The problem with metrics

Consultants Mind

Metrics are everywhere. Metrics are a necessary evil of any project. The classic continuous improvement methodology DMAIC depends on M (measuring) and … Continue reading → Consultant Analysis Best Practices Consulting KPI Management consulting metricsAs a consultant, we are in the business of quickly understanding business problems, proposing solutions, and measuring results.

Most Important Metrics to Track for a Consulting Business: Video

Consulting Success

Video Transcript: Let’s talk about metrics. Specific metrics that you can use to get more clients, win more business , and actually grow your consulting business. There’s four metrics in one track. Metric number three that you want to track is proposals.

PMO Metrics: Simplifying Net Present Value (NPV)

The Clever Consultant

Metrics NPV PMO MetricsWhether you’re helping a client build a business case or, launching a strategic project, chances are you’ll need to get your hands dirty by calculating the Net Present Value (NPV) of their investment.

HR Metrics: How to Calculate Cost Per Hire

The Clever Consultant

Cost Per Hire (CPH) is one of the most common HR metrics used to measure recruiting effectiveness. Metrics HR Efficiency human resources Recruiting Costs

How to Cure a Bad Case of Metric Fixation

Strategy+Business

In The Tyranny of Metrics, history professor Jerry Muller reminds us that not everything that can be counted counts, and not everything that counts can be counted

How to Cure a Bad Case of Metric Fixation

Strategy+Business

In The Tyranny of Metrics, history professor Jerry Muller reminds us that not everything that can be counted counts, and not everything that counts can be counted

Looking Beyond Short Term Financial Metrics (Nigel Lake, Part 2 of 10)

Tom Spencer

Tom: Do you think that short term financial metrics are part of the problem in developing long term strategy? And so, there appears to be a disparity between what companies do and what the metrics are measuring. (Source: Flickr ).

Healthcare.gov Success Metrics - Net Promoter Score

Consultant Ninja

Ignoring the signup/website experience, I''m curious about the customer satisfaction and actual value from the core product. Interestingly I''ve seen zero data (though plenty of anecdotes) to support either direction. I''d like to run a separate survey targeting just people who have signed up. I''d just ask 4 questions: 1) Did you have health insurance prior to getting insurance via healthcare.gov? Yes/No] 2) If so, how are your health insurance premiums compared to your prior plans?

Powerful metrics with hidden variables

Seth Godin Blog

What factors lead to a search result showing up on page 1 or page 5 of Google? What about the popularity bar in iTunes? How does it work? Who decides what your salary is compared to the person down the hall? On this road, in this town, what's the threshold before you'll get a speeding ticket?

What is gap analysis?

Consultants Mind

Consultant Data gap analysis metricsGap analysis is exactly what is sounds like – figuring out how far you are from a particular goal or target. Consulting firms do this all differently. It takes many forms, but is super common. In fact, I can’t think of any project where we did not include at least one gap analysis somewhere. Nothing fancy. While… Read More » The post What is gap analysis? appeared first on Consultant's Mind.

Don’t Be Tyrannized by Old Metrics

Harvard Business

While effective metrics are essential for focusing attention and achieving results, they can also overpower better sense. Most industries cower to a few central metrics, the yardsticks that define the winners and losers. Metrics tried and proven over years become a guide to what’s important, driving resource allocation. But these metrics can become tyrants. When things change, outmoded metrics can threaten a firm’s survival. HBR STAFF.

Contact Center Metrics Tracking Toward Customer Centricity

1 to 1

Metrics such as average handle time (AHT), number of contacts handled, average wait time, and average speed of answer have all been heavily used and tracked. And while a couple of customer-centric metrics - customer satisfaction and Net Promoter Score - have become entrenched among contact center measurements, only recently have other customer-focused measurements such as Customer Effort Score and First Contact Resolution risen through the ranks.

Find the Right Metrics for Your Sales Team

Harvard Business

As a consequence, managers don’t have a clear sense of what is really driving sales in their business, while salespeople, who are inundated with dozens of metrics, get lost in the day-to-day noise. The challenge, of course, is to decide on the right metrics. Wins are the most common metric used across sales roles and industries. Finding the right metrics isn’t the end of the story.

Tesla Shows How Traditional Business Metrics Are Outdated

Harvard Business

At the core of the confusion over a company like Tesla is that traditional business metrics are outdated and can create overconfidence or underestimation. Classic metrics like market penetration and market share, which many leaders are measured on, are the very things causing us to miss market opportunities and threats. We don’t need to throw out all classic business metrics. But we should recognize their fundamental flaws and complement them with a new set of metrics.

The Key to Agile Success? Focus on Outcomes, not Metrics - SPONSOR CONTENT FROM CA TECHNOLOGIES

Harvard Business

For years, agile teams and organizations have measured success using process metrics – time to market, team throughput and cycle times, improved quality, and better predictability of output. As companies scale from agile projects to agile organizations, we must evolve the way we measure success – from process-based metrics to measuring business outcomes. By Surya Panditi, GM, Agile Management, CA Technologies.

We Can’t Study Short-Termism Without the Right Metrics

Harvard Business

The McKinsey Global Institute, in conjunction with FCLT Global, recently released research stating that long-term-oriented companies perform better than those that focus on short-term results. While a laudable effort in principle, measuring a company’s tendency to make myopic operating and investing decisions is fiendishly complex. Getting the measurement right is central to providing convincing evidence on the debate over short-termism.

A Better Metric for the Value of a Worker Training Program

Harvard Business

These metrics are useful but miss the big picture, in part because they mistake a program’s cost for its value. We developed a new metric — cost per employed day (CPED) over the first six months — that we believe better defines how well employment programs work. Debating the utility of specific metrics might seem like a minor thing. Data and metrics are part of the solution.

Feds Sharpen Focus on Using Customer Experience Metrics

1 to 1

Companies in the private sector continue to adopt customer experience metrics such as customer effort score and Net Promoter Score to get a better handle on how satisfied customers are and to help determine whether customer experience investments are paying off.

Why the Entire C-Suite Needs to Use the Same Metrics for Cyber Risk

Harvard Business

At the same time, members of the C-suite are measuring their potential impact using different metrics — financial, regulatory, technical, operational — leading to conflicting assessments. This lack of communication and coordination across functions makes it very difficult to assess the impact of cyber risk on the business as a whole or create any common metrics for doing so. Harry Haysom/Getty Images.

Research: Objective Performance Metrics Are Not Enough to Overcome Gender Bias

Harvard Business

Tooga/Getty Images. Imagine that you are choosing between two similar mutual funds, one managed by Marcus and the other by Tanya. Without additional differentiating information, there is no obvious reason to have a strong preference for one over the other. Yet in various contexts, such as entrepreneurship and hiring , people often exhibit a preference for men over women when information about an individual’s quality (for example, their expected performance) is unavailable or unclear.

The ROI of Everything

Joellyn Sargent

Frequently clients ask me to help them develop ROI models and marketing metrics that serve as a foundation for effective decision-making. Managing Marketing marketing metrics marketing ROI roi I’m glad they do, because understanding value returned from marketing investments is essential to a successful marketing effort, and it’s not as easy as it seems. A sound approach to measuring marketing ROI sits at heart of an agile marketing strategy.

ROI 130

How to take the measure of innovation

McKinsey

By combining two simple metrics, companies can gain valuable insights into their innovation performance. Strategy & Corporate Finance Insights

How to Properly Review This Year to Prepare Your Consulting Practice for Next Year

David A Fields

When evaluating the success of their year, consultants often review metrics like revenue, profit per partner, utilization and leverage. Prepare your consulting practice for the new year by identifying the specific, granular actions that will grow your firm.

Taking the measure of innovation

McKinsey

Don’t overlook the insight that two simple metrics can yield about the effectiveness of your R&D spending. Strategy & Corporate Finance Insights

Seth's Blog: The brand is a story. But it's a story about you, not about.

Seth Godin Blog

In markets that aren't natural monopolies or where there are clear, agreed-upon metrics, how do we decide? Seths Blog.Seth Godins riffs on marketing, respect, and the ways ideas spread. About. Archives. Subscribe. Recent Posts. "Oh, Oh, thats just a hack someone put together.". The sophisticates. Q&A: Purple Cows and commodities. Colors or numbers? Words are hooks, words are levers. Mumbo vs. Jumbo. Death and Taxes, 2014. The opposite of anxiety. Stoogecraft.

More tooth, less tail: Getting beyond NATO’s 2 percent rule

McKinsey

This excerpt from a new book published by Aspen Strategy Group offers a path to better and more meaningful metrics. Our Insights

Dry powder in private equity

McKinsey

Is dry powder anything to worry about, and is it a useful metric for the industry? Two McKinsey experts weigh in. Insights on Private Equity & Principal Investors

Hidden sources of better supply-chain performance

McKinsey

New data and metrics that tap underlying performance dynamics offer better visibility. High-level benchmarks often obscure paths to operations improvements. Our Insights

What if the Prospect is Long-Winded (or Unfocused)?

David A Fields

A question I was asked: What if you have a forty-five-minute minute meeting with a prospect and she spends the whole time talking about her situation and she never get to other parts of the Context Discussion like outcomes, metrics, and parameters?

Putting the 'Customer' in 'Service Optimization' - Think customers.

1 to 1

Though many companies approach service and support as just another metric to be maximized, those that emphasize quality over call times differentiate themselves from the competition and excel in customer satisfaction. Though many companies approach service and support as just another metric to be maximized, those that emphasize quality over call times differentiate themselves from the competition and excel in customer satisfaction.

Media 31

Lack of Shipping Demand Sends Big Ships to Scrap Heap (Trucking Next!)

MishTalk

The Wall Street Journal reports that about 1,000 ships that have the combined capacity to haul 52 million metric tons … Continue reading → Economics

Why Technology Matters

BCG

In this series of articles, we challenge the conventional wisdom that the powerful effects of technology aren’t visible in economic metrics. Article Monday, October 03, 2016. This is the first in a series of articles on technology economics.

What is worth measuring

Consultants' Consultant

Historian and author Jerry Muller of Catholic University talks about his latest book, The Tyranny of Metrics, with EconTalk podcast host Russ Roberts. Consultants Consultant: What is worth measuring? Is what we’re measuring worth measuring, or just easier to measure?

How to Build a Stronger Economy

Strategy+Business

Despite the prevailing metrics, he says, we're not in recovery yet. Jim Clifton, chief executive of the Gallup Corporation, has a robust theory about economic growth. True recovery requires more entrepreneurs, and his organization has found that the most vigorous entrepreneurs are immigrants

Instead of the easy numbers.

Seth Godin Blog

  I know that there's a long history of a certain metric being a stand-in for what you really want, but perhaps that metric, even though it's tried, might not be true. When you measure the same metrics, you're likely to create the same outcomes.

Why the Technology Economy Matters

BCG

Technology intensity is a proprietary metric that analyzes technology spending relative to a company’s and an industry’s revenues and to their operating expenses.). Article Wednesday, October 12, 2016.

The Power of Technology Economics

BCG

Despite its starring role in business and everyday life, many economists openly question whether technology is visible in traditional economic metrics such as GDP, productivity, and corporate profits. Report Monday, October 31, 2016.

Stop Chasing Likes: Social Media Success Start with Strategy

Joellyn Sargent

Metrics Shift. As market environment evolves, the nature of your metrics will shift. Whatever you’re measuring, whether it’s social referrals, subscriber growth, customer lifetime value, or some other metric, the context is critical.

Media 172

Why You Need to Keep Your Customers Close

Strategy+Business

But to reap the benefits of this model, executives will have to consider whether they are relying on the metrics that best predict the likelihood of customers' renewal, and whether their organization is set up to reveal and address the issues that may be driving customers away

Unleashing Technology, Media, and Telecom with Digital Transformation

BCG

In this age of exponential growth, value creation remains the best metric of superior strategy, transformation, and execution. Report Thursday, October 27, 2016. This is an era of disruption.

Media 101

Q&A On Management Consulting and Leadership Topics (On Quora)

Steve Shu Consulting

What metrics should be used to track the performance of a professional services organization? For those unfamiliar with Quora , it is one of the emerging “question and answer” sites on the Internet. Although its positioning is not quite clear to me yet, a point of difference relative to other sites (like Yahoo Answers) is that Quora integrates aspects of social networking technology.

How to Design the Ideal (and Most Profitable) Consulting Business

Consulting Matters

Set definite goals for your business with dates and metrics. If you’re a high-achiever SURELY, you’ve considered starting your own consulting business by now (if you haven’t already.)

How To 170

Three Mistakes to Avoid in Strategic Planning

Joellyn Sargent

Ineffective Metrics. Your plans aren’t really done until you figure out the right metrics to monitor so you can properly track progress. Many times I’ve seen random metrics come down as edicts that made no sense at all in the real world. . Planning for Success.