JS
SK
SK1Q&A
Most teams track metrics that look impressive on paper but fail to drive meaningful progress toward their actual objectives. Industry experts reveal twenty-five alternative success measures that align daily work with strategic outcomes, from prioritizing clean speed over raw accuracy to linking compensation with milestone completion. These metrics reshape how teams set goals, make decisions, and ultimately achieve results that matter.
SK
Joe SpisakCEO, Fulfill.comWe had a warehouse manager at my fulfillment company who was crushing his KPI: 99.7% order accuracy. He got bonuses, praise, the whole thing. Then I noticed our customer retention was tanking. Turns out he'd trained his team to process orders incredibly slowly - triple-checking every pick, every label, every box dimension. Accuracy was perfect but orders sat in picking queues for 18 hours. Customers were furious.
I learned metrics are weapons. Point them the wrong direction and they'll blow up in your face.
The fix? I stopped measuring accuracy as a standalone number and created what I called "clean speed" - orders shipped same-day with zero errors. Suddenly the team couldn't game it. You had to be both fast AND accurate to win. Sandbagging disappeared overnight because speed was baked in. Our same-day ship rate jumped from 64% to 91% in six weeks while maintaining 99%+ accuracy.
Here's what I do now at Fulfill.com when setting success measures: I ask "what bad behavior would this metric reward?" If a 3PL brags about their pick accuracy but won't tell you their same-day ship rate, they're probably slow as hell. If they tout low shipping costs but won't share damage rates, they're probably using the cheapest carriers and destroying your brand reputation.
The best metrics create natural tension. Speed versus accuracy. Cost versus customer experience. Growth versus profitability. When you measure both sides of that tension simultaneously, people can't optimize for one at the expense of the other.
My rule: every metric needs an evil twin. Revenue needs a profitability twin. Growth needs a churn twin. Efficiency needs a quality twin. Measure one without the other and you're basically asking your team to lie to you with data.
When Nature Hills Nursery came to us, their old 3PL was measuring "orders fulfilled" but not "orders fulfilled without damage." They were shipping 10,000 plants a week with a 12% damage rate. We matched them with a 3PL that measured both volume and quality together. Damage dropped to 3% because suddenly the warehouse team couldn't hit their numbers by rushing fragile inventory through the line.
The metric you choose literally shapes the behavior you get. Choose carefully.
Sahil KakkarCEO / Founder, RankWatchI start by asking what decision this metric should improve instead of what report it will decorate. A good metric should guide better choices and keep the team focused on what matters. I pair one outcome metric with one quality check and one speed check so progress stays balanced. This helps teams improve without taking shortcuts that look good only in reports.
One change that improved our focus was tracking returning visitors who reached a high intent page and stayed engaged. This gave us a clearer view of meaningful interest instead of surface level activity. It encouraged better content decisions and stronger alignment with the right audience. It also led to more useful conversations about what was creating real value for the business.
One of the biggest mistakes organizations make is measuring activity instead of impact. Metrics should reinforce the behavior that creates lasting business value, not simply reward volume or speed. A particularly effective shift involved replacing course completion rates with post-training skill application measured through manager feedback, performance improvements, and on-the-job assessments. That single change redirected attention from finishing training programs to demonstrating measurable capability in the workplace. Research from McKinsey & Company shows that organizations aligning learning initiatives with measurable business outcomes are significantly more likely to achieve performance improvements, while studies by Gallup consistently find that employees perform better when expectations are tied to meaningful outcomes rather than activity alone. The most effective success measures make the desired behavior impossible to misunderstand and difficult to game, ensuring progress reflects genuine business impact instead of favorable reporting.
Ydette FlorendoMarketing coordinator, A-S Medical SolutionsI pick success measures by starting with the actual result we want for patients and clinics, then reverse-engineering so the number itself rewards the right moves and leaves no room for gaming. At A-S Medication Solutions we never settle for vanity counts that look good on a slide but hide weak follow-through. If the goal is stronger medication adherence through point-of-care dispensing, we refuse to let teams chase raw dispense volume. That metric invites sandbagging with quick, low-value fills that never improve care.
Instead we lock onto completion rates: how many patients leave with their meds at the visit and stay on therapy. We still glance at volume, but only as a secondary check. The primary scoreboard has to be the outcome that matters to the provider and the patient.
One clear switch that sharpened our focus was dropping pure site-volume targets in favor of adherence-completion percentages across our network. We service more than 3,600 provider dispensing sites nationwide, licensed in all 50 states from our Libertyville headquarters. Volume numbers always looked strong, yet they didn't force anyone to fix drop-off after the appointment. Once we made completion the main metric, teams redesigned education, packaging, and follow-up so patients actually finish what they start. It's harder to fake, it cuts human error with our automated tools, and it matches the model we've run since 1968: get the right meds into hands at the visit so adherence sticks.
That single change stopped the side effects of number-chasing and kept every conversation centered on real patient results. When the metric itself demands the behavior you want, sandbagging becomes pointless and the whole organization pulls in the same direction.
Ysabel FlorendoMarketing coordinator, SouthPoint Geodetics LLCSuccess measures work best when they mirror the outcome you actually care about, not just the busywork that feels productive. I look for metrics that force the team to protect quality and client confidence, because anything that rewards raw volume can create side effects like rushed field checks or sandbagged timelines. At SouthPoint Surveying we serve property owners, builders, real estate professionals, lenders, and insurance companies across Harlingen, Brownsville, and surrounding South Texas communities, so our key goal is accurate surveys that support clean real estate transactions and construction without costly do-overs.
We choose measures by asking if they encourage the right behavior under pressure. If a number makes people hide problems or pad estimates, we drop it. One metric choice that clearly improved focus was moving away from counting completed jobs alone and instead tracking the percentage of Boundary Surveys and ALTA/NSPS Land Title Surveys that pass client review on the first submission. That single shift stopped any temptation to sandbag schedules or skip verification steps with modern GPS and conventional methods. Crews now own the real result: precise data that builders and lenders can trust right away.
We've found this keeps everyone aligned when resources are tight, and we explain the tradeoffs clearly so clients understand why accuracy beats speed. It's how we build trust through clear communication every day. That metric locks our eyes on professional responsibility and the property decisions that matter most for our clients.
Ankit SarawagiCurator, CFO MatrixWhen I set success metrics, I strive to use leading and milestone-based indicators. Those that demonstrate the progress towards the goal as opposed to focusing exclusively on end-state measures. For instance, I set the number of completed milestones as a metric for successful operations in the project I managed. The project saw a significant improvement in customer onboarding and early engagement. The metric guided the team towards the desired outcome, discouraged premature completion of milestones, and served as a useful guidepost that we referenced frequently to recalibrate the finish line.
Sahil AgrawalFounder, Head of Marketing, Qubit CapitalI bought a step counter last year and within 4 days I was walking loops around my kitchen at midnight. Nobody was watching. I cheated anyway.
I set the targets here, so the gaming is mine to own. My marketing team was measured on leads passed to sales and the count climbed every month while nothing behind it moved. Our customers are early-stage founders trying to reach investors, so I swapped the measure to leads that reached a first investor meeting, roughly 30 or 40 days later. Volume fell by more than half. Nobody sandbagged, which I did not expect from a lag that long. The team also stopped arguing with sales about lead quality and I can't connect that to anything I did. I still have the step counter. I do not wear it.
Steven MittsCEO, FounderAs a founder/operator, Steven Mitts doesn't trust metrics that only prove people were busy. He wants KPIs that show whether the business is actually getting healthier.
Across building and advising companies, Steven has learned the right KPI has to connect directly to the business outcome. If the goal is growth, founders should not stop at lead volume. They need to track qualified pipeline, conversion rate, sales velocity, retention, and margin. A team can hit a lead target and still miss the real objective.
Steven often warns founders about rewarding one metric without watching the side effects. If you only reward sales volume, you may create bad-fit customers. If you only reward speed, quality can drop. If you only reward cost reduction, you can starve growth. His MBA training reinforced what operating experience taught him: incentives drive behavior, and every business is a system with feedback loops. When a metric becomes a vanity number or creates a perverse incentive, leadership has to redesign the measurement system — not blame the team for responding to it.
One example Steven uses often is marketing. Don't measure raw traffic alone. Measure traffic-to-qualified-lead conversion and lead-to-revenue contribution. That forces the team to optimize for the full customer journey, not just top-of-funnel noise.
His philosophy was shaped by early venture experience, where strong activity at the top of the funnel masked problems further down the customer journey: qualification, conversion, and revenue contribution. This was evident when he managed logistics for thousands of troops as a U.S. Army Captain, where he learned to make high-stakes decisions under pressure with incomplete information. That experience taught him to evaluate performance by asking, "Is this activity creating the business result we actually need?"
Good metrics don't just report performance. They shape behavior. Choose the wrong ones, and you get motion. Choose the right ones, and you get progress.
Wayne LowryExecutive Director / CEO, Sunny Glen Children's HomeChoosing the right success measures means anchoring them to the outcome that actually changes lives, then stress-testing for gaming or distortion. At Sunny Glen Children's Home we ask if a metric would still look good if someone cut corners on the kids' emotional and spiritual needs. If it wouldn't, we scrap it. We build trust with our teams and stakeholders by communicating the why behind every number and by researching what past cases taught us about real progress. That process keeps sandbagging out because no one wants to hit a target that leaves a child worse off.
One metric choice that clearly improved focus was moving away from simple occupancy rates in our child care and residential services toward measuring successful transitions into Supervised Independent Living for youth aged 18-21 at the Allen House. Occupancy tempted folks to stretch stays. The transition rate forces everyone to prepare kids properly for independence. It drives the right behavior: counseling through the Poenisch Counseling Center, skill-building, and rebuilding trusting relationships. We've used that shift to stay locked on restoring hope for vulnerable children in the Rio Grande Valley. Since we were founded in 1936 we've served more than 25,000 children, and this kind of metric helps us keep delivering as a CARF Accredited organization without creating side effects. When resources are tight we prioritize what moves kids forward, and this metric makes the tradeoffs obvious so the whole team rows in the same direction. I'm convinced it's why our work keeps producing lasting results for the children who need us most.
Belle FlorendoMarketing coordinator, Mano SantaI've learned that the best success measures lock the team onto outcomes that actually matter to our lenders and borrowers, not just busy work that looks good on paper. We pick metrics that reward real reliability instead of quick wins that might encourage sandbagging or cut corners. If a number can be gamed by delaying hard conversations or ignoring early warning signs, we toss it out. At Mano Santa Note Servicing we manage payment streams and keep records accurate for portfolios, so our goals always center on peace of mind and low risk.
One metric choice that clearly improved focus was tracking our delinquent ratio and holding it under 1%. Before we zeroed in on that, teams sometimes leaned too hard on volume of payments processed, which felt productive but didn't always prevent problems down the road. Once we made the sub-1% delinquency rate the north star, everyone shifted energy toward personalized support, early outreach through our Lender's Portal and Borrower's Portal, and clean record keeping. It stopped any temptation to sandbag by waiting until accounts went bad. With over 30 years of combined industry experience and more than 5,000 clients served, we've seen how this keeps lenders confident and borrowers on track. I'm convinced this approach builds lasting trust because it forces us to prioritize the health of every note, not just the easy stats. Don't chase vanity measures that create side effects; pick ones that mirror the outcome your clients feel every day.
Ben FrederickFounder, Dr. Frederick's OriginalI used to track how many new customers bought each product in a given month. The number filled a dashboard, but I had no visibility into whether those buyers came back. My team optimized around that metric by running deep discounts that pulled in one-time purchasers who never placed a second order.
I switched to repeat purchase rate. Once that became the number we reviewed every Monday, we started looking at which products drove second orders and which ones stalled after the first. We reworked packaging on a few items because post-purchase feedback showed customers were unsure how to use them. We stopped greenlighting discounts that could not survive a 90-day look-back, and my product mix started reflecting what people wanted to reorder.
Shoaib MughalFounder, Marketix DigitalWe avoid vanity metrics because people naturally optimise for whatever they're measured against.
Instead of reporting rankings or traffic as the primary success measure, we align campaigns with business outcomes such as qualified leads, revenue, or pipeline growth. Rankings and traffic become supporting indicators rather than the objective.
One change that significantly improved decision-making was shifting client conversations from "How many keywords reached page one?" to "How much additional revenue did organic search generate?" That single change encouraged better strategic decisions, better content investments, and stronger alignment between marketing activity and commercial outcomes.
Runbo LiCEO, Magic Hour AII'm Runbo Li, Co-founder & CEO at Magic Hour.
The biggest mistake people make with metrics is measuring what's easy to count instead of what actually matters. Easy metrics feel safe. They go up reliably. And they teach your team to optimize for the wrong thing.
My rule is simple: pick the metric that, if it moved and nothing else did, you'd still be happy. Then ask the inverse, if everything else moved but this didn't, would you feel like you failed? That filter kills vanity metrics fast.
Here's a concrete example. Early on, we could have obsessed over signups. Signups are easy to grow. Run more ads, lower friction, offer free credits. But signups don't pay rent. We chose "videos exported" as our north star. Not videos started, not prompts entered. Videos someone actually finished and took with them. That single choice changed everything about how we built the product. It meant we had to care about render quality, speed, template clarity, and whether someone could actually get a result they were proud of in minutes. It aligned engineering decisions with user satisfaction without needing a 40-slide OKR deck.
The anti-sandbagging piece comes from transparency and short cycles. If you set a quarterly target in a closed room and nobody revisits it until week 12, people will aim low. We look at our core metric weekly. There's no hiding. And because it's one number, there's no gaming it by inflating a secondary metric while the primary one stalls.
Side effects get created when you stack too many metrics. Three KPIs means people optimize whichever one is easiest to move that week. One metric, clearly tied to real user value, removes the political calculus entirely.
The line I come back to: if your metric doesn't make you uncomfortable when it's flat, you picked the wrong one.
Mark BietzCMO, Halloween CostumesOne metric change that improved our focus was replacing conversion rate as the main KPI with contribution per qualified session. Conversion rate often pushed teams toward broad discounting and short term tactics that looked good in reports but reduced margin discipline and audience quality. The new metric encouraged better decisions because it linked marketing effort with real business value. It gave every team a clearer way to measure meaningful progress.
We defined a qualified session using intent signals like browsing depth and category relevance before measuring contribution. That created a shared view across paid media creative and onsite teams because everyone focused on the same result. It also improved everyday discussions and made decisions more consistent across teams. We stopped rewarding busy activity and started recognizing steady performance that reflected genuine customer demand.
Kevin ByfordFounder, HRStudyProWhen I set success measures, I choose metrics that link directly to the outcome I care about, not just activity, and I prefer measures that are difficult to game. I also monitor upstream behaviors so I can detect sandbagging and balance quality and quantity signals.
One metric that clearly improved focus for us was First-Year Performance Rating by Source, which tracks how new hires perform after one year based on where they were recruited. That metric showed referrals and niche job sites produced better first-year performance than large aggregated boards. So we shifted budget, increased referral rewards, and concentrated sourcing on channels that produced the best performers, which reduced noisy applications and let our team spend more time with higher quality candidates.
Rina GutierrezPart-time Marketing Coordinator, Buy Woke-FreePick metrics that reward the actual decision you want people to make, not the easy proxy that looks good on a dashboard. If a number can be hit without moving the real goal, teams will sandbag or cut corners every time. I always ask two questions first: does this metric create the behavior we intend, and what bad habit could it encourage if we over-optimize? Pair every primary measure with a simple check that protects quality so nobody can game the system while ignoring the real outcome. We explain those tradeoffs to the team so everyone owns the goal instead of hiding behind a padded target.
In our consumer research work at Buy Woke Free, we used to track how many brands we evaluated each month. That drove volume but sometimes left shoppers with thin alternatives they couldn't fully trust. We switched the main success measure to the rate at which people reported finding a clear values-aligned option they could buy with confidence. Suddenly the team prioritized depth on signals like marketing claims, internal policies, political donations, and leadership behavior over raw count. Focus improved because the metric couldn't be gamed by rushing shallow reviews. It's forced better tradeoffs when resources get tight, built more trust through clearer communication, and kept us researching thoroughly before we give any public guidance. The old volume number made people rush. The new one made them care about usable transparency for shoppers who want brand clarity before they spend. We've seen that kind of metric choice drive right behavior every time we apply it. Don't chase activity. Chase the outcome the customer actually feels when they decide what to buy.
The right metric should make the desired behavior the easiest path, especially when teams are under delivery pressure. In security, side effects usually appear when a measure rewards local efficiency over real risk reduction. If the target is too easy, sandbagging follows. If it is too broad, teams chase noise. The best metrics sit close to customer impact and force clarity about what truly matters.
One metric choice that improved focus was tracking the percentage of security findings that required code changes after release, compared with those addressed before code freeze. I chose it because post release fixes carry higher business cost, more coordination, and more customer trust risk. That single measure shifted attention upstream, improved planning, and made secure coding part of release readiness instead of an afterthought.
Chirag KulkarniFounder & CEO, TacoThe best safeguard against bad behavior is making sure a metric reflects a real business need. I prefer measures that reveal tradeoffs instead of hiding them. If a goal improves while customer experience drops or work slows down, the measure is incomplete. Before choosing a metric I ask what a smart but misaligned team might do to reach it quickly.
One metric that worked well for us was time to first meaningful organic conversion for new pages. It focused teams on quality and relevance instead of just producing more content. It also improved decisions around page selection and launch readiness. It helped us avoid celebrating work before seeing real results.
Anna EvansFounder, Interlinked WellnessBefore I commit to a measure, I ask what the cheapest way to hit it would be, and whether that cheap version still helps the person the goal exists for. If gaming the number is easier than earning it, the measure either changes or gets a partner metric that closes the loophole.
The choice that taught me this was a phone target at my practice. We set a goal around answer speed at the front desk, and the team hit it, but patients were being hurried off the line and calling back the next day with the same question. The measure was rewarding motion, not service. So we made first-contact resolution the headline number, whether the caller's issue was closed in that single conversation, and demoted speed to a background check.
Within two months the share of issues closed in one contact climbed past 80%, and overall call volume fell, because the repeat calls disappeared. Focus improved because the honest way to move the number, taking an extra minute to finish the job properly, was now also the rewarded way.
On sandbagging, the guard is daylight. Targets get set in our team huddle from last quarter's real baseline, not negotiated privately, so nobody benefits from arguing for a soft number in front of the colleagues who share the goal.
The test I keep returning to: a good metric is one where the person trying to game it and the person trying to do right by the patient end up doing the same thing.
Kevin LourdFounder, Distribute.youWhen we set success measures for our outreach campaigns at distribute, we try to tie everything back to unit economics rather than vanity activity. If a metric doesn't trigger an actionable decision, it usually just creates operational noise or encourages teams to game the system.
To drive the right behavior without side effects, we track what actually impacts the bottom line. For us, one specific metric shift clearly improved our focus on real outcomes: we stopped tracking raw open or reply rates and moved entirely to 'cost per positive reply.'
Our platform uses AI to filter out junk and forward only qualified buyer replies straight to a user's Gmail. By measuring the literal cost to acquire one of those genuine, positive responses, it immediately exposes campaigns that generate a lot of superficial attention but zero actual buyer intent. It forces a strict discipline. We stopped celebrating high reply rates when those replies were just people asking to be taken off the list, and started focusing entirely on the exact cost to generate a real conversation.
Cem OnerFounder / Finance & Public Data Publisher, hesapcebimde.comI avoid measuring only activity when the real goal is quality or business impact. A metric should include the desired result and at least one guardrail that prevents people from reaching it by creating another problem.
While expanding HesapCebimde, counting newly published calculators encouraged speed but did not show whether the pages were unique, sourced or genuinely useful. I shifted the focus toward completed pages that also contained verified formulas, sources, common mistakes and hidden-cost explanations.
That changed the behavior from "publish more" to "finish the tool properly." A useful metric makes the correct work visible; a weak metric encourages people to optimize the number rather than the outcome.
Luciano De Castro CarvalhoChief Transformation OfficerI choose metrics by making sure they align compensation and promotion signals with the specific, difficult decisions that will determine success and by testing each metric for ways it could reward old behaviors. I reject metrics that can be reported without removing root causes or that encourage optimistic forecasting. For example, I tied a portion of leadership variable pay to delivery of specific transformation milestones and to demonstrated closure of root-cause issues within agreed timelines. That change shifted focus from producing glossy plans to clearing blockers through the daily execution engine. As a rule, we redesign incentives within the first 90 days so the metrics drive the right behavior rather than permit sandbagging.
Rajneesh JaswalCo-founder, Cadre ODRFrom a risk perspective, a metric shapes behaviour before anyone checks the outcome. If a goal only rewards volume, people chase it even when the business moves away from what matters. If a target is too easy, people quietly set expectations low enough to guarantee they hit it. Choosing a measure well means asking what someone would have to do to game it, before setting the number.
A good metric ties closely to the outcome you want, rather than to something that merely correlates with it. Pairing it with a second measure that checks for the side effect keeps the incentive honest. In dispute resolution, a target based only on volume can reward speed over quality. A second measure on outcome satisfaction keeps speed from becoming the only thing that counts.
One metric choice that sharpened focus was pairing case volume with time to resolution and outcome quality. That combination made it harder to hit the number without solving the problem for the people involved. It also made sandbagging pointless, since a low target on one measure showed as a gap on another. The lesson I return to is that one metric rarely protects the outcome you actually care about.
Scott ShirleyFounder & CEO, Pledge ItThe strongest metrics are tied to the value that comes back, rather than whatever is easiest to count. In fundraising, that means looking at who returns the following year, not only what came in during the current campaign. A goal based only on total funds raised can push a team toward short-term spikes.
Incentives shape behaviour faster than any strategy memo ever will. When a team is measured only on top-line dollars, people naturally chase the largest one-time gift and spend less time building repeat participation. The report may look strong today, while the organization feels the cost a year later.
One change I have pushed for is tracking year-over-year participant retention alongside total funds raised. Together, those numbers show whether a campaign is building a community or simply running an event. A gala that raises more while losing half its returning supporters tells a more complicated story than the headline figure suggests.
Pairing growth with retention keeps the incentive honest in both directions. It reduces the temptation to sandbag next year's target or inflate this year's result at the community's expense. That balance makes a success measure trustworthy, rather than merely impressive.
Siim KostabiCEO, PagelootBootstrapping two companies for 6+ years, I've made more bad metric choices than good ones. The bad ones taught me more.
The clearest failure: early at Pageloot we optimized for total QR codes created. Numbers looked great. Team felt productive. But we were measuring creation, not activation. Users were building codes and never deploying them. Churn was high and we couldn't see why because our north star metric was quietly lying to us. We'd accidentally made "looking busy" the goal.
The fix wasn't finding a better metric in isolation. It was asking: what does a successful user actually do in the first 60 days that a churned user doesn't? When we mapped that, the answer was obvious. Successful users scanned their own code at least once within a week of creation. They'd gone live. That became the metric. Not codes created. Codes deployed and scanned.
Focus shifted immediately. Support docs, onboarding emails, in-app prompts all reorganized around that one behavior. Activation rate went from under 30% to over 60% within a few months.
On sandbagging: it's a trust problem, not a measurement problem. If people set low targets because they're afraid of missing high ones, the incentive structure is punishing honesty. The only thing that worked for me was separating the forecast conversation from the performance review conversation. Forecasts should be accurate, not ambitious. Ambition lives in the stretch goal column, which carries no penalty for missing.
On side effects: before locking in any metric, I now ask "what's the fastest way to hit this number without actually solving the problem?" If the answer comes too easily, the metric is wrong. Codes created was gameable. Scanned-after-deploy was much harder to fake because it required a real user completing a real action.
The rule I use now: the metric should describe the outcome, not the activity that's supposed to cause it.
