Noun. blue-sky thinking (uncountable) (idiomatic)
Thinking that is not grounded or in touch with
the realities of the present; open-minded thinking.
Thinking that is not grounded or in touch with
the realities of the present; open-minded thinking.
The Ultimate OKR FAQ Guide
Answers to the 100 Most Commonly Asked Questions About OKRs
This guide answers the 100 questions leaders most commonly ask when researching, implementing, struggling with, or considering external support for OKRs. Each answer is written to be useful on its own, not as a placeholder.
SECTION 1: OKR BASICS
1. What does OKR stand for?
OKR stands for Objectives and Key Results, a framework used to define priorities and measure progress. Objectives describe what you want to achieve, while key results define how success is measured in concrete terms.
2. What is an objective in OKRs?
An objective is a clear, qualitative statement that sets direction and focus. It should be meaningful, prioritised, and strong enough that teams understand what matters most without needing additional explanation.
3. What is a key result?
A key result is a measurable outcome that indicates whether an objective is being achieved. It should reflect change or impact, not activity, and should influence decisions when progress is off track.
4. Are OKRs goals or metrics?
OKRs are goals supported by metrics. The objective sets intent and ambition, while the key results provide measurable evidence of progress toward that intent.
5. Who created OKRs?
OKRs evolved from earlier management-by-objectives approaches and were later refined in high-growth environments. While often associated with technology companies, their underlying principles apply across industries.
6. Are OKRs only for tech companies?
No. OKRs are industry-agnostic and work best in organisations that need clarity, alignment, and execution discipline. The success of OKRs depends far more on leadership behaviour than sector.
7. Are OKRs a strategy tool?
OKRs are not a substitute for strategy. They are a mechanism for executing strategy and will quickly expose if strategic direction is unclear or inconsistent.
8. Are OKRs a performance management system?
No. Using OKRs for performance evaluation usually leads to conservative goals and gaming behaviour. OKRs work best when separated from individual appraisal and compensation discussions.
9. Can small companies use OKRs?
Yes, and often very effectively. Smaller organisations benefit from the clarity OKRs provide, provided they keep the framework simple and avoid unnecessary process.
10. Do OKRs work in large organisations?
They can, but only with strong leadership discipline. Larger organisations require more attention to alignment, cadence, and accountability to prevent OKRs becoming bureaucratic.
11. Are OKRs short-term or long-term?
OKRs typically operate on a quarterly cadence but should connect clearly to longer-term strategic objectives. They bridge near-term execution with long-term direction.
12. Are OKRs mandatory for every team?
No. OKRs should only be used where they add clarity and focus. Forcing OKRs onto every team often results in low-quality objectives and disengagement.
13. Can OKRs be used outside of work?
They can be, but OKRs are designed for organisational alignment and execution. Their real strength comes from shared priorities rather than individual productivity.
14. Are OKRs the same as SMART goals?
No. SMART goals prioritise specificity and achievability, while OKRs prioritise focus, ambition, and outcomes. They serve different purposes and are not interchangeable.
15. Do OKRs require software?
No. While tools can help with visibility and tracking, OKRs fail far more often due to behaviour and leadership issues than lack of software.
SECTION 2: OKRs VS KPIs
16. What is a KPI?
A KPI (Key Performance Indicator) measures ongoing performance and business health. KPIs tell you how the organisation is performing today, not what needs to change tomorrow.
17. What’s the difference between OKRs and KPIs?
KPIs track stability and performance, while OKRs drive change and improvement. Confusing the two often leads to risk-averse OKRs that fail to move the organisation forward.
18. Can KPIs be used as key results?
Sometimes, but only if the KPI reflects a meaningful shift rather than steady-state performance. Most KPIs are better treated as context rather than targets.
19. Should OKRs replace KPIs?
No. Strong organisations use both frameworks for different purposes. Removing KPIs entirely often creates blind spots in operational performance.
20. Why do OKRs often turn into KPIs?
This usually happens when objectives are too safe and leadership avoids ambition. Key results then default to familiar performance metrics instead of outcomes.
21. Can KPIs and OKRs coexist?
Yes, and they should. KPIs provide operational stability while OKRs focus the organisation on strategic change.
22. Should KPIs be reviewed alongside OKRs?
They can be reviewed together, but they serve different conversations. KPIs inform context, while OKRs guide prioritisation and decision-making.
23. Are OKRs better than KPIs?
Neither is better; they serve different roles. Problems arise when organisations expect one to do the job of the other.
24. Why do leaders confuse OKRs and KPIs?
Because both involve metrics and tracking. The difference lies in intent: KPIs measure performance, OKRs drive change.
25. Should KPIs influence OKR selection?
Yes, KPIs often highlight areas needing improvement. However, OKRs should still reflect strategic priorities rather than simply optimising existing metrics.
26. Can KPIs block OKR ambition?
Yes, especially when incentives are tied to KPIs. This is why separating OKRs from compensation is important.
27. Are OKRs meant to be achieved 100%?
Not always. OKRs are designed to stretch thinking and focus effort, not guarantee perfect scores.
28. Do KPIs change less often than OKRs?
Usually. KPIs tend to remain stable over time, while OKRs adapt to shifting priorities.
29. Should OKRs be tied to bonuses?
In most cases, no. Tying OKRs to pay reduces ambition and honesty in goal-setting.
30. Why does linking OKRs to pay fail?
It encourages gaming and conservative targets. This undermines the learning and focus OKRs are meant to create.
SECTION 3: OKR DESIGN
31. How many OKRs should a company have?
Very few. Focus is the core purpose of OKRs, and too many objectives dilute attention and execution quality.
32. How many objectives per team?
Most teams should have one to three objectives. More than that usually signals a lack of prioritisation.
33. How many key results per objective?
Typically two to five. This range balances clarity with focus and avoids unnecessary complexity.
34. What makes a good objective?
A good objective is clear, directional, and meaningful. It should clearly signal priority and provoke discussion about trade-offs.
35. What makes a bad objective?
Bad objectives are vague, overloaded, or designed to be easily achieved. They often combine multiple priorities into one statement.
36. Should objectives be inspirational?
Yes, but inspiration without clarity is ineffective. Objectives should motivate while remaining grounded in reality.
37. What makes a good key result?
A good key result measures an outcome that influences behaviour. If progress doesn’t affect decisions, it’s not effective.
38. What makes a bad key result?
Tracking activity or deliverables without linking them to impact. These create movement without progress.
39. Should key results be binary?
Sometimes. Binary key results work well when outcomes are clear and non-negotiable.
40. Can key results be qualitative?
Yes, but they must still be testable and clearly defined. Vague qualitative measures weaken accountability.
41. Should every team have OKRs?
Only if OKRs help that team execute better. Mandatory adoption often produces low-quality OKRs.
42. Can OKRs cascade?
They can align vertically, but strict cascading often reduces ownership. Alignment matters more than hierarchy.
43. Should OKRs be top-down or bottom-up?
Both. Leadership sets direction, while teams shape execution.
44. Can OKRs conflict across teams?
They shouldn’t. Conflicts usually indicate misalignment that leadership must resolve.
45. Should OKRs change mid-cycle?
Only when strategy or external conditions change materially. Frequent changes undermine trust and discipline.
SECTION 4: CADENCE & REVIEWS
46. How often should OKRs be reviewed?
Most organisations use weekly or bi-weekly check-ins, monthly reviews, and quarterly resets. Consistency matters more than frequency.
47. What is an OKR check-in?
A short, focused conversation about progress, blockers, and decisions. It should not become a status-reporting exercise.
48. What should happen in an OKR review?
Learning, prioritisation, and decision-making. Reviews should result in changes to focus or approach.
49. Why do OKR reviews feel pointless?
Because they focus on reporting rather than decisions. Without consequences or adjustments, reviews lose value.
50. Who should attend OKR reviews?
Those accountable for outcomes. Too many observers dilute effectiveness.
51. Should OKRs be scored?
Scoring can support reflection, but it is not the goal. Behaviour change matters more than numbers.
52. What’s a good OKR score?
There is no universal score. Context, ambition, and learning matter more than percentages.
53. Should missed OKRs be punished?
No. Punishment discourages ambition and honest reporting.
54. Why do OKRs fade after Q1?
Leadership disengagement is the most common cause. Without modelling, OKRs lose relevance.
55. How do you sustain OKRs long-term?
By embedding them into planning, reviews, and leadership conversations. Process alone is not enough.
56. Should OKRs be visible to everyone?
Usually yes. Transparency supports alignment and accountability.
57. Can OKRs slow execution?
Poorly designed OKRs can create friction. Well-designed OKRs usually speed execution.
58. How do OKRs speed execution?
They clarify priorities and make trade-offs explicit. This reduces wasted effort.
59. What happens if teams ignore OKRs?
They become performative and lose credibility. This often signals leadership disengagement.
60. How do leaders model OKR behaviour?
By using OKRs to guide real decisions, not just reviewing slides.
SECTION 5: LEADERSHIP & CULTURE
61. Who owns OKRs?
Leadership owns OKRs. Delegating without engagement almost always leads to failure.
62. Can OKRs work without leadership buy-in?
No. Leadership behaviour determines success more than framework design.
63. Why do OKRs feel uncomfortable?
They surface misalignment and accountability gaps that already exist. The discomfort is revealing, not harmful.
64. Why do teams resist OKRs?
Resistance often stems from fear, overload, or poor past experiences. It’s rarely about the framework itself.
65. Can OKRs damage culture?
Yes, if misused. Poor implementation creates pressure without clarity.
66. Do OKRs increase accountability?
Yes, when leaders are willing to hold it constructively. Without that, accountability remains unclear.
67. Do OKRs reduce autonomy?
No. They enable autonomy by clarifying outcomes rather than prescribing tasks.
68. Are OKRs suitable for high-growth companies?
Yes, and often essential. Growth increases complexity and makes alignment harder.
69. Do OKRs work in fast-changing environments?
Yes, if kept simple and adaptable. Heavy processes undermine their value.
70. How do OKRs affect decision-making?
They make priorities explicit and reduce reactive behaviour. Decisions become more intentional.
71. Can OKRs improve cross-team alignment?
Yes. Alignment is one of their core strengths when implemented well.
72. Should OKRs be debated?
Absolutely. Debate sharpens priorities and surfaces assumptions.
73. Can OKRs reveal leadership issues?
Very often. They expose avoidance and lack of clarity.
74. Why do OKRs fail at leadership level?
Because leaders avoid difficult trade-offs. OKRs make that avoidance visible.
75. Are OKRs a behaviour-change tool?
Yes. They influence how people prioritise, decide, and collaborate.
SECTION 6: OKR CONSULTING
76. What is OKR consulting?
External support to design, implement, and embed OKRs so they drive execution. The focus is on behaviour, not templates.
77. What does an OKR consultant do?
They challenge priorities, improve design, embed cadence, and coach leadership behaviour. Their role is to enable execution.
78. When should you hire an OKR consultant?
When OKRs stall, fail, or never deliver impact. External challenge often accelerates clarity.
79. Is OKR consulting only for large companies?
No. Scale-ups often benefit the most due to rapid complexity growth.
80. How long does OKR consulting last?
Long enough to embed habits and capability. Dependency is a failure mode.
81. What’s the difference between OKR consulting and coaching?
Consulting focuses on structure and challenge; coaching focuses on capability and confidence.
82. Can OKR consultants run OKRs for you?
They shouldn’t. Ownership must remain internal for sustainability.
83. How do you measure OKR consulting success?
Through improved execution, alignment, and decision-making. Better OKRs alone are not success.
84. Can OKR consulting improve alignment?
Yes. Alignment is often the primary outcome of effective OKR consulting.
85. Does OKR consulting reduce workload?
Over time, yes. Improved focus reduces wasted effort.
86. Why do OKR implementations fail without support?
Blind spots, internal politics, and lack of challenge are common causes.
87. Is OKR consulting worth the cost?
Often far cheaper than misalignment and slow execution. The cost of failure is usually higher.
88. What happens after an OKR consultant leaves?
Internal ownership should be stronger and more confident. Sustainability is the goal.
89. Can OKR consulting work remotely?
Yes. Leadership engagement matters more than physical presence.
90. Do OKR consultants need industry experience?
Execution and leadership experience matter more than sector knowledge.
SECTION 7: CONTEXT & SCALE
91. Do OKRs work in Dubai and the UAE?
Yes, when adapted to fast-growth, high-pressure environments. Generic implementations often fail.
92. Why do OKRs fail in fast-growth regions?
Speed exposes weak alignment quickly. Without discipline, OKRs collapse under pressure.
93. Are OKRs suitable for scale-ups?
Yes, especially when informal alignment breaks down. They provide structure without micromanagement.
94. Do OKRs work during transformation?
Yes, when leadership actively uses them. Passive adoption rarely succeeds.
95. Can OKRs support exits or M&A?
Yes. Alignment and clarity become critical during change.
96. Are OKRs useful during downturns?
Yes. Focus matters even more when resources are constrained.
97. Can OKRs be simplified over time?
They should be. Maturity leads to fewer, sharper OKRs.
98. When should OKRs be abandoned?
Rarely. Fix implementation before abandoning the framework.
99. What’s the biggest OKR myth?
That the framework is the hard part. Leadership behaviour is.
100. What makes OKRs actually work?
Leadership discipline, clarity of priorities, and consistent use in real decisions.
Final Note
This page is designed to be the definitive OKR reference, to help you t understand OKR’s and also answer most common questions.
If you want to explore how OKRs are implemented as a practical operating system for leadership teams, you can learn more about the OKR consulting approach at Blue-Sky Thinking Ventures or reach out to use directly to learn more!