2 customisable OKR examples for Expenditure Reduction
What are Expenditure Reduction OKRs?
The OKR acronym stands for Objectives and Key Results. It's a goal-setting framework that was introduced at Intel by Andy Grove in the 70s, and it became popular after John Doerr introduced it to Google in the 90s. OKRs helps teams has a shared language to set ambitious goals and track progress towards them.
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 Expenditure 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.
Building your own Expenditure Reduction OKRs with AI
While we have some examples available, it's likely that you'll have specific scenarios that aren't covered here. You can use our free AI generator below or our more complete goal-setting system to generate your own OKRs.
Feel free to explore our tools:
- Use our free OKR generator
- Use Tability, a complete platform to set and track OKRs and initiatives, including a GPT-4 powered goal generator
Our customisable Expenditure Reduction OKRs examples
You will find in the next section many different Expenditure 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!
1. OKRs to reduce overall IT expenditure per employee
Reduce overall IT expenditure per employee
Decrease hardware renewal cost by 20%
Identify and eliminate unnecessary hardware assets
Implement preventative maintenance strategies on existing hardware
Negotiate better contracts with hardware vendors
Implement software use audits to identify 15% cost-saving opportunities
Identify key software used in organization operations
Analyze audit findings to identify cost-saving opportunities
Develop and implement a software auditing process
Achieve a 10% reduction in IT service contractor expenses
Explore cheaper alternatives or in-house solutions for IT services
Evaluate current IT service contracts for potential cost-saving opportunities
Negotify renegotiations or cancellations of costly contracts
2. OKRs to increase revenue efficiency across all business units
Increase revenue efficiency across all business units
Reduce operational expenditure by 10% to maximize net revenue
Streamline processes to minimize redundant labor costs
Implement energy-saving measures to decrease utility costs
Negotiate better terms with suppliers to cut procurement expenses
Streamline all revenue-generating processes to increase efficiency by 20%
Train team in streamlined processes and new software
Identify current inefficiencies in revenue-generating processes
Implement technological solutions to automate manual tasks
Increase average revenue per user (ARPU) by 15%
Optimize pricing based on customer buying behaviors
Improve user experience to boost customer engagement
Develop targeted upselling strategies for high-value customers
Expenditure Reduction OKR best practices to boost success
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.
![Tability Insights Dashboard](https://tability-templates-v2.vercel.app/_next/static/media/tability-insights-board.e70f9466.png)
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.
![Tability Insights Dashboard](https://tability-templates-v2.vercel.app/_next/static/media/checkins-graph.b2aec458.png)
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 turn your Expenditure Reduction OKRs in a strategy map
Your quarterly OKRs should be tracked weekly in order to get all the benefits of the OKRs 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
Spreadsheets are enough to get started. Then, once you need to scale you can use a proper OKR platform to make things easier.
![A strategy map in Tability](https://tability-templates-v2.vercel.app/_next/static/media/tability_strategy_map.2ad25843.png)
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 Expenditure Reduction OKR templates
We have more templates to help you draft your team goals and OKRs.
OKRs to significantly reduce total work hours without compromising productivity
OKRs to reduce 90 days past due balances
OKRs to enhance leadership skills through online learning and practical application
OKRs to implement transparency in project allocation for balanced workload per person
OKRs to establish a formidable brand presence
OKRs to grow sales effort in new markets
OKRs resources
Here are a list of resources to help you adopt the Objectives and Key Results framework.
- To learn: What is the meaning of OKRs
- Blog posts: ODT Blog
- Success metrics: KPIs examples
Create more examples in our app
You can use Tability to create OKRs with AI – and keep yourself accountable 👀
Tability is a unique goal-tracking platform built to save hours at work and help teams stay on top of their goals.
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