What if the very system we rely on to motivate teams and measure success is actually holding us back? Many leaders find their teams can hit targets but still feel stuck, which points to a fundamental flaw in how we approach performance management.

Traditional goal-setting methodologies like OKRs and KPIs, while well-intentioned, often create unintended consequences that work against the very outcomes they’re designed to achieve. The incentive structure encourages showing good numbers while sweeping problems under the rug, giving leaders the illusion of progress rather than real visibility.

Gayle Lantz speaks with entrepreneur and product leader Radhika Dutt, author of the upcoming book Escaping the Performance Trap: Why Goals and Targets Backfire and What Actually Works. Radhika has participated in five acquisitions, founded two companies, and currently advises organizations ranging from high-tech startups to multinationals on building radical products that create fundamental change.

Radhika introduces a fresh alternative to traditional goal-setting: OHLs (Objectives, Hypotheses, and Learnings). This approach shifts from target-hitting to puzzle-solving, transforming how teams think about success and creating a framework for continuous experimentation and adaptation.

Drawing from historical context including insights about Intel’s Andy Grove that go beyond his famous OKR methodology, Radhika explains why approaches designed for 1940s assembly line workers don’t serve today’s complex, knowledge-based challenges.

This episode covers:

• The hidden problems with traditional goal-setting methodologies and why they create perverse incentives 
• How OKRs, KPIs, and SMART goals often lead to the illusion of progress rather than real visibility 
• The difference between a “production mindset” and a “consumption mindset” when measuring success 
• OHLs (Objectives, Hypotheses, and Learnings) as an alternative framework focused on puzzle-solving 
• Three key questions that transform performance conversations and encourage continuous learning 
• Why evaluation-heavy approaches make people less receptive to feedback and development 
• Practical strategies for introducing change without overhauling existing systems 
• Cultural considerations and why this approach works across different organizational contexts

This episode challenges leaders to examine whether their current performance management systems are truly serving their intended purpose, offering a pathway to more meaningful measurement and sustained growth.

LINKS:

https://www.radicalproduct.com

linkedin.com/in/radhika-dutt

Previous CEO on the Go Episodes:

Stop Chasing Happiness: Start Generating It to Amplify Your Impact

Keep it Simple: Why Less is More in Leadership