OKRs — Strategic Direction
OKRs are aspirational. They are set quarterly, push teams toward stretch goals, and are intentionally ambitious. In the OKR framework, achieving 60–70% of a Key Result is considered a success — 100% means the target wasn't ambitious enough.
OKRs cascade from the company level down to teams and individuals, ensuring every person understands how their work connects to company goals.
KPIs — Operational Health
KPIs (Key Performance Indicators) are operational health metrics tracked continuously — daily, weekly, or monthly. They monitor whether the business is running well, not whether it is moving in a new direction. Examples: support ticket response time, server uptime, burn rate, gross margin.
Use Both Together
High-performing startups use OKRs for strategy and KPIs for operations. OKRs answer "are we growing in the right direction?" KPIs answer "is the engine running without breaking down?"