O stands for outstanding! It means that your student has gone beyond what was expect and did fabulous work.
G means good or great. It means that the task was completed well and it is something to be proud of.
N means "needs improvement." The work was completed, but it needs some extra attention. It should be worked on at home.
U stands for unacceptable. Often times this occurs when a student misunderstands the directions or does not put their full effort into the project. Many times I will ask the part or all of the assignment be completed again in this circumstance.