Metrics_ How to Improve Key Business Results - Martin Klubeck [8]
“So what do I do with the measures?”
“You collect them, track them, and we use them as indicators to see if there’s anything we’re missing and if you’re making progress.”
“So, I have to improve these numbers?” the pig asked as he took the chart.
“No. You have to get healthy. Those numbers will just give us an idea if you’re on the right track.”
The third little pig snorted. “What’s the difference?”
“Well, there are many indicators. Blood pressure, weight, and cholesterol levels are just three. I do want you to improve these areas, but not at the cost of other areas, such as how well you sleep, if you get enough exercise, stress tests, memory, nutrition, etc. The goal is to be healthy—not only clinically, but emotionally.”
“So, I don’t have to improve these numbers?”
“No, you could feasibly get healthier without improving some of those specific measures.”
“So, what’s the plan?”
“Good question, little pig!” The doctor laid out a simple improvement plan for the little pig. He also showed the third little pig how to take his blood pressure, weight, and cholesterol levels. He had the little pig fill out a daily journal and a weekly online diary. The weekly online diary included the data he collected, a “how I feel today” meter, and a section where he was supposed to log what he had done that week to get healthy. The doctor promised to check the online diary, and if there was anything that seemed out of place, he’d contact the little pig.
“I hope you don’t think I’m micro-managing you,” the doctor said. “I just want to keep informed on your progress. It’s very important to me that you get healthy.”
“No, I like it,” the third little pig said, knowing that his doctor cared. “But why don’t you give me a whole battery of tests every month?”
“That’s more than we need. I wouldn’t put you through all those tests unless something in the metrics indicates a need for it. That way I don’t waste your time or your money.”
By the six-month mark, the third little pig was looking better, feeling better, and based on his doctor’s evaluation, doing better. By the ninth month, he was doing great. He looked really good. He garnered a lot of compliments from friends and coworkers. He was on his way.
The End
I’m sure my version won’t become an accepted sequel to the traditional fable, but it served its purpose. My daughter fell asleep about halfway through.
Data
We’ll start with some basic terms that will allow us to communicate more clearly. Data, measures, information, and metrics are distinctly different, but fully intertwined entities. Each builds upon the other. Metrics are made up of other metrics and information. Information is made up of measures, and measures are comprised of data.
Figure 1-1 illustrates disparate entities that many times are mistakenly associated with or thought of as metrics.
Figure 1-1. Data relationship map
Data is most commonly defined as “individual facts, statistics, or items of information.” This definition, however, is overly generous. It implies accuracy. Moreover, it implies a level of usefulness that is not inherently present in data. Data, for our purposes, is the simplest form of information possible and is usually represented by a number or value; for example: six, twenty-two, seventy, true, false, high, or low. By itself, data is essentially useless because it fails to relate any meaningful information. As in Figure 1-1, some data can be “related” as represented by overlapping bubbles, but this is not part of the definition of data.
Data is the simplest form of information possible. It is usually represented by a number or value.
Data can be wildly unrelated (the bubbles far apart) or they can be correlated through a common purpose. When analyzing data, a relationship map can provide a visual representation of the data’s relationship to other data. Many times a relationship is mistakenly assumed to exist between data because the data comes from a common