Who framed OKRs?

  • Updated: 17 March 2025
  • 6 minutes
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It’s safe to say that OKRs are far from universally embraced. The framework sparks intense debate within the Product ecosystem, with staunch supporters on one side and vocal critics on the other. After all, if OKRs have been such a success for major tech giants, why do so many companies struggle to implement them effectively? Who’s to blame? In this article, we’ll explore how to successfully adopt the methodology, drawing on insights from Thiga experts and international specialists in the framework.

1975. Andy Grove, then CEO of Intel, introduces a method to align strategic objectives with operational performance: Objectives and Key Results (OKRs). Years later, a former Intel employee brings OKRs to a young American company, founded just a year earlier in 1998: Google. The company adopts OKRs as a tool for structuring and scaling its operations, laying the foundation for what will ultimately make it the global economic powerhouse it is today.

Many companies have since tried to follow in Google’s footsteps. After all, in the digital age, what could be more logical? The problem is, looking like Google doesn’t mean you can operate like Google. Many organizations have struggled—and even failed—to implement OKRs successfully, while others continue to use them to this day. As a result, the methodology has become somewhat controversial. For Constant Hameau, Head of Product at Thiga, the issue doesn’t lie with the framework itself—quite the opposite: “OKRs in their purest form—aspirational objectives focused on the future, paired with clear KPIs to track progress—are straightforward to manage and easy for all stakeholders to grasp. That’s not up for debate!”

A powerful growth lever

When used correctly, OKRs can be a powerful operational lever, as highlighted by Tim Herbig, Product Management coach and consultant: “OKRs improve team alignment with the company’s strategic priorities, enhance autonomy by focusing on outcomes rather than outputs, make dependencies more visible, and help track progress in transformation efforts.” Herbig, who specializes in helping companies tailor the framework to their specific context, emphasizes that OKRs are not just a theoretical exercise—they serve as a practical tool for execution.

Want to learn more? Discover how Carrefour successfully implemented the OKR methodology.

Constant Hameau sees OKRs as an invaluable tool for assessing a company’s strategic "bet" over a given period: “OKRs are a fantastic accelerator for alignment and execution. The company’s structural activities—what we call the ‘RUN’—don’t need to be included in OKRs. However, strategic initiatives aimed at executing the company’s vision—the ‘BUILD’—can and should be measured through OKRs.” He also points out that in organizations with a single business line, setting OKRs at the highest level of the organizational hierarchy is particularly effective: “When there’s only one line of business, you can establish objectives at the top of the pyramid and cascade them down seamlessly, since everyone is working on the same priorities.”

If you're just doing it because Google does it, or because it sounds good in board meetings, save yourself the trouble

Easier? Yes. More valuable? Not necessarily, at least according to another Thiga consultant, Hugo Klein. This expert in digital transformation has worked with several CAC40 groups to support them in implementing OKRs. “The large companies I’ve worked with have complex structures. But the more complex they are, the greater the potential impact of OKRs. He recalls a mission within a retail company where the digital division encompassed multiple areas, from circularity to e-commerce and the value chain. “If you want these teams to collaborate rather than each prioritizing their own roadmap independently, you need to give them shared objectives. OKRs are a way to achieve that. So yes, it’s extremely challenging—but the potential benefits are huge.”

A bad workman blames his tools

If the issue isn’t with the OKR framework itself, then logically, it falls on the companies implementing it. Christina Wodtke, a Product Management lecturer at Stanford University, argues that blaming a method while failing to apply it correctly is simply absurd. She is adamant on this point and even goes further, warning that a mechanical approach to OKRs is a recipe for failure: “OKRs require a genuine commitment to organizational learning and transparency. If you're adopting them just because Google does or because they sound good in meetings, spare yourself the trouble. They’re not a miracle solution but a framework that demands discipline, rigor, and a true cultural shift. If your company operates on a rigid ‘command and control’ model and you’re not willing to change that, you might want to focus on your culture before diving into OKRs.”

Hugo Klein fully agrees. For him, adopting a mindset aligned with OKRs is essential: “You have to let go of the expectation that teams should always achieve their objectives 100%. With OKRs, you can give your best effort without necessarily hitting the exact target—and that’s okay!” He immediately clarifies his point: “Objectives should be ambitious enough to be motivating, but they remain just that—objectives, not commitments! If you don’t fully achieve them but they’re still relevant, you can simply carry them over to the next quarter.”

A guide to implementing OKRs

Once a company is culturally ready to embark on the OKR journey, how can it ensure success? Drawing from their experience, Constant Hameau and Hugo Klein have identified several key factors that determine whether OKR implementation will work.

Limit the number of OKRs

In an ideal world, a company would set just one OKR—one single objective to achieve. In reality, however, OKR lists often turn into a never-ending catalog. Since each objective typically includes two to five key results, teams can quickly become overwhelmed. “The whole point of OKRs is to focus your efforts. If you can’t make clear choices, the exercise is completely useless,” insists Hugo Klein. “Otherwise, you just end up with yet another Excel sheet to fill out every quarter—one that helps no one.”

The challenge is even greater in large organizations, where dependencies multiply. That’s why, according to Klein, it’s crucial to maintain a holistic vision: “You have to remain aware of other teams' objectives to avoid working in silos.”

Align OKRs with company strategy

The primary benefit of OKRs is to align teams and set clear priorities that amplify impact. Yet, Constant Hameau observes that many companies fall into the same trap: “The biggest mistake is applying OKRs at a mid-level within the organization, without first setting company-wide objectives at the very top that can then cascade down.”

Like eating well and exercising, everyone knows what to do, but doing it consistently and correctly is what makes the difference.

For Hugo Klein, this is a fundamental misunderstanding of the framework. “Company OKRs should act as a guiding compass. If the company says ‘we’re going left,’ then everyone needs to go left,” he says with a smile. “Starting from the company’s strategy, we can set annual strategic objectives for each department or team. Then, those teams define quarterly tactical objectives that align with those top-level goals.”

This alignment must also happen within individual teams, ensuring that everyone pulls in the same direction. Otherwise, misalignment can hinder collaboration. If within the same unit, the Product Manager, the Designer, and the Tech Lead each have different OKRs, they’ll all focus on their own objectives rather than working together. 

Involve teams in the process

When asked why company leadership shouldn’t simply dictate OKRs for the entire organization, Hugo Klein, a Product strategy expert, doesn’t mince words. “Where would you feel more motivated? In a project where you’re told, ‘Here’s the destination, and we trust you to figure out how to get there,’ or one where every step is micromanaged: ‘Take three steps left, three steps right, move forward, step back, run, jump…’?” he says with a laugh. “Teams on the ground know their context best—you have to give them room to think and decide how to reach the objectives.”

To keep teams truly engaged, it’s also crucial not to tie OKRs too closely to compensation. At the same time, companies should avoid forcing employees to choose between OKRs and a different set of goals linked to their bonuses. "If hitting their OKRs means earning a bigger bonus, people will set easy-to-reach objectives—which completely defeats the purpose! OKRs are meant to be ambitious.” On the flip side, Klein has seen companies set OKRs that directly contradict the annual targets employees need to hit to earn their variable pay. “I’ll let you guess which goals they actually focused on...” As with everything, it’s a matter of finding the right balance.

Track progress regularly

Engaging teams is only half the battle; the other half is making sure progress doesn’t stall. Once annual and quarterly objectives are set, it’s essential to establish regular check-ins to ensure teams are moving in the right direction. According to Hugo Klein, this should happen at least once a month, in addition to quarterly reviews, which are crucial milestones.

Constant Hameau adds that having a dedicated person to oversee this process can make all the difference: “You need someone to ensure everyone stays on track, to create rituals for syncing up on objectives, and to facilitate a retrospective at the end of the quarter to assess whether goals were met. If they weren’t, this person must identify what went wrong and fix it before the next cycle… otherwise, everything falls apart.” And if that happens, good luck getting teams to buy in again the following year.

Understanding OKRs is one thing—applying them effectively is another. As Christina Wodtke puts it: “Just like with diet and exercise, everyone knows what to do, but only consistency and proper execution yield results. You’ll know your OKRs are working when your teams learn and adapt quickly, openly discuss their progress, focus on outcomes rather than tasks, collaborate effectively, make autonomous decisions, and move toward ambitious goals.”

That said, Hugo Klein warns against being overly rigid: “Don’t be an OKR fundamentalist! Applying the framework to the letter doesn’t work. You need to adapt it to your context—experiment, push its limits, and learn from it.” Ultimately, OKRs are not just about hitting numerical targets—they’re about transforming how an organization operates and learns as a whole.

Want to Learn More? Download our free book on Product Oriented Organizations and dive deeper into best practices for structuring your company around impactful objectives. 🚀

 

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