down and Bottom-Up Approach
https://www.wired.com/story/plaintext-john-doerr-book-climate-change/

8. Overview of OKRs (Objectives and Key Results) - What?
Organizational
Strategic Goals
(Top
Level
OKRs)
Team 1 OKRs
Team 2 OKRs
Team 3 OKRs
Team 4 OKRs

9. Overview of OKRs (Objectives and Key Results) - Google Chrome Story
https://www.techinasia.com/google-ceo-sundar-pichai-okrs-build-worlds-popular-web-browser
Top Level Annual
Objective:
Develop the next-
generation client
platform for web
applications.
Main Key Result:
Chrome reaches 20
million seven-day
active users.
Making people
“uncomfortably
excited” to have “a
healthy disregard
for the impossible.”

10. Overview of OKRs (Objectives and Key Results) - Why?
Assists Mid-Term
planning
Creates Focus and a
Measurement
Culture
Helps Organizational
Direction and
Alignment
Promotes
Engagement
Increases
Transparency
Encourages
Accountability

11. Overview of OKRs (Objectives and Key Results) - What?
Objective
• An inspirational statement describing a desired future
state
• Qualitative
• Inspirational & Aspirational
• “What” we want to achieve
• 1 to 3 (no more than 3 to 5) Objectives per Quarter
Key Result
• A measure that defines whether progress has been made
towards the Objective
• Quantitative
• KRs can be difficult, but not impossible
• “How” we will know that we have achieved what we want
to achieve
• (No more than) 3 to 5 Key Results per Objective
Both O & KR
should be
OUTCOME focused
Initiatives
and
Tactics
(“What”
we need
to do to
achieve
what we
want to
achieve)

12. OKRs Example
Team Level Objective: Create an
Awesome Customer Experience
Key Result 1:
Improve Net Promoter
Score from 60 to 80
Key Result 2:
Increase Repurchase Rate
from 25% to 50%
Key Result 3:
Maintain Customer Acquisition
Cost under 50K Euros
Organization Purpose, Vision, Mission, Values, Strategy
Portfolio Level Objectives
Program Level Objectives
Program Level Initiatives

13. OKRs Example
Key Result 1:
Improve Net Promoter Score from 60 to 80
Initiative 1: Detailed Root
Cause Analysis of Low NPS
Initiative 2: User
Experience Improvement
of XYZ Web Portal
Initiative 3: Reduction in
Cycle Time and Lead Time
Tactics (Epics, Features, PBIs and User Stories)

14. How OKRs complement Organizational Agility? - OKRs Levels
Sprints
Initiatives & Tactics
per Team
Quarterly
Team OKRs
X Objectives & Key
Results per Team
Yearly
Team Objectives
X Objectives per Team
Yearly
Org Level
Objectives
X Objectives derived
at Org Level
Top Level
Objectives
Team A
Objectives
OKRs
Backlog
(Product/Sprint)
Team B
Objectives
OKRs
Backlog
(Product/Sprint)
Team C
Objectives
OKRs
Backlog
(Product/Sprint)
Purpose is Alignment at Top Level and Dynamism at Team Level

15. How OKRs complement Organizational Agility? - OKRs Rollout Models
Company Level Only
Company and Business
Unit or Team(s)
Entire Organization
Pilot at a Business Unit
or Team(s)

16. A Practical Case Study - Timeline
Select Pilot
Teams
OKRs
Initiation
OKRs
Introduction
OKRs
Creation
Training
OKRs
Creation
Workshop
PMs/POs
Alignment on
OKRs
(Tie Off)
Align Product
Backlog to
OKRs
OKRs Cycle
(one quarter)
- OKRs
Bi-weekly
Check-Ins
Final OKRs
Reviews
Expand from Pilot to more Teams

17. A Practical Case Study - Workshop and Sample OKRs

18. A Practical Case Study - Writing an OKR
IDENTIFY PROBLEM
STATEMENT
TURN INTO
OBJECTIVE
WRITE
KEY RESULTS
Make sure that your OKRs are aligned to your Top-Level Objectives
CREATE INITIATIVES
AND TACTICS

19. A Practical Case Study - OKRs Created and Finalized - Sample OKR
Team Level Objective: Rollout a new
service offering in existing ITSM portal
Key Result 1:
Deliver a new service
offering to reduce overall
owner dispatch time
by 80%
Key Result 2:
Integrate other applicable
service offerings to search
owners and to save
0.5 FTE effort
Key Result 3:
Implement auto search
functionality to automatically
identify and assign owners
with 80% success rate
Initiatives and Tactics (Epics, Features, PBIs and User Stories)
Program Level Objective: Automated Service Management
Program Level Initiative: Reduce manual effort involved in Service
Management through AI based Automation

20. A Practical Case Study - Challenges in implementation of OKRs
Lack of Leadership
Support / Buy-in
Lack of Understanding
of Big Picture
Lack of Understanding
Outputs vs Outcomes
Lack of Regular OKRs
Check-ins
Team Level
Dependencies
Too much focus on
Tools and Processes
Lack of Understanding
of Objectives as
Stretch Goals
Team Level Objectives
not aligned with Top
Level Objectives
Having too less and/or
too many OKRs

21. Correlating OKRs with EBM (Evidence Based Management) - Agility and EBM
EBM on Scrum.org

22. A Practical Case Study - OKRs Created and Finalized - Sample OKR
Team Level Objective: Rollout a new
service offering in existing ITSM portal
Key Result 1:
Deliver a new service
offering to reduce overall
owner dispatch time
by 80%
Key Result 2:
Integrate other applicable
service offerings to search
owners and to save
0.5 FTE effort
Key Result 3:
Implement auto search
functionality to automatically
identify and assign owners
with 80% success rate
Initiatives and Tactics (Epics, Features, PBIs and User Stories)
Program Level Objective: Automated Service Management
Program Level Initiative: Reduce manual effort involved in Service
Management through AI based Automation

23. A Practical Case Study - OKRs with EBM Example
Key Result 1: Deliver a new service offering to reduce overall owner
dispatch time by 80%
Initiative 1: SLA Improvement
through AI Automated
dispatch
EBM Measures: SLA Trend
Analysis and Time of Rework
Saved
Initiative 2: Reduction in Cycle
Time and Lead Time
EBM Measure: Trend Analysis
of Cycle Time and Lead Time
Initiative 3: Improved Shift
Left Mechanism
EBM Measures: Cost and
Effort of Rework Saved, End
User Satisfaction Index
Tactics (Epics, Features, PBIs and User Stories)

24. Correlating OKRs with EBM (Evidence Based Management) - How OKRs and EBM
Complement each other?
Product Goal
Intermediate
Goal
Sprint1 Goal Sprint2 Goal SprintN Goal
Strategic Goal
OKRs
EBM MeasureN
PBIs
EBM Measure2
EBM Measure1

25. Key Takeaways
 Measure What Matters!
 Understand Outcomes > Outputs
 OKRs (Objectives and Key Results) is a simple Goal Setting Framework
 Understand “why OKRs?” before implementing them
 OKRs complement Organizational Agility
 Purpose of OKRs is Alignment at Top Level and Dynamism at Team Level
 OKRs always need to be aligned with Top Level Objectives
 Continuous Inspection and Adaptation is the key in an OKRs Cycle
 OKRs and EBM (Evidence Based Management) Complement each other
 Think Big, Start Small, Learn (and Fail) Fast (and Safe)!!

26. Measure What Matters
with OKRs and EBM
Rituraj Patil
Thank You!
Q&A