The Hierarchy of metrics

Tae Hea Nahm

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Bob Tinker

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The Hierarchy of metrics

The first thing to understand is that not all metrics are created equal.

Some are more important than others, and more importantly, some metrics feed into and/or make up higher-level metrics. That’s why it’s helpful to think as metrics in a hierarchy (see graphic).

At the foundation are the stage metrics, which measure the performance of each stage of the GTM playbook. The next level up are the team metrics, which measure the performance of each team (marketing, sales, CS, etc). However, the CEO can find the stage metrics to be too granular and the team metrics too siloed. Considered on their own, these metrics may be too low level — as if you are zoomed in too close on the picture.

At the top of the hierarchy are the End-to-End metrics, which measure the performance of the entire GTM process. These metrics give you the big picture about your business, and they’re the ones investors use to evaluate you. But looking at the End-to-End metrics alone, the CEO can find the End-to-End metrics to be too high-level. You’re looking at the whole picture, but you’ve zoomed out too far to see the detail.


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