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Chapter 2: Defining Business Objectives

Formulate objectives that really guide measurement

SMART, Product Thinking, CTQ, and OKR approach the objective from different angles. These formulations allow you to quickly move from intention to a proposal that stakeholders can discuss, measure, and improve.

Adaptable formulas

Four starting points

Replace each bracketed element, then check that the formulation illuminates a real decision.

01

SMART

Specify the result, its measurement, context, and deadline.

« From now on [deadline], move [indicator] of [starting value] à [target], from [segment or context], while maintaining [quality constraint]. »
02

Product Thinking

Focus on business results, audience, and expected progress rather than the solution.

« In order to [business outcome sought]— We will help [audience] à [expected need or progress] by offering [experience or value proposition]. We'll know it works when [observable behaviors or results]. »
03

Critical to Quality (CTQ)

Translate an important expectation into observable operational requirement.

« So that [result or experience] considered satisfactory by [client, user, or stakeholder], [critical characteristic] must respect [observable requirement], measured by [indicator] with a threshold of [value]. »
04

Objectives and Key Results (OKR)

Associate an ambitious qualitative direction with a few measurable key results.

« Our goal is to [ambitious and qualitative direction]. We will measure our progress by passing [Key Result 1] of [starting point] à [target], to achieve [Key Result 2] and maintaining [Key Result 3 or safeguard], by [deadline]. »

Before retaining the formulation

A template doesn't replace judgment

These formulations are starting points, not recipes. Filling in the blanks does not exempt you from verifying the relevance of the objective, metrics, and targets.

  • What decision should this objective inform?
  • Does the expected behavior or result create real value?
  • Can chosen indicators produce perverse effects?
  • Do targets consider the starting point and context?