What is OKR?
OKR stands for Objectives and Key Results. It’s a goal system that’s used by a number of top companies like Google. OKRs help businesses set high-level, measurable goals that can be tracked over a certain period of time.
The OKR framework makes it possible for organizations to establish ambitious, far-reaching objectives in a matter of days.
OKRs contribute to the overall vision of a company and should be aspirational, workable, and clear. While they’re usually determined by an organization’s leadership, there should be a cascade effect where individuals have personal OKRs too.
However, compensation and promotion decisions aren’t based on OKRs. It’s not the purpose of them, and if it were, companies potentially would be less inclined to take risks, thus impacting their potential for growth and innovation.