What is OKR?First, let's briefly clarify what the abbreviation OKR stands for, its origins, and its purpose.
OKR (Objectives and Key Results) is an agile approach to strategic execution that enables employees, teams, and the entire company to move flexibly, focusedly, and coherently toward clear and ambitious goals.
OKR evolved from the classical Management by Objectives (MBO) when Andy Grove at Intel noticed that traditional industrial methods were too cumbersome and rigid for the unpredictably changing high-tech business environment.
Thus, he proposed three key changes:
- Set 2-3 ambitious goals per quarter, focusing only on the most critically important, strategy-related ones.
- Ensure goals are not dictated top-down but involve employees in their formulation, aligning objectives vertically and horizontally.
- Formulate goals with two components: an inspiring, concise objective and 3-4 measurable key results.
John Doerr, a disciple of Andy Grove, implemented this system at Google, becoming a pivotal factor in their success, as noted by the founders themselves.
Today, OKR is applied in thousands of companies worldwide, across various industries. OKR embodies the agile approach and complements popular agile frameworks like Scrum and Kanban. As practice expands, expertise grows, and the modern OKR system is refined, maintaining its flexibility and adapting to specific company conditions.