What do OKRs do?
KPIs are what?
Interaction between KPIs and OKRs
The qualitative differences between OKRs and KPIs
While both OKRs and KPIs are crucial for goal planning and tracking, they have different objectives.
OKRs provide a strategic purpose by establishing lofty objectives that result in notable advancements or changes. They direct groups in congruent, motivating directions.
KPIs, in contrast, are more tactical, tracking performance and gauging how effectively everyday operations are carried out. By evaluating the effectiveness of current initiatives and processes, they serve as the business’s pulse.
Since OKRs are often set quarterly or annually, they can be quickly adjusted as needed.
KPIs, on the other hand, provide an ongoing way to measure performance. They often change less frequently and are connected to long-term goals.
KPIs are binary; either they are attained or they are not. They are expressed as targets for achieving particular numbers or percentages.
However, OKRs aren’t always intended to be fully accomplished. They are aspirational, and meeting 100% of an OKR can mean that the objectives weren’t sufficiently difficult. Generally speaking, businesses strive to accomplish roughly 70% of their OKRs, demonstrating aggressive goal-setting.