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4 OKR examples for Expenses Reduction

What are Expenses Reduction OKRs?

The Objective and Key Results (OKR) framework is a simple goal-setting methodology that was introduced at Intel by Andy Grove in the 70s. It became popular after John Doerr introduced it to Google in the 90s, and it's now used by teams of all sizes to set and track ambitious goals at scale.

Formulating strong OKRs can be a complex endeavor, particularly for first-timers. Prioritizing outcomes over projects is crucial when developing your plans.

We've tailored a list of OKRs examples for Expenses Reduction to help you. You can look at any of the templates below to get some inspiration for your own goals.

If you want to learn more about the framework, you can read our OKR guide online.

How to write your own Expenses Reduction OKRs

Option 1. Turn ideas into OKRs with Tability AI

While we have some examples available, it's likely that you'll have specific scenarios that aren't covered here.

You can use Tability's AI generator to create tailored OKRs based on your specific context. Tability can turn your objective description into a fully editable OKR template -- including tips to help you refine your goals.

Tability will then use your prompt to generate a fully editable OKR template.

Watch the video below to see it in action 👇

Option 2. Optimise existing OKRs with Tability Feedback tool

If you already have existing goals, and you want to improve them. You can use Tability's AI feedback to help you.

AI feedback for OKRs in TabilityTability's Strategy Map makes it easy to see all your org's OKRs

Tability will scan your OKRs and offer different suggestions to improve them. This can range from a small rewrite of a statement to make it clearer to a complete rewrite of the entire OKR.

You can then decide to accept the suggestions or dismiss them if you don't agree.

Option 3. Use the free OKR generator

If you're just looking for some quick inspiration, you can also use our free OKR generator to get a template.

Unlike with Tability, you won't be able to iterate on the templates, but this is still a great way to get started.

Expenses Reduction OKRs examples

You will find in the next section many different Expenses Reduction Objectives and Key Results. We've included strategic initiatives in our templates to give you a better idea of the different between the key results (how we measure progress), and the initiatives (what we do to achieve the results).

Hope you'll find this helpful!

OKRs to optimize IT costs by reducing expenses by 20%

  • ObjectiveReduce IT expenses by 20%
  • KRAnalyze previous quarter expenses and identify areas for cost reduction
  • TaskDetermine cost-saving opportunities
  • TaskIdentify spending patterns
  • TaskReview expenses
  • TaskImplement cost reduction measures
  • KREducate employees on cost-saving practices and enforce IT policies
  • TaskRegularly remind staff of cost-cutting policies
  • TaskContain training sessions for IT policy adoption
  • TaskMonitor employee compliance with IT policies and address non-compliance
  • TaskHold information sessions about cost-saving practices
  • KRNegotiate with vendors for better pricing
  • TaskResearch vendor's competitors and their rates
  • TaskHighlight your previous purchasing history with them
  • TaskOffer to sign a long-term contract for a discount
  • TaskAsk for a volume discount based on the forecasted quantity
  • KRImplement solutions and track savings
  • TaskIdentify opportunities for cost reduction
  • TaskImplement cost-saving solutions
  • TaskTrack and report realized savings
  • TaskPrioritize solutions based on potential savings

OKRs to reduce delivery service expenses

  • ObjectiveReduce delivery service expenses
  • KRLower staff overtime costs by 15% by improving shift scheduling
  • TaskConduct periodic reviews to identify scheduling inefficiencies or issues
  • TaskTrain managers on workload distribution and staff utilization techniques
  • TaskImplement a digital shift scheduling system for efficient workforce management
  • KRImplement an efficient parcel tracking system to reduce lost package costs by 5%
  • TaskTrain staff on new system usage
  • TaskResearch and adopt an advanced tracking solution
  • TaskIdentify current weaknesses in existing parcel tracking system
  • KRDecrease fuel expenditure by 10% through optimizing delivery routes
  • TaskTrain drivers on fuel-efficient driving techniques
  • TaskImplement GPS-based routing software for efficient trip planning
  • TaskRegularly maintain delivery vehicles for optimal performance

OKRs to streamline corporate general and administrative expenses

  • ObjectiveStreamline corporate general and administrative expenses
  • KRSlash administrative costs by 15% through process improvements
  • TaskImplement automation technology for routine tasks
  • TaskConduct training on new streamlined processes
  • TaskIdentify inefficiencies in current administrative processes
  • KRIncrease revenue to cost ratio by 20% via strategic resource allocation
  • TaskContinually monitor and adjust resource allocation
  • TaskRedistribute resources to maximize efficiency
  • TaskIdentify profitable and underutilized resources
  • KRImplement cost control mechanisms reducing overspending by 10%
  • TaskIdentify areas of excessive spending within current budget
  • TaskDevelop and implement cost control policies
  • TaskMonitor and record savings from implemented policies

OKRs to drastically decrease operational expenses

  • ObjectiveDrastically decrease operational expenses
  • KRDecrease supply chain costs by 10% through vendor negotiations and solutions
  • TaskDevelop strategies for productive pricing discussions
  • TaskImplement cost-effective vendor management solutions
  • TaskIdentify vital vendors for price renegotiation
  • KRReduce energy consumption by 15% with sustainable initiatives
  • TaskImplement company-wide training on energy-saving practices
  • TaskRegularly audit and maintain equipment for optimal efficiency
  • TaskInstall energy-efficient appliances and light fixtures
  • KRImplement effective automation tools, boosting productivity by 25%
  • TaskMonitor and adjust processes to achieve 25% productivity increase
  • TaskImplement and integrate chosen automation tools into daily operations
  • TaskResearch and identify suitable automation tools for business processes

Expenses Reduction OKR best practices

Generally speaking, your objectives should be ambitious yet achievable, and your key results should be measurable and time-bound (using the SMART framework can be helpful). It is also recommended to list strategic initiatives under your key results, as it'll help you avoid the common mistake of listing projects in your KRs.

Here are a couple of best practices extracted from our OKR implementation guide 👇

Tip #1: Limit the number of key results

The #1 role of OKRs is to help you and your team focus on what really matters. Business-as-usual activities will still be happening, but you do not need to track your entire roadmap in the OKRs.

We recommend having 3-4 objectives, and 3-4 key results per objective. A platform like Tability can run audits on your data to help you identify the plans that have too many goals.

Tip #2: Commit to weekly OKR check-ins

Don't fall into the set-and-forget trap. It is important to adopt a weekly check-in process to get the full value of your OKRs and make your strategy agile – otherwise this is nothing more than a reporting exercise.

Being able to see trends for your key results will also keep yourself honest.

Tip #3: No more than 2 yellow statuses in a row

Yes, this is another tip for goal-tracking instead of goal-setting (but you'll get plenty of OKR examples above). But, once you have your goals defined, it will be your ability to keep the right sense of urgency that will make the difference.

As a rule of thumb, it's best to avoid having more than 2 yellow/at risk statuses in a row.

Make a call on the 3rd update. You should be either back on track, or off track. This sounds harsh but it's the best way to signal risks early enough to fix things.

How to track your Expenses Reduction OKRs

Your quarterly OKRs should be tracked weekly in order to get all the benefits of the OKRs framework. Reviewing progress periodically has several advantages:

Spreadsheets are enough to get started. Then, once you need to scale you can use a proper OKR platform to make things easier.

If you're not yet set on a tool, you can check out the 5 best OKR tracking templates guide to find the best way to monitor progress during the quarter.

More Expenses Reduction OKR templates

We have more templates to help you draft your team goals and OKRs.

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