The "just keep iterating" mindset, popularized by Lean Startup and Agile, is dangerous without a clear vision acting as a filter. It encourages a "throw things at the wall" approach, resulting in "pivotitis" (constant, aimless pivoting) and a lack of meaningful, long-term progress.
OKRs and SMART goals are repackaged versions of Peter Drucker's 1940s "Management by Objectives." This framework was designed for simple, repetitive tasks on an assembly line, making it fundamentally unsuited for today's complex, knowledge-based work where problems have no single right solution.
Instead of setting rigid goals, the OHL framework defines objectives as puzzles. Teams then form hypotheses on how to solve them and are measured on their learnings through a cycle of three questions: "How well did it work?", "What did you learn?", and "What will you try next?"
The human brain is wired to enjoy solving challenges. Asking "What puzzles would you like to solve?" sparks passion and ownership. In contrast, asking "What are your goals?" often elicits a feeling of obligation and a list of burdensome tasks, draining the work of its inherent meaning and excitement.
The culture around OKRs often treats the framework as gospel. When teams struggle, the default response is "you're doing them wrong," labeling critics as heretics. This prevents genuine discussion about whether the system is fundamentally flawed, trapping organizations in a cycle of failed implementation.
Setting rigid targets incentivizes employees to present favorable numbers, even subconsciously. This "performance theater" discourages them from investigating negative results, which are often the source of valuable learning. The muscle for detective work atrophies, and real problems remain hidden beneath good-looking metrics.
Focusing on individual performance metrics can be counterproductive. As seen in the "super chicken" experiment, top individual performers often succeed by suppressing others. This lowers team collaboration and harms long-term group output, which can be up to 160% more productive than a group of siloed high-achievers.