In the context of OKRs (Objectives and Key Results), a Lagging Key Result is a specific, measurable outcome that reflects the results of past actions and indicates whether an objective has been achieved. Lagging Key Results provide insight into the effectiveness of strategies and decisions over a defined period, typically measuring the final outcomes after they have occurred.
Key aspects of Lagging Key Results include:
- Outcome Measurement: Lagging Key Results focus on the results of past activities and efforts, such as financial performance, customer satisfaction, or project completion.
- Historical Data: These Key Results rely on historical data, providing a retrospective view of performance and success.
- Evaluation of Effectiveness: Lagging Key Results help evaluate the effectiveness of strategies, initiatives, and decisions, showing whether the set objectives were met.
- Benchmarking: They are often used to compare actual performance against benchmarks or targets, helping organizations assess their progress and success.
Lagging vs. Leading Indicators:
- Lagging Indicators: Measure outcomes that result from past actions. They tell you what has happened, such as revenue earned, customers served, or projects completed.
- Leading Indicators: Predict future performance and outcomes. They are forward-looking metrics that indicate how well the organization is likely to perform, such as the number of new leads generated, employee training hours completed, or early-stage customer feedback.
Examples of Lagging Key Results in a non-profit context include:
- Fundraising Performance: Total amount of donations received by the end of the year compared to the annual fundraising target.
- Program Impact: Number of beneficiaries served by a program over a specific period, measuring the program's reach and effectiveness.
- Volunteer Retention: Percentage of volunteers retained from one year to the next, indicating volunteer satisfaction and engagement.
- Grant Success Rate: Number of grant applications approved compared to the total number submitted within a year, reflecting the success of grant writing efforts.
