In today’s management landscape, many organizations still view KPIs primarily as tools for assigning tasks and assessing individual performance. Over time, this approach weakens the connection between KPIs and the organization’s overall goals and strategic direction. As a result, KPI systems often fail to inspire action or drive meaningful performance improvement, gradually becoming a measurement burden rather than a strategic lever that mobilizes people and accelerates organizational results.
From this perspective, the workshop “Building MBO – OGSM – KPIs ver. 2026: From Strategy to Action” organized by Phi&P on January 9, 2026, was designed as a professional discussion space for HR teams and managers across levels. Rather than focusing on “adding more KPIs,” the program invited organizations to step back and re-examine how they manage goals, in order to redesign an MBO–OGSM–KPIs system that truly drives action and delivers sustainable value.
Reframing the Essence of Goal Management and KPIs
A key focus of the workshop was clarifying the distinction between output and outcome in goal management. In practice, many organizations are effective at tracking workload indicators such as volume, frequency, or speed, yet these metrics often fall short of capturing the real value created for the organization and its customers.
From this starting point, the workshop guided participants to revisit the role of Management by Objectives (MBO). MBO is not merely about assigning targets; it represents a continuous management process in which objectives are clearly defined, consistently cascaded, and continuously monitored and adjusted throughout execution.
Connecting MBO – OGSM – KPIs: From Strategy to Action
The core of the workshop centered on clarifying how MBO, OGSM and KPIs work together within an integrated goal-management system:
- MBO establishes management objectives across different organizational levels;
- OGSM translates those objectives into strategic direction and concrete action plans;
- KPIs measure how effectively strategies and actions are executed, rather than simply tracking workload.
From this perspective, KPIs are no longer isolated metrics for individual evaluation, but indicators that reflect the success of strategic execution. While KPIs provide specific units of measurement, OGSM serves as the structural framework that shapes the organization’s entire system of objectives and actions.
The workshop also emphasized vertical alignment of goals from company – departments – individuals, to ensure consistency between strategy, action, and results. Through a real-world case from Starbucks and its Mobile Order & Pay initiative, participants explored how OGSM helps refocus strategic priorities, select appropriate strategies, and design measurement systems that reflect overall operational effectiveness, rather than surface-level outcomes.
MBO – OGSM – KPIs Form Integrated with BSC (Balanced Scorecard) – Version 2026
One of the most engaging segments of the workshop was the introduction of the MBO – OGSM – KPIs framework integrated with the Balanced Scorecard (BSC), version 2026. Goal management was approached through four balanced perspectives: financial performance; customer value and experience; internal process effectiveness; and the organization’s learning and development capabilities.
During the hands-on session, participants worked with a simulated 2026 business scenario, discussing how to define appropriate goals, strategies, and measurement indicators. A key principle was reinforced: every strategy must be supported by a clear and sufficient measurement system—robust enough to track effectiveness, yet simple enough to avoid creating operational burden.
Workshop concluded with a guiding message for leaders, managers, and HR professionals: KPIs only deliver real value when they are positioned correctly within a coherent and consistent goal-management system. When that alignment is achieved, KPIs move beyond control mechanisms and become a shared language that connects strategy, action, and people across the organization.
