How do you grade OKR key results?
Short answer
Calculate each key result's progress as (current value − start value) ÷ (target value − start value), limited to the range 0 to 1. The same formula works when the target is lower than the start. An objective's score is the weighted average of its key results, and the overall score is the weighted average of the objectives.
Objectives and key results (OKRs) set a direction and measurable results to show whether you got there. Grading turns the measurements into a score you can compare across key results.
What is the grading formula?
Progress = (current − start) ÷ (target − start), limited to 0 to 1.
Because both the numerator and the denominator use the same direction, the formula works for targets that go up and targets that go down. Clamping to 0 and 1 stops a result that overshoots from hiding a miss elsewhere.
What does a worked example look like?
- A key result to raise weekly signups from 1,000 to 1,600 stands at 1,420. Progress = (1,420 − 1,000) ÷ (1,600 − 1,000) = 0.70.
- A key result to cut churn from 8% to 5% stands at 6.2%. Progress = (6.2 − 8) ÷ (5 − 8) = 0.60.
If the first key result has weight 2 and the second weight 1, the objective score is (0.70 × 2 + 0.60 × 1) ÷ (2 + 1) = 0.67.
How do you read the score?
Many teams use bands such as on track at 0.7 and above, at risk from 0.4 and off track below that. These bands are a common convention, not a standard, so set them to match your team's practice. The current value is the latest weekly check-in, or the start value if there has been none.
What does an OKR score miss?
Progress is linear, so it cannot tell you whether one key result matters more than its number suggests. A score of 0.7 on an ambitious key result can be a better outcome than 1.0 on an easy one. Keep the weights honest, and discuss the stories behind the numbers at the review.
The OKR scorecard tracks weekly check-ins for a quarter, grades each key result and rolls the scores up to objectives and an overall score.