Google co-founder Larry Page says OKRs are a simple way to help organizations, teams, and individuals set goals, channel efforts, and coordinate. OKRs are used mostly in the tech industry but also in other big companies like Disney and Exxon, small startups, and larger enterprises.
Objectives are significant, concrete, action-oriented, and aspirational goals to be achieved. They can take a long time, even a year or more.
Key Results benchmark and monitor how to achieve the objectives. They are specific, time-bound, and measurable. They are declared fulfilled or not at the end of a designated period, usually a quarter. Objectives are achieved once all Key Results are completed.
Objectives are the inspiration behind the goals. Key Results are the specific measurable marks to achieve the Objective.
90% of management theory experiments confirm that well-defined, challenging goals enhance productivity. Clear and written goals that are shared freely and linked to the team's broader mission build engagement
The OKRs system has four superpowers:
At Google, team members are encouraged to create products and services that are ten times better than the competition, but aspirational OKRs are set at 60-70% attainment, meaning that performance is expected to fall short at least 30% of the time.
Focusing on the handful of initiatives that can make a real difference and deferring the less important ones allows leaders to commit to those choices and makes for a successful organization.ance organizations focus on the work that is important and are just as clear on what doesn’t matter.
OBJECTIVES & KEY RESULTS - Tracking & Visual Accountability ( individual or Team )