
KPIs and OKRs are powerful on their own — but for different reasons. KPIs track the steady pulse of the business, while OKRs push teams to chase bold, strategic priorities. The problem? Too many organizations confuse them, or worse, run them side by side without ever connecting the dots.
This workflow shows you how to bring KPIs and OKRs together into a single, unified system — one that gives leadership the full picture of business health and progress, while helping teams see how daily performance ties directly to long-term strategy.
Step 1 – Clarify the Difference Between KPIs and OKRs
Objective: Build shared understanding before integrating.
- KPIs = metrics that measure ongoing business performance (e.g., churn %, gross margin).
- OKRs = time-bound goals designed to drive change or improvement.
- Both are essential: KPIs track health, OKRs drive growth.
- Share examples with teams to avoid misalignment.
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Step 2 – Identify Core KPIs for Your Business
Objective: Establish the baseline metrics that always need tracking.
- Finance KPIs (e.g., ARR, burn rate, gross margin).
- Customer KPIs (e.g., NPS, churn %, LTV).
- Product KPIs (e.g., DAUs, feature adoption).
- Sales & Marketing KPIs (e.g., pipeline coverage, CAC).
- Limit to the most important 10–12 metrics.
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Step 3 – Map OKRs to KPIs
Objective: Show how strategic goals influence core metrics.
- For each company-level Objective, identify which KPIs it impacts.
- Example: Objective = “Delight customers.”
- KR: “Increase NPS from 45 → 55.”
- KPI link: NPS becomes both a KR and a core health metric.
- KR: “Increase NPS from 45 → 55.”
- Not all OKRs will tie to KPIs — and that’s okay. Some drive innovation.
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Step 4 – Integrate Into Dashboards and Reports
Objective: Create one source of truth for both KPIs and OKRs.
- Build dashboards that display KPIs alongside OKR progress.
- Use color coding (R/Y/G) for clarity.
- Ensure leadership reviews both in the same meetings.
- Keep dashboards accessible to teams, not just executives.
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Step 5 – Review Together in Leadership Meetings
Objective: Make decisions with the full picture in view.
- Start with KPI performance (business health).
- Then review OKR progress (strategic execution).
- Discuss how OKRs are influencing KPI trends.
- Use this context to adjust resource allocation or priorities.
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Step 6 – Adjust as Needed Mid-Cycle
Objective: Stay agile when KPIs or OKRs shift unexpectedly.
- If KPIs fall below thresholds, review related OKRs.
- If OKRs are off-track, check for KPI side effects.
- Update forecasts and communicate changes to teams.
- Document learnings for the next cycle.
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Step 7 – Reflect and Improve
Objective: Strengthen integration each cycle.
- In retrospectives, evaluate whether OKRs meaningfully influenced KPIs.
- Decide which KPIs should evolve into KRs next cycle.
- Capture best practices for other teams.
- Share a combined KPI + OKR report with stakeholders.
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Pro Tips for KPI & OKR Integration
- Keep the distinction clear: KPIs = ongoing, OKRs = change-driving.
- Don’t overload dashboards — highlight the metrics that truly matter.
- Use KPIs to spot when OKRs should shift mid-cycle.
- Integration builds credibility: leadership sees both execution and performance in context.
The Bottom Line
KPIs and OKRs are most powerful when they work together. By integrating them, you give leaders and teams a complete picture: steady-state performance and progress on strategic goals.
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