Implement OKRs (Objectives and Key Results) at startups using quarterly cycles, outcome-based objectives, and measurable key results to align teams and track progress.
TL;DR
Jump to Why OKRs for startups? · Jump to OKR structure · Jump to Writing good OKRs · Jump to Common mistakes
Startups die from lack of focus, not lack of ideas. OKRs (Objectives and Key Results) force quarterly prioritisation, align teams around outcomes, and create measurable accountability -here's how to implement without bureaucracy.
Key takeaways
- Set 3–5 company OKRs quarterly; more = diluted focus.
- Objectives are aspirational outcomes; Key Results are measurable milestones.
- Grade OKRs 0.0–1.0; target 0.7 (stretch goals, not guaranteed wins).
Problems OKRs solve:
According to Perdoo's OKR Impact Study 2024, startups using OKRs grow 30% faster than those using traditional annual planning, primarily due to quarterly adaptation cycles (Perdoo, 2024).
Objective: Inspirational, qualitative, time-bound outcome.
Key Results (3–5): Measurable metrics proving objective achieved.
Template:
Objective: [Verb] [what you want to achieve] [by when]
Key Results:
1. [Metric] from [baseline] to [target]
2. [Metric] from [baseline] to [target]
3. [Metric] from [baseline] to [target]
Objective: Establish product-market fit with early-stage SaaS founders.
Key Results:
Why it works:
| Level | Example Objective | Example Key Result |
|---|---|---|
| Company | Establish product-market fit | MRR $15K → $40K |
| Product team | Ship features customers will pay for | 3 features shipped, ≥60% adoption each |
| Individual (PM) | Validate demand for feature X | 20 customer interviews, 70% express willingness-to-pay |
Rule: Team/individual OKRs should contribute to (not duplicate) company OKRs.
For team rituals, see /blog/async-standup-remote-teams.
Characteristics:
Examples:
| ✅ Good | ❌ Bad |
|---|---|
| Become the go-to platform for startup research | Build research features |
| Delight customers with fast, reliable service | Reduce downtime |
| Own the "AI for marketing" conversation | Write 10 blog posts |
Test: If your objective could describe what you're doing (activities), rewrite to describe what you're achieving (outcomes).
Characteristics:
Examples:
| ✅ Good | ❌ Bad |
|---|---|
| Increase trial-to-paid conversion from 8% to 15% | Improve conversion rate |
| Ship v2 onboarding with ≥40% completion rate | Launch new onboarding |
| Reduce P0 bugs from 12/month to <3/month | Fix bugs faster |
Mix KR types:
Symptom: 10 company objectives, 8 team OKRs, 6 individual OKRs.
Consequence: Focus diluted; nothing gets priority.
Fix: 3–5 company OKRs max; teams choose 2–3 that ladder up to company goals.
Symptom: KR = "Ship 5 features" or "Write 20 blog posts."
Problem: Activity ≠ impact. Shipping features doesn't guarantee usage or revenue.
Fix: Reframe as outcomes: "3 features shipped with ≥50% MAU adoption" or "20 blog posts generating 10K organic visits/month."
Symptom: OKRs written in January, reviewed in March (when it's too late).
Fix: Weekly 15-min check-ins; update progress, flag blockers, reallocate resources.
Symptom: Team consistently scores 0.9–1.0 on all OKRs.
Consequence: Not pushing hard enough; leaving growth on table.
Fix: Aim for 0.7 average; if hitting 1.0 regularly, increase ambition next quarter.
For strategic planning workflows, see /blog/product-roadmap-stakeholder-buy-in.
Call-to-action (OKR implementation) Draft Q3 OKRs this week; share with team for feedback; finalize by end of Q2 for seamless rollover.
OKRs: Aspirational, quarterly, change each period (what you're trying to achieve).
KPIs: Operational, ongoing, stable (what you monitor to stay healthy).
Example:
Use both: KPIs = health metrics; OKRs = growth ambitions.
No. Tying comp to OKRs encourages sandbagging (setting easy goals). OKRs should be stretch goals (70% achievement expected).
Alternative: Comp tied to company performance (revenue, funding milestones), not individual OKR scores.
Root cause:
Response: Retrospective to identify why; adjust Q+1 goals; don't punish team for missing stretch goals.
Early-stage (<10 people): Company + individual (skip team layer).
10–50 people: Company + team + individual.
50+ people: Company + division + team + individual.
OKRs align startups around quarterly outcomes with measurable key results. Set 3–5 company OKRs, cascade to teams, track weekly, review quarterly.
Next steps
Internal links
External references
Crosslinks