What does OKR stand for? It stands for objectives and key results, a way for teams and companies to set goals. Each OKR pairs one objective, which says what you want to achieve, with two to five key results, which are numbers that prove whether you got there.
The method is popular at tech companies and startups, but schools, hospitals and nonprofits use it too. You will usually hear it in planning season: "What are our Q3 OKRs?" means "What goals and targets will we track this quarter?"
Quick facts
Stands for
Objectives and key resultsType
Initialism, said O K RPlural
OKRsTypical cycle
Set each quarter, sometimes yearlyUsed in
Planning meetings, performance reviews, team dashboardsRelated terms
KPI, SMART goals, roadmapNot to be confused with
KPI, a single number tracked over time
OKR stands for two linked parts
The name splits neatly into its two halves:
- Objective (O): a short, plain sentence about where you want to go. It should be inspiring and specific, but it has no number in it. Example: "Make new customers feel at home in their first week."
- Key results (KR): measurable outcomes that show progress toward the objective. Example: "Cut first week support tickets from 400 to 250."
A team might write "KR2" in notes to mean the second key result under an objective. The letters show up as one block, OKR, when people talk about the whole set.
What does OKR stand for in business planning?
In a company, OKRs connect the big picture to daily work. Leaders set a few top level objectives, and each team writes its own OKRs that support them. Everyone can see everyone else's goals, which helps people notice overlap or gaps.
A support team OKR:
Objective: Give customers faster, friendlier help.
KR1: Average first reply time under 2 hours.
KR2: Satisfaction score from 82 to 90.
KR3: Publish 30 new help articles.
Notice that the key results are outcomes, not chores. "Hold weekly meetings" is a task; "satisfaction score reaches 90" is a result. Teams then plan the tasks that should move those numbers.
How scoring works
Many teams grade each key result from 0 to 1, or as a percent, at the end of the cycle. A common rule of thumb treats around 0.7 as a good score for an ambitious goal, because hitting every target perfectly may mean the goals were too easy. Other teams set "committed" OKRs that they expect to reach in full.
The scores are meant for learning, not punishment. Some companies deliberately keep OKRs separate from pay decisions so people feel safe setting bold targets.
OKR vs KPI vs SMART goals
| Term | Stands for | What it does |
|---|---|---|
| OKR | Objectives and key results | Sets a direction and a few targets for a period |
| KPI | Key performance indicator | Tracks one health number all the time |
| SMART | Five traits a well written goal should have | A checklist for writing any single goal |
They work together. A KPI such as monthly sign ups might become a key result when the team decides to push it higher this quarter. The SMART checklist is a good test for whether each key result is clear enough.
Saying and writing the OKR acronym
You hear it as three letters, "O K R," so it counts as an initialism. Keep all three capitals and write OKRs when there are several. The letter O opens on a vowel, so the right article is "an": "an OKR for hiring."
Common phrases include "OKR planning," "draft OKRs," "stretch OKR" and "OKR check in." For more work shorthand, see our business acronyms page, and for what counts as an acronym, read acronym vs abbreviation.
Tips for writing good OKRs
- Keep it to three objectives or fewer per team per cycle.
- Give each objective two to five key results, no more.
- Use numbers with a starting point and a target.
- Write outcomes, not to do items.
- Check in every week or two, not only at the end.
Questions people ask
What is the OKR full form?
The full form is objectives and key results. The objective names the goal, and the key results measure progress toward it.
How many key results should an objective have?
Most guides suggest two to five. Fewer can miss important parts of the goal, and more tends to spread a team too thin.
Is an OKR the same as a KPI?
No. A KPI is an ongoing measure of health, like monthly revenue. An OKR is a time bound goal, and a KPI can serve as one of its key results.
How often are OKRs set?
Quarterly is the most common cycle, often with yearly objectives above them. Some teams use shorter or longer cycles to fit their work.
How do you pronounce OKR?
Say each letter: "O K R." Saying it as a single word is not common.