OGSM Model: How to Use the OGSM Framework

OGSM is an acronym for objectives, goals, strategies, and measures; this business framework establishes a template to outline aims and generate effective strategies for achieving different benchmarks. The OGSM approach highlights a company’s mission and financial targets so that all stakeholders understand their role and responsibility in helping the company achieve its goals.

The four elements of the OGSM model are:

1. 1. Objective: The first stage of OGSM is an opportunity to consider long-term visions. Your aspirations and plans define the company or organization’s future. Having a clear concept of your three- or five-year targets helps organize and inspire your team to strive toward a shared overall objective.
2. 2. Goals: After outlining your vision, identify the steps you need to take to achieve your mission. Identifying clear goals and measurable metrics turns your idea into a viable project.
3. 3. Strategies: The strategies you create help explain how you will achieve each goal. During this stage, it’s crucial to outline resource allocation, project timelines, and team initiatives so everyone understands their responsibilities and expectations.
4. 4. Measures: To evaluate the success of each strategy, utilize key performance indicators (KPIs) to measure results. By assessing performance metrics, you can understand the strong and weak points in your methods and identify areas for improvement.

While both OGSM and OKRs (objectives and key results) establish metrics for measuring a company’s goals, there are key differences between these two models. The OGSM framework outlines goals over a long-term period, such as a three- or five-year time frame, making it ideal for strategic plans in a top-down environment. In contrast, OKRs focus on short-term goals over a quarterly or monthly basis.

Follow these steps to use the OGSM planning framework for your business model:

1. 1. Consider the big picture. With your leadership team, meet and discuss the purpose of your company or organization. Establish a clear mission statement that embodies your business plan and highlights the features that distinguish your brand from competitors. Create an objective that is personal, specific, and concise, so all team members understand the vision.
2. 2. Identify business goals. Focus on goal setting to establish clear benchmarks that lead your team toward the objective. As you brainstorm different goals, phrase each task in specific, measurable terms. While your objective is a qualitative feature, your goals should be quantitative.
3. 3. Generate an action plan. The strategic planning process establishes a time frame and execution process for achieving your goals. Develop unique strategies for each goal so the steps are relevant to the benchmarks.
4. 4. Execute and evaluate your strategy. Integrate your strategies into your current framework, making any necessary changes to ensure a smooth process. As you work toward each benchmark, evaluate key results and performance metrics to determine the success of your plan. If your results are below expectation, revisit your strategic planning and brainstorm new solutions.
   

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