Seeking the Wrong Goal
System behavior is highly sensitive to feedback loop goals. Inaccurately defined goals can cause the system to efficiently produce an unintended or unwanted result.
THE IDEA
Trap: System behavior is particularly sensitive to the goals of feedback loops. If the goals—the indicators of satisfaction of the rules—are defined inaccurately or incompletely, the system may obediently work to produce a result that is not really intended or wanted.
The Way Out: Specify indicators and goals that reflect the real welfare of the system. Be especially careful not to confuse effort with result or you will end up with a system that is producing effort, not result.
When to use it
Setting performance metrics in an organization to avoid unintended side effects.
Designing educational curricula with goals that foster deep understanding rather than rote memorization.
Creating public policy indicators that capture multiple dimensions of well-being instead of a single economic metric.
Personal goal setting: distinguishing between activities (e.g., hours worked) and meaningful progress (e.g., project milestones).
FROM THEORY TO EVERYDAY LIFE
In practice
Sales Target Leading to Poor Service
A company sets a goal of increasing sales revenue by 10%. Without a corresponding goal for customer satisfaction, salespeople focus on pushing high-margin, low-necessity products, leading to a wave of refunds and complaints.
Standardized Test Scores as Sole Measure
A school system measures success solely by standardized test scores. Teachers narrow the curriculum to test preparation, neglecting critical thinking and creativity, undermining the real goal of education.
A MOMENT TO REFLECT
Put it to work.
What goals are you currently pursuing that might be defined inaccurately or incompletely?
How can you ensure your performance indicators reflect the true welfare of the system you are part of?
Are you measuring effort (activity) or actual results (outcomes)?
CONTINUE THE CONVERSATION
Source texts
- Thinking in Systems A Primer