What is OKR (Objectives and Key Results)?

OKR stands for Objectives and Key Results, a goal-setting methodology popularized by Intel and later adopted by Google, LinkedIn, and thousands of other organizations. An Objective is a qualitative, inspirational statement of what you want to achieve — it should be ambitious, time-bound, and meaningful. Key Results are the quantitative metrics that define whether the Objective has been met — they should be specific, measurable, and verifiable.

For example, an Objective might be "Build a world-class customer onboarding experience," with Key Results such as "Reduce time-to-value from 30 days to 14 days," "Achieve 90% onboarding completion rate," and "Reach Net Promoter Score of 60+ for new customers in first 90 days." The combination of aspirational direction with concrete measurement is what gives OKRs their power.

OKRs operate on a regular cadence, typically quarterly, and are designed to be transparent across the organization so that every team can see how their work connects to company-level priorities. A key principle is that OKRs should be stretchy — achieving 70% of an ambitious OKR is considered success, which distinguishes them from traditional performance goals where 100% completion is expected. This stretch mindset encourages teams to aim higher and innovate rather than play it safe.

OKRs create organizational alignment and focus by making priorities explicit and visible at every level. They prevent the common failure mode where teams are busy but misaligned — everyone working hard on things that do not move the company forward. For HR and people operations leaders, OKRs provide a structured framework for connecting individual performance to business outcomes, making performance conversations more objective and strategic.