Picture created by Robert Nowak
In the world of business, achieving goals and objectives is the key to success. To ensure this, companies often rely on various management frameworks and methodologies, one of which is OGSM. This stands for Objectives, Goals, Strategies, and Measures, and is a comprehensive management tool used to align the organisation’s objectives and goals with its strategic planning and execution.
OGSM offers numerous benefits that can help companies achieve their business objectives more effectively. This article is based on the work of Robert Nowak from Lippert, who has extensive experience in implementing OGSM. Here are eight benefits of using OGSM:
1: OGSM offers Alignment
OGSM provides a framework for everyone in the organization to focus on the “right” work that relates to the business objectives and goals. This alignment helps to ensure that everyone is moving in the same direction, and that all the resources are being used effectively.
2: OGSM helps Prioritise
With OGSM, companies can plan for the work they must accomplish in a set timeframe. This helps organisations to prioritise their work and allocate their resources accordingly. By doing so, the company can ensure that critical tasks are completed first, and that nothing falls through the cracks.
3: OGSM creates Visibility
Sharing the company’s global vision across the organization in a way that resonates with them is essential to ensure everyone is on the same page. OGSM makes this possible by providing a clear understanding of the company’s vision and goals, and how each individual can contribute to its success.
4: OGSM ensures Accountability
OGSM holds individuals accountable for their actions and outcomes. By hosting monthly review meetings, OGSM owners are engaged in critical work that needs to get done. This ensures that everyone is responsible for their contributions to the company’s overall success. Additionally, the use of OGSM facilitates open communication and transparency, as everyone has visibility into the progress being made towards achieving the defined objectives. This creates a culture of accountability where individuals take ownership of their responsibilities and are more likely to take initiative to address challenges and opportunities.
5: OGSM uses Common Language
OGSM reduces the need to compile last-minute reports and standardises them in a common framework. By using the same language, everyone in the organization can communicate effectively, and tasks can be completed more efficiently.
6: OGSM offers Intervention Steps
OGSM puts a focus on off-track and at-risk activities to get them back on track. Root Cause Analysis identifies the issues that are causing delays or preventing success, allowing the company to implement solutions and prevent future problems.
7: OGSM linked to Incentives
Incentives can be linked to successful OGSM execution! By providing incentives for achieving objectives, the company can motivate employees to work harder and achieve better results. Moreover, incentives can be tailored to individual employees, teams or departments, depending on their contribution towards the success of the OGSM plan. This encourages a sense of ownership, accountability, and commitment towards the achievement of the company’s overall goals.
8: OGSM enables Engagement
OGSM demonstrates how individual contributions are tied to the company’s success, which creates further commitment. This engagement helps to ensure that everyone is working towards a common goal, and that the company’s overall objectives are achieved more effectively.
In conclusion, OGSM is more than just a planning tool, it’s a way of thinking that promotes strategic alignment and execution. By setting clear goals, defining specific objectives, and outlining strategies and tactics, OGSM provides a roadmap for success. With the use of KPIs and regular check-ins, organisations can track progress and make adjustments as needed. OGSM also fosters cross-functional collaboration, as it requires input and buy-in from stakeholders at all levels. By utilising OGSM, companies can ensure everyone is working towards the same vision and achieving results efficiently.
Would you like to learn more about OGSM? click here