Vol 7 – When a measure becomes the target, it ceases to be a good measure

When a measure becomes the target, it ceases to be a good measure – relevance of Goodhart’s Law

In the world of data analytics that we live in, its no longer relevant if you are measuring data, but what is increasingly becoming important is what you measure.

We live in a world where we are taught to hit targets – be it personal with regard to our sleep, weight etc or be it business with regard to our revenue targets, client retention rate etc. However , these our outputs whose measure loses relevance over time. What is important for the owner or management is to measure the inputs and coming up with the inputs will take increasing precedence over time. The article below covers the same referencing how Amazon did this through the history of their organization.

Click the link to read the article – https://commoncog.com/goodharts-law-not-useful/