Engineering Leadership: Goal Setting and Reporting

Setting and achieving goals is a critical aspect of any organization's growth. It helps to align the team's effort, drive performance, and create a sense of purpose. In the field of engineering, goal setting and reporting take on an even more significant role due to the technical nature of the work and the need for precise measurements of progress.

This guide will delve into the process of setting goals at both the company and team levels, reporting on these goals, and the overarching impact goal setting can have on an organization. It is aimed at engineering teams, leaders, and professionals in the fields of management, project management, and program management who are looking to enhance their skills in these areas.


Understanding the Importance of Goals in Engineering

Goals serve as the foundation for improvement and growth in any organization. They provide a roadmap for where the team intends to go and the steps needed to get there. In the context of engineering, goals can be operational or business-focused, aiming at enhancing efficiency, quality, and delivering value to the business.


Engineering Goals: A Dual Mandate

Engineering leaders have a dual mandate to deliver operational excellence and drive business impact. This permeates every aspect of their role, including goal setting. When setting goals, leaders need to consider both business and operational outcomes and how they cascade into each other.

For example, an operational goal might be to enhance efficiency and quality to drive higher merge frequency, while a business goal could be to deliver more value to the company by consistently delivering high-impact projects. These two types of goals are interconnected and often depend on each other for successful achievement.


Setting Goals: The Process

Setting goals is not a one-time event but a continuous process that involves different stages. It begins with gaining visibility and understanding of the current state of affairs, setting improvement goals, and then using these insights to drive improvement and align stakeholders.


Establishing Organization Level OKRs

OKR (Objectives and Key Results) is a popular goal-setting framework used by many organizations. The process of setting objectives at the highest level of the organization involves compiling the most fundamental metrics for the entire engineering team.

For instance, DORA (DevOps Research and Assessment) metrics and associated leading indicators can be ideal candidates for setting organization-level goals. These metrics help identify bottlenecks and areas of improvement in the engineering process.


Transitioning to Team-Level OKRs

Once the organization-level goals have been set, these objectives should be communicated to the management team and team leads. They can then set team-level goals using the same process.

Investigating metrics like DORA can help identify bottlenecks at the team level. Once these are identified, the team can set one or two improvement OKRs at a time, following the SMART (Specific, Measurable, Achievable, Relevant, Time-bound) framework.


Reporting on Goals

Reporting on goals involves evaluating progress against the set objectives and understanding how far the team still has to go. When reporting to different stakeholders, it's essential to consider the audience and adjust the data presentation accordingly.


Reporting to Senior Leadership and C-Suite

When providing an engineering update to business stakeholders, it's crucial to put everything in terms of business relevance and impact. Stick to clear and concise updates, keeping technical details to a minimum and providing them only when necessary or requested.


Reporting to the Engineering Team

When presenting to the engineering team, it's okay to delve into the technical details and the nitty-gritty of the operations. Highlight the team's progress on their goals and any risks or challenges they might be facing.


The Impact of Goal Setting

Goal setting has a universal and measurable impact on every aspect of a business. It motivates people, prevents misunderstandings, increases performance and productivity, maintains accountability, and leads to better decision making.

In the field of engineering, goal setting can significantly enhance the efficiency and quality of work, leading to an overall better business outcome.

Setting and achieving goals is a vital part of an engineering team's success. It provides a roadmap for improvement, aligns the team's efforts, and drives performance. By understanding how to set operational and business-focused goals, create company and team level OKRs, and effectively report on these goals, engineering teams can significantly enhance their efficiency and deliver more value to the business.


In the end, the process of goal setting and reporting is not just about meeting targets but about fostering a culture of continuous improvement and growth. It's about learning to create reporting progress against stated goals, using these insights to set tangible improvement goals, adopt workflow automation to drive improvement, and align stakeholders. By doing so, engineering teams can drive their success and contribute significantly to the overall success of the organization.