OKR: Increase Net New ARR & Cash Safety
Owner: Head of Growth
Period: 2025-Q1
Strategy is useless without execution. This OKR (OKR-2025-Q1-01) bridges the gap between the board's valuation targets and the daily work of the pods.
The goal is clear: Increase net new ARR from US mid market segment while strengthening unit economics and cash safety.
But "increasing ARR" isn't a task—it's an outcome. To achieve it, we must decompose it into measurable Key Results and specific execution workflows. We are not just chasing growth; we are chasing profitable growth that extends our runway.
Strategy Stats
- Key Results: 5
- Valuation Impact: Revenue Ops, Cash Flow Ops, Risk
- Primary Process: Lead to Cash for B2B SaaS
Key Results (The Scorecard)
We measure progress against this objective via 5 Key Results:
KR 1: +25% in Net New ARR (coming soon)
- Metric: Net New ARR
- Target: +25%
- Why: Top-line growth is the primary driver of our valuation multiple.
KR 2: +5 percentage points in Win Rate (coming soon)
- Metric: Opportunity Win Rate
- Target: +5pp
- Why: Efficiency metric. We need to close more of what we touch to improve CAC.
KR 3: -2 percentage points in Logo Churn (coming soon)
- Metric: Logo Churn Rate
- Target: -2pp
- Why: Leaky buckets destroy valuation. Retention is cheaper than acquisition.
KR 4: +10% in Operating Cash Flow
- Metric: Operating Cash Flow
- Target: +10%
- Why: We must prove we can generate cash from operations, not just burn VC money.
KR 5: +3 months of Cash Runway (coming soon)
- Metric: Cash Runway
- Target: +3 months
- Why: Cash safety gives us the time to execute our long-term strategy.
Execution Plan (The "How")
You cannot "manage" an OKR. You can only manage the work that drives it.
Core Processes
This OKR is primarily delivered by the following workflows:
- Lead to Cash for B2B SaaS: This is the engine. We are optimizing the handoffs between Marketing (Pricing), Sales (Outbound), and Finance (Collections) to drive both ARR and Cash.
Critical Tasks
The following atomic tasks are the highest-leverage activities for this quarter:
- M-001: Design and run pricing A/B test (coming soon): To improve Win Rate and ARR quality.
- S-001: Design and launch outbound email sequence (coming soon): To feed the top of the funnel for Net New ARR.
- F-001: Build monthly cash flow forecast: To visualize and manage the Cash Runway impact of our growth.
ValuationOps Impact
Achieving OKR-2025-Q1-01 directly strengthens the Revenue Ops and Cash Flow Ops layers of the business.
The Value Chain:
- Strategy: We set the objective to grow efficiently.
- Execution: Pods execute the Lead to Cash process.
- Result: Net New ARR grows while Cash Runway extends.
- Valuation: The company demonstrates "Efficient Growth" (Rule of 40), commanding a higher revenue multiple.
Law 1: Time Is the First Balance Sheet
We are investing Q1 of time into this OKR. The return on that time is the valuation lift.
Traceability Chain
ValuationOps Layer: Revenue Ops (coming soon)
Related Processes:
Component KPIs:
- KPI-REV-001: Net New ARR (coming soon)
- KPI-REV-004: Opportunity Win Rate (coming soon)
- KPI-REV-003: Logo Churn Rate (coming soon)
- KPI-CF-001: Operating Cash Flow
- KPI-CF-003: Cash Runway (coming soon)
FAQ
Q: Who is accountable for this OKR?
A: The Head of Growth is accountable for the outcome, but the execution is distributed across Marketing (Leads), Sales (Win Rate), and Finance (Cash).
Q: What happens if we miss a Key Result?
A: We analyze the Process failure. Did we execute the tasks but the tasks didn't move the needle (Strategy failure)? Or did we fail to execute the tasks (Execution failure)?
Q: How often do we review progress?
A: Weekly during the Lead to Cash alignment lab.