Are OKRs replacing KPIs

Category: OKR University.

No, OKRs do not replace KPIs. Simply put, they serve different purposes and cannot replace each other. We have discussed the difference between OKR and KPI in detail in the article OKRs and KPIs. OKRs actually replace the several methods of managing your KPIs. KPIs and their trends indicate how well your business is doing or parts of your business are doing.

Another way to look at this is to think of OKRs as the process of taking the value of a KPI from value A to value B. Just by this definition, it is very clear that OKRs operate on KPIs and are not replacing them in any way.

OKRs replacing KIPs

There are many methods of managing these KPIs. Some well known methods are:

  • WIG: Wildly Important Goals by Franklin Covey institute.
  • V2MOM: Vision to Value, Methods, Obstacles, and Measures created by Marc Benioff

There really are many approaches that have been around for years. While each of them have their own merits, OKRs have been extremely powerful and time tested in various organizations like intel, and google. So, essentially, OKRs are just replacing these management methods.

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