How to Set OKRs for Small Teams: A Framework for Focus and Growth

As a startup founder or small business owner, staying focused on what matters most can feel impossible.

Between managing day-to-day operations, juggling new opportunities, and fighting off shiny object syndrome, it’s easy to get overwhelmed.

If this sounds familiar to you, then I recommend you check out OKRs. 

Objectives and Key Results (OKRs) are a simple yet powerful framework for setting goals, tracking progress, and aligning your team. Originally pioneered by a guy named Andy Grove at Intel in the 1970's,  and adopted by companies like Google and Netflix, OKRs are an incredibly effective way to get your team all rowing in the same direction. 

But here’s the thing—OKRs aren’t just for tech giants. They’re incredibly effective for small teams, too. Whether you’re running a lean startup or managing a small eCommerce business, OKRs can help you prioritize your efforts, manage time effectively, and focus on the goals that truly matter.

Why OKRs? My Personal Story

Back in 2017, when I started my first eCommerce business, I was constantly bombarded with ideas, opportunities, and offers of help. It felt exciting at first—everyone around me seemed eager to contribute. But over time, I realized that I was like a kid in a toy store, jumping from shiny object to shiny object without ever focusing long enough to make meaningful progress.

As a founder, I loved exploring new ideas and learning about different opportunities. But what I didn’t realize was that this scattershot approach was holding me back. Instead of executing on key priorities, I was stuck in a cycle of distractions.

That’s when I discovered OKRs. This framework didn’t just help me focus—it taught me how to align my team around the goals that truly mattered. With OKRs, I could turn big ambitions into actionable steps, measure our progress, and make real, measurable impact.

What Are OKRs?

OKR stands for Objectives and Key Results.

• Objectives are what you want to achieve. They’re big-picture, inspiring goals that energize your team. Think of them as your short-term mission statements.
• Key Results are how you’ll measure success. They’re specific, measurable outcomes that let you track progress toward each objective. They are essentially the quantifiable evidence, or proof, that you are making progress towards the Objective. 

Here’s an example from my own business:

• Objective: Become the #1 microgreens brand in the US.
• Key Results:
  1. Achieve 40% market share on Amazon.
  2. Increase customer lifetime value (LTV) to $90.
  3. Launch three new refill options for customers.

This combination of big-picture ambition and clear, measurable outcomes is what makes OKRs so powerful.

Why Are OKRs Perfect for Small Teams?

Small teams face two major challenges:

1. Shiny Object Syndrome
   Founders are often bombarded with ideas, advice, and new opportunities. While exciting, these “shiny objects” can pull your focus in too many directions, leaving you scattered and ineffective. OKRs provide a system to stay focused on the goals that truly matter.

2. Time Management
   Time is the most finite resource your business has. As a founder, I realized that my team could only realistically tackle 10-20% of the opportunities on the table at any given time. OKRs helped us identify which 10-20% would drive the biggest results.

How to Set OKRs for Your Team

There is no 'right' way to do OKRs. What matters most is the concept. But what I wanted to share below is the implementation process I have tried and tested over a 7 year period running multiple small (less than 10 person) businesses. I know this process works because I've tested and iterated on it many times, but if you feel it could be improved for your own situation then you do you. 

Step 1: Define a Bold Company-Wide Objective

Start by creating a company-wide objective. This should be bold, aspirational, and easy to remember—something that excites and aligns your team.

For example, my eCommerce business’s objective was:

• “Become the #1 microgreens brand in the US.”

A strong objective provides direction and focus for your team, but it’s only the beginning.

Step 2: Create Measurable Key Results

Key Results turn your objective into measurable outcomes. I found this frame work most effective when we used 2 or 3 Key Results per objective.

For our microgreens example, our Key Results were:

1. Achieve 40% market share on Amazon.
2. Increase customer lifetime value (LTV) to $90.
3. Launch three new refill options for customers.

These Key Results ensured we had clear, specific goals to work toward, making it easier to track progress and stay accountable.

Step 3: Socialize the OKRs with Your Team

Once you’ve defined your company-wide OKRs, share them with your team. Explain:

1. The objective and why it matters.
2. The Key Results and how success will be measured.

This step is critical for getting buy-in from your team and ensuring everyone is aligned around the same goals.

Step 4: Set Personal OKRs

After sharing the company-wide OKRs, encourage each team member to create their own personal OKRs. These should align with the company’s objective while reflecting the individual’s unique strengths and responsibilities.

Here’s an example of the personal OKRs I set myself below the corporate OKRs from above. 

• Personal Objective: Master Amazon listing optimization and PPC management.
• Key Results:
  1. Achieve a 15% CVR on the Microgreens listing on Amazon US
  2. Achieve a 30% CAC via Amazon PPC, and
  3. Increase the repeat purchase rate to 1.5x

You need to make sure that these personal OKRs are aligned with, and in some way contributing to, the corporate OKRs. 

Essentially what you're doing when you invite your team to come up with their own OKRs is saying 'Hey, this is what the company as a whole is working on, can you tell me what you'd like to contribute towards this?'.

In my experience, this usually ends up being some combination of:

1. Stuff the individual is already really good at

2. Stuff they are not good at yet, but are keen to learn more about, and

3. Stuff that just needs to get done, and they happen to be the best person on the team to take care of it

(pro tip: use #3 sparingly. You want to aim for mostly #1 and #2 type KRs)

Common OKR Pitfalls to Avoid

Before finalizing your OKRs, check for what I call Zombie Key Results.

• A Zombie KR is a Corporate Key Result that no one on the team is actively working on.
• If a KR lacks ownership, it’s unlikely to move the needle.

Make sure every Key Result is tied to a specific initiative or team member.

How to Get Started

OKRs are incredibly flexible, which is why they’re so effective for small teams. While this framework worked for me, feel free to adapt it to your business. The most important thing is to start.

Final Thoughts

OKRs aren’t just a tool for managing goals—they’re a framework for aligning your team, focusing on what matters most, and maximizing your impact. By defining bold objectives, creating measurable Key Results, and empowering your team to contribute, you can unlock your full potential.