TWHS#089: You're Getting Goals Wrong (And Here's What Actually Works)

Goals. OKRs. KPIs. SMART targets.

We've been told for years that setting goals is how you drive performance, align teams, and achieve results. But here's an uncomfortable truth: goals often create the exact opposite of what you want.

I just recorded an episode with Radhika Dutt, author of Radical Product Thinking, and she's challenging everything we think we know about goal setting. Her next book dives into why goals don't work—and what actually does.

Where Goals Come From (And Why That Matters)

Goal setting traces back to Peter Drucker in the 1940s. He developed it for General Motors' assembly line workers—unskilled labour doing repetitive tasks where it's easy to measure performance. Andy installed 45 tires, Tyler installed 40. Simple.

But today's work isn't repetitive. You're solving complex puzzles, doing creative problem-solving, working on challenges where there isn't one "right" way. Applying 1940s factory logic to modern knowledge work creates serious problems.

The Real Cost of Goals

Goals erode collaboration. They create performance theatre. People game the metrics instead of doing great work.

As Radhika put it: goals and targets are "like duct tape on foundational cracks."

The highest performers end up demotivated because they're watching others manipulate stats whilst doing double work themselves—one job to do the right thing, another to manage the metrics.

Try Puzzle-Setting Instead

Here's the shift: instead of asking "What are your goals this year?" ask "What puzzles would you like to solve for the business?"

Notice the difference? Goals feel overwhelming and commitment-heavy. Puzzles spark curiosity and ideas.

Radhika's alternative framework is called OHLs: Objectives, Hypotheses, and Learnings. The objective defines the puzzle you're solving. Then you ask three questions:

How well did it work? Look at leading and lagging indicators—but crucially, you want the good AND bad numbers.

What did we learn? Don't just spit out data. Interpret it. What's actually happening?

What are we going to do next? Based on your learnings, what will you try? This is where creative problem-solving kicks in.

Real Results

Radhika told a story about working with Signal Ocean, a maritime data platform. Sales had stalled despite having a great solution.  The puzzle: how do we keep growing?

By focusing on solving that puzzle rather than chasing numbers, they doubled sales in 2024, then again in 2025.

Customer churn dropped from 26% to 4%. Usage increased 180% in key areas.

They weren't chasing targets. They were solving puzzles. The results followed.

I`m definitely still learning about this, and need to think how to works for me.  But check out the full conversation if this has caught your interest.  Listen at TechWorldHumanSkills.com or wherever you get your podcasts.

Hope this helps.

BenP

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• Tech World Human Skills Podcast:  The latest episode is "Rethinking Goals.  There Must Be  A Better Way" with Radhika Dutt. Check it out on the Elevated You website,  Apple, Spotify, YouTube or Amazon Podcasts.