Innovative Organizational Structure and Management Practices: OK System and OKR at Ctrip

The author, a senior project manager at Ctrip, shares how the company’s Train Ticket SBU has built an innovative management model over four years, centered on the OK system (OK groups) and OKR goal‑setting to maintain agility and avoid the pitfalls of large‑company bureaucracy.

Innovative Organizational Structure – OK System – OK groups function like self‑organized mini‑startups with three roles (O: product manager, K: development manager, and a cross‑functional delivery team). They replace traditional hierarchies, reduce middle‑management friction, align incentives, and keep team sizes comparable to Scrum teams.

Efficient Operations – OKR – OKR replaces chaotic KPI practices, providing clear, measurable, and ambitious objectives that evolve with business needs. The framework emphasizes focus, transparency, autonomy, and decoupling from performance appraisal, fostering rapid decision‑making and cross‑functional collaboration.

Entrepreneurial Incentive – "投名状" – Teams commit personal investment against performance baselines, sharing upside when targets are exceeded and bearing downside when missed, thereby motivating a startup‑like mindset and aligning rewards with results.

Talent Development – Huangpu Training Camp – A specialized program for product and development managers teaches OKR, entrepreneurship, and the OK system, using a multi‑stage, blended learning approach that includes real‑world projects, assessments, and graduation certification linked to career advancement.

Cultural Transformation – The shift from a traditional layered hierarchy to a flat, self‑driven culture requires senior leaders to act as coaches and investors, fostering trust, innovation, and continuous improvement across the organization.