Step-by-Step: Designing Effective Metrics
Keep simple with three to five key metrics. Make actionable so measurement drives improvement. Align with goals avoiding distortion.
All articles tagged with "Metrics"
Keep simple with three to five key metrics. Make actionable so measurement drives improvement. Align with goals avoiding distortion.
Explore Goodhart's Law—when a measure becomes a target, it ceases to be a good measure—and how to design metrics that resist gaming.
Learn essential measurement and metrics terminology with clear explanations that help you design better metrics and interpret data correctly.
Understand what KPIs actually are, how they differ from regular metrics, and how to select and use them effectively without corporate jargon.
Understand when to use quantitative versus qualitative measurement, their strengths and limitations, and how they complement each other.
Scientific management quantified work. Accounting standardized financial measurement. Modern analytics expanded to all aspects of organizational performance.
Learn how to identify what truly matters to measure, avoid measurement traps, and design metrics that actually improve decisions and outcomes.
Learn to distinguish vanity metrics that look good but don't matter from meaningful metrics that actually drive decisions and outcomes.
Understand how metrics can deceive—through gaming, misinterpretation, and misalignment—and learn to use measurement without being misled.
Metrics create visibility making performance transparent. Accountability follows visibility. They enable improvement but encourage gaming the measures.
Quantitative metrics use numbers that are scalable and objective but miss context. Qualitative metrics use stories rich in context but subjective.
KPIs measure ongoing operational health with stable metrics. OKRs drive ambitious goals through objectives and key results focused on growth and stretch.
Metrics design checklist: Is it aligned with goals? Actionable and influenceable? Gameable by cheating? Leading or lagging indicator? Simple to understand?
UK hospitals held patients in ambulances to meet four-hour emergency room targets. Teaching to test scores narrowed education focus.
Metrics quantify performance. They create visibility, enable improvement through tracking, establish accountability, and drive behavior toward outcomes.