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Incentives, Metrics, and Their Unintended Consequences

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MWagner_MA
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Re: Metrics as a measurement device, not a steering wheel
MWagner_MA   1/24/2018 12:31:43 PM
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Sorry for the lack of clarity.  We monitor the total number of engineering change orders opened and processed per month.  The "ill behavior" that has resulted is change orders that are needed are postponed several months if a month had "too many", delaying work that needed to get done.  Reason:  it makes the metrics look bad.

Measurement.Blues
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Re: Metrics as a measurement device, not a steering wheel
Measurement.Blues   1/24/2018 12:09:45 PM
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Mwagner: What do you mean by "measuring ECO" and how has that changed behavior?  "Metrics are an indicator, not a goal by itself." I need to keep that in mind the next time the counters question things.  

MWagner_MA
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Metrics as a measurement device, not a steering wheel
MWagner_MA   1/24/2018 8:19:50 AM
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In our company, the metric of measuring "ECO" #'s is counter productive as it has changed behavior of management (not in a good way).  If you consider the book "The Goal", by Eliyahu M. Goldratt, our goal is to make good products at a good profit margin.  Engineering change orders are necessary to respond to changes in parts of our products or defects found in the field.  Metrics are an indicator, not a goal by itself.

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