What are Profitability 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.
Creating impactful OKRs can be a daunting task, especially for newcomers. Shifting your focus from projects to outcomes is key to successful planning.
We've tailored a list of OKRs examples for Profitability 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 Profitability 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.
- 1. Go to Tability's plan editor
- 2. Click on the "Generate goals using AI" button
- 3. Use natural language to describe 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.
- 1. Go to Tability's plan editor
- 2. Add your existing OKRs (you can import them from a spreadsheet)
- 3. Click on "Generate analysis"
Tability's Strategy Map makes it easy to see all your org's OKRsTability 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.
Profitability OKRs examples
We've added many examples of Profitability Objectives and Key Results, but we did not stop there. Understanding the difference between OKRs and projects is important, so we also added examples of strategic initiatives that relate to the OKRs.
Hope you'll find this helpful!
OKRs to achieve profitability by reducing operational costs by 20% in the current fiscal year
ObjectiveCut operational costs to achieve profitability
KRReduce employee overtime costs by 30%- KRImplement automation processes to reduce manual labor costs by 20%
- KRDecrease inventory storage costs by 25%
- KRLower utility expenses by 15% through energy-efficient measures
OKRs to increase company profitability
- ObjectiveIncrease company profitability
- KRAchieve a 10% reduction in operating costs through efficiency improvements
Identify wasteful practices in the current operational process- Implement new efficiency-enhancing technologies
- Train staff on cost-saving practices and procedures
- KRIncrease net revenue by 15% via new customer acquisition strategies
- Conduct market research to identify potential customer segments
- Offer incentives for referrals to generate new clients
- Develop and implement a targeted digital marketing campaign
- KRImplement cost-saving measures to decrease overhead expenses by 8%
- Develop strategies to reduce miscellaneous office expenditures
- Review and analyze current overhead expenses in detail
- Optimize energy usage to minimize utility bills
OKRs to enhance business profitability through data analysis
- ObjectiveEnhance business profitability through data analysis
- KRIncrease accuracy of forecasting models used by sales team by 15%
- Train sales team on data interpretation and prediction techniques
- Analyze past forecasting models for discrepancies and errors
- Invest in advanced predictive analytics software
- KRDevelop data strategies for 3 new business units to aid decision making
- KRAchieve 20% reduction in costs through improved predictive models
- Develop and implement advanced predictive models
- Monitor and measure cost reductions frequently
- Continually optimize models to improve accuracy and efficiency
OKRs to enhance project profitability and delivery efficiency
- ObjectiveEnhance project profitability and delivery efficiency
- KRReduce project overruns by at least 30%
- Enhance project management training for staff
- Establish a strong pre-project planning protocol
- Implement stringent project timeline tracking
- KREnsure 90% of projects are delivered within budget allotment
- Provide regular budget training for project managers
- Conduct regular financial reviews of ongoing projects
- Implement stringent budget monitoring and control measures
- KRBoost on-time project completion rate to 95%
- Offer incentives for meeting project deadlines timely
- Implement project management software for tracking deadlines
- Conduct regular progress report meetings with team
OKRs to enhance overall company profitability
- ObjectiveEnhance overall company profitability
- KRIncrease net profit margin by 10% through cost reduction strategies
- Optimize energy usage to reduce utility bills
- Renegotiate supplier contracts for better rates
- Identify and eliminate non-essential operational costs
- KRBoost total revenue by 15% by diversifying product offerings
- Implement marketing strategies for new products
- Develop and prototype promising product ideas
- Research market trends to identify potential new product areas
- KRGrow customer retention rate by 8% through improving customer satisfaction
- Implement proactive customer service via phone or email
- Offer special loyalty programs or discounts
- Conduct customer satisfaction surveys regularly
OKRs to increase overall business profitability
- ObjectiveIncrease overall business profitability
- KREnhance product pricing to boost gross profit by 15%
- Analyze competitors' pricing strategies for comparable products
- Implement cost reduction measures to increase profit margins
- Adjust pricing based on product demand and value perception
- KRImplement process optimization strategies to cut operational costs by 7%
- Identify and analyze areas with high operational costs
- Evaluate the impacts regularly and make adjustments
- Develop and apply process optimization strategies
- KRAttain a 10% net profit margin by improving cost efficiency
- Identify unnecessary costs and eliminate them
- Implement more cost-effective processes and procedures
- Train employees on cost efficiency practices
OKRs to establish profitability foundations
- ObjectiveEstablish profitability foundations
- KRIncrease sales revenue by 25%
- Develop and launch new product lines to attract customers
- Enhance customer service to improve client retention rates
- Implement a targeted marketing campaign to boost product awareness
- KRReduce operational costs by 10%
- Streamline processes to eliminate waste and improve productivity
- Increase energy efficiency to lower utility bills
- Review all supplier contracts for potential cost-saving opportunities
- KRImprove net profit margin by 15%
- Implement cost reduction strategies across all operational departments
- Streamline supply chain to reduce unnecessary expenditures
- Increase product prices without impacting customer demand
OKRs to increase company's overall profitability
- ObjectiveIncrease company's overall profitability
- KRBoost sales by 10% to enhance revenue
- Improve after-sales service to promote customer loyalty
- Implement an upselling strategy to increase average transaction value
- Enhance digital marketing tactics to expand customer reach
- KRRaise net profit margin by an additional 2%
- Implement measures to reduce operational and production costs
- Boost sales through improved marketing strategies
- Increase pricing of products or services strategically
- KRMinimize operating costs by 5% through efficiency measures
- Decrease unnecessary material waste production
- Streamline processes to reduce labour costs
- Implement energy-saving equipment and lighting fixtures
OKRs to boost sustainable growth and profitability of the business
- ObjectiveBoost sustainable growth and profitability of the business
- KRReduce operational costs by 10% through efficiency improvements
- Implement energy-saving measures in all company facilities
- Streamline processes to eliminate non-value-adding activities
- Invest in cost-effective, high-efficiency equipment
- KRGrow customer base by 20% with green initiatives
- Host community events showcasing company's commitment to sustainability
- Develop a marketing campaign focusing on company's environmental efforts
- Implement a customer rewards program for eco-friendly purchasing decisions
- KRIncrease net profit margin by 15%
- Evaluate pricing strategies, increase price where appropriate
- Improve operational efficiency to reduce waste
- Implement cost-cutting measures for overhead expenses
OKRs to boost profitability of innovative projects
- ObjectiveBoost profitability of innovative projects
- KRAchieve 20% increase in revenue from innovative projects
- Execute innovative projects with high profitability potential
- Develop unique, practical ideas for potential projects
- Implement research on trending market and customer needs
- KRSecure 10 high-value partnerships for collaborative innovation projects
- Research and identify potential high-value partnership opportunities
- Initiate engagement and negotiation processes with potential partners
- Craft detailed and enticing partnership proposals
- KREnhance project visibility by 50% through targeted marketing efforts
- Allocate resources for prominent online ad spaces
- Develop compelling marketing content to attract audience
- Identify key demographic for targeted marketing strategies
Profitability 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
Having too many OKRs is the #1 mistake that teams make when adopting the framework. The problem with tracking too many competing goals is that it will be hard for your team to know what really matters.
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
Setting good goals can be challenging, but without regular check-ins, your team will struggle to make progress. We recommend that you track your OKRs weekly to get the full benefits from the framework.
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 Profitability OKRs
Quarterly OKRs should have weekly updates to get all the benefits from the framework. Reviewing progress periodically has several advantages:
- It brings the goals back to the top of the mind
- It will highlight poorly set OKRs
- It will surface execution risks
- It improves transparency and accountability
Most teams should start with a spreadsheet if they're using OKRs for the first time. Then, once you get comfortable you can graduate to a proper OKRs-tracking tool.
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 Profitability OKR templates
We have more templates to help you draft your team goals and OKRs.
- OKRs to enhance auditing of homeowner communication and calls
- OKRs to enhance Developer Quality
- OKRs to secure a score of 70 in my significant assessments
- OKRs to ensure timely submission of financial statement
- OKRs to enhance quality in document management processes
- OKRs to reduce overall shipping expenses