The OKR acronym stands for objectives and key results, which is a widely used goal-setting methodology that helps both individuals and teams set and track specific and measurable goals.

Key results are measurable outcomes that track your progress toward achieving your objectives. They make your goals concrete by breaking them into specific, quantifiable milestones.

Example Key Results:

1. Achieve the top ranking in search results for our top 5 keywords.
2. Grow a Slack community to 10,000 engaged and active members.
3. Attain 30,000 unique page views per month on our blog.

The primary purpose of OKRs is to create a structured framework that allows businesses and teams to easily set, track, and evaluate goals and objectives. OKRs help align individuals with the broader goals of a company or organization. Creating clear, high level objectives along with detailed and measurable key results allows companies to describe exactly what they want to achieve and come up with a clear path to meet their goals. This helps create a culture of growth and accountability across organizations.

KPI (key performance indicator) is another business performance framework that is used to measure and evaluate how successful an organization is in achieving its key business objectives. 

While KPIs are used to measure success and focus on the final results, OKRs are used to set the desired outcome and are concerned with the entire process. KPIs are used to improve a certain project within a department (ex. Reduce the cost per lead in the sales department), whereas OKRs speak to the larger vision of the organization’s goals.  

KPIs are what help you drive your OKRs, so you should use both performance tracking techniques simultaneously to stay on focus, improve your performance and ultimately reach your organization’s business goals. OKRs are what help you define your business goals and identify paths to achieve them, but KPIs are what you’re using to actually measure the performance of your activities against these goals. 

KPIs don’t need to replace OKRs, nor do OKRs need to replace KPIs for a team or organization to grow successfully. Both can coexist effectively.

Understanding KPIs:

Key Performance Indicators (KPIs) are essential for maintaining and monitoring the current state of business performance. They help organizations ensure that their daily operations are running smoothly and remain stable.

Understanding OKRs:

Objectives and Key Results (OKRs) are used to set ambitious strategic goals that drive organizational transformation and growth.

Combining KPIs and OKRs:

Here’s an example where OKRs incorporate aspirational versions of traditional KPIs:

Objective: Enhance Customer Satisfaction and Loyalty

Key Results:

1. Increase Net Promoter Score (NPS) from the current 45 to 75.
2. Achieve a Customer Satisfaction Score (CSAT) of 95% or higher.
3. Reduce customer complaints to two within the quarter.

While NPS and CSAT are traditional KPIs, these OKRs aim to push the team towards excellence, going beyond the usual performance standards.

Our platform offers easy OKR creation and tracking tools to ensure alignment and focus on key objectives.

Yes, Target3Sixty allows seamless integration with existing tools like Slack, Trello, and Google Calendar.

Our platform offers easy OKR creation and tracking tools to ensure alignment and focus on key objectives.