Do objectives and key results solve organizational performance measurement issues?

Abstract

Purpose

This study aims to determine whether and how objectives and key results (OKRs) can be used to solve performance measurement issues encountered by organizations.

Design/methodology/approach

A total of 204 staff members from 26 Thai organizations that adopted OKRs were interviewed. Five senior executives and five operational staff members with experience using OKRs were selected from each organization. Content analysis was also performed.

Findings

OKRs facilitate the acceptance of performance indicators and help solve issues of alignment between indicators and organizational strategies as well as improper target setting.

Research limitations/implications

The results have limited generalizability because of the qualitative approach undertaken in the study. Further research can test whether the results hold true if OKRs are used for longer than six months.

Practical implications

The results of this study can be used to help managers and employees set challenging targets, utilize their competencies and find a sense of relatedness, which can lead to organizational success.

Originality/value

This study is one of the first to thoroughly investigate the use of OKRs by adopting the self-determination theory (SDT) as the main theoretical framework.

Citation

Rompho, N. (2024), "Do objectives and key results solve organizational performance measurement issues?", Benchmarking: An International Journal, Vol. 31 No. 3, pp. 669-682. https://doi.org/10.1108/BIJ-07-2022-0464