What is the difference between OKR and KPI?
OKRs can help you lead by showing you what you want to accomplish and how you’re going to get there. Change-oriented goals (Objectives) are paired with measures (KRs), which helps you track progress and see how you’re doing. KPIs are standalone numbers (metrics) that don’t show you how you’re progressing towards your goals.
An example of a KPI would be if your company needed keep NPS 9. This would be a critical measurement to maintain in order to be successful. However, KPIs don’t always make great OKRs. In this example, 9 NPS is necessary to maintain, but it’s not a change. It’s “business as usual” If you want to change a KPI, it might become an OKR. For example, if your NPS is lower than your competitor’s, you might want to make “increasing NPS” can be one of your objectives. It’s important to maintain KPIs to track vital elements of your organization. While KPIs are often considered business-as-usual, there are times when KPIs can inform your objectives and key results (OKRs) if it’s a measurement that you want to significantly change.
How do OKRs and KPIs work together?
KPIs and OKRs are two complementary ways to measure and improve performance in your business. KPIs help you track progress and identify areas for improvement, while OKRs help you solve problems, improve processes, and drive innovation. Tracking both KPIs and OKRs in parallel will help you stay on top of all the moving parts of your business and ensure that your teams and employees are executing your business strategy effectively.
How ConectoHub can help you define business goals
With the AI-based system, get the key metrics based on your strategy. Connect your OKRs and KPIs with more than 5,000 data sources like sales, profit, Google Analytics, and more. Track the progress of your goals automatically. Also, you can connect your daily tasks and projects from ConectoHub or the other platforms.Build a performance management system based on your goals.