Why KPIs and Metrics Should Not Become Targets

In this video I talk about the dangers of turning business metrics or key performance indicators into target. If metrics become targets they will lose their effectiveness as metrics and will drive the wrong - and often dysfunctional- behaviours. I give some examples from manufacturing, the health service and the police that illustrate the point.

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Thanks for watching!

[shravankumar]

Excellent point Bernard!! one thing that comes to my mind is Grade and Learning, When we focus on grade our learning goals are not fully realized!! Our goal is learning but target becomes Grade and people try to find a way to maximize that at the cost of learning!!

[eseromavula]

Thanks Bernard. In my line of work, performance assessment on an individual's collection in terms of revenue per month. In order to maintain the target achievement, customers are advised on when to do payments so we don't fall short in following months target achievement. In short, give enough to achieve targets or else lose my job.

[trevorharrison]

by VR Basili — The Goal/Question/Metric paradigm is a mechanism for defining and evaluating a set of operational goals, using measurement.

[carlosrivas]

Si las métricas o valores de KPI se convierten en objetivos, ya se perdió el rumbo. Los mejores valores de las métricas son resultados de la mejor gestión o gerencia. Correcto, Bernard.

[produdeyay]

Doesnt the examples he covered just mean that the KPI's are set incorrectly? If set properly, I believe they can be targets.