Exploring the Effectiveness of OKRs in Enhancing Company Objectives: A Comparative Study

Abstract

The use of management by objectives (MBO) methodologies, particularly the Objectives and Key Results (OKR) framework, has gained widespread attention in recent years as a means of improving organizational performance. This research aims to show that OKRs, a key MBO method, can enhance company performance and employee satisfaction. We conducted a comparative and retroactive analysis of MBO methods used in the 20th and 21st centuries, and surveyed 238 people in nine countries and various companies and positions. We analyzed the results of the survey and compared the variables associated with best practices in the OKR methodology. Our study examined a diverse range of companies, positions, qualifications, and ages, which provides an analysis of whether or not OKR are being used in the organization and a comprehensive understanding of how OKRs can be implemented across in different contexts. By identifying the best variables associated with optimal performance and employee satisfaction, our research provides practical guidance for organizations seeking to adopt OKR methodology. Furthermore, our study can contribute to the development of best practices in the area of management by objectives, particularly in the context of OKRs, leading to more effective and efficient goal-setting practices in organizations.