- Objectives and Key Results (OKRs) are a textual framework used in business to help individuals and teams attain their goals.
- OKRs describe a central objective, ways to measure progress toward it, and the strategy to achieve it.
- OKRs outline, in clear and easy-to-understand terms, an individual’s or team’s goals and ways to track progress.
- OKRs are often confused with KPIs, which are specific and isolated metrics used to gauge progress.
Wanting to get something done is one thing, but actually accomplishing it is another. When you add in the complexity of business and the effort of coordinating an entire team, achieving a new goal can seem pretty overwhelming. That’s where OKRs come in handy—these abstract, pithy little statements can help with organization and communication, ultimately leading your project to success.
Below we explain how to write an OKR that actually produces results. We’ll discuss what they are and how they work, and we’ll share OKR examples and OKR templates to help you create your own.
Table of contents
What is an OKR?
Objectives and Key Results (OKRs) are a textual outline describing the goals of an individual or team, the results to measure success, and the means to make it happen. For a quick OKR example, let’s say you work at a call center. You could consider reducing wait time as your objective, data on the length of wait times and calls as your key results, and shortening the call script as your initiative or means to achieve your goal.
The origin of OKRs is usually attributed to Andrew Grove, who adopted them at Intel as the director of engineering and eventually CEO. At the time, his system was called Intel Management by Objectives (iMBO). Grove explained the idea of OKRs in his 1996 management book, Only the Paranoid Survive, which brought the concept to mainstream business, especially after Google began implementing it.
OKR example
Objective: We will generate 30% more online leads in Q1 by enhancing our digital marketing strategies as measured by traffic and engagement.
- KR: Add 1,000 new followers to our social media by the end of Q1 with more outreach.
- KR: Increase online marketing spend by 15% in January to improve traffic to our website.
- KR: Create one piece of original content every week from January 1 to March 31 for posting on our blog and social media channels.
• Help me write an OKR to increase online leads by next year.
• Ensure my KRs meet the criteria for SMART goals.
Why use OKRs
OKRs are an organizational device, so they won’t solve any problems on their own. Their value lies in organization and communicating strategies across large teams so that everyone is on the same page.
The benefits of effective communication from OKRs can get many people across different departments aligned on the same goals. Additionally, the transparency of OKRs helps people understand what they’re working toward, streamlining tasks and minimizing errors due to confusion or misunderstanding.
OKRs allow managers to be more influential and improve results among their employees. They can help a great deal in accomplishing goals, which is why they achieved widespread adoption in the first place.
How to write an OKR
OKRs aren’t difficult to write—and they’re fairly short—but they need to be written the right way, or else they won’t be effective. For starters, that means following the keys to effective business writing, in particular clarity, professionalism, and content that will actually improve efficiency, as opposed to fluff and filler.
Additionally, OKRs follow a specific format with some tried-and-true guidelines to improve the chances of success. Generally speaking, an OKR consists of a statement describing what you want to accomplish (Objective) and how you plan to do it (Initiative), followed by bullet points of 3–5 Key Results, the quantifiable data used to evaluate success.
However, there’s a little more to it than that. You want to include the necessary details to inform your team about what they’re supposed to do, so your objectives should be specific, reducing the possibility of misinterpretation. You should use direct and concrete language so as to leave no room for ambiguity.
Above all, you need to include reliable metrics for your Key Results. Generally, the best Key Results are measurable data: numbers, scores, statistics, and anything empirical. Try to avoid qualitative data like the emotional response of customers—you can’t measure how much people enjoy your website, but you can measure the amount of traffic and the time of each session.
OKR template
If you’re struggling with how to write an OKR, follow the OKR template below and plug in your specific details.
Objective: We will [accomplish this goal] by/in [this time frame] as measured with [general key results] by [initiatives (methods)]
- KR: [details about the first key result (usually written as a command or imperative)]
- KR: [details about the second key result]
OKRs vs. KPIs
OKRs and KPIs (key performance indicators) are often confused—after all, they’re both three-letter initialisms used for measuring performance and improving chances of success. Let’s take a closer look at OKRs versus KPIs by breaking down their differences.
OKR | KPI | |
Definition | A goal-setting framework meant to coordinate teams with specific objectives and measurable results | Metrics used to track and evaluate the success or performance of an activity |
Purpose | To set goals and define measurable steps to achieve them | To measure the effectiveness of current operations |
Structure | Composed of an Objective and Key Results, as well as Initiatives | A single metric representing the performance of a specific area |
Time frame | Typically set for short-term cycles (quarterly or annually) | Can be measured continuously or over longer periods |
Flexibility | Adjusted as needed to align with changing priorities or challenges | Generally fixed, as they reflect ongoing performance metrics |
Goal
orientation |
Aspirational, aiming to challenge teams | Operational, aiming to maintain or improve current processes |
Ownership | Often shared across teams or departments to align efforts | Typically assigned to specific departments or individuals |
Review frequency | Frequently during the cycle (weekly, monthly) | Ongoing or periodic (daily, weekly, monthly) |
Impact of results | Success isn’t necessarily achieving 100% but making significant progress | Success is achieving or exceeding predefined thresholds or benchmarks |
Tips for great OKRs
Focus priorities
One of the advantages of OKRs is they lay out your goals in simple and easy-to-understand terms. This way, everyone on your team can understand what needs to be done. But if you list too many goals then your team won’t know how to prioritize them, undermining the point of using OKRs in the first place.
It’s best to focus your OKRs on one main goal at a time and consolidate your efforts rather than spreading everyone too thin. You can always start on your secondary goals after the primary ones are accomplished.
Use realistic goals
OKRs are meant to be practical, so be sure to use achievable goals. Sure, it’d be great to accomplish lofty and highly ambitious goals, but drafting an OKR for something too difficult or grandiose won’t help anything. If you do have high aims, why not take it step by step? Use a more reachable goal for your first OKR and then elevate the next one.
Likewise, your Key Results should be realistic as well. Use metrics that are easy to measure rather than abstract, qualitative ones. For example, don’t use metrics like “popularity”; instead, try “number of sales” or “number of inquiries.”
Brainstorm with the team for more input
While OKRs are spearheaded by managers and team leaders, they work best as a team effort. Check with the rest of the team before writing your OKRs, and factor in their input before finalizing anything. Each team member has their own specialization, so chances are they have expertise or ideas that the rest of the team might not come up with on their own.
This also applies to Key Results; ask your team members if the metrics are appropriate for gauging success, easily obtainable, and realistic enough.
Review OKRs regularly
OKRs are not something you write once and then forget about. They work best when you check on them regularly and track their progress. That’s the point of including the metrics in the Key Results—you need to check those results in case you need to alter your strategy to accomplish your objectives.
It’s best to set up regular intervals for reviewing the Key Results, and then revise the OKR if necessary. You should also remind the team of the OKRs whenever it’s relevant, such as periodic meetings or performance reviews.