[GTM glossary](/glossary.md) Objectives and key results RevOps & Pipeline # Objectives and key results (OKR) Also known as: OKRs In short Objectives and key results (OKRs) are a goal-setting framework in which a team states one ambitious objective and defines a few measurable key results that show whether it was achieved. The objective says where to go. The key results say how you will know you got there. GTM teams use OKRs to line up marketing, sales, and RevOps around shared outcomes, typically reviewed each quarter. ## The parts of an OKR * **Objective:** A short, qualitative statement of what you want to achieve. It should be clear and motivating. * **Key results:** Two to five measurable outcomes with a number and a deadline. They describe results, not tasks. * **Initiatives:** The projects and actions the team will do to move the key results. These sit beneath the OKR. --- ## An example for a GTM team Say a sales team wants to grow in a new segment. An illustrative OKR could read like this. * **Objective:** Become a credible vendor for mid-market software companies. * **Key result 1:** Create 60 qualified opportunities in the segment this quarter. * **Key result 2:** Win 8 new customers in the segment. * **Key result 3:** Reach a 25 percent meeting-to-opportunity rate for the segment. --- ## How to set OKRs ### 1. Start from company goals Team OKRs should connect to what the business needs this period. A pipeline OKR that does not support the revenue goal creates busywork. ### 2. Keep the list short Aim for a few objectives per team. Too many dilutes focus and makes review meetings long. ### 3. Write key results as outcomes "Send 5,000 emails" is a task. "Book 40 meetings" is an outcome. Choose measures that would still matter if the tactics changed. ### 4. Review often and score honestly Check progress weekly or biweekly, and score at the end of the period. Use what you learn to set the next cycle. --- ## OKRs vs. KPIs and quotas * **KPIs:** Ongoing health metrics you monitor continuously. OKRs target change in a specific period. * **Quotas:** Individual sales targets tied to compensation. OKRs are team goals that guide focus and are often kept separate from pay. --- ## Common mistakes * Listing normal day-to-day work as key results. * Setting key results that cannot be measured. * Setting OKRs once and not reviewing them. * Cascading too many levels so teams lose the link to the top goal. --- ## Objectives and key results FAQs **What does OKR stand for?** OKR stands for objectives and key results. It is a goal-setting framework where a team writes a clear objective and a few measurable key results that prove whether the objective was reached within a set period, often a quarter. **What is an example of an OKR for a sales team?** An objective might be to expand into a new segment. Key results could be creating a set number of qualified opportunities, winning a target number of customers, and reaching a target meeting-to-opportunity conversion rate by quarter end. **What is the difference between OKRs and KPIs?** KPIs are ongoing metrics that show the health of a process, such as win rate. OKRs are time-bound goals aimed at changing something, with key results that measure progress. A KPI can be used as a key result. **How many key results should an objective have?** Most teams use between two and five key results per objective. Fewer than two may not capture success, and more than five makes the goal hard to track and weakens focus for the team. Share term --- ## More related phrases * [Sales playbook](/glossary/sales-playbook.md) * [Directly responsible individual](/glossary/directly-responsible-individual.md) * [Lead-to-revenue management](/glossary/lead-to-revenue-management.md) ## Similar phrases * [Sales KPIs](/glossary/sales-kpis.md) Sales KPIs are the handful of key performance indicators a sales team tracks to judge progress toward its revenue goals, such as pipeline created, win rate, and quota attainment. * [SMART goals](/glossary/smart-goals.md) SMART goals are objectives that are Specific, Measurable, Achievable, Relevant, and Time-bound, a framework GTM teams use to turn vague targets into trackable commitments. * [Sales metrics](/glossary/sales-metrics.md) Sales metrics are the measurements of sales activity, pipeline, and results, such as calls, conversion rates, and revenue, that teams use to understand performance and spot problems. * [Quota](/glossary/quota.md) A quota is the sales target a rep or team must reach in a set period, such as revenue closed or meetings booked, and it anchors planning and pay. * [Revenue operations (RevOps)](/glossary/revenue-operations.md) Revenue operations (RevOps) aligns sales, marketing, and customer success around shared process, data, and systems so the whole revenue funnel is managed as one connected motion.