The HBR Guides Collection (8 Books) (HBR Guide Series)

The Limits of Financial Data

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those rejections count as successes. This kind of analysis

seems obvious once stated, but I’ve noticed a persistent

bias in all of us to focus on what we do over what we don’t

do. Good management is about making choices, so a de-

cision not to do something should be analyzed as closely

as a decision to do something.

Trap 3: Putting Your Faith in Numbers

Good or bad, the metrics in your performance assess-

ment package all come as numbers. The problem is that

numbers-driven managers often end up producing

reams of low-quality data. Think about how companies

collect feedback on service from their customers. It’s well

known to statisticians that if you want evaluation forms

to tell the real story, the anonymity of the ...