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What is an OKR

Full name: Objectives and Key Results

Also known as: objectives and key results

Definition

OKR (objectives and key results) is a way to set goals: one clear objective per quarter and two to four numbers that prove you reached it.

Why it matters

An OKR turns a direction into one quarter of focus.

Common mistakes

Writing tasks as key results, such as "launch the new website".

Related terms

Worked exampleIllustration

A second quarter OKR at a fictional hair salon

Objective

brides come to us through recommendations

KR1

  • Share of bridal bookings from a recommendation, from about 20% to 35%
  • Reached 31%0.73

KR2

  • 25 new Google reviews from brides, average 4.8 or more
  • Reached 16, average 4.90.64

Tasks, not OKRs

  • A referral card for every bride
  • A review card at the last appointment

How it was scored

  1. Objective In words, with no number: brides come to us through recommendations.

  2. KR1 Recommendations bring from about 20% to 35% of bridal bookings. The quarter ended at 31%.(31 - 20) ÷ (35 - 20) ≈ 0.73

  3. KR2 25 new Google reviews from brides, averaging 4.8 or more. The quarter ended with 16, averaging 4.9.16 ÷ 25 = 0.64

  4. The score The mean of the two key results, inside the 0.6 to 0.7 range Google's guide calls the sweet spot for ambitious goals.(0.73 + 0.64) ÷ 2 ≈ 0.69

  5. Beside it A referral card handed to every bride and a review card at the last appointment. Tasks that served the OKR, not OKRs.

The tasks were all done. The key results say whether doing them mattered.

Source: The 0.6 to 0.7 range: Google re:Work, "Set goals with OKRs"

Illustration

Score the quarter

KR1 0.73, KR2 0.64, mean 0.69: inside the 0.6 to 0.7 range Google's guide calls the sweet spot for ambitious goals.⁨Objective⁩⁨Brides come to us through⁩⁨recommendations⁩⁨KR1: bridal bookings from a⁩⁨recommendation, from about 20% to 35%⁩0.73⁨KR2: 25 new Google reviews from brides⁩0.64⁨The mean⁩0.60.7010.69

KR1 0.73, KR2 0.64, mean 0.69: inside the 0.6 to 0.7 range Google's guide calls the sweet spot for ambitious goals.

The 0.6 to 0.7 range: Google re:Work, "Set goals with OKRs".

One objective in words, two key results in numbers. Move where each key result ended and watch the score.

Definition

OKR stands for objectives and key results. The objective says in words where you want to be at the end of a period, usually a quarter. The key results are a few numbers that prove you got there. Google's re:Work guide describes them as measurable milestones that directly advance the objective. The method comes from Andy Grove at Intel. John Doerr, who learned it from Grove, introduced it to Google's founders in 1999 and wrote it up in Measure What Matters in 2018. A key result is an outcome, not a task: "launch a new website" is a task, "recommendations bring 35% of bridal bookings" is a key result.

Why it matters

It makes a team agree on the one thing that matters most now, and say in advance which numbers will show it worked. In a small business its most useful effect is the line it draws between being busy and moving forward: a quarter full of finished tasks can still leave every key result where it started.

Directly related: Business Strategy, Tactic, KPI.

Improvement tips

  • For a small business, one objective a quarter is enough. Google's guide suggests three to five objectives with about three key results each, which suits larger teams.
  • Write the objective in words, and every key result as a number with a starting point and an end point.
  • Test each key result: if it could be 100% done on the first day of the quarter, it is a task.
  • Score each key result from 0 to 1 at the end of the quarter, and write down what you learned before setting the next one.

Common mistakes

  • Setting so many objectives that none of them gets the quarter's attention.
  • Treating a score of about 0.7 on an ambitious OKR as a failure, which teaches the team to set safe goals.
  • Setting the OKR in the first week and not looking at it again until the last.
KPI vs OKR

Related terms

StrategyBeginner

Business Strategy

Business strategy is the set of choices about which customers to serve, how to win them and what not to do, so money and time go where they count.

StrategyBeginner

Tactic

A tactic is a specific action you take this week or this month to carry out your strategy, such as a callback routine or a weekly post.

StrategyBeginner

KPI

A KPI (key performance indicator) is one of the few numbers a business tracks against a target and a date to see whether it is on course.

Project ManagementBeginner

Agile

Agile is a way of working in short cycles: deliver a working result, learn from the people using it and adjust the plan. Scrum and Kanban are two ways to do it.

Quick check

Which of these is a key result rather than a task?

Choose an answer

Frequently asked questions

What is an OKR?
A way to set goals for a period, usually a quarter. You write one objective in words and a few key results, numbers that show whether you reached it.
What does OKR stand for?
Objectives and key results. The objective is where you want to be. The key results are how you will know you got there.
What is the difference between an objective and a key result?
The objective is a sentence with no number, such as "brides come to us through recommendations". A key result is a number with a start and an end, such as recommendations rising from about 20% to 35% of bridal bookings.
What is the difference between a KPI and an OKR?
A KPI is a number you keep watching as long as it matters. An OKR is a goal for one quarter, meant to change something. For example, bridal bookings a month can be a salon's KPI, while "Objective: brides come to us through recommendations. Key result: recommendations bring 35% of bridal bookings by the end of the quarter" is an OKR.
What is a good OKR score?
Google's re:Work guide grades OKRs from 0 to 1 and calls the 60 to 70 percent range the sweet spot, for goals set to be ambitious. John Doerr's site whatmatters.com separates committed OKRs, which are expected to reach a passing grade, from aspirational ones, often called stretch goals.
Who invented OKRs?
Andy Grove created the method at Intel and taught it to John Doerr. Doerr introduced OKRs to Google's founders in 1999 and described the method in his 2018 book Measure What Matters.
How many OKRs should a small business have?
One objective a quarter, with two to four key results, is enough for most small businesses. Google's guide suggests three to five objectives with about three key results each, a rule written for larger teams.
How do I tell a key result from a task?
Ask whether it could be 100% done on the first day of the quarter. Handing a referral card to every bride can. Recommendations bringing 35% of bridal bookings cannot, because it depends on what brides do, and that is what makes it a key result.
How do I start using OKRs without stopping daily work?
Write one objective for the next quarter and two key results, each with a start number and an end number. Look at them for ten minutes every two weeks, and score each from 0 to 1 when the quarter ends.
Are OKRs complicated or risky?
Not complicated. The risk is writing tasks as key results: the quarter ends with every box ticked and nothing in the business has changed.
Do I need special software or a consultant to use OKRs?
No. One page or a shared sheet holds one objective and a few key results. The hard part is choosing the objective, not recording it.
How often should OKRs be set?
Most teams set them once a quarter: long enough for a result to move, short enough to correct course before a whole year has gone.

Sources: Google re:Work, "Set goals with OKRs", John Doerr, Measure What Matters, 2018, and whatmatters.com, Andrew S. Grove, High Output Management

Last reviewed: 2026-09-25

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