alt Hacker NewsThe problem with fast feedback loops is that they filter out long term signals. The problem with data driven decision making is that data is numeric, and the act of counting is necessarily an act of approximation, by which we erase the difference between objects or events in order to bucket them into a category so that they can be counted. So the kind of dashboards that modern managers demand, offer nothing but the most obvious, short term "insights", that you might as well eliminate the man in the middle and feed the data directly into a set of simple decision rules.
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I'm quite certain every McDonald's franchise knows how to hire high schoolers and serve up a bunch of smashburgers to instantly become the busiest franchise in the state.
The problem isn't an ability to understand long term signals. The problem is that if a franchisee tried to generate that signal corporate would filter them right out of their franchise.
Right, but those short term insights can deliver short term value, often lots of it. That value can then be redirected into an index fund and generate real long term returns. There is no financial incentive for QSR execs to look past the next fiscal year, or even quarter when liquidating customer loyalty is so lucrative.
> The problem with data driven decision making is that data is numeric, and the act of counting is necessarily an act of approximation, by which we erase the difference between objects or events in order to bucket them into a category so that they can be counted.
Yes, this is exactly right. To put it another way: When we quantify something, we abstract away everything about that thing that is not quantifiable. So our thinking is only about a tiny aspect of that thing's existence.