I just had one of those conversations that makes you question everything you think you know about data.

My guest was Gurwinder Bhogal, the brilliant mind behind The Prism newsletter and a seven-time Modern Wisdom podcast guest. We delved deeply into the complex psychology of measurement, and what he shared will change how you think about your business metrics forever.

Here's what every CEO needs to know:

The McNamara Trap: When Your Metrics Become Your Mission

Gurwinder told me about Robert McNamara, the statistician-turned-Defense Secretary who tried to "keep score" during the Vietnam War. Instead of measuring what mattered—Vietnamese public sentiment—he chose what was easy to count: body count.

The result? American forces optimized for killing rather than winning hearts and minds. The war was lost not on the battlefield, but in the metrics room.

Your business version: I watched a company spend millions filling a "data lake" with every possible metric. We had thermometers showing progress, celebration parties when storage hit milestones, and executive dashboards tracking data volume. But when it came time to run basic queries or build reports, nothing worked. We'd optimized for data collection instead of business outcomes—exactly like McNamara optimized for body count instead of winning the war.

The brutal truth: Your team will continually optimize for what you measure and reward, not what you say in strategy meetings. If your stated goal is customer success, but your primary dashboard tracks revenue per customer, guess what your team is really optimizing for?

Action step: Look at your top 3 dashboard metrics right now. Are they measuring your real business objectives, or just what's easy to count?

The Data Lake Disaster: Why "Collect Everything" Is Expensive Foolishness

I shared my own cautionary tale with Gurwinder—watching a company spend millions filling a "data lake" with every possible metric, only to discover none of it was actually usable for decision-making.

We had thermometers showing our progress. We had celebration parties. We had everything except the ability to answer basic business questions.

The pattern I see everywhere: Companies treating data and technology as business cases in their own right. "We need a data warehouse." "We need AI." "We need better analytics." But they can't answer the fundamental question: What specific business decision will this help you make faster and better?

All investments should be driven toward business outcomes, not tech for tech's sake.

Gurwinder's insight hit home: "What is easily measured is not always the most important metric." The reverse is also true—what's important is rarely what's easiest to measure.

Reality check: Before you invest in that new analytics platform or hire that data scientist, ask yourself: What specific business decision will this help me make faster and better?

The 10-View Golden Rule: Why Algorithm Intelligence Beats Vanity Metrics

Here's where the conversation got really interesting. Gurwinder explained how he built his writing career not through massive reach, but through quality engagement. A retweet from Paul Graham mattered more than 10,000 random followers.

I told him about Alex Hormozi's metal-working content being served to him, despite having 3.5 million followers—because the algorithm had learned his true interests, not his demographic profile.

Your business parallel: This is exactly how customer acquisition should work now. Instead of blasting 10,000 random prospects with generic messaging, focus on reaching the right 100 prospects with precisely targeted, relevant content. The algorithm economy rewards precision over volume in marketing, sales, and content.

The old marketing playbook of "spray and pray" is dead. Today's algorithms and attention patterns reward precision over volume. Ten views from your ideal customers are worth more than 10,000 views from random browsers.

Strategic shift: Instead of asking "How many people saw this?" start asking "Did the right people see this at the right time?"

The Story-Data Paradox: Why Numbers Need Narratives

Gurwinder shared a powerful study: When researchers presented donation opportunities, people gave more to save one named child (Rokia) than to address African famine statistics affecting millions.

Our brains aren't wired for spreadsheets. We're wired for stories.

Your boardroom reality: Every successful data presentation I've seen starts with story, not spreadsheets. The best executives don't lead with "Our conversion rate increased 15%" they lead with "We discovered that customers who engage with our onboarding video are 3x more likely to become long-term users, so we redesigned our welcome flow." Same data, but presented within a context that drives action.

This doesn't mean abandoning data—it means wrapping your data in context that helps people understand what it means and why it matters.

Practical application: Next time you present quarterly results, don't just show the numbers. Tell the story of what those numbers mean for your customers, your team, and your market position.

The Bottom Line

Data without wisdom is just expensive noise. The companies that win aren't the ones with the most data—they're the ones asking the right questions and measuring what actually drives business outcomes.

Three questions to ask yourself this week:

1. What am I measuring that doesn't actually matter?

2. What should I be measuring that I'm avoiding because it's hard?

3. How can I turn my most important metrics into stories that drive action?

Tell us what you thought of today's article:

• Good?

• Ok?

• Bad?

Leave a comment and let us know why.

Whenever you are ready, we can help you with a free data infrastructure assessment to identify your highest-impact opportunities. Get in touch!