OGSM Modell: what is it?

What does OGSM stand for?

OGSM stands for Objective, Goals, Strategies, and Measures. The OGSM model helps to set a clear ambition (Objective), determine measurable goals (Goals), formulate strategies (Strategies) to achieve those goals and set concrete KPIs and actions (Measures) to measure progress. This way, you get a clear and structured plan to achieve your goals.

What is an OGSM?

OGSM is a simple strategic planning model that allows you to translate your vision and strategy into a clear and executable plan. The OGSM model is also described as a “business plan on a single page”, which shows the core of a company's strategy in a concise and well-organized document.

OGSM helps you to:
- To concretize vision and strategy
- Make goals sharp, clear and measurable
- Getting the entire organization on one page (both literally and figuratively)

By using a OGSM template you can bring all goals, priorities, and actions together on one clear page. For example, OGSM challenges you to make sharp choices because you need to be able to print it legibly on one page (A4).

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How to use the OGSM model

OGSM starts with formulating an inspiring and guiding Objective, followed by translating that Objective into measurable Goals. Strategies pave the way to achieving the Objective, focusing on the importance of focus and making real choices. Measures are formulated to monitor progress, set up projects for implementation, and make adjustments if necessary.

An inspiring Objective

Your point on the horizon based on your long-term vision and mission. What is the ambitious goal you want to achieve for your organization, team or company? The Objective is a qualitative description of your ambition and gives direction to your plan.

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Specific Goals

The quantitative translation of your Objective. It translates the most important elements of the Objective into concrete SMART objectives (specific, measurable, achievable, relevant and time-bound).

Guiding Strategies

Strategies are the building blocks for achieving your Objective (and Goals). The strategies describe the route of your plan. A strategy is always a description of a specific strategic choice. Each strategy therefore needs to be very clearly worded in order to be clear about what a strategy focuses on and how this can be achieved. In this way, each strategy provides concrete direction for implementing your plan.

Dashboards and Actions in the Measures

Monitor and adjust with dashboards and action plans. Measure the progress of each strategy with SMART targets and KPIs and make sure you keep the dashboard moving when executing actions. To properly follow up on an action and to ensure responsibility, you always give it an owner and a deadline.

Benefits of OGSM

Five reasons to get started with OGSM.

1. Clarity and focus‍

OGSM helps organizations to clearly define their goals. By formulating concrete goals and strategies, it becomes easier for everyone in the organization to understand what needs to be achieved and how to do it. OGSM also helps you set priorities by identifying key goals and strategies. This prevents resources and energy from being wasted on less relevant tasks. With a clear and detailed plan in OGSM, decisions can also be made faster and more confidently.

2. Higher engagement, more responsibility and ownership‍

OGSM is highly effective in cascading goals throughout the organization, from the highest management level to individual departments and projects. This means that strategic objectives are translated into concrete action plans at every level in the organization in a consistent and clear way. This ensures that everyone, from top management to individual team members, goes in the same direction and works towards shared goals. This fosters a sense of ownership and responsibility among everyone involved.

3. Improved (internal) communication and decision making‍

Because the OGSM model facilitates clarity of focus and responsibilities, it is also a nice tool for streamlining clear and consistent communication within the organization. With a clear overview of goals and strategies, OGSM offers a good overview and valuable insights that can help with decision-making. This makes it easier to make informed decisions that are in line with strategic objectives.
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4: More flexibility and agility‍

OGSM offers a structured approach, but the model is flexible and agile at the same time. This means that you can continuously respond to changes and risks. By always putting goals and strategies first, OGSM forces you to identify and address potential risks early. The model makes it possible to make quick adjustments based on changes inside and outside the organization, because projects, strategies and desired outcomes are linked. This allows for a quick and easy adjustment of plans when circumstances require, resulting in a dynamic and responsive organization.

5: A continuous improvement process

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OGSM fosters a culture of continuous improvement by emphasizing clear goals and focused efforts. The model makes it possible to systematically learn from what works and what doesn't work. By focusing on measurable results and a structured evaluation (e.g. via the PDCA cycle: Plan-Do-Check-Act), organizations can continuously improve their processes. This means not only looking at current performance, but also constantly looking for ways to increase efficiency and effectiveness. This continuous feedback loop ensures that the organization continues to develop and optimize based on concrete data and experiences.

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Where do you start with OGSM?

OGSM provides a powerful framework for developing a clear, measurable strategy. Here you'll find out how to get started with OGSM and what the most important steps are.

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Step 1: Objective - The long-term qualitative goal

The Objective is the overarching ambition or dream of your organization. It describes what you want to achieve in the long term and serves as a guideline for all other steps in the plan.

‍How do you formulate a good Objective?

A good Objective within the OGSM model must clear, inspiring and guiding are and reflect the organization's overarching ambition. A good objective consists of two components:

1. A clear ambition: What do you want to achieve?

2. A sharply chosen direction: How are you going to achieve that?
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Objective example:

“Become the market leader in [your sector/region] by transforming into a fully customer-driven organization.”

Step 2: Goals — The Quantitative Goals

The Goals are the measurable results that are necessary to achieve the Objective. These goals are SMART: Specific, Measurable, Achievable, Relevant and Time-bound.

Example Goal:

“A 12% market share within 12 months.”

Step 3: Strategies — The Strategic Building Blocks

The Strategies describe how you will achieve the set goals. This includes the most important choices and directions.‍

Characteristics of good Strategies: Focused on the core of your challenge and practically doable.

Example Strategy:

“Increase Google's organic share by improving technical SEO and link building.”

Step 4: Measures — Measurements and Actions

The Measures make the strategy measurable and action-oriented. They consist of:

1.Dashboard measurements: KPIs and metrics to monitor progress.

2. Actions: Specific tasks to implement the strategy.‍

Examples of Measures:

Dashboard: “Increase in average time spent on the website by 10% in 5 months.”‍

Action: “Research factors that contribute to bounce rates.”

Which organizations use OGSM?‍

OGSM is used by a variety of organizations, ranging from small startups to large multinationals. Some examples of organizations that use OGSM include Procter & Gamble, The Coca-Cola Company, Toyota, Kellogs, Heineken, Unilever, Philips, Bol.com, Aviko, BYD, Alliander, and many more.

OGSM is used in various sectors, including FMCG, the car industry, the technology industry, but also in service and public sectors.

To get the most out of OGSM, it's important not to see it as a rigid system, but as a flexible tool for goal-oriented work. Start by formulating an inspiring but realistic goal for the next 3-5 years. Then translate this into specific, measurable goals for the coming year. Make sure your strategies are concrete and action-oriented, and that your measures can be evaluated regularly.

Getting started with OGSM? We have free OGSM templates in Powerpoint, Excel, Keynote and Google Slides. Download a free OGSM template here.

A common pitfall is setting too many goals or strategies. Be selective and focus on what really matters. Involve your entire team in the OGSM process and encourage open discussions. Remember that OGSM's strength lies in its simplicity and clarity. By working consistently with OGSM and integrating it into your daily activities, you'll find that your organization is becoming increasingly effective in achieving both short- and long-term goals. Together, let's take the first step towards a clear, impactful strategy for your organization.

OGSM example

To give you an idea of what you enter where in the OGSM model, you can see a fictional example for OGSM.com below.

Why OGSM.com?

Directors, leaders, and managers know that their organizations must have a strategy. Yet, many of them face challenges throughout the strategic planning process. Our passionate and experienced consultants and strategy experts have helped many companies and organizations in various sectors, including small businesses, non-profit organizations, and large multinationals, to set their strategy, clarify their structure, and streamline their efforts to succeed with the power of OGSM. Always in an energetic and inspiring way.