We hosted a panel discussion on OKRs & Performance Management: The Winning Combination on 22nd Jan 25 on where experts shared their invaluable insights and expertise. Below are some Highlights of the discussion Moderator: Sanjiv Jain Guest Speakers: Gaurav Sabharwal, Naga Siddharth Seetharaman, Jyotirmoy Bose Key highlights OKRs (Objectives and Key Results) are a framework for setting and tracking organizational objectives and outcomes. They align organizational goals, ensure focus, and drive performance. OKRs are transformational and future-facing, focusing on where the company wants to go rather than just operational metrics. OKRs are not the same as Performance Management Systems (PMS). OKRs focus on aspirational organizational goals and business outcomes, while PMS focuses on individual performance evaluation and rewards The senior leadership team focuses more on OKRs and front-line employees are high on KRA. Interestingly mid-managers are the ones who keep equal focus on both. Regular reviews and feedback mechanisms help align OKRs with PMS, ensuring both systems work harmoniously Metrics/indicators to evaluate OKR-PMS alignment success: Success Indicators: Increased agility, clearer focus, and measurable outcomes aligning with strategic priorities. Metrics: Goal achievement rates, employee engagement scores, alignment scores (team objectives linked to org goals), CSAT on performance reviews, and frequency of OKR updates/reviews Successful implementation requires strong support and commitment from the top leadership. HR can act as an enabler and facilitator but should not be the sole driver. Identifying and empowering champions within the organization to drive the OKR process is crucial. The engagement of middle managers is crucial to check if the OKR system is working out in the organization. Some common mistakes are overcomplicating OKRs, reducing them to a mere task list, and linking OKRs directly to rewards, which can lead to conservative goal-setting and a lack of frequent reviews and feedback. We should avoid running parallel review systems and OKRs should be the primary framework for business reviews. It's important to use retrospectives to learn from failures to improve processes and outcomes in future cycles. Technology plays a key role in optimizing the path to achieving business goals, especially in large organizations comparing it to using GPS for navigation.