Objectives, KPIs, and the Alignment Problem
The productive tension
Hard metricsandsoft signals
The synthesis
Objectives are not wish lists. They are trade-off declarations — statements of what the organisation will prioritise this year and, by implication, what it will not. KPIs are the alignment mechanism that translate those declarations into visible, trackable signals so that execution stays connected to strategy. Hard financial metrics are essential. Soft brand signals are also essential. The evidence-based marketer treats KPIs as a portfolio — a small number of long-term brand health indicators alongside a small number of short-term performance indicators — and never forgets Goodhart's Law, which stands behind every KPI conversation as a warning.
Learning objectives
- →Define a marketing objective as a trade-off declaration, not a wish list
- →Explain the Ambler and Roberts evidence for measuring brand and financial health together
- →Apply Binet and Field's short-term and long-term KPI portfolio rule
- →Use SMART as a test for objective quality and recognise what SMART misses
- →Diagnose alignment failure using the trace-back rule from KPI to strategic commitment
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