Book Notes #52: Measure What Matters by John Doerr

The most complete summary, review, highlights, and key takeaways from Measure What Matters. Chapter by chapter book notes with main ideas.

Title: Measure What Matters
Author: John Doerr
Year: 2018
Pages: 320

Most people think goals are just to-do lists with deadlines. But what if the real power of a goal isn’t in getting it done—but in getting it right?

Measure What Matters by John Doerr is more than a book about setting objectives. It’s a window into how bold ideas get executed inside some of the world’s most successful organizations.

From Google to Bono’s ONE Campaign, this book shows how one simple framework—OKRs—can turn purpose into progress and alignment into achievement.

Whether you’re leading a company, running a small team, or just trying to stay focused on what matters most, this book gives you a surprisingly human way to rethink how goals actually work.

As a result, I gave this book a rating of 8.5/10.

For me, a book with a note 10 is one I consider reading again every year. Among the books I rank with 10, for example, are How to Win Friends and Influence People and Factfulness.

3 Reasons to Read Measure What Matters

Clarity Through Simplicity

OKRs cut through the noise and bring focus to what matters most. You stop chasing everything and start moving purposefully. It’s a refreshingly straightforward approach to aligning goals with action.

Stretch Without Fear

This book makes you rethink what ambition looks like. Goals aren’t supposed to be safe—they’re supposed to be bold. You learn how to aim high without fearing failure or being judged for missing the mark.

From Chaos to Alignment

If your team’s efforts feel scattered, this book shows how to fix that. Everyone sees the same goals, understands their role, and works in sync. It’s a powerful shift from siloed hustle to shared momentum.

Book Overview

What if the secret to transforming a company wasn’t about doing more—but doing what truly matters?

That’s the central idea behind Measure What Matters, a book that has quietly reshaped how some of the world’s most innovative organizations think about goals, progress, and performance.

Written by venture capitalist John Doerr, the book introduces OKRs—Objectives and Key Results—not as some trendy framework, but as a practical way to focus, align, and stretch toward bold, ambitious outcomes.

It’s less about checking boxes and more about changing how people think, work, and lead.

The story starts with Andy Grove at Intel, a legend in Silicon Valley who quietly pioneered a new way of managing teams.

Grove believed that clarity, accountability, and discipline didn’t have to feel like bureaucracy.

He introduced OKRs as a simple yet powerful method to set goals that were both inspiring and measurable. Doerr, then a young engineer, watched it unfold and carried the method with him—eventually bringing it to a fledgling company called Google.

From that moment, OKRs became more than just a tool—they became part of the DNA of companies that refused to settle for “good enough.”

Whether it was Sundar Pichai leading the Google Chrome team with a stretch goal of 20 million users or Bono’s ONE Campaign pushing for global policy changes in the fight against poverty, the pattern was the same: clear objectives, measurable outcomes, and the courage to aim high even when failure was likely.

What makes OKRs different from traditional goal-setting isn’t just the format—it’s the mindset. At Google, for example, teams are encouraged to set goals they might not fully achieve. In fact, a 70% success rate is often seen as ideal. Why? Because if you’re hitting 100%, you probably aren’t aiming high enough.

It’s a subtle but powerful shift. Instead of punishing failure, OKRs reward ambition. They give people permission to dream a little bigger—but keep them grounded with key results that tell you whether you’re actually making progress or just spinning your wheels.

But ambition without alignment is chaos. That’s where another strength of OKRs comes in: transparency. Everyone’s goals—from interns to executives—are visible across the company. This openness creates natural accountability and encourages collaboration.

Teams know what others are working on, and that visibility reduces silos and guesswork. You don’t need a complex hierarchy to understand how your work contributes to the bigger picture. It’s right there, in plain sight.

Still, Doerr doesn’t pretend OKRs solve everything. In fact, one of the most compelling parts of the book is how it shows OKRs failing—until culture catches up. At Lumeris, a healthcare company, early attempts to use OKRs flopped. There was no trust, no feedback, no real accountability.

It wasn’t until they tackled their culture head-on—reorganizing leadership, transforming HR, and embracing radical transparency—that OKRs began to stick. The lesson? You can’t bolt OKRs onto a broken system. The soil has to be ready for things to grow.

That’s why Measure What Matters also introduces a complementary idea: CFRs—Conversations, Feedback, and Recognition. These are the human side of the system, the tools that keep OKRs alive between planning cycles.

Instead of saving feedback for an annual performance review, CFRs encourage regular, informal check-ins. Recognition happens in real time. Goals get adjusted mid-quarter. Progress isn’t measured once a year—it’s tracked continuously. It’s a shift from managing performance to enabling it.

One of the most surprising chapters comes from the world of pizza. At Zume, a robotics-driven pizza startup, the founders realized that OKRs weren’t just for tech giants. They used OKRs to bring clarity to a fast-growing, chaotic company trying to do everything at once.

The system helped them focus on what mattered most—baking better pizza, building better tech, and scaling their operations without losing their soul. It’s a reminder that this approach isn’t limited to Silicon Valley; it’s adaptable to almost any mission-driven organization.

By the time you finish the book, you start seeing OKRs not just as a framework, but almost like a philosophy. It’s about being brave enough to name what really matters, clear enough to measure it, and honest enough to learn when things don’t go as planned.

It’s about building cultures where people feel ownership, where feedback is normal, and where aiming high isn’t just allowed—it’s expected.

Measure What Matters doesn’t offer a silver bullet. But it does offer a map—a way to turn ambition into action, clarity into alignment, and vision into measurable progress. It’s a book about goals, yes. But more than that, it’s about building organizations where goals actually mean something.

Because in the end, the question isn’t just “What are we trying to do?”

It’s “How will we know when we’ve truly made a difference?”

Stretch Goals

One of the most powerful ideas in Measure What Matters is the concept of stretch goals. At first glance, the phrase might sound like corporate jargon—just another way to say “think big.” But in the world of OKRs, stretch goals are something far more meaningful: they’re a conscious invitation to reach beyond what feels safe or easily attainable.

John Doerr doesn’t just encourage ambitious goals for the sake of being bold—he shows how real companies, from Google to YouTube to nonprofits like the ONE Campaign, use stretch goals as a cultural engine. These are not “nice-to-haves” or “someday” dreams. They’re set intentionally, knowing they might not be fully reached. That’s the point. The act of reaching itself unlocks innovation, urgency, and creativity.

At Google, for example, teams are told that scoring 1.0 on an OKR might actually mean they didn’t stretch hard enough. The ideal target? Around 70%. That means you’re hitting meaningful progress—but you’re also leaving room to fall short without feeling like you’ve failed. It’s a very intentional redefinition of success. It’s not about perfection. It’s about progress through purposeful discomfort.

Take YouTube’s goal to hit one billion hours of watch time per day. That’s not just ambitious—it’s enormous. The platform wasn’t even close when the goal was set. But that OKR sparked an entire shift in how the company thought about product design, user experience, and content recommendations. Everyone, from engineers to content teams, rallied around this big, audacious goal. They made better decisions, faster. Not because someone told them to, but because the goal was clear, inspiring, and far enough away that it demanded real change.

And here’s what’s interesting: they got there. They hit the one billion hours. But the magic wasn’t just in the achievement—it was in how the stretch transformed the process.

The same principle shows up in the story of Google Chrome. Sundar Pichai set an early OKR to get 20 million users—a number that was more than 10x their current reach at the time. It wasn’t a guaranteed win. But that’s what made it powerful. It forced the team to think differently. Instead of improving the browser a little, they rebuilt it to be faster, safer, and more user-friendly. A stretch goal didn’t just grow market share. It changed the product itself.

Stretch goals also show up outside the tech world. Bono’s ONE Campaign, which set out to secure massive funding and global policy shifts in the fight against poverty and disease, had OKRs that sounded impossible at first. But having a system that allowed them to measure—even if imperfectly—their boldest ambitions gave the campaign structure, clarity, and credibility. Their moonshot thinking led to real-world results: billions in funding for AIDS treatment, expanded access to medications, and long-term health gains across Africa.

Here’s the subtle but essential difference between a stretch goal and a normal one: a normal goal asks, “What can we definitely achieve with the resources we have?” A stretch goal asks, “What could we achieve if we really went for it?” It changes the energy in the room. It invites creativity instead of compliance.

But Doerr also makes it clear: stretch goals don’t work in isolation. For them to be healthy and motivating—not demoralizing—they need the right context.

Teams must understand that falling short doesn’t mean failure. Leaders must model that mindset. And key results still have to be measurable.

Wild ambition is great—but only when it’s paired with grounded indicators of progress.

And not everything should be a stretch. Doerr draws a useful distinction between committed OKRs (the ones you must deliver) and aspirational OKRs (the ones you reach for).

Both serve a purpose. The magic comes when you’re bold in the right places—when the goal is far enough out to inspire new thinking, but close enough to feel worth pursuing.

So if you’re setting goals—whether for your team, your company, or your own life—this book challenges you to ask: Are you playing not to lose, or are you playing to grow?

That’s the heart of the stretch goal. It’s not about being unrealistic. It’s about being deliberately ambitious, even when it’s uncomfortable.

Because that’s where the real transformation happens—not just in outcomes, but in mindset, culture, and the way people rise to meet the challenge.

Chapter by Chapter

Google’s OKR Playbook

Why OKRs Matter at Google

Google’s success has always been closely tied to its culture of focus, ambition, and transparency. At the heart of this culture is a simple but powerful system: OKRs, or Objectives and Key Results. This playbook gives us a behind-the-scenes look at how Google uses OKRs not just to set goals, but to align teams, spark innovation, and push boundaries—while keeping everyone on track.

OKRs aren’t treated as a formality at Google. They’re used as a living framework for how work gets done and progress is made. The company credits OKRs with helping it scale from a scrappy startup to a global tech giant while still staying aligned and innovative.

How Google Defines OKRs

At Google, OKRs are broken into two parts:

  • Objectives: What you want to achieve. Big, ambitious, and qualitative.
  • Key Results: How you know you’re getting there. Measurable, specific, and time-bound.

Objectives give direction. Key Results measure progress. Together, they help teams focus their energy on what matters most, rather than trying to do everything at once.

The Philosophy Behind Google’s OKRs

One of the most important things to understand is that OKRs are not tied to compensation or performance reviews. This is intentional. At Google, OKRs are a tool for setting direction and encouraging ambition—not for evaluating people.

That’s why employees are encouraged to aim high. A score of 0.7 out of 1.0 on a stretch OKR is considered success. If someone consistently hits 1.0 on every OKR, they might be playing it too safe. This system is designed to reward bold thinking, not box-checking.

Setting OKRs the Google Way

Google follows a few key principles when writing OKRs:

  • Set no more than 5 Objectives per quarter.
  • Each Objective should have 3–4 Key Results.
  • OKRs should be public and transparent across the company.
  • Objectives should inspire and challenge, not describe business-as-usual.
  • Key Results must be quantifiable—measurable outcomes, not tasks or activities.

A good Objective might sound like: “Launch the best Gmail mobile experience ever.”
A good Key Result for that Objective could be: “Increase mobile Gmail daily active users by 20%.”

Google distinguishes between two kinds of OKRs:

  • Committed OKRs: These must be achieved and are tied to core responsibilities (e.g., system uptime, product releases).
  • Aspirational OKRs: These stretch the team beyond the current limits, pushing for innovation or moonshot goals.

This distinction allows teams to balance day-to-day execution with long-term ambition.

Scoring and Reflecting

At the end of each quarter, teams score their OKRs on a scale from 0.0 to 1.0. These scores aren’t about praise or punishment—they’re used to learn. What worked? What didn’t? Were goals too easy or too unrealistic?

The point is to reflect and adjust, not to create fear or judgment. It’s a system built for growth, not perfection.

Cadence and Discipline

OKRs are updated quarterly, with a rhythm that includes:

  • Quarterly planning and alignment across teams.
  • Mid-quarter check-ins to review progress.
  • End-of-quarter scoring and retrospectives.

This regular cadence helps Google stay agile without getting lost in the day-to-day grind.

Making OKRs a Cultural Habit

The final piece of the playbook is culture. Google doesn’t treat OKRs as a one-off exercise—it’s part of how the company thinks and works. OKRs are:

  • Visible across the company, from interns to executives.
  • Flexible, allowing teams to revise them as priorities evolve.
  • Discussed in team meetings, all-hands, and one-on-ones.

Because of this, OKRs become more than goals—they become a shared language of ambition, and a tool to align purpose with action.

Together, they form the backbone of Google’s goal-setting culture—a blend of discipline, ambition, and alignment that drives performance across all levels.

Focus and Commit to Priorities

Google recommends setting both quarterly OKRs for short-term agility and annual OKRs to stay anchored to long-term strategy. The idea is not to overwhelm but to focus. That means three to five top objectives per cycle, max. More than that, and focus starts to break down.

A successful rollout often starts with leadership. Get upper management to test and trust the system before bringing everyone else onboard. Appointing an OKR shepherd—someone responsible for guiding the process each cycle—helps maintain this momentum.

When selecting objectives, choose those with the highest leverage for performance, and always be willing to cut or defer lower-priority items. For each objective, no more than five key results—each measurable, unambiguous, and time-bound. If a key result starts demanding more attention, turn it into its own objective in the next cycle.

The biggest driver of OKR success? Leadership buy-in. Without it, the system can’t take root.

Align and Connect for Teamwork

One of the most powerful parts of OKRs is that they help align the entire company, from interns to executives. That only works if goals are public, visible, and repeated often. Leaders should communicate OKRs through all-hands meetings, and keep reinforcing them—especially when they feel tired of saying it. That’s when people are just starting to hear it.

Top-down objectives are useful, but bottom-up OKRs are just as important—aim for a 50/50 mix. And instead of working in silos, connect teams with shared OKRs across departments. Make interdependencies explicit, and when OKRs are dropped or changed, let everyone affected know.

Track for Accountability

To build a culture of ownership, teams need regular check-ins, honest grading, and leaders who aren’t afraid to admit when they’ve missed the mark. When people see that accountability applies to everyone—even the top—they’re more willing to take smart risks.

Check-ins shouldn’t be an afterthought. Weekly one-on-ones, monthly team reviews, and flexible mid-cycle adjustments keep things relevant. If something’s no longer realistic or aligned, change it. Sticking to a broken OKR for the sake of structure is counterproductive.

Each cycle ends with a review and self-assessment. Celebrate wins. Learn from misses. Then move forward with better insight and energy. And when it comes to managing OKRs at scale, invest in a cloud-based platform that supports collaboration and real-time updates.

Stretch for Amazing

Google’s culture encourages ambitious thinking. Not every OKR should be hit 100%—that’s not the point. Set committed OKRs for what must be delivered, and aspirational OKRs (or BHAGs) for what pushes the limits. Failure is expected sometimes. The only failure is not trying.

Still, there’s a balance. Set OKRs so ambitious they inspire—but not so far out that they demotivate. Keep the goals bold, but achievable with real effort.

Want breakthrough innovation? Use the 10x mindset—aim not for 10% improvement, but for 10x better. That’s how entire industries get reinvented.

If a stretch OKR isn’t achieved, roll it over to the next cycle—assuming it’s still relevant.

Continuous Performance Management

Google pairs OKRs with CFRs—conversations, feedback, and recognition. This model replaces the outdated annual review with an ongoing dialogue. It’s how coaching becomes natural, not forced.

OKRs should never be tied directly to bonuses. When you link goals to rewards, people start sandbagging. Risk-taking disappears. Ambition gets replaced with safety.

Instead, base performance on a broader picture: teamwork, communication, initiative, not just key result completion. And build motivation through purposeful work and growth, not just financial perks.

The Role of Culture

OKRs are most effective when they’re rooted in a strong culture—one that lives its mission and values. Leaders must embody the behaviors they want to see. Assign individual ownership for shared goals to create both collaboration and accountability.

Support OKRs with catalysts (like goal clarity, tools, coaching) and nourishers (recognition, kindness, encouragement). This balance builds a high-performance, high-trust environment.

But here’s the real key: Don’t start OKRs if your culture isn’t ready. If accountability is missing or trust is low, address that first.

Chapter 1 – Google, Meet OKRs

A Gift for Google

In the fall of 1999, John Doerr visited Google’s modest office with what he called a gift: a tool for execution. At the time, Google was just starting to grow out of its early startup phase. Larry Page and Sergey Brin had recently received a major investment from Doerr’s firm, and while their ambitions were sky-high—organizing all the world’s information—they lacked something crucial: a way to stay focused and move fast without falling apart.

Doerr had seen what happened to startups that couldn’t manage growth. So he brought them OKRs—Objectives and Key Results—a system he first learned at Intel under the legendary Andy Grove. To Doerr, OKRs were the thing that helped great ideas actually become great companies.

Meet the Founders

Larry and Sergey were full of boldness and vision. Larry was the quiet engineer who believed in doing things 10 times better, while Sergey was expressive, energetic, and always pushing boundaries—even doing push-ups in meetings. They didn’t have a detailed business plan, but they had something more powerful: belief in their product and clarity about the problem they were solving.

Doerr asked Larry how big he thought Google could get. Larry replied, “Ten billion dollars in revenue.” Not market cap—revenue. That level of ambition floored Doerr. Most would’ve thought it unrealistic, but Larry meant it.

The Problem with Execution

Doerr had a mantra: ideas are easy, execution is everything. He’d seen countless startups with amazing ideas crash because they didn’t know how to execute. At Sun Microsystems, when he led the desktop division, it was OKRs that gave him structure during overwhelming moments. That experience shaped his belief in their power.

So at Google, he stood in front of the entire team—just a few dozen people at the time—and introduced the system that would shape the company’s future.

What Are OKRs?

Doerr explained it simply: an Objective is what you want to achieve. It should be clear, concrete, and ideally inspiring. A Key Result is how you’ll get there—measurable, specific, and time-bound. If a key result doesn’t have a number, it doesn’t count. At the end of a period, you either achieved it or you didn’t. There’s no in-between.

He gave them three key results for that very meeting: finish the presentation on time, create a sample set of Google OKRs, and get buy-in for a three-month trial. With examples ranging from football teams to Intel’s famous Operation Crush, he illustrated how OKRs could bring focus and unity to a company.

Why Goals Matter

Not everyone agrees that goals are always good. A Harvard study once warned that goals, if misused, could cause unethical behavior or tunnel vision. Doerr acknowledges this. But he also shows how the right kind of goals—clear, shared, and meaningful—are one of the strongest drivers of performance.

He references the research of Edwin Locke, who found that hard, specific goals almost always led to better results than vague ones. In today’s workplace, where employee engagement is often shockingly low, clearly written and shared goals are one of the most effective tools for creating alignment and purpose.

The Fit with Google

Google didn’t just adopt OKRs casually—they embraced them. Sergey Brin said, “We need some organizing principle. This might as well be it.” It wasn’t just a good fit—it was a perfect match. Google was data-obsessed and open by default, and OKRs gave them a structured but flexible way to grow without losing their edge.

Larry and Sergey believed that writing down what mattered would help them stay on track. And they weren’t passive about it. They used OKRs to challenge each other, to push the company, and to stay aligned even as Google’s scale exploded. Eric Schmidt, who joined as CEO later, added leadership buy-in and helped institutionalize OKRs as a core part of the company’s DNA.

Scaling the System

What started as a small experiment grew into something foundational. Over time, OKRs became Google’s operating system. They were used in company-wide strategy sessions, product teams, and even individual planning. Every quarter, the CEO would lead a company-wide review. Every team would set and share their OKRs. Every Googler could browse the intranet and see how their work connected to the big picture.

Google’s adoption was so deep that even as it became one of the biggest companies in the world, it stuck with OKRs. They helped make big goals manageable, kept innovation alive, and created clarity across a complex and fast-moving organization.

Beyond Google

OKRs didn’t stop at Google. They spread across Silicon Valley and beyond—to companies like LinkedIn, Twitter, Spotify, and even to nonprofits like the Gates Foundation. OKRs gave teams a shared language and helped organizations stay adaptable in the face of rapid change.

Doerr describes them as a “Swiss Army knife”—simple, but incredibly versatile. Whether in a startup trying to survive, or a giant enterprise trying to stay innovative, OKRs give structure, focus, and accountability.

The Bigger Picture

This chapter sets the stage for everything to come. It’s not just a story about Google—it’s about what happens when big ambition meets disciplined execution. Doerr’s goal with this book is clear: to bring OKRs to the rest of us. To show how they can lead to clarity, purpose, and ultimately, results.

As he says, “Objectives and key results are a potent, proven force for operating excellence—for Google, so why not for you?”

Chapter 2 – The Father of OKRs

Andy Grove’s Leadership Origins

The story of OKRs starts with Andy Grove, Intel’s legendary leader and the true father of the system. Before Grove, Intel was just another tech company in Silicon Valley. But Grove’s unyielding focus on execution and performance transformed Intel into one of the most admired organizations in the tech world. His management philosophy, which he called “Management by Objectives” (MBO), would eventually evolve into the more powerful and flexible system we now call OKRs.

Doerr takes us back to the summer of 1975, when he found himself in Silicon Valley without a job or a clear path forward. By chance, he got an internship at Intel and quickly learned that Andy Grove was the one running the show, even though his title was just “Executive Vice President.” Grove’s leadership style was intense, focused, and, most importantly, results-driven. As Doerr recalls, Grove didn’t care much for theoretical knowledge—what mattered was what you could actually do with what you knew.

The Shift from MBOs to OKRs

In the early 1970s, Grove introduced a system at Intel that combined ambitious goal-setting with ruthless execution. He outlined it clearly: objectives define where you want to go, while key results measure how well you get there. The beauty of Grove’s system was its simplicity and clarity. There was no room for ambiguity—either you achieved the key result, or you didn’t. This was a major shift from the traditional MBO system, which often became bogged down in bureaucracy and lacked real-time measurement.

Grove’s approach was rooted in a more scientific and practical mindset. While MBOs often failed because they were top-down, slow to adapt, and disconnected from the everyday work of employees, Grove’s OKRs were public, transparent, and aggressive. They encouraged risk-taking and, perhaps most importantly, accountability.

The Influence of Peter Drucker

The roots of Grove’s management philosophy can be traced back to Peter Drucker, who challenged the efficiency-focused, authoritarian management models of the early 20th century. Drucker argued that organizations should be built on trust and respect for employees, not just focused on profit. He introduced the concept of “management by objectives and self-control,” which laid the groundwork for what would become OKRs.

However, Grove took Drucker’s principles and added his own twist, applying them to a fast-paced, competitive environment like Intel. His system was different from MBOs in several key ways: it encouraged bottom-up goal setting, it was more adaptable, and it focused on progress over perfection. For Grove, measuring success wasn’t just about tracking activity—it was about actual output, and OKRs became the perfect tool to do just that.

Intel’s First OKRs

Doerr recalls his first experience with Intel’s OKRs when he joined the company as an intern. He was tasked with creating benchmarks for Intel’s new microprocessor. His personal OKR was straightforward: demonstrate that Intel’s chip was superior to its competitor’s. The key results were clear, measurable, and specific. He had to deliver benchmarks, develop a demo, create sales training materials, and present to customers—all within a set time frame.

For Doerr, the power of OKRs was immediately clear. The system was a tool that helped him stay focused on his highest priorities. Writing down his objectives made them real, and sharing them publicly within Intel made him accountable to his team and superiors. This transparency fostered a culture of clarity, allowing people to align their efforts and make quicker decisions.

The Legacy of Andy Grove

Andy Grove’s approach wasn’t just about creating a system of goals—it was about instilling a culture of execution and performance that shaped the entire company. He used OKRs to guide Intel through some of its toughest challenges, ensuring the company stayed on track despite rapid growth and constant innovation. Grove’s emphasis on ruthless focus and transparent communication became Intel’s lifeblood, helping the company dominate the tech industry.

Even after Grove’s tenure, Intel continued to use OKRs as a cornerstone of its management system. The OKR system was so deeply ingrained in Intel’s culture that it helped the company grow from a small semiconductor startup into a tech giant.

The Essence of OKRs

Through this chapter, we learn that OKRs aren’t just about setting goals—they’re about creating a culture that values results, transparency, and constant improvement. Grove’s legacy is about building a framework that fosters ownership, focus, and accountability, making it possible for individuals and organizations to strive for their highest potential.

Chapter 3 – Operation Crush: An Intel Story

Intel’s Existential Crisis

In 1979, Intel faced a serious threat that could have wiped them out. Motorola’s 68000 microprocessor was beating Intel’s 8086 in performance and ease of use. This prompted a crisis within Intel, leading to a rapid shift in priorities and the creation of Operation Crush, an all-out effort to regain market leadership.

Intel’s management, led by Andy Grove, used OKRs to quickly pivot the company’s focus and align its efforts. In just four weeks, the entire company was mobilized to crush Motorola and secure Intel’s place in the tech world. This chapter showcases how OKRs—focus, alignment, tracking, and stretching—were the driving forces behind the company’s rapid turnaround.

Setting Bold Objectives

The battle cry for Operation Crush was clear: Crush Motorola. The goal was to achieve 2,000 “design wins” for the 8086 microprocessor by the end of the year. This was an ambitious and daring objective, but it was something that the company could rally around.

Intel’s leadership didn’t change the product itself—what changed was the way they engaged the market. Instead of focusing on technical specifications, they started selling the value of long-term systems and services to CEOs, not just programmers. The marketing was revamped, and the company focused on its strengths: product family, technical support, and system-level performance.

OKRs in Action

Bill Davidow, Intel’s head of microcomputer systems division, was appointed to lead the operation. He recalls how Andy Grove helped him understand the power of OKRs by explaining the importance of clear, measurable results. Grove emphasized that if everyone in the company was heading in different directions, the company’s efforts would add up to nothing. OKRs, however, provided clear vectors for everyone to follow.

Davidow helped introduce the concept of “as measured by” into Intel’s OKRs, making key results even more explicit. This clarity made sure everyone knew exactly what was expected, and helped align the efforts of the entire company.

The Power of Focus and Alignment

Intel’s success in Operation Crush wasn’t just about the technical aspects of the microprocessor. It was about how the company aligned its entire workforce around a single objective. From top management to field engineers, everyone was on board. The company’s sales force, marketing teams, and engineers all worked together towards the same goal, ensuring the 8086 was positioned as the top choice in the market.

Intel’s ability to act with speed and precision—achieving corporate-wide coordination in a matter of weeks—was largely due to OKRs. The company didn’t waste time debating or dithering; instead, they focused on the most critical actions that would lead to victory.

Results and the Intel Culture

What made Operation Crush even more successful was Intel’s culture. The company was built on transparency, where employees felt comfortable voicing concerns and proposing solutions. This open communication allowed Intel to quickly adjust its strategy and take bold action when necessary. Field engineers were able to bring problems to management’s attention, and the company acted swiftly.

By the end of the year, Intel had crushed Motorola and captured 85% of the 16-bit market. The success of Operation Crush demonstrated the power of OKRs in turning around a crisis and driving the company toward an audacious goal.

The Long-Term Impact

In the years following Operation Crush, Intel’s microprocessor business grew exponentially. By the mid-1980s, Intel had solidified its place as a leader in the industry, with the 8086 and its successor, the 8088, playing pivotal roles in the rise of personal computers.

Operation Crush wasn’t just a victory in the marketplace; it was a victory of execution. The success was made possible by OKRs, which aligned everyone’s efforts, focused the company on what mattered most, and pushed Intel to exceed its limits.

Key Takeaways:

  • Clarity and Focus: OKRs helped Intel stay focused on a single, high-stakes objective—crushing Motorola.
  • Alignment Across Teams: Intel’s success came from aligning sales, marketing, and engineering around a common goal.
  • Speed and Agility: OKRs allowed Intel to pivot and act with incredible speed, outpacing Motorola’s response.
  • Cultural Impact: Intel’s open communication and transparency were crucial in ensuring the success of Operation Crush.

This chapter demonstrates that OKRs aren’t just about setting goals—they’re about creating a unified, focused, and agile organization capable of tackling even the toughest challenges.

Chapter 4 – Superpower #1: Focus and Commit to Priorities

The Power of Prioritization

In this chapter, the focus is on the first “superpower” of OKRs: Focus and Commit to Priorities. The author argues that the key to success lies not in doing everything but in choosing what truly matters. Successful organizations are selective in their goals and commit wholeheartedly to achieving them. When leaders stand behind a few key objectives, it provides their teams with clear direction and a benchmark for progress.

Effective goal-setting requires discipline from leadership. By committing to a limited set of OKRs, organizations can focus on the most impactful tasks and make steady progress. As leaders, it’s not just about setting goals but also about backing them with action and ensuring that the whole company understands the purpose behind these goals.

Choosing What Matters Most

Google, for example, used its mission statement—“to organize the world’s information and make it universally accessible and useful”—to help decide which initiatives should take precedence. From Google Earth to YouTube’s search engine improvements, these projects reflected the company’s top priorities.

But it’s not just senior leadership that determines OKRs. Often, the most powerful OKRs come from the ground up. A product manager at YouTube, Rick Klau, identified an issue where a large portion of users wasn’t logged in, losing access to vital features. His team worked to improve the login experience, which was initially a six-month project. However, when Google’s CEO, Larry Page, noticed its importance, the deadline was shortened to three months and the initiative became a company-wide OKR. This move highlighted the importance of focusing on what truly matters, allowing the entire company to align and rally behind it.

Commitment from Leadership

The chapter stresses that for OKRs to work, leaders must commit to them both in words and actions. When CEOs or founders talk about OKRs but fail to model the behavior, it undermines the system. As Bill Campbell, the late CEO of Intuit, famously said, “When you’re the CEO, you’ve got to say ‘This is what we’re doing,’ and then you have to model it.” Simply talking about goals isn’t enough; leaders must actively demonstrate their commitment.

The Role of Communication

Clear communication is essential for OKRs to succeed. It’s not enough to just unveil goals in a quarterly meeting. Leaders must continuously reinforce these priorities, helping everyone understand why these objectives matter. Jeff Weiner, CEO of LinkedIn, highlights that leaders often need to repeat themselves until the message is ingrained in the company culture. OKRs must be communicated in a way that inspires people and helps them understand the connection to the company’s mission.

Key Results: Measuring Success

OKRs are a mix of vision (objectives) and execution (key results). Objectives are the “what” you want to achieve, and key results are the measurable steps to get there. Key results typically involve hard metrics like revenue growth, user engagement, or market share. When setting key results, it’s important not to overwhelm the team with too many. Three to five key results per objective are ideal because they allow teams to concentrate on the most important tasks without distraction.

Avoiding the Pitfalls of Too Many Goals

The author emphasizes the risk of setting too many OKRs, which can lead to a lack of focus. Steve Jobs understood this well, believing that “Innovation means saying no to one thousand things.” By limiting the number of goals, organizations can maintain clarity and ensure that their efforts are aligned with what matters most.

This principle of “less is more” prevents teams from spreading themselves too thin, helping them avoid the “shiny object syndrome” and stay committed to their primary objectives. Fewer, well-chosen objectives lead to higher focus, better execution, and greater results.

Balancing Quantity with Quality

A key part of goal setting is balancing quantity and quality. For instance, Ford’s infamous Pinto example demonstrates the danger of focusing on metrics without considering the broader consequences. While the Pinto met its goals in terms of cost and efficiency, safety was overlooked, leading to disastrous results. A better approach would have been to pair key results focused on quantity with those focused on quality, ensuring that all aspects of a goal are addressed.

Setting the Right Time Frames

Time frames are another important factor in goal-setting. OKRs should have clear deadlines to push teams into action and avoid procrastination. The ideal cadence for OKRs is quarterly, as it’s short enough to keep teams focused and aligned while providing enough time to make meaningful progress. This approach helps organizations remain agile and adapt quickly to changes in the market or business environment.

The Value of Focused OKRs

Ultimately, the key takeaway from this chapter is that focusing on a small number of meaningful OKRs is essential for success. Leaders must be disciplined in choosing priorities and committed to driving those priorities forward. By doing so, they create a culture of focus and execution, where everyone understands what matters and works together to achieve it.

Chapter 5 – Focus: The Remind Story

The Problem in Education

The education system in the U.S. faces many challenges, and one key issue is communication between teachers and families. A study showed that when teachers reached out to families regularly via phone calls or texts, students completed significantly more homework and participated more in class. This simple yet powerful intervention led Brett Kopf to create Remind, a tool that would make it easier for teachers, students, and parents to communicate securely.

Brett Kopf’s Journey

Brett Kopf’s personal story is at the heart of Remind’s mission. Growing up, he struggled with ADHD and dyslexia, which made traditional school a challenge. He found it hard to focus, and his grades suffered. But a teacher who worked one-on-one with him changed everything. She helped Brett break down his tasks, focus on one thing at a time, and build confidence. This experience inspired him to focus on what mattered most and led to his deep commitment to improving education.

The Birth of Remind

While at Michigan State, Brett struggled with managing deadlines and staying organized—issues that many students face. One day, frustrated by his own academic challenges and the inefficiency of existing systems, he realized that there had to be a better way. Why not create a platform that would let teachers communicate with students and parents through text, the primary communication tool for most teenagers?

Brett teamed up with his brother David, and they began working on the Remind app. Despite not having experience in technology or product development, they pushed forward, learning as they went. Initially, their system was rudimentary, but it worked well enough to support a small group of users. The focus was clear: solve the problem of poor communication between teachers and families.

Finding Focus with OKRs

As Remind grew, Brett realized that the company needed to focus its efforts more sharply. That’s when John Doerr introduced the concept of OKRs. Brett and his team started using OKRs to guide their growth. The process of setting clear objectives and measurable key results helped the team stay focused on what really mattered.

In one early example, Brett focused on interviewing 200 teachers to understand their needs. He exceeded his goal, interviewing 250 teachers. This was a pivotal moment because it made the team realize that by listening to their users, they could fine-tune their product and better serve their audience.

Scaling the Company

As Remind started to scale, the team faced the classic challenge of growing too fast with too few resources. Despite limited funding, they found ways to grow quickly—reaching 130,000 messages in just three weeks after launching the beta version of the app. Brett and David remained focused on their mission and made sure their goals stayed clear and manageable. They didn’t get distracted by the many opportunities that came their way, focusing instead on what would move the company forward.

Staying Focused During Growth

As Remind grew, the team continued to apply OKRs to stay focused on the most important tasks. By 2013, the company had hit six million users, and the team raised Series A funding. Their OKRs evolved to become more concrete, with clear metrics like weekly active users (WAT) and monthly active users (MAT).

Brett’s leadership during this phase was driven by his focus on key priorities. He kept his own personal objectives limited to three or four major goals, which he tracked closely. He also encouraged the team to focus on what mattered most, saying “you can only do one big thing at a time really well.”

Making Tough Decisions

One of the most significant challenges was deciding which features to prioritize. For example, a popular feature request was a “repeated message” function that would allow teachers to remind students every week about upcoming assignments. However, after evaluating the potential impact, the team decided that this feature wouldn’t move the needle on user engagement, so they shelved it.

This ability to make tough decisions and stay focused on the most impactful features was key to Remind’s success. As Brett explains, OKRs gave them the discipline to focus on their top priorities and avoid spreading themselves too thin.

The Power of OKRs in a Growing Company

As Remind scaled, OKRs helped keep the team aligned and focused. With OKRs, everyone understood the company’s goals and could track progress transparently. This clarity removed ambiguity and helped the team prioritize efforts that would drive growth.

By the time Remind reached 60 employees, OKRs were firmly embedded in the company’s culture, helping guide decision-making and providing clarity on what needed to be done to take the company to the next level.

Key Takeaways:

  • Focus is Crucial: To succeed, organizations must focus on the most important goals and not get distracted by too many initiatives.
  • OKRs Drive Alignment: OKRs helped Remind stay aligned with its core mission and made it easier to track progress as the company grew.
  • Learning from Users: Listening to users is critical in shaping a product that truly meets their needs.
  • Making Tough Choices: Setting OKRs helps teams make tough decisions by forcing them to evaluate what will truly make an impact.

Chapter 6 – Commit: The Nuna Story

A Personal Story of Commitment

The story of Nuna, a health care data platform company, is deeply personal to Jini Kim, its cofounder and CEO. Motivated by a family tragedy involving her brother, Kimong, who had severe autism, Jini set out to make a difference in the healthcare system. The story of Nuna is one of perseverance and the commitment to a big vision: building a Medicaid data platform from scratch.

From Rejection to Determination

Jini’s journey began with personal challenges. Growing up, she saw firsthand the struggles her family faced when trying to navigate the healthcare system. At the age of nine, she had to help her parents apply for Medicaid, setting the stage for her future mission to transform healthcare.

After joining Google in 2004, Jini became familiar with OKRs (Objectives and Key Results) and realized their power in driving focus and commitment within teams. However, when she launched Nuna, the company’s first years were full of setbacks. Despite putting in significant effort, they failed to gain traction with their product. They couldn’t secure orders in their first year and only began to find success after a pivotal realization: they needed to better understand what their customers wanted.

Turning Point: Product-Market Fit

By 2012, Nuna achieved product-market fit, signing some major Fortune 500 clients. This success set the stage for a monumental shift. Jini and her team secured $30 million in funding, which allowed them to scale their operations. But the real breakthrough came when they won a contract to build the first-ever database for Medicaid, a project involving 74.5 million members across 50 states. This was an audacious goal, but it was one that Nuna was committed to achieving.

Implementing OKRs at Nuna

Nuna’s first attempt at implementing OKRs came in 2015, but it didn’t take off initially. With a small team, the process was difficult to execute. Many employees set OKRs, but many also ignored them. Jini quickly learned that for OKRs to work, leadership had to fully commit to them first. Without the leadership team’s buy-in and active participation, the OKR system would fail to take root.

By mid-2016, Nuna renewed its commitment to OKRs. Jini took personal responsibility for ensuring that every team member committed to the process. She proactively followed up with her team, sometimes texting or reaching out through Slack, to make sure OKRs were set and followed through. This visible commitment to the OKR process was crucial in shifting the company’s culture toward focus and accountability.

The Power of OKRs in Action

As Nuna scaled, OKRs helped the team stay focused on the most important tasks. For example, one of Jini’s personal OKRs was to continue building a world-class team, with key results such as recruiting 10 engineers and hiring a commercial sales leader. By consistently applying OKRs to both individual and company goals, Nuna was able to maintain momentum while also adapting to changing circumstances.

Nuna’s growth story exemplifies the importance of commitment to OKRs. As Jini explains, commitment isn’t just about setting goals; it’s about consistently following through and making those goals a reality. Her leadership in modeling this behavior, by setting her own OKRs and sharing them with the team, created a culture of accountability and dedication across the company.

The Impact of OKRs on Nuna’s Success

Nuna’s commitment to OKRs played a pivotal role in the company’s success, helping them navigate the complexities of scaling a business in the highly regulated healthcare industry. With OKRs, Nuna’s team was able to prioritize tasks, align efforts, and measure progress as they worked toward ambitious goals.

By 2017, Nuna had made a significant impact on the U.S. healthcare system, creating a secure, flexible platform to store health information for millions of Americans. Their journey was far from easy, but their commitment to their goals, and to the OKR process itself, ensured that they kept pushing forward, even in the face of setbacks.

Key Takeaways:

  • Commitment is Key: Commitment from leaders and contributors is essential for the success of OKRs. Leaders must model the behavior they expect from their teams.
  • OKRs Require Persistence: The OKR system takes time to implement effectively. Perseverance and a willingness to adapt are key to making it work.
  • Focus on What Matters: OKRs help organizations stay focused on the most important goals, ensuring that resources are allocated effectively.
  • Adaptation is Crucial: As companies grow, they must adapt their OKRs to fit their evolving needs and capabilities.

In the case of Nuna, OKRs provided the structure and clarity needed to achieve extraordinary goals and make a lasting impact on the healthcare system.

Chapter 7 – Superpower #2: Align and Connect for Teamwork

Transparency Drives Success

In today’s world, where social media makes transparency a default, most companies still operate behind closed doors when it comes to goals. The challenge many CEOs face is not knowing if their teams are working on the right things. Aaron Levie, the founder of Box, points out that too often, employees are working on goals that don’t align with the bigger picture. Publicly shared goals, on the other hand, lead to better outcomes. Research shows that when colleagues can see each other’s progress, they’re more motivated to achieve their own goals.

The Power of Public OKRs

In an OKR system, transparency becomes a superpower. By making goals public, everyone—from the lowest level to the CEO—has visibility into the company’s objectives. This openness removes silos, encourages collaboration, and brings merit to the forefront. When individuals and teams post their goals for all to see, there’s an automatic accountability factor. No one wants to fall short when everyone can see their progress.

For instance, if someone is struggling to meet a quarterly objective, colleagues can easily spot the need for help and offer support. This transparency transforms work relationships, making them more collaborative and supportive. It’s not just about helping others achieve their goals—it’s about building a culture where teamwork thrives through visibility and shared responsibility.

Avoiding Redundant Efforts

In large organizations, OKRs can help eliminate redundancy. Often, multiple teams may unknowingly be working on the same project. By making everyone’s objectives public, OKRs help expose these overlaps, saving time and resources.

Alignment Across the Organization

Alignment is key to turning vision into execution. A recent survey found that only 7% of employees fully understand their company’s strategy and how their role contributes to it. This misalignment can be a huge barrier to successful execution. Without alignment, teams often work in silos, with each group having a different understanding of the company’s goals and priorities.

The OKR system provides a solution by linking every individual’s work to team efforts and the organization’s mission. This process of alignment ensures that everyone knows not just what they are working on, but why it matters. It gives meaning to their work, making them feel connected to the broader purpose.

The Grand Cascade

Historically, businesses used a “cascade” approach to goal-setting, where objectives were passed down the hierarchy, from the CEO to department heads and then to individual contributors. While this method ensured everyone was aligned with the company’s top priorities, it also had its flaws. Cascading goals can slow down decision-making, create rigidity, and stifle innovation. In larger organizations, it can take months for goals to trickle down, leaving little room for flexibility or agility.

For example, in a football team, a general manager might set an overall goal of winning the Super Bowl, but by the time this goal is cascaded through the coaches and players, it can lose focus or become unclear. The problem is that this approach can lead to unclear, hard-to-measure key results, reducing the effectiveness of goal-setting.

Bottoms Up: Empowering the Team

The solution isn’t always top-down goal-setting. OKRs can be flexible enough to allow for both top-down and bottom-up goal creation. Rather than following a rigid cascade, some organizations allow teams to create their own OKRs based on the company’s overarching goals. This process encourages autonomy and empowers employees at all levels to take ownership of their objectives.

Google, for instance, allows engineers to work on side projects through its “20 percent time” policy, giving them freedom to pursue innovative ideas. This bottom-up approach has led to breakthrough products like Gmail. Encouraging contributions from all levels can be a game-changer, as those closest to the problem often have the best ideas.

Cross-Functional Collaboration

In today’s interconnected world, successful goal-setting also requires horizontal alignment—across teams and departments. OKRs help foster this cross-functional collaboration, ensuring that teams from different areas, such as marketing and engineering, are working together toward common goals. By making goals transparent, employees can see how their work intersects with others and collaborate more effectively.

The real value of OKRs comes when individuals and teams can link up across departments to solve complex problems. This interconnectedness speeds up decision-making, boosts innovation, and ultimately gives the organization a competitive edge. It turns siloed efforts into a unified push toward shared success.

A Balanced Approach to Goal-Setting

The ideal OKR system strikes a balance between alignment and autonomy. In times of urgency, where fast decision-making is crucial, a more directive approach may be necessary. However, when the company is in a strong position, a lighter touch allows for more innovation and creative freedom.

A healthy OKR system allows for a blend of top-down and bottom-up goals, giving people the freedom to set their own objectives while ensuring that they align with the company’s broader vision. When leaders and employees are aligned and empowered, they can achieve incredible results together.

Key Takeaways:

  • Transparency is Key: Openly sharing goals creates a culture of accountability and collaboration, driving higher performance.
  • Alignment Drives Success: Clear alignment between individual, team, and company objectives increases the likelihood of achieving high performance.
  • Flexibility in Goal-Setting: A mix of top-down and bottom-up goals fosters creativity while ensuring alignment with overall business objectives.
  • Cross-Functional Collaboration: OKRs promote collaboration across teams, breaking down silos and speeding up innovation.

Chapter 8 – Align: The MyFitnessPal Story

The Origins of MyFitnessPal

The story of MyFitnessPal began with a simple, personal need. Mike Lee and his wife Amy were planning their wedding and wanted to lose some weight. A fitness trainer gave them a list of nutritional values for 3,000 foods and a pad of paper to track their calories. As a lifelong programmer, Mike knew there had to be a better way. This realization led to the creation of MyFitnessPal—a tool to track food intake and exercise, simplifying what was once a tedious process.

In the early days, Mike and his brother Albert self-funded the project, using their savings and credit cards. It wasn’t until 2013, when Kleiner Perkins invested in MyFitnessPal, that the company really took off. By then, the app had 45 million registered users, a number that would eventually grow to over 120 million. MyFitnessPal has since helped people track their fitness progress, lose weight, and make healthier lifestyle choices.

The Challenge of Alignment

As MyFitnessPal scaled, the company faced challenges in alignment—ensuring everyone in the organization was working toward the same goals. This became especially important after the company was acquired by Under Armour for $475 million. The merger brought together MyFitnessPal’s digital health platform with Under Armour’s well-established brand, creating new opportunities but also requiring stronger alignment between teams.

In the early days, Mike and Albert worked closely together, and alignment wasn’t much of an issue. They had one clear objective at a time, and their small team focused on completing those objectives. But as the company grew, that simple approach no longer worked. New departments were formed, and more teams came on board. The need for clear alignment became urgent. MyFitnessPal, now part of Under Armour, would have to manage a more complex web of relationships and dependencies between teams.

The Early Struggles with OKRs

When MyFitnessPal first tried to implement OKRs in 2013, it wasn’t as smooth as expected. The company had no shortage of ideas for objectives, but aligning them across departments was challenging. In the early stages, some departments didn’t have clear connections to the broader goals, leading to confusion about what was most important.

For example, different product managers were working on separate projects, but the shared engineering team often wasn’t aligned with their objectives. The engineers had their own goals focused on infrastructure, while product managers had their goals for user-facing features. This misalignment led to inefficiencies, as engineers had to switch between projects without a clear sense of priority, causing delays and frustration.

Learning from Mistakes

Through trial and error, MyFitnessPal learned the importance of clearer goal setting and alignment. They began holding quarterly integration meetings for the leadership team, where department heads would present their goals and identify dependencies between teams. This process helped make everyone’s priorities visible and ensured that all departments were aligned in their efforts.

They also learned the importance of having distinct ownership of objectives. Co-ownership of goals weakened accountability, so they made sure each OKR had a single owner. This clarity helped prevent blame from being shifted between teams and kept everyone focused on their individual responsibilities.

Focus on Customer Alignment

As MyFitnessPal continued to grow, the company made sure that every decision aligned with its overarching mission: to help people lead healthier lives. This commitment to customer success guided their OKRs and decision-making processes. For example, when facing a trade-off between a business goal and a customer-oriented goal, MyFitnessPal always chose to prioritize the customer.

Their vision was clear: every feature and partnership had to contribute to the ultimate goal of helping users achieve their fitness goals. This focus on alignment with their mission ensured that MyFitnessPal’s growth remained true to its core purpose.

The Role of OKRs in Scaling

As MyFitnessPal expanded, OKRs became a crucial tool for scaling the company. They helped the team stay focused on their top priorities, even as new opportunities and challenges arose. By setting clear objectives and measurable key results, they ensured that everyone in the company, from the engineers to the marketing team, was aligned and working toward the same goals.

Even as the company scaled under the umbrella of Under Armour, MyFitnessPal continued to use OKRs to maintain alignment. They published their objectives on a company wiki, which was accessible to everyone, and discussed them regularly at all-hands meetings. This transparency helped foster a culture of accountability and ensured that everyone understood their role in achieving the company’s mission.

The Importance of Alignment with the North Star

As MyFitnessPal grew, the company faced new challenges, including the need to align with Under Armour’s larger business goals. However, even as they worked to meet the demands of their new parent company, MyFitnessPal stayed true to its North Star—the mission to help people succeed in their health and fitness goals. This alignment kept them focused on what really mattered and helped them navigate the complexities of a larger organization.

By maintaining a clear sense of purpose and aligning their OKRs with both their own values and those of Under Armour, MyFitnessPal was able to achieve significant milestones, such as the successful launch of their Premium subscription version.

Key Takeaways:

  • Clear Alignment is Crucial: As organizations grow, ensuring that all teams are working toward the same objectives is vital for success.
  • Ownership and Accountability: Assigning clear ownership for each OKR and avoiding co-ownership helps ensure accountability.
  • Customer-Centric Alignment: Every decision should align with the company’s mission and customer needs, especially when faced with trade-offs.
  • Transparency and Communication: Regular communication about OKRs, along with transparent sharing of objectives, helps keep the whole company aligned and focused.

Chapter 9 – Connect: The Intuit Story

Intuit’s History and Cultural Shift

Intuit, a company that has become synonymous with finance software through products like TurboTax, QuickBooks, and Quicken, has adapted and thrived by embracing continual disruption. Originally focused on desktop products, Intuit evolved by embracing the cloud and open platforms. Its success is largely attributed to its ability to adapt quickly, change course when necessary, and stay ahead of competitors. Intuit’s culture of transparency and collaboration was shaped by co-founder Scott Cook and later reinforced by the leadership of “Coach” Bill Campbell, who fostered open communication across the company.

The Need for Connection

When Atticus Tysen joined Intuit’s IT department in 2013 as CIO, the company was going through a significant transition. It was pivoting from desktop software to cloud-based solutions and moving toward a more integrated platform. IT was at the heart of this shift, tasked with supporting the business’s growing demands while investing in future technologies.

But as the company scaled, the need for greater alignment and connection became evident. Intuit had accumulated a complex web of technologies and processes, which made coordination between departments increasingly difficult. This disconnect often led to confusion about what projects were the most important and how teams could work together effectively.

The Role of OKRs in Building Connections

To address these challenges, Atticus introduced OKRs (Objectives and Key Results) to the IT department. Initially, he implemented OKRs at the leadership level, then expanded them to all IT employees. This transparency was essential for fostering better collaboration between teams and ensuring everyone was aligned with the company’s overarching goals. By making OKRs visible to everyone, the company created a cohesive environment where employees could see how their work fit into the bigger picture.

As Intuit’s IT department grew, the visibility of OKRs played a crucial role in driving engagement. Employees began to understand how their individual goals connected to the company’s larger mission. This connection not only motivated employees but also increased their accountability, as they could see how their efforts contributed to the company’s success.

Overcoming Silos and Fostering Horizontal Collaboration

One of the key benefits of OKRs was how they helped Intuit break down silos within the organization. By making goals transparent and encouraging collaboration, teams across departments could work together more effectively. For example, teams in e-commerce and billing, once working separately, began aligning their goals and collaborating directly. This horizontal connection helped eliminate redundant efforts and streamlined processes.

The introduction of OKRs also empowered employees to make decisions and contribute insights, reducing the reliance on senior managers for direction. This shift toward autonomy, combined with clear alignment with company objectives, helped Intuit become more agile and responsive to changing demands.

Real-Time Data and Global Collaboration

As Intuit transitioned to cloud-based solutions, the need for real-time data became more pressing. Teams needed up-to-date information to make informed decisions and track progress against their OKRs. Intuit’s IT department focused on modernizing its data infrastructure, ensuring that employees at all levels had access to the information they needed to drive performance. With OKRs guiding their efforts, teams were able to collaborate in real-time, making adjustments to their work as necessary to stay on track.

In addition to fostering collaboration within the company, OKRs helped Intuit adapt to its growing global presence. Employees in different regions, such as Bangalore, India, could see how their work aligned with the company’s top-level objectives, making it easier to collaborate across time zones and geographical boundaries. OKRs broke down the barriers that once hindered global teamwork and allowed Intuit to operate more cohesively.

Lessons Learned and Future Plans

Intuit’s journey with OKRs is ongoing. The company has learned the importance of clear, transparent goal-setting and the need to continuously adapt its OKRs to meet evolving business needs. Atticus Tysen emphasizes the importance of focusing on a few key results and making sure that each team’s objectives are distinct and achievable. Intuit also recognizes that, as the company scales, maintaining alignment will become more challenging, but OKRs provide a solid framework for tackling these challenges head-on.

Intuit’s experience shows how OKRs can transform an organization, from improving internal alignment to fostering better collaboration across teams. By focusing on clear objectives and making them visible to all, Intuit has created a culture of transparency and accountability that supports its ongoing success.

Key Takeaways:

  • Transparency and Alignment: Making OKRs visible throughout the company helps align teams and ensures everyone is working toward the same goals.
  • Breaking Down Silos: OKRs encourage horizontal collaboration and eliminate redundant efforts by fostering communication across departments.
  • Real-Time Data for Better Decision-Making: Cloud-based solutions and real-time data are essential for tracking OKRs and making informed decisions.
  • Empowering Employees: By giving employees access to the company’s goals and the data they need to succeed, OKRs empower teams to make decisions and contribute more effectively.

Chapter 10 – Superpower #3: Track for Accountability

The Power of Tracking

One of the most valuable aspects of OKRs is their ability to be tracked. Unlike traditional goals that are set and forgotten, OKRs are dynamic—they can be monitored, revised, and adapted as circumstances change. This flexibility ensures that teams stay on track and make adjustments before it’s too late. OKRs are not just a process; they’re living goals that require ongoing attention and real-time updates to be effective.

The Setup: Getting Organized

For OKRs to be successful, they need the right infrastructure. This means moving away from disorganized systems like spreadsheets or word documents, which quickly become overwhelming and ineffective as a company grows. Many companies face challenges when scaling their goal-setting processes, such as the example of a Fortune 500 company using 82,000 word files for goals—there’s no visibility or connection there.

To overcome this, companies need a robust, cloud-based OKR management platform. These platforms provide a dashboard to easily create, track, edit, and score OKRs, offering real-time insights and integrations with tools like Salesforce and JIRA. They make goals visible across the organization, driving engagement and promoting internal networking. Most importantly, they help employees stay focused on the right objectives, providing a clear connection between their work and the company’s mission.

The Importance of Real-Time Tracking

The key to successful OKRs is frequent tracking and adjustment. Traditional goal-setting methods often fail because goals are revisited too late, typically at the end of the quarter or year. By then, progress may be too far off-track to fix. OKRs, however, benefit from regular check-ins—preferably weekly—to track progress and make adjustments.

Tracking progress isn’t just about checking boxes. It’s about being able to visualize the journey toward the goal. This visibility is motivating, as it shows tangible progress and keeps employees engaged. People are more motivated when they see that they are moving forward in their work, and OKRs make that progress visible in real time.

The Role of OKR Shepherds

A critical part of maintaining an effective OKR system is having OKR shepherds—individuals who oversee the process and ensure that everyone is engaged. At Google, Jonathan Rosenberg served this role in the products department, reminding employees of deadlines and ensuring that OKRs were on track. The role of the OKR shepherd is to ensure that the system is being followed, encourage compliance, and intervene when necessary.

Even with the best systems in place, some employees may resist adopting OKRs. The role of the shepherd is to address this resistance, making sure that everyone participates and sees the value in the system.

Tracking Progress: The Importance of Check-ins

Tracking OKRs isn’t just about monitoring numbers; it’s about continuous reflection. As teams progress through their OKRs, they should be regularly checking in, discussing obstacles, and adjusting key results as needed. This practice not only ensures that the team stays aligned with their objectives but also allows them to refine their strategies as they go along.

At Google, for example, team check-ins occur frequently, with some teams meeting monthly to review OKRs. The frequency of these check-ins varies based on the size of the team, their goals, and the urgency of the objectives.

The Flexibility of OKRs: Adapt and Update

OKRs are designed to be flexible, allowing teams to adapt as circumstances change. If a key result is off track, it can be updated—whether by modifying the timeline or re-prioritizing resources. Similarly, new OKRs can be launched mid-cycle to address emerging needs, or outdated objectives can be dropped altogether. This flexibility ensures that OKRs remain relevant and valuable throughout the cycle.

The system’s adaptability is what sets OKRs apart from traditional goal-setting methods. When a goal no longer serves its purpose, it can be discarded. Conversely, when an objective needs more focus, it can be prioritized and revisited.

Post-OKR Reflection: The Wrap-Up

At the end of each OKR cycle, it’s essential to reflect on the progress made. This involves scoring the OKRs based on how well key results were achieved and conducting a self-assessment to identify what went well and what could be improved. These reflections help teams learn from their experiences and apply those lessons in future OKR cycles.

A key part of this process is determining what worked and what didn’t. For instance, if a goal was set too high and the results were poor, it might be necessary to reassess the approach or the resources allocated to that goal. Conversely, if a goal was too easily achieved, it might signal that the objectives were too conservative and need to be more ambitious in the future.

Key Takeaways:

  • Real-Time Tracking: Regular check-ins and progress updates are critical to ensuring that OKRs stay on track and that teams can adjust as needed.
  • OKR Shepherds: Leaders or OKR champions play a crucial role in ensuring that the system is followed and that everyone stays engaged.
  • Adaptability: OKRs are not set in stone. They can be updated, launched mid-cycle, or even dropped entirely if they no longer serve the organization’s needs.
  • Reflection and Learning: After each OKR cycle, reflection helps teams learn from successes and failures, improving goal-setting for the next cycle.

Chapter 11 – Track: The Gates Foundation Story

The Gates Foundation’s Mission

In 2000, the Bill & Melinda Gates Foundation embarked on one of the most ambitious missions in history: to ensure that every person on the planet has a healthy and productive life. As a newly formed $20 billion startup, the foundation needed a clear way to track its progress and make data-driven decisions. Bill Gates, still deeply involved with Microsoft, realized the importance of setting concrete, measurable goals for the foundation’s efforts. This is where the OKR system came into play.

The Challenge of Massive Goals

The foundation’s grand mission demanded that it think big, but also track progress on the smallest of scales. Bill Gates recognized that simply having a lofty vision wasn’t enough. He needed a system that could break down large, global goals into actionable steps with measurable results.

Patty Stonesifer, the foundation’s CEO, was introduced to OKRs after hearing a pitch from John Doerr at an Amazon board meeting. This system helped the foundation break down enormous challenges like eradicating malaria or providing vaccines to every child on the planet. With OKRs, they could define specific, measurable key results that allowed them to evaluate their efforts and adjust as needed.

OKRs in Action

The Gates Foundation used OKRs to track their global health initiatives. For example, to measure progress on health initiatives like micronutrient distribution or fighting river blindness, they used the global health metric Disability-Adjusted Life Years (DALY). DALY gave them a tangible way to assess the impact of their investments in health and identify which initiatives would lead to the greatest improvements in life expectancy and quality.

As the foundation expanded its work, particularly in vaccines, they realized the importance of refining their key results over time. While their broader mission was to reduce diseases, their key results—such as achieving 80% coverage of vaccines in certain districts—helped them ensure they were staying on track. This process of measuring progress allowed them to stay focused on the most impactful actions.

From Vision to Reality

Bill Gates talks about the critical role of setting concrete objectives. He learned from his experience at Microsoft that while ambitious goals are important, they need to be grounded in practicality. For instance, early efforts to eradicate malaria were overly optimistic, and as Gates admits, goals that are too aspirational can damage credibility. The Gates Foundation had to adjust its approach, moving from general objectives to specific, actionable goals that could be measured over time.

This shift to clearer, measurable objectives was pivotal in the foundation’s success. Gates emphasizes that having a good mission is important, but turning that mission into concrete objectives with well-defined key results is what drives real progress.

The Malaria Campaign

One of the foundation’s most significant projects was its ongoing fight against malaria, one of the world’s deadliest diseases. In 2016, the foundation teamed up with the British government for a five-year, $4.3 billion campaign to eradicate malaria. The global eradication of malaria by 2040 became their key objective, with key results tied to radical cures, scaling up tools like diagnostic tests, and sustaining global progress.

This goal is ambitious, but by breaking it down into smaller, measurable key results, the foundation is able to track its progress, adjust as needed, and stay on course. The team tracks everything from the development of new vaccines to the environmental conditions needed to eradicate malaria in endemic regions.

Lessons Learned and the Role of Data

Patty Stonesifer highlights that while OKRs allowed the Gates Foundation to be both ambitious and disciplined, they also revealed areas where data wasn’t perfect. In one instance, they focused on improving seed production for yams, only to find that the seeds took too long to cook and weren’t widely used. This experience taught the foundation the importance of being adaptable—sometimes, the data guiding their decisions needed to change as new information came to light.

Key Takeaways:

  • Ambition and Discipline: The Gates Foundation’s use of OKRs allowed them to set ambitious goals while remaining disciplined in their approach.
  • Measuring Impact: Using specific metrics like DALY helped the foundation measure the impact of its global health initiatives.
  • Adjusting Goals: As new information or challenges arose, the foundation was able to adjust its OKRs, ensuring their goals remained relevant and achievable.
  • Tracking What Matters: By focusing on key results that directly contributed to their mission, the foundation could track progress and make real-time adjustments to improve outcomes.

Chapter 12 – Superpower #4: Stretch for Amazing

The Risk of Not Stretching

One of the most important lessons for organizations looking to innovate and thrive is the importance of stretch goals. Stretch goals push teams and individuals far beyond their comfort zones, demanding more creativity and effort. These goals drive innovation and can lead to revolutionary changes in business models and product development. As Bill Campbell, the renowned coach of Silicon Valley, famously said, “If companies don’t continue to innovate, they’re going to die.” This mindset helps companies embrace risk and move toward their biggest, most audacious goals.

Big Hairy Audacious Goals (BHAGs)

The chapter introduces the concept of Big Hairy Audacious Goals (BHAGs), as coined by Jim Collins in Good to Great. BHAGs are massive, daunting objectives that rally teams around a singular, compelling cause. Think of the moon mission of the 1960s, which brought together NASA’s best minds and captured the imagination of the world. These goals create a sense of urgency and purpose, making everyone involved feel connected to something much larger than themselves.

The Power of Challenge in Goal-Setting

Edwin Locke’s research on goal-setting provides key insights into why difficult goals lead to higher levels of achievement. Locke found that the harder the goal, the higher the performance. Even when ambitious goals are not fully achieved, they result in more progress than easier goals. Employees working towards difficult goals are more engaged and motivated, and they discover new ways of tackling problems that they wouldn’t have explored otherwise.

Stretch Goals at Google

Google is the perfect example of a company that uses stretch goals to fuel innovation. Larry Page has famously championed the idea of thinking 10x—that is, aiming for goals that are ten times greater than current standards, rather than just incremental improvements. Google’s Gmail, for instance, was a game-changer in web-based email storage, offering a staggering 1GB of storage, while competitors only provided 2-4MB. This 10x thinking transformed the market and forced competitors to rethink their offerings.

At Google, stretch goals are divided into committed and aspirational goals. Committed goals are concrete objectives with clear, measurable results, like product releases or sales targets. These are expected to be achieved in full. On the other hand, aspirational goals are high-risk, visionary targets aimed at revolutionizing an industry. They are challenging, and failure is expected in some cases, but the rewards of attempting these bold goals are immense. Google’s culture thrives on pushing boundaries, with a 40% failure rate being seen as a normal part of pursuing bold goals.

Intel’s Experience with Stretch Goals

Intel’s success can also be attributed to stretch goals, especially in the Operation Crush campaign, where the company set an audacious goal of achieving 2,000 design wins in a single year. Initially, this seemed unachievable, but it became a powerful rallying point for the entire sales team. In the end, Intel exceeded its goal, securing 2,300 design wins. This story underscores the importance of setting difficult goals that may initially seem out of reach. Stretch goals not only motivate employees but can also bring out their best performance.

Stretch Goals and Motivation

Andy Grove, the former CEO of Intel, believed that setting ambitious, challenging goals was essential for peak performance. He recognized that while some employees are naturally driven to achieve their personal best, others need that extra push. Stretch goals, when applied correctly, bring out the best in people by creating a clear and compelling challenge.

The Gospel of 10x

Larry Page’s philosophy of 10x thinking is a cornerstone of Google’s success. It’s the idea that instead of striving for small, incremental improvements, teams should focus on achieving breakthroughs that are orders of magnitude larger. This mindset encourages bold thinking and drives technological advancements that reshape entire industries. For example, Gmail’s 1GB storage goal wasn’t just a slight improvement; it was a complete overhaul of what people expected from email services.

The Importance of Balance

While stretch goals are essential for innovation, the chapter stresses the importance of balance. Teams must not be pushed too far too quickly, as this can lead to burnout and disengagement. The key is to set challenging goals that stretch the limits of what’s possible while maintaining the support, resources, and commitment needed to achieve them. Leaders must communicate the importance of the goal and inspire confidence that it’s achievable, even if it seems impossible.

The Stretch Goal Framework

Stretch goals work best when they are coupled with focus. This means not just setting ambitious objectives but ensuring that all efforts are aligned to achieve them. Google’s culture of transparency and collaboration plays a critical role in ensuring that these high-risk, high-reward goals are not only set but also supported by everyone in the organization.

Key Takeaways:

  • Stretch goals drive innovation by pushing teams beyond their comfort zones and encouraging bold thinking.
  • BHAGs serve as powerful unifying objectives that capture the imagination and focus efforts.
  • 10x thinking challenges teams to aim for breakthroughs rather than incremental improvements, leading to transformative changes.
  • Balance is key—while stretch goals are important, they must be accompanied by the right level of support, focus, and resources to ensure success.

Chapter 13 – Stretch: The Google Chrome Story

Starting from Scratch

In 2008, Sundar Pichai, who was then the Vice President of Product Development at Google, and his team embarked on the ambitious task of developing a new browser, Chrome. They were driven by the idea that the traditional web browsers at the time weren’t fast or secure enough for the evolving needs of internet users. Their challenge was to build something revolutionary, and they knew it would be a stretch goal that might fail. As Astro Teller of Google X put it, when aiming for something audacious, like creating a car that runs 500 miles on one gallon of gas, you have to completely start over. This was the mindset that fueled Chrome’s development.

Setting the 20 Million Active Users Goal

Google set a stretch OKR for Chrome: to reach 20 million seven-day active users by the end of the year. This was a massive target, considering that they were starting from scratch. The Chrome team knew it was an ambitious goal, but it was precisely this challenge that would drive them to innovate and push boundaries. They weren’t just aiming to build a browser; they were aiming to fundamentally change the way people interacted with the web.

Sundar recalls how Larry Page wanted the team to be “uncomfortably excited” about their goals, encouraging them to aim higher, with a “healthy disregard for the impossible.” This philosophy of aiming for the seemingly unattainable was a core principle at Google.

Obstacles and Early Struggles

Despite the team’s ambition, things didn’t go smoothly in the early days. The rollout of Chrome faced several setbacks, including delayed releases and challenges in gaining market traction. At one point, Chrome’s market share hovered around just 3 percent, and the Mac version of the browser was far behind schedule. They faced resistance from users who were hesitant to switch to a new browser.

However, despite these struggles, Chrome’s unique features, such as its speed and security, began to attract a dedicated group of users. Chrome’s performance, especially its faster rendering of JavaScript, started to stand out. By setting a stretch OKR, the team kept pushing forward, even when progress seemed slow.

The Power of Stretch OKRs

One of the key insights from Sundar’s experience was the importance of stretch OKRs in pushing teams to perform at their best. At Google, it was understood that achieving 70 percent of a stretch OKR was considered a success. Stretch OKRs weren’t meant to be fully achieved—they were meant to drive innovation and push the limits of what was possible.

Sundar’s approach to leadership was centered around creating a culture of optimism, even in the face of failure. When the team didn’t reach their goal of 20 million users in the first year, Sundar communicated to them, “We didn’t hit the goal, but we’re laying the foundation to break through this barrier.” This perspective helped the team stay motivated and focused on learning from their setbacks, rather than being discouraged by them.

The Breakthrough Moment

As Chrome’s market share grew, the team decided to aim even higher. In 2009, they set a stretch OKR of 50 million active users, which they ultimately failed to reach. However, they didn’t give up; instead, they adjusted their strategy and set an even bolder goal for 2010: 111 million active users. This goal pushed them to think creatively about new distribution channels and marketing strategies.

One of the key breakthroughs came when they launched a marketing campaign that included the famous “Dear Sophie” TV ad. This campaign helped drive Chrome’s user base, pushing it closer to the 111 million target. By the end of the year, they had not only reached their goal but surpassed it, achieving 111 million active users.

Thinking Bigger: Beyond Chrome

Sundar’s work on Chrome exemplified the stretch goal philosophy that drives Google’s culture. Even as Chrome became a massive success, the team was always thinking about the next frontier. The idea of building Chromebooks—laptops designed to work primarily with cloud applications—was born out of the same mindset that led to Chrome. Sundar and his team were always looking for the next big challenge, aiming to push the boundaries of what was possible.

The Role of Stretch OKRs in Innovation

Sundar emphasizes that the true power of stretch OKRs lies in their ability to foster innovation and encourage teams to tackle the impossible. Stretch goals push people to think differently, try new approaches, and ultimately break through barriers that seemed insurmountable. Even if a team doesn’t hit the target exactly, the pursuit of these goals can lead to groundbreaking innovations and remarkable results.

Key Takeaways:

  • Stretch OKRs drive innovation by encouraging teams to think beyond their current limits and aim for the extraordinary.
  • Ambitious goals push teams to innovate and approach challenges with creativity and determination.
  • Failure is part of the process: Not hitting a stretch goal isn’t a failure—it’s an opportunity to learn and recalibrate.
  • Push for the impossible: By setting stretch goals, companies can achieve breakthroughs that seem unthinkable at the outset.

Chapter 14 – Stretch: The YouTube Story

The Beginning of YouTube’s Stretch Goal

Susan Wojcicki, CEO of YouTube, reflects on the evolution of the platform, which went from a nascent idea to a cultural juggernaut. By 2012, YouTube had become a dominant force in online video, but its pace of growth was slowing down. As CEO in 2014, Susan inherited a challenging but exciting goal: to achieve one billion hours of watch time per day by 2016, a goal that would represent a 10x increase in usage.

This stretch goal was ambitious, but Susan believed it was achievable with the right focus and dedication. She, alongside Cristos Goodrow, VP of Engineering, would lead YouTube in this high-risk, high-reward mission. The process would rely heavily on the OKR system to maintain focus, track progress, and ensure that the team remained aligned with their objective.

YouTube’s Vision and Strategic Shift

Susan’s leadership was instrumental in reimagining YouTube’s approach. Initially, YouTube had focused on increasing video views and monetizing the platform. However, by the time Susan took over, the team recognized that watch time—the total time users spend watching videos—was a more meaningful metric. This shift in perspective was crucial to aligning efforts across the company.

To achieve this ambitious goal, YouTube needed to reimagine its infrastructure, recommendation algorithms, and video content offerings. Crucially, the team also had to find ways to keep users engaged longer, ensuring that the content they watched was not only entertaining but valuable to them. As Susan notes, their focus was to build a product that people would enjoy spending more time with, which would naturally lead to increased watch time.

The Big Stretch: One Billion Hours per Day

In 2012, YouTube set the goal to reach one billion hours of daily watch time. To achieve this, they needed to overhaul their approach to video recommendations and increase engagement across all user segments. The stretch OKR was more than just a number—it was a symbol of YouTube’s commitment to becoming a platform that people would use extensively every day.

The process of setting the one billion hours goal was not easy. At first, many at YouTube doubted its achievability. However, the team embraced the stretch mentality, knowing that reaching for a target far beyond their current capabilities would push them to innovate and think outside the box. With an objective this large, everyone at YouTube needed to come together, with clear OKRs driving alignment across teams.

The Importance of Focus and Metrics

To guide progress, the YouTube leadership team set out several key results, focusing on critical areas like video search improvements, recommendations, and user engagement across various platforms. The key results weren’t just about increasing watch time—they were about improving the user experience and making YouTube more enjoyable and accessible.

As Cristos Goodrow, who helped lead the engineering team, notes, it wasn’t just about pushing for more hours of video consumption. It was about creating a virtuous circle: as YouTube improved, users would find more content they liked, which would encourage them to spend even more time on the platform.

Dealing with Challenges

Along the way, YouTube faced several challenges. For example, the company had to handle massive infrastructure demands to support the increasing volume of content and data. The engineering team worked tirelessly to improve the backend, ensuring that the platform could handle the exponential growth.

Another challenge was balancing the quality of content with the goal of increasing watch time. The team made tough decisions about content moderation, opting to eliminate certain sensationalist or misleading content. This choice initially resulted in a slight decrease in watch time, but ultimately, it was a decision that improved the overall user experience, leading to higher engagement in the long run.

Celebrating Success

By 2016, YouTube had achieved its one billion hours goal ahead of schedule. The achievement marked a monumental success for the platform, demonstrating the power of stretch OKRs in driving innovation and growth. The goal was not just a metric—it was a rallying point for the entire company, energizing the team and inspiring them to push even further.

Susan’s leadership, combined with the commitment of the YouTube team, showed how a stretch goal could unite a company, align its efforts, and create a sense of purpose. By setting a massive, audacious goal and focusing on key results that drove meaningful change, YouTube was able to reach unprecedented heights in user engagement.

Key Takeaways:

  • Stretch goals push organizations to innovate and challenge the status quo. YouTube’s billion-hour target was a catalyst for transformational changes.
  • Aligning with a meaningful metric (like watch time) can shift a company’s focus from quantity to quality, leading to better results in the long term.
  • Strategic decisions, like content moderation, may have short-term setbacks but ultimately lead to a more sustainable and satisfying user experience.
  • OKRs help maintain focus on ambitious objectives, driving progress and accountability across the organization.

Chapter 15 – Continuous Performance Management: OKRs and CFRs

The Problem with Annual Performance Reviews

The chapter begins by addressing the shortcomings of traditional annual performance reviews. These reviews are often time-consuming, biased, and ineffective at driving meaningful business outcomes. They are based on outdated methods like stack rankings and bell curves, and they rarely provide valuable feedback in real time. This leads to a system where employees and managers are disconnected, with performance not properly aligned to organizational goals.

The Shift to Continuous Performance Management

To address these issues, the chapter introduces Continuous Performance Management—a new approach to performance evaluations. This system is based on three key elements: Conversations, Feedback, and Recognition (CFRs). Unlike annual reviews, CFRs are ongoing, real-time processes that foster collaboration, transparency, and continuous growth. CFRs work synergistically with OKRs to ensure that employees are constantly aligned with the organization’s goals and can receive timely feedback to improve their performance.

  • Conversations involve regular, in-depth dialogues between managers and employees. These are more than just check-ins—they are opportunities for mutual coaching, reflection, and alignment.
  • Feedback is bidirectional and continuous, involving regular communication from peers, managers, and even external stakeholders. This feedback helps employees understand how they’re performing and where they need to improve.
  • Recognition emphasizes acknowledging employee contributions in real time. Recognition motivates employees and fosters a culture of appreciation, which can significantly boost engagement and performance.

The Benefits of CFRs

CFRs provide several benefits that traditional performance reviews cannot match:

  • They create a culture of transparency and accountability, where goals and progress are clearly communicated and regularly evaluated.
  • They support empowerment by giving employees the autonomy to seek feedback and recognition from all levels of the organization.
  • CFRs foster a team-oriented environment, promoting collaboration and the sharing of ideas between employees, rather than just a top-down, hierarchical structure.

Doug Dennerline, CEO of BetterWorks, highlights the importance of pairing OKRs with CFRs. While OKRs provide the “what” by defining clear, measurable goals, CFRs give the “how” by facilitating the conversations, feedback, and recognition needed to achieve these goals.

Why Traditional Reviews Aren’t Enough

The chapter explains that traditional performance reviews are often disconnected from real-time goals, leading to missed opportunities for development and growth. Since these reviews are usually held once a year, they fail to address issues as they arise, which can create disengagement and frustration among employees. Moreover, tying compensation and rewards to annual reviews can incentivize employees to focus solely on achieving set targets rather than on improving their skills or contributing to the company’s larger mission.

The Transition to a New Model

Many organizations are moving away from the old review system in favor of continuous performance management, where conversations and feedback are ongoing. This shift is especially evident in start-ups and companies in the tech industry, but even large corporations are adopting elements of this approach. Companies that implement CFRs are better positioned to quickly address issues and make continuous improvements.

The Role of CFRs in Scaling OKRs

CFRs and OKRs work hand-in-hand to create a high-performance culture. While OKRs provide clarity on what needs to be accomplished, CFRs ensure that the right behaviors are being nurtured to support those goals. The chapter emphasizes that frequent touchpoints—whether through one-on-one meetings, quarterly reviews, or peer feedback—are essential to maintaining alignment and momentum toward achieving goals.

The Impact of Recognition

One of the most powerful tools in the CFR system is recognition. Recognizing employee achievements, whether big or small, has a profound impact on motivation and performance. The chapter shares examples from companies like JetBlue and Zume Pizza, where peer-to-peer recognition systems have drastically improved engagement and employee satisfaction.

Practical Application: Pact’s Performance System

Pact, a Washington-based international nonprofit, serves as a case study in the chapter. The organization replaced its annual performance review system with a more frequent and dynamic process called Propel. This system includes:

  1. Monthly one-on-one conversations to discuss progress.
  2. Quarterly OKR reviews to assess progress on specific goals.
  3. Semiannual professional development conversations to support career growth.
  4. Ongoing self-driven feedback, encouraging employees to seek specific input after presentations or meetings.

By integrating continuous feedback and regular check-ins, Pact was able to foster a culture of continuous improvement and increase engagement across the organization.

Severing Compensation from Performance Reviews

The chapter also advises companies to separate compensation decisions from performance reviews and OKRs. By doing so, employees are less likely to “sandbag” or underachieve to set lower expectations and boost their chances of a bonus. It encourages a more open dialogue around goals and growth, without the looming pressure of compensation decisions tied directly to those conversations.

Key Takeaways:

  • Continuous performance management is more effective than annual reviews, offering ongoing feedback, recognition, and coaching.
  • CFRs (Conversations, Feedback, and Recognition) are essential tools for fostering a culture of accountability, collaboration, and growth.
  • OKRs and CFRs work together, with OKRs providing the “what” and CFRs providing the “how” to achieve those objectives.
  • Severing compensation from performance reviews creates a healthier work environment and encourages genuine growth and improvement.

Chapter 16 – Ditching Annual Performance Reviews: The Adobe Story

The Problem with Traditional Performance Reviews

For years, Adobe used the standard practice of annual performance reviews, a system that consumed significant time and energy—around 80,000 manager hours annually—and often led to dissatisfaction among employees. The reviews, which were tied to ratings and rankings, caused morale to plummet and resulted in higher voluntary attrition every year. Employees were disillusioned with a process that felt disconnected from their actual contributions and, ultimately, failed to inspire or motivate.

The Turning Point

In 2012, Donna Morris, Adobe’s Executive Vice President for Customer and Employee Experience, encountered a reporter during a business trip to India and openly expressed her frustration with the outdated performance management system. She suggested the radical idea of abolishing annual performance reviews in favor of a continuous feedback system that would encourage more frequent, forward-facing feedback. This conversation sparked a company-wide discussion that led to a shift in how Adobe would handle employee performance moving forward.

The Creation of “Check-in”

The new system, dubbed Check-in, was introduced as a more agile and flexible alternative to the rigid, annual performance review. Check-in focuses on three key elements:

  • Goals and expectations (similar to OKRs)
  • Regular feedback
  • Career development and growth

Unlike the traditional system, Check-in emphasized conversations between managers and employees, held quarterly and decoupled from compensation discussions. Adobe made these sessions lightweight, flexible, and transparent, with no extensive paperwork or tracking required. The goal was to create an environment where feedback and career growth could occur organically and continuously, rather than through one isolated event at the end of the year.

The Impact of Check-in on Adobe’s Culture

After implementing Check-in in 2012, Adobe saw a sharp drop in voluntary attrition. Employees were more engaged, as the process allowed for frequent and specific feedback, helping them stay on track throughout the year. Check-in moved away from forced rankings and stacking employees against each other. Instead, managers had the discretion to reward employees based on their individual performance, their impact on the business, and the market value of their skills.

Check-in also empowered employees to actively participate in their development by regularly checking in with their managers about their progress and future goals. This system eliminated the “end-of-year grading” mentality, replacing it with a culture of continuous improvement.

The Role of Managers in the New System

Managers at Adobe became much more proactive under the Check-in system. They were trained to lead with frequent feedback and help employees grow their careers. Rather than merely overseeing performance reviews, managers were now encouraged to be coaches, fostering a more open dialogue about expectations, development needs, and personal goals.

Training was also critical to the success of Check-in. Adobe introduced web-based training sessions, where leaders and employees could learn how to give and receive constructive feedback. This not only helped managers to effectively communicate expectations but also allowed employees to develop their skills in providing feedback to their managers, peers, and direct reports.

Improved Feedback Loop and Engagement

By implementing Check-in, Adobe moved away from the outdated practice of annual reviews that led to a final grading of employee performance. Employees now had a clear understanding of where they stood, with specific feedback provided regularly, and knew exactly how they could improve. This shift from annual reviews to continuous performance management turned performance feedback into an ongoing, actionable conversation.

Managers also adopted the practice of giving feedback every six weeks, which allowed employees to take immediate action based on the feedback they received. This regular cadence helped ensure employees remained motivated, aligned with company goals, and had a clear vision of how to grow within Adobe.

Adobe’s Transformation and Success with Check-in

Since the introduction of Check-in, Adobe has seen remarkable improvements in employee satisfaction, engagement, and retention. Adobe’s leaders believe this new performance system fosters a more inclusive, collaborative, and dynamic culture. Employees no longer see performance reviews as a dreaded process but as an opportunity for development and growth.

Moreover, the shift from ratings and rankings to discretionary rewards has allowed Adobe to treat employees as partners in the company’s success, empowering them to take more ownership over their roles and development. By aligning personal goals with the company’s objectives, Adobe has been able to cultivate a culture of high performance, without the negativity and disengagement that came with the old review system.

Key Takeaways:

  • Continuous feedback is far more effective than annual performance reviews in improving employee performance and engagement.
  • The Check-in system allows for frequent goal-setting, feedback, and career development, replacing the rigid, end-of-year performance review system.
  • Training and empowerment of managers to give constructive feedback and have ongoing conversations with employees are crucial for success.
  • Employees benefit from having clear, actionable feedback on their performance, leading to greater engagement, higher satisfaction, and lower turnover.

Chapter 17 – Baking Better Every Day: The Zume Pizza Story

The Vision Behind Zume Pizza

Zume Pizza, a startup founded by Julia Collins and Alex Garden, aimed to revolutionize the $10 billion U.S. pizza delivery market. The company faced massive competition from established pizza giants like Domino’s, Pizza Hut, and Papa John’s. Despite being a newcomer in 2016, Zume adopted cutting-edge technology and robotics to automate parts of the pizza-making process, offering a unique value proposition of faster, healthier, and tastier pizza.

From day one, Zume set out to challenge the traditional pizza delivery model. By automating repetitive tasks with robots, Zume freed its staff to focus on more creative and value-adding activities. This allowed the company to provide high-quality ingredients—such as non-GMO flours and locally sourced vegetables—while reducing labor costs.

In just a few months, Zume captured 10 percent of the local market, and by 2018, it began disrupting the Bay Area’s pizza market. The company aimed to scale quickly and hoped to take its robotic-driven pizza delivery system across the West Coast and eventually internationally.

Early Challenges: From Chaos to Structure

In the early days of Zume, the leadership team was small, and decisions were easy to align on. Julia and Alex were often on the same page, but as the team grew, they encountered challenges in communication and focus. With a team of just seven employees, everyone seemed to understand what needed to be done. But once the company grew to sixteen employees and started diversifying operations, the lack of alignment led to confusion. When asked about key priorities, different team members had different answers. This misalignment created inefficiency.

Zume initially used LiquidPlanner, a project management tool, which worked well for a linear process. But as the company expanded into areas like manufacturing, software development, and robotics, this tool became insufficient. The leadership realized that they needed a more dynamic and agile system for goal-setting to keep everyone focused on the same priorities.

The Introduction of OKRs

In June 2016, just three months after launching, Zume adopted OKRs (Objectives and Key Results) to provide clarity and alignment across the company. Initially, the co-founders set the OKRs, ensuring top-down alignment. The OKRs helped Zume’s employees understand the company’s most important goals and how their work contributed to achieving those goals.

As the company grew and the leadership team expanded, Zume loosened up the process and began involving department heads in the creation of their own OKRs. This empowered employees to take ownership of their objectives and key results while still being aligned with the company’s broader mission.

The Benefits of OKRs at Zume

For Zume, OKRs became not just a tool for tracking progress but also a training tool for developing stronger executives and managers. The founders found that OKRs forced them to reflect on what was truly achievable within their resource constraints. OKRs helped Zume’s leaders make decisions more thoughtfully and systematically, which ultimately led to better outcomes.

Alex Garden reflected on how the OKRs made executives at Zume think about the business from a more disciplined and macro perspective. Instead of focusing on the quantity of work done, OKRs forced them to prioritize quality decisions and clear strategic focus. This process helped foster a stronger, more coherent leadership team.

Improved Teamwork and Culture

OKRs also improved communication and teamwork within the company. Zume’s leadership emphasized that OKRs provided a common language that everyone in the organization could understand. Whether in the kitchen, marketing, or engineering departments, everyone worked toward shared goals. The OKRs encouraged people to think about their objectives in terms of dependencies on others—whether in terms of resources or timelines.

The chapter describes a specific example where a delay in one department affected the timelines of another, but instead of finger-pointing, the team came together to solve the problem in a collaborative, constructive way. OKRs made it clear who was responsible for what, eliminating ambiguity and fostering a culture of teamwork.

Clarity and Engagement

OKRs also helped Zume achieve greater transparency within the organization. Team members no longer had to guess what the company’s priorities were. The transparency of OKRs made sure that everyone understood the mission and how their contributions fit into the broader goals. This clarity helped boost engagement, as employees felt connected to something larger than just their individual tasks.

For example, Zume’s product manager was responsible for an OKR to launch the baking-on-the-way trucks, which would deliver pizzas fresh and hot within five minutes. These OKRs were clear, actionable, and tightly aligned with Zume’s ultimate goal of providing fast, high-quality pizza to customers. As the product manager achieved key results, the company’s overall objective moved forward.

The Role of OKRs in Zume’s Growth

Zume’s use of OKRs played a pivotal role in the company’s growth and scaling efforts. With their clear objectives and key results, teams across the organization were aligned and held accountable for achieving their goals. As the company expanded its operations and reached new milestones, OKRs allowed Zume to maintain focus on what was most important: delivering great pizza quickly and efficiently.

Key Takeaways:

  • OKRs foster alignment and accountability, ensuring that everyone in the company is working toward the same goals.
  • OKRs help build stronger executives by forcing them to think critically about what’s achievable within their constraints.
  • Transparency and teamwork are key benefits of OKRs, creating a collaborative environment where everyone is on the same page.
  • OKRs empower teams by giving them clear, actionable goals that tie into the company’s larger mission.

Chapter 18 – Culture – OKRs Catalyze Culture; CFRs Nourish It

Culture as the Foundation of Success

As the saying goes, “Culture eats strategy for breakfast”—a phrase famously attributed to Peter Drucker. The chapter begins by emphasizing that culture plays a crucial role in shaping how a company performs. It’s not just about having a vision or a strategy; it’s about building a culture that aligns with the company’s values and supports the achievement of its objectives. This is where OKRs (Objectives and Key Results) and CFRs (Conversations, Feedback, and Recognition) come into play.

OKRs provide the structure and clarity for setting and achieving goals, while CFRs offer the energy and support necessary to ensure that employees stay motivated and engaged. When used together, they create an environment where transparency, accountability, and collaboration thrive, leading to a high-performance culture.

The Role of Culture in Achieving High Performance

Andy Grove, the former CEO of Intel, recognized the critical importance of culture in driving performance. For Grove, a strong culture was not just about shared values and beliefs, but also about developing systems and processes that made decision-making faster and more efficient. He emphasized that a positive corporate culture was essential for high performance because it created a shared understanding of how things should be done, which reduced the need for formal rules and regulations.

Grove’s cultural teachings at Intel became a model for other successful tech companies, including Google, which sought to replicate the success of Intel’s culture in its own way. In Google’s Project Aristotle, a study of 180 teams, researchers found that high-performing teams were defined by five key factors:

  1. Structure and clarity: Clear goals, roles, and execution plans.
  2. Psychological safety: The ability to take risks without feeling insecure or embarrassed.
  3. Meaning of work: Having work that was personally important for each team member.
  4. Dependability: Relying on each other to do high-quality work on time.
  5. Impact of work: Believing that their work mattered.

These factors are closely tied to the OKR system, which fosters clarity, alignment, and accountability, and CFRs, which nurture a culture of trust and support.

Creating a Culture of Accountability and Collaboration

In a high-functioning OKR environment, transparency and alignment play pivotal roles in fostering a culture of accountability. When OKRs are set and tracked openly, everyone in the organization understands what is expected and how their work contributes to the larger mission. This transparency encourages collaborative work, as employees are aware of how their efforts are interconnected with others. No one wants to be the weak link in the chain, and this sense of mutual responsibility drives individuals to deliver their best work.

An OKR culture is an accountable culture. Unlike traditional systems where employees simply follow orders, OKRs make everyone responsible for the company’s success. Teams assume collective responsibility for the achievement of goals, while individuals are still held accountable for their specific key results.

The Interplay Between OKRs and CFRs

While OKRs provide structure and focus, CFRs are essential for nurturing and reinforcing the company’s culture. CFRs create an environment of support, where employees receive regular feedback on their performance and are recognized for their achievements. This positive reinforcement not only helps employees stay on track but also ensures that they feel valued and motivated to keep improving.

In high-motivation cultures, catalysts—actions that support work—play a crucial role. These include setting clear goals, offering autonomy, providing resources, learning from mistakes, and fostering open communication. Nourishers—acts of interpersonal support, such as recognition and encouragement—are just as important. Together, catalysts and nourishers create an environment where employees feel empowered and supported to achieve their best work.

Real-Time Feedback and Pulsing

One innovative way to integrate feedback into a company’s culture is through pulsing—a continuous feedback loop that captures real-time insights from employees. Instead of relying on annual surveys, companies are using quick, pulse surveys to gauge employee satisfaction, engagement, and well-being. These surveys provide a snapshot of the workplace culture, helping leaders identify potential issues before they escalate.

Pulsing can include questions like:

  • Are you getting enough sleep?
  • Have you met recently with your manager to discuss goals and expectations?
  • Do you feel motivated and energized at work?

These insights can be used to improve organizational culture and performance continuously. As the chapter suggests, combining quantitative data on goal progress with qualitative feedback from ongoing conversations creates a comprehensive system that supports both high performance and a positive workplace culture.

Connecting OKRs to Values

As seen in the case of Coursera, OKRs can be connected to a company’s core values and mission. By aligning team-level objectives with top-line strategic objectives, and ensuring those objectives reflect the company’s values, organizations can build a culture that supports both individual and collective success. Coursera’s approach demonstrated how OKRs can be an effective tool for reinforcing values like student engagement, innovation, and sustainability.

Dov Seidman’s Perspective on Culture

Dov Seidman, a business philosopher, argues that companies that focus on how they do things—on their behavior—will outperform those that focus solely on what they do. He emphasizes that in today’s world, culture is the most important differentiator. Companies that “out-behave” their competition by focusing on transparency, trust, and collaboration will not only create stronger cultures but also achieve superior performance.

Seidman’s research found that organizations that prioritize values like trust, transparency, and collaboration tend to outperform their competitors in areas like innovation, engagement, and market share.

Key Takeaways:

  • OKRs and CFRs are essential for building a high-performance culture, providing clarity, alignment, and support across the organization.
  • Transparency and accountability are key components of a culture that drives collaboration and performance.
  • Pulsing feedback offers real-time insights into the health of the organization, helping leaders make adjustments quickly.
  • Aligning OKRs with company values strengthens the connection between employees and the company’s mission, leading to better results.
  • Culture is the key to sustainable success, and companies that prioritize cultural values like trust and transparency will outperform their competitors.

Chapter 19 – Culture Change: The Lumeris Story

The Challenge of Organizational Culture

Lumeris, a technology and solutions company in healthcare, found itself at a crossroads when it tried to implement OKRs (Objectives and Key Results). The company had started with the aim of revolutionizing healthcare with a value-based system, but it faced a significant cultural barrier. The initial use of OKRs was superficial, and there was a lack of buy-in from employees, leading to a system that looked good on paper but wasn’t effective in practice. The leadership realized that without cultural alignment, the OKR system would not work, and they needed to address these underlying issues first.

The Struggles with OKRs

Lumeris had been using OKRs for three cycles but hadn’t seen the results they expected. There was low accountability, and employees were simply going through the motions. The company faced passive resistance, where managers didn’t fully understand the purpose of OKRs or how their objectives connected to the company’s broader goals. The OKR process felt disconnected from the actual work, and it wasn’t helping to drive performance or foster collaboration.

Andrew Cole, the head of HR at Lumeris, was brought in to address these issues. He realized that before OKRs could be effective, the company’s culture had to change. Lumeris needed leaders who could drive the transformation and instill values of accountability, transparency, and collaboration. Without these changes, OKRs would only serve as an additional burden rather than a tool for growth.

Rebuilding the Culture

To start, Lumeris underwent a major reorganization. The company’s leadership needed to align on a shared vision and culture. This wasn’t just about operational strategies; it was about how leaders showed up and embodied the company’s core values. Lumeris had some senior leaders who were stuck in outdated, autocratic management styles, which conflicted with the company’s desire to foster a more collaborative and transparent culture.

As part of the transformation, Lumeris emphasized that every employee had the right and the obligation to hold leadership accountable for their actions. This cultural shift was key to the success of OKRs because it helped establish a feedback loop where employees felt empowered to voice concerns and challenge the status quo.

The HR Transformation

One of the key elements of the cultural shift was the transformation of the HR department. Lumeris replaced 85% of its HR professionals in less than 18 months to align the department with the company’s new culture. This move was part of a broader strategy to bring in leaders and employees who could embody the company’s values of ownership, accountability, and collaboration. As Andrew Cole notes, culture is about the people you recruit and the values they bring to the company. With a new HR team in place, Lumeris began to attract and retain the right talent that could thrive in this new environment.

The OKR Reboot

After the initial failure of the OKR system, Lumeris took a step back and decided to give it another try with a stronger focus on cultural alignment. They revamped the OKR process by rolling out a pilot program for 100 employees. This pilot was met with resistance at first, but after some time, the leadership team began to see real results. Employees started to understand the purpose of OKRs, and transparency became a powerful tool for alignment and accountability.

As the system gained traction, Lumeris leaders emphasized brutal transparency without judgment. This meant being open about both successes and failures, which helped to build trust and encourage employees to embrace vulnerability. When employees could admit their setbacks and failures, they became more willing to learn from them, which ultimately helped the company improve.

The Role of OKRs in Shifting the Culture

With the new OKR system in place, Lumeris began to see a shift in its culture. Employees were no longer siloed, working in isolation. Instead, they began to collaborate more across departments. For example, the operations and delivery teams started aligning their objectives with the sales team, a move that would have been unthinkable in the company’s previous culture. The focus on cross-departmental teamwork helped break down barriers and foster a more unified approach to achieving the company’s goals.

Selling the Reds

One of the unique aspects of Lumeris’s approach to OKRs was the practice of “selling your reds” during business reviews. Leaders would present their at-risk objectives (those marked as red) and engage in collaborative discussions to get them back on track. This practice created a culture of shared accountability, where everyone worked together to solve problems rather than pointing fingers.

This approach reinforced the idea that OKRs were not just about individual success but about collective progress toward the company’s larger goals. It also allowed employees to see that failure wasn’t the end—it was simply a chance to recalibrate and try again.

The Results of the Transformation

By 2017, Lumeris had transformed into a company where OKRs were deeply embedded in the culture. The company became a leader in value-based care, helping organizations move away from traditional fee-for-service models. The focus on transparency, accountability, and collaboration helped Lumeris scale and improve its operations, allowing them to grow their partnerships and reach millions of patients.

In terms of performance, the transformation led to increased retention rates and a more engaged workforce. Employees felt empowered by the new culture, and Lumeris was better positioned to take on its moonshot goal: to rationalize the nation’s healthcare supply chain and save billions in wasteful expenditures.

Key Takeaways:

  • Culture alignment is essential for OKRs to succeed. Without the right culture, the best systems won’t work.
  • OKRs can drive cultural change, but they must be accompanied by transparency, accountability, and collaboration.
  • Brutal transparency—the willingness to confront failure openly—is key to building trust and fostering continuous improvement.
  • Transforming HR practices and ensuring the right people are in leadership roles is essential for long-term cultural success.
  • Lumeris’s journey shows that culture change is a process, and when done right, it can drive monumental success.

Chapter 20 – Culture Change: Bono’s ONE Campaign Story

The Origin of ONE Campaign

Bono, the iconic frontman of U2, is not only known for his music but also for his advocacy work, particularly in the fight against poverty. The chapter begins by discussing Bono’s early efforts through the Jubilee 2000 initiative, which raised $100 billion in debt relief for the world’s poorest countries. This success fueled Bono’s passion for global change and led him to cofound DATA (Debt, AIDS, Trade, Africa) in 2002, with the goal of addressing poverty, disease, and development in Africa.

In 2004, Bono expanded his efforts by launching the ONE Campaign, a global initiative aimed at mobilizing citizens, organizations, and governments to fight extreme poverty and preventable disease. Through ONE, Bono sought to create a nonpartisan, grassroots movement that could influence policy changes and raise awareness about the challenges faced by the world’s most vulnerable populations.

The Importance of OKRs for ONE Campaign

Bono and his team at ONE quickly recognized the need for a structured approach to achieve their ambitious goals. This led them to adopt the OKR (Objectives and Key Results) framework. OKRs helped the organization become more disciplined and focused, making it easier to track progress and make adjustments when necessary.

According to David Lane, ONE’s former CEO, OKRs brought the necessary discipline to the organization, helping them focus on the most critical issues rather than trying to tackle everything at once. This was crucial in maintaining clarity within the organization, particularly when managing multiple high-priority goals across various sectors, including global health, education, and poverty reduction.

The Shift from ‘Working On Africa’ to ‘Working With Africa’

One of the most significant changes driven by OKRs was the philosophical shift within ONE, from “working on Africa” to “working with Africa”. Bono reflected on the importance of empowering African leaders and giving them a seat at the table. This pivot was driven by feedback from African leaders who felt that the global community was trying to solve their problems without truly understanding their needs.

The shift in thinking was in line with the ONE Campaign’s evolving approach to global development, ensuring that African nations were not just recipients of aid, but active participants in shaping their own future. This transformation was made possible by the clarity and focus that OKRs provided, which helped the organization refine its goals and strategies for greater collaboration and impact.

Big Goals and Stretch OKRs

From the beginning, Bono and his team set Big Hairy Audacious Goals (BHAGs), including eliminating extreme poverty and addressing the HIV/AIDS epidemic. The chapter highlights the significant challenge of tackling HIV/AIDS, which Bono and ONE targeted as a critical issue in Africa. The goal was to ensure universal access to anti-AIDS drugs, a goal that was considered nearly impossible at the time. However, ONE’s persistence, supported by measurable OKRs, helped push the global community to action, resulting in 21 million people accessing antiretroviral therapies and a dramatic decrease in AIDS-related deaths.

The success of this mission demonstrated the power of stretch goals and the ability of organizations to make real, measurable change when they focus on a few, impactful objectives. Bono used the analogy of Everest to describe how the team tackled seemingly impossible goals: “First, you need to be able to describe the summit. Then you climb it.”

Cultural Change and Organizational Impact

The chapter also delves into the cultural changes that OKRs brought to ONE. Initially, there were many competing priorities, but OKRs forced the organization to narrow its focus and prioritize the most important issues. This focus also led to a cultural shift within the organization, fostering a more collaborative and inclusive environment where feedback was encouraged, and progress was continuously tracked.

Bono talks about the importance of “factivism”—a results-oriented, fact-based approach to activism. By using OKRs, ONE was able to quantify its efforts and provide clear evidence of its impact. This approach helped strengthen the credibility of the campaign and led to major successes in securing funding for health initiatives, fighting corruption, and pushing for greater transparency in resource allocation in Africa.

OKRs in Practice: The ONE Campaign’s Key Results

The chapter outlines specific OKRs that ONE set to improve its work in Africa. These included:

  • Hiring three African-based staff and onboarding them by April.
  • Approving two African board members by July.
  • Creating an African Advisory Board to guide ONE’s work in Africa.
  • Organizing participatory trips to Africa to engage with local leaders and stakeholders.

These measurable results ensured that ONE’s actions were aligned with its mission and were directly contributing to the broader goal of improving the lives of Africa’s most vulnerable populations.

Bono’s Reflection on OKRs and Impact

Bono reflects on the role that OKRs have played in shaping ONE’s success. He acknowledges that while the organization’s passion for change has always been strong, OKRs gave them the structure and clarity needed to direct that passion in meaningful ways. He credits OKRs with helping ONE achieve its most significant successes, including securing $50 billion in funding for global health initiatives.

In the end, Bono emphasizes that OKRs are not just about goal-setting; they are about creating an environment where big, audacious goals are supported by intellectual rigor, transparency, and accountability. These elements help turn passion into action, ensuring that organizations like ONE can make real, lasting change.

Key Takeaways:

  • OKRs are crucial for achieving bold goals and providing a clear structure to focus efforts on what truly matters.
  • The shift from “working on” to “working with” Africa shows the importance of empowering local communities to lead their own development.
  • Transparency and accountability are key to building trust and demonstrating impact in global initiatives.
  • OKRs help organizations stay focused and aligned with their mission, even as they scale and take on more complex challenges.

Chapter 21 – The Goals to Come

The Endless Pursuit of Ambitious Goals

The chapter begins by acknowledging the transformative potential of OKRs (Objectives and Key Results) and CFRs (Conversations, Feedback, and Recognition) in organizations of all sizes. Through examples from companies like Google, ONE Campaign, and Zume Pizza, we’ve seen how these systems help organizations set clear objectives, align teams, and achieve extraordinary outcomes. However, the author, John Doerr, believes that this is just the beginning. The true power of OKRs, he argues, lies in their potential to revolutionize entire sectors—whether that’s in healthcare, education, business, or social progress.

The Growth of OKRs

Doerr envisions a future where OKRs are not just a tool for companies but a universal framework that helps shape success at every level of society. He points to early adopters, such as Orly Friedman, who introduced OKRs to Khan Lab School students, showing how even elementary schoolchildren can set and achieve personal learning goals using the OKR system. The adaptability of OKRs allows them to be applied to virtually any organization or individual striving for meaningful goals, regardless of the scale.

The flexibility of OKRs is one of their greatest strengths, as they are not tied to any dogma or rigid process. Different organizations can tailor OKRs to their specific needs, whether they are just getting started or are already managing complex projects. The key is to ensure that the system remains dynamic and accessible, and to find the right balance between structure and creativity.

The Vision of a Future Transformed by OKRs

Doerr imagines a future where OKRs have an enormous impact on societal outcomes, from GDP growth and healthcare improvements to advancements in education and government performance. He believes that by applying structured goal-setting to the global challenges we face, we could unlock a wave of progress and innovation that would elevate productivity and drive exponential improvements across all aspects of life.

A Call to Action

The chapter closes with a call to action, inviting readers to join the OKR movement and be part of the growing community working to make these ambitious goals a reality. The author urges people to reflect on their own goals and how they can use OKRs to make a meaningful impact in their work and lives. He encourages continuous experimentation, learning, and adaptation as key aspects of the journey.

The ultimate stretch OKR, Doerr shares, is about empowering people to achieve the impossible, to foster cultures that prioritize collaboration, growth, and success. He envisions a world where the pursuit of goals—large and small—can lead to significant change and global betterment.

Dedication to Bill Campbell

Doerr dedicates the book to Bill Campbell, the late, legendary coach who deeply influenced his life and work. Campbell’s mentorship and guidance shaped some of Silicon Valley’s most successful leaders, including Steve Jobs, Larry Page, and Jeff Bezos. His impact on the tech world is immeasurable, and Doerr reflects on the deep friendship and partnership they shared, particularly in the context of leadership, culture, and organizational growth.

Doerr recalls the profound lessons learned from Campbell, especially the importance of people—their growth, dignity, and well-being—as the most vital aspect of any business or venture. Campbell’s approach was always to empower others, whether in business or on the football field, making him a leader who had the unique ability to bring out the best in those around him.

Key Takeaways:

  • OKRs are adaptable and transformative, capable of revolutionizing organizations, education, healthcare, and even global issues.
  • The future of OKRs lies in their universal application, driving societal progress and improving productivity across various sectors.
  • Empowerment is at the heart of the OKR system, helping individuals and teams achieve audacious goals and make meaningful progress.
  • Leadership and culture are central to success, and OKRs should be viewed as tools to create and sustain a culture of growth and collaboration.

4 Key Ideas from Measure What Matters

Objectives and Key Results

Objectives set the direction; key results show the progress. This combo keeps goals grounded and trackable. It’s a system that balances inspiration with execution.

Stretch Goals

You’re encouraged to aim high and embrace discomfort. Not every goal needs to be hit. The goal is to push thinking beyond what seems doable—and discover what’s possible in the process.

Radical Transparency

At Google and beyond, everyone’s OKRs are public. This transparency builds trust, alignment, and accountability. People work better when they see how their efforts fit into the bigger picture.

CFRs—The Human Side

OKRs work best when paired with Conversations, Feedback, and Recognition. These practices keep goals alive between planning cycles. They bring in the emotional, relational part of performance that metrics alone can’t capture.

6 Main Lessons from Measure What Matters

Focus Beats Busy

Success isn’t about doing more—it’s about doing what matters. Cut the noise, pick your top priorities, and protect your time. Clarity leads to momentum.

Own the Outcome

Don’t wait for instructions—set your goals, track your results, and learn as you go. When people take responsibility, results follow. Leadership starts with ownership.

Set Goals Publicly

Making your goals visible invites support and accountability. It turns personal ambition into a team effort. You’re not just working harder—you’re working together.

Feedback is Fuel

Regular check-ins keep things moving and prevent drift. Ask for input, give recognition, and talk about what’s working. Progress grows when communication flows.

Failure is Data

You don’t need to hit every goal to grow. Missing a stretch target isn’t a setback—it’s a signal. The best teams reflect, adjust, and keep aiming higher.

Purpose Drives Performance

People do their best work when they see the bigger why. Connect goals to mission, not just metrics. When people believe in what they’re building, they show up differently.

My Book Highlights & Quotes

As Jim Collins observes in Good to Great, first you need to get “the right people on the bus, the wrong people off the bus, and the right people in the right seats.” Only then do you turn the wheel and step on the gas

Ideas are easy. Execution is everything

OKRs surface your primary goals. They channel efforts and coordination. They link diverse operations, lending purpose and unity to the entire organization

Goals may cause systematic problems in organizations due to narrowed focus, unethical behaviour, increased risk-taking, decreased cooperation, and decreased motivation

OKRs are a shared language for execution. They clarify expectations: What do we need to get done (and fast), and who’s working on it? They keep employees aligned, vertically and horizontally

Leaders must get across the why as well as the what. Their people need more than milestones for motivation. They are thirsting for meaning, to understand how their goals relate to the mission. And the process can’t stop with unveiling top-line OKRs at a quarterly all-hands meeting. As LinkedIn CEO Jeff Weiner likes to say, ‘When you are tired of saying it, people are starting to hear it

People who choose their destination will own a deeper awareness of what it takes to get there

Annual performance reviews are costly, exhausting, and mostly futile

Business leaders have learned that individuals cannot be reduced to numbers

Continuous recognition is a powerful driver of engagement…”

By clearing the line of sight to everyone’s objectives, OKRs expose redundant efforts and save time and money

Transparency seeds collaboration

Nothing moves us forward like a deadline

Objectives and key results are the yin and yang of goal setting

OKRs are clear vessels for leaders’ priorities and insights

When people have conflicting priorities or unclear, meaningless, or arbitrarily shifting goals, they become frustrated, cynical, and demotivated

We must realize—and act on the realization—that if we try to focus on everything, we focus on nothing

Leaders must get across the why as well as the what. Their people need more than milestones for motivation. They are thirsting for meaning, to understand how their goals relate to the mission

Early on in your career, when you’re an individual contributor, you’re graded on the volume and quality of your work. Then one day, all of a sudden, you’re a manager. Let’s assume you do well and move up to manage more and more people. Now you’re no longer paid for the amount of work you do; you’re paid for the quality of decisions you make

An effective goal-setting system starts with disciplined thinking at the top, with leaders who invest the time and energy to choose what counts

Conclusion

Measure What Matters isn’t about chasing productivity for its own sake. It’s about creating systems that help people do meaningful work, together.

What makes this book special is how practical and human it is at the same time.

It gives you tools to improve results, yes—but it also challenges you to lead with purpose, measure what counts, and rethink how ambition shows up in your daily life.

If you’ve ever felt like you’re working hard but not sure if it’s the right kind of hard, this book is worth your time.

It doesn’t just teach you how to win—it helps you define what winning actually means.

I am incredibly grateful that you have taken the time to read this post.

Support my work by sharing my content with your network using the sharing buttons below.

Want to show your support and appreciation tangibly?

Creating these posts takes time, effort, and lots of coffee—but it’s totally worth it!

If you’d like to show some support and help keep me stay energized for the next one, buying me a virtual coffee is a simple (and friendly!) way to do it.

Do you want to get new content in your Email?

Do you want to explore more?

Check my main categories of content below:

Navigate between the many topics covered in this website:

Agile Art Artificial Intelligence Blockchain Books Business Business Tales C-Suite Career Coaching Communication Creativity Culture Cybersecurity Decision Making Design DevOps Digital Transformation Economy Emotional Intelligence ESG Feedback Finance Flow Focus Gaming Generative AI Goals GPT Habits Harvard Health History Innovation Kanban Large Language Models Leadership Lean Learning LeSS Machine Learning Magazine Management Marketing McKinsey Mentorship Metaverse Metrics Mindset Minimalism MIT Motivation Negotiation Networking Neuroscience NFT Ownership Paper Parenting Planning PMBOK PMI PMO Politics Portfolio Management Productivity Products Program Management Project Management Readings Remote Work Risk Management Routines Scrum Self-Improvement Self-Management Sleep Social Media Startups Strategy Team Building Technology Time Management Volunteering Web3 Work

Do you want to check previous Book Notes? Check these from the last couple of weeks:

Support my work by sharing my content with your network using the sharing buttons below.

Want to show your support tangibly? A virtual coffee is a small but nice way to show your appreciation and give me the extra energy to keep crafting valuable content! Pay me a coffee: