north-star-metric
North Star Metric
Identify a North Star Metric and 3-5 Input Metrics that form a metrics constellation. Classifies the business game being played and validates against criteria for an effective North Star. Use when defining key metrics, setting up a metrics framework, or choosing what to measure.
Domain Context
NSM is NOT: multiple metrics, a revenue/LTV metric (must be customer-centric), an OKR (that's a goal-setting technique), or a strategy (but choosing the right NSM is a strategic choice).
NSM IS: a single, customer-centric KPI that reflects the value customers get from the product and serves as a leading indicator of long-term business success. You can use Key Results (OKRs) to express expected change in NSM.
Free resource: The North Star Framework 101 (PDF)
When to Use
- Defining your company's key metric framework
- Setting up a metrics tracking system
- Choosing what to measure and optimize for
- Evaluating potential North Star candidates
- Triggers: North Star metric, north star, key metric, what to measure, metrics framework, OMTM
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