Falcon offers the possibility to calculate OKR in a meaningful way using effect lines. Effect lines are created in Falcon by users with hub owner rights.
This article answers the following questions:
What exactly are Objectives and Key Results?
Objectives and Key Results" (OKR) is a framework for setting goals and measuring key performance indicators. The exciting thing about it is that OKR is a method that makes it possible to combine key figures of the most diverse nature. Do you have a goal that can be measured by sales, number of new contracts, number of new leads, and number of phone calls? With the OKR system, you can combine all these metrics and aggregate them in a meaningful way. And that's exactly what Falcon can help with!
In this way, OKRs are a management system for goal-oriented employee management, which links the tasks of individual teams to the corporate strategy. The "Objective" defines what is to be achieved, while the "Key Result" defines the target result or measurability. In order to achieve the "Objective", all associated "Key Results" must be fulfilled, which by definition must contain a number. OKRs should always be measurable.
How can I calculate OKRs?
In Falcon, it is possible to calculate achievement levels using an effect line. This allows you to see what level of achievement you have achieved across multiple effect lines. To do this, select the unit "degree of achievement" during budgeting. If you now enter the average between the 1st and 2nd line in the calculation, for example, you will receive the average degree of achievement for lines 1 and 2 as the result:
The following example shows the calculation: (80%+180%)/2=130%.
A problem here could be that peak values falsify the results, so if e.g. a value shows an achievement level of over 1000%, the aggregation is falsified and the achievement level has hardly any significance.
What is the special feature of the OKR formula?
To prevent this from happening, Falcon provides the okr() function. This ensures that all values <0% are included in the calculation with 0% and all values >100% are included in the calculation with 100%. This way you get a meaningful degree of achievement over several effect lines.
Technically, it works as follows:
When creating the effect line, the formula okr() is applied in the "Calculation" field. In the parentheses you can select the effect lines whose degree of achievement should be summarized: e.g. okr(#1,#2). Thus, the average degree of achievement of the first and second line is output as the result.
The following example shows the calculation: (80%+100%)/2=90%.
A complete effect line could then look like this: