Beware of Vanity Metrics, Which Feel Good But Deliver Little | Tinder on Customers

The Big Themes:


The trap of vanity metrics: certain statistics you hear all
the time, like "we have 96% customer satisfaction," are not
telling the full story. These metrics are easy to come by and
make us feel good, but in the end they do not really help us.

Metrics that actually matter: in a digital transformation,
the stats that you need are those that tie back to business
objectives. This means revenue improvements, cost reductions, and
working capital improvements.

Trust but verify: Raven Intelligence can help with choosing a
vendor or partner by helping you verify the metrics you're
hearing from salespeople. It's important to confirm the source of
the stat, and its relevance to your business and goals.



The Big Quote: "You hear a statistic like 'on-time delivery.' But
how is that defined? Because if on-time delivery is 96%, and it's
based on a date that's moved eight times... Well, it's easy to
have an on-time delivery for a moving target. And so in those
types of cases, when you hear numbers like that, you always want
to sort of peel back the onion."

 


This episode is sponsored by BMC Software.


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