[2/3] The Tyranny of Metrics (Tyranny of indicators) (Category Management)

Beyond laying out cover and story I decided to list the unforeseen but predictable negative consequences of the thoughtless introduction of metrics. 1) Switching goals by focusing on what can be measured When performance is judged by multiple metrics and the stakes are high, people focus on their achievements, scoring on everything else. In fact, these metrics take the place of the organizational objectives to be achieved. 2) Focusing on short-term results n Long-term results are usually excluded from consideration because they are difficult to cover with metrics and wait too long. Here I immediately remember Khoja Nasruddin with his story about the Ishak.

Nasruddin says that he once argued with the Emir of Bukhara that he would teach his Ishak theology so that the Ishak would know him no worse than the Emir himself. It takes a purse of gold and twenty years of time. If he does not comply with the terms of the dispute, head off his shoulders. Nasruddin is not afraid of imminent execution: "For in twenty years," he says, "one of the three of us will surely die - either the emir, or the Ishak, or I." Then find out who knows the best. 3) Loss of working time Few people consider the cost of collecting and analyzing all the data needed to build reports. 4) Growing number of rules In an effort to stop the flow of manipulation, rigging, and targeting, organizations multiply rules and bureaucracy. 5) Luck reward Employees often have little control over the results against which they are judged. And the reward for such results is actually the reward for luck. There's a joke about recruiters. Sitting two recruiters late at night and doomingly staring at a stack of resumes. This mountain needs to be worked out today. One of them takes half a pile and drops it into a shredder.

• What are you doing? What if there are serious candidates?
• Why do we need losers? 6) Suppressing hunting to take risks Risky actions often do not bring results and no one appreciates the expectation of these actions. (conditionally)They look at the final result. As a result, taking risks becomes dangerous. 7) Suppression of cooperation and pursuit of a common goal Rewards for key results promote competition rather than cooperation. Some employees or entire departments begin to strive for local optimal performance, sometimes even to the detriment of colleagues. Degradation of the labor process Focusing on a narrow range of assessed tasks leads to a degradation of job satisfaction. The metrics that are constantly monitored by someone stop understanding how they relate to their reality. They abstract from the work and begin to do it mechanically. The most adventurous and enterprising begin to leave such places. 9) Impact on productivity The author of the book notes that in the United States productivity in recent years has grown only in the field of IT. He asks whether this is due to the general tyranny of indicators.

#Data #Statistics #Management #Leadership #Processes