Beyond OKRs: Reimagining Productivity for Stakeholders, Not Just Shareholders

Introduction: The OKR Dilemma

In today’s fast-paced business world, OKRs (Objectives and Key Results) have become a dominant framework for driving measurable outcomes and keeping teams aligned. They offer clarity, focus, and a data-driven approach to achieving results. But as more companies adopt this system, a critical question emerges: Are OKRs truly helping us achieve sustainable success, or are they fostering a culture that prioritizes immediate returns over long-term growth?

It’s not uncommon to hear responses like, ‘It’s not part of my OKRs,’ when asking for collaboration or mentorship, as OKRs can sometimes narrow the focus on individual goals rather than team-oriented efforts. This phrase highlights a potential flaw: OKRs, by their nature, focus on individual achievement and quantifiable results — but at what cost? In a system that emphasizes results, the broader and often intangible benefits of collaboration, mentoring, and creativity risk being overlooked. This raises an even larger question: Are we using OKRs to deliver short-term gains for shareholders, or are we building cultures that serve employees, communities, and the world — focusing on all stakeholders?

ByteDance: The Pitfalls of a Results-Driven Culture

ByteDance, the parent company of TikTok, provides a striking example of how an aggressive OKR culture can shape corporate environments in ways that may not be sustainable. Known for its high-pressure, results-oriented culture, ByteDance initially implemented bi-monthly OKRs, creating a system where employees were pushed to meet rapid, short-term goals. This led to significant burnout and high employee turnover, with reports of high stress and dissatisfaction [1].

Although ByteDance has since shifted to quarterly OKRs to reduce the pressure, the core issue remains: the relentless pursuit of measurable results leaves little room for collaboration or personal development. Mentorship, creative exploration, and teamwork may not be recognized unless they directly align with OKRs, and as a result, these elements of a healthy workplace culture are often neglected.

This is not an isolated case. ByteDance’s focus on short-term OKRs mirrors a broader trend of companies prioritizing results for shareholders over the more holistic development of their stakeholders, including employees and society.

The Shareholders vs. Stakeholders Debate

At the core of this issue is the larger philosophical question: Why do firms exist? Is the purpose of a company to maximize profits for its shareholders, or should it serve a broader group of stakeholders — including employees, customers, communities, and the environment?

In a shareholder-focused model, companies are often incentivized to prioritize immediate returns, leading to a short-term focus. This approach can undervalue the human elements of work, such as mentorship, creative problem-solving, and teamwork, because these aspects of work don’t directly contribute to quarterly earnings or measurable OKRs.

On the other hand, companies that adopt a stakeholder-focused model recognize that their long-term success depends on a broader set of factors, including employee well-being, societal impact, and sustainability. Patagonia exemplifies this stakeholder approach. As a certified B-Corp, Patagonia prioritizes its employees, environmental sustainability, and social responsibility — while still achieving impressive profitability. Patagonia’s success proves that purpose-driven companies can thrive financially, challenging the notion that focusing on stakeholders means sacrificing profits [2].

OKRs and Corporate Culture: A Double-Edged Sword

While OKRs undeniably offer clarity and focus, they also have the potential to shape corporate culture in ways that undermine collaboration and mentorship. When individual success is measured solely by the achievement of specific key results, employees may:

• Hesitate to collaborate: If helping a colleague doesn’t directly contribute to one’s own OKRs, there’s less incentive to offer support.
• Neglect mentorship: Experienced employees may deprioritize mentoring junior colleagues, as mentorship is often hard to quantify and doesn’t fit neatly into OKR metrics.
• Avoid creative risk-taking: Employees may steer clear of innovative approaches that don’t have a guaranteed, measurable outcome tied to their key results.

This singular focus on results can, over time, stifle long-term growth and personal development, as companies miss out on the value of deep engagement, shared learning, and creative exploration.

Spotify: Balancing Results and Well-Being

Spotify provides a strong example of how companies can achieve productivity while prioritizing employee well-being and creativity. Rather than focusing solely on results, Spotify emphasizes autonomy, innovation, and fostering an environment where collaboration thrives. This balance between measurable outcomes and nurturing personal growth enables employees to engage in meaningful work while maintaining their well-being [3].

Spotify’s culture demonstrates that companies don’t have to sacrifice employee satisfaction to achieve high productivity. By fostering a workplace that values creativity and teamwork, Spotify has cultivated a highly engaged workforce that drives results without burnout. The company’s success highlights how a people-centric approach can lead to long-term sustainability and innovation.

This strategy aligns with the philosophy of the Swedish education system, which prioritizes the learning journey over purely results-driven assessments. Spotify’s work culture encourages exploration, creativity, and collaboration, supporting long-term success for both the company and its employees.

Rebalancing OKRs: Fostering Collaboration and Shared Learning

In many organizations, OKRs inadvertently discourage collaboration because they place too much emphasis on individual achievement. This focus on short-term targets often results in experienced team members being less willing to share knowledge or help junior colleagues grow, as these activities aren’t directly measurable and don’t contribute to their OKRs.

Yet, fostering deeper engagement requires rebalancing the focus of OKRs — creating space for thoughtful interaction and teamwork, even when these efforts are not immediately measurable. Perhaps the key lies in redefining productivity. True productivity isn’t just about ticking off tasks but also about investing in shared learning, creativity, and collaborative growth. These long-term contributions may not always fit neatly into an OKR spreadsheet, but they are critical to building resilient teams and sustainable success.

Conclusion: Redefining Success and Productivity

OKRs have undeniably transformed the way modern businesses operate by providing clarity, direction, and a focus on measurable outcomes. They serve an important role in keeping teams aligned and driving results. However, as companies become more reliant on OKRs, it’s vital to recognize that the human elements of work — such as collaboration, mentorship, and creativity — should not be sacrificed in the pursuit of short-term results.

While OKRs can satisfy shareholder expectations, they risk overlooking the broader needs of stakeholders, including employees, communities, and society. Companies like Patagonia and Spotify have shown that adopting a stakeholder-centered approach, one that balances results with well-being, purpose, and engagement, can lead to sustainable success. These organizations demonstrate that by nurturing the long-term growth and health of employees, companies can thrive beyond just achieving measurable outcomes.

Yet, it’s important to acknowledge that most professionals don’t always have the luxury of prioritizing collaboration or creativity over immediate tasks. In today’s economic climate, where layoffs and heightened competition are constant threats, many employees are compelled to focus on short-term survival. Earning a living and meeting performance metrics often takes precedence over long-term development, mentorship, or fostering shared learning.

Despite these pressures, there are still opportunities to integrate collaboration, creativity, and thoughtful engagement, even in small ways. Whether it’s mentoring a colleague or carving out space for teamwork, these efforts — while not always directly tied to OKRs — can contribute to more resilient, engaged teams in the long run. Striking this balance is a challenge, but it’s a pursuit worth striving for, both for individual fulfillment and the long-term success of organizations.

Ultimately, redefining productivity means not just completing tasks but investing in shared growth, creativity, and collaboration. It’s about reimagining what success looks like in a world driven by measurable outcomes and ensuring that our focus extends beyond just meeting short-term results to include the well-being of all stakeholders — employees, society, and the environment.

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References

1. ByteDance’s aggressive OKR culture, leading to high turnover, reflects the potential downsides of a results-only focus (South China Morning Post, Business Today Online Journal).
2. Patagonia’s success as a B-Corp highlights the profitability of a stakeholder-focused approach (Home of Business Chief News).
3. Spotify’s emphasis on creativity and autonomy demonstrates how fostering a supportive work environment can coexist with productivity (Analytics Insight).