Cascading OKRs

Cascading OKRs is a pattern where high-level, strategic OKRs are broken down into more specific, tactical OKRs at lower levels. In an organizational context, company OKRs cascade to team OKRs, which may cascade to individual OKRs. Each level's OKRs should support those above it.

The cascading approach ensures vertical alignment: a Key Result at one level often becomes an Objective at the next level down. For example, a company Key Result of "Achieve $10M ARR" might cascade to a Sales OKR "Close 50 new enterprise customers" and "Expand ACV from $50K to $75K," which then cascade to individual sales rep targets.

While cascading creates clear alignment, it should be applied thoughtfully. Not every high-level OKR needs to cascade — some are complete at their level. And cascading should flow in both directions: top-down for strategic alignment and bottom-up for individual initiative. The best OKR systems combine about 60% top-down cascading with 40% bottom-up goal setting, allowing room for autonomy and creativity alongside strategic direction.