OKR Framework (Objectives and Key Results)

A goal-setting framework that combines a qualitative objective with 1–5 quantitative key results that define what “met” means.

Explanation

  • Objective — describes what needs to be achieved. Qualitative, directional, inspiring. “Increase customer retention.”
  • Key Results — measurable outcomes that define when the objective has been met. Quantitative. “Achieve 90% CSAT by end of Q1.”

An objective without key results is a wish. A key result without an objective is an orphan metric.

OKR levels

OKRs cascade through three levels, each supporting the one above:

  • Company / Organization — updated annually, shared across the org, support mission. Example:
    • Obj: Increase customer retention by adapting to changing workplace environment
    • KRs: 95% of phone/chat/email tickets resolved on first contact; top 3 requested new offerings in pilot by end of Q2; sales/support 24/7 by year end
  • Department / Team — supports company OKRs. Example:
    • Obj: Increase sales team presence nationwide
    • KR: New offices open in 10 cities by year end
  • Project — set during initiation; supports both company and department OKRs. Example:
    • Obj: Enroll existing customers in the Plant Pals service
    • KR: 25% of existing customers sign up for the Plant Pals pilot

Application

Project-level OKRs are defined during course-2-project-initiation and are typically included in the project-charter. They’re revisited throughout execution and used as the frame for impact reporting at closing.

Connections

Source References