Predictability in Business · The Frontier Lexicon

Leading vs Lagging Indicators

Lexicon / Predictability in Business / Leading vs Lagging Indicators
Kaplan & NortonThe Balanced Scorecard, 1996

Lagging indicators (outcomes) tell you the score after the game; leading indicators (performance drivers) predict it — a good scorecard mixes both in cause-effect chains.

McChesney, Covey & HulingThe 4 Disciplines of Execution, 2012

Act on lead measures — predictive, influenceable behaviours — because lag measures arrive too late to change.

The EclipseFrontiers® LensLag measures report history. Lead measures write it.
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Related in Predictability in Business

ForecastingPredictive AnalyticsScenario AnalysisMonte Carlo SimulationPipeline CoverageCohort AnalysisDemand PlanningProbabilistic Thinking

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