How does honor work? is it a point system?

First off: If there is a link to a site that explains it, please just comment that and don't read this because it would be pointless anyways, is the honor system a point system? how does it work? ive been playing since the honor update and STILL haven't gotten honor 3, while my friend played a couple games and got honor 3 instantly. Now people are getting honor 4 and im just confused.