In reality, though, measurements don’t have to be that precise to be useful. The key purpose of measurement is to reduce uncertainty. Even marginal reductions in uncertainty can be incredibly valuable. We must also distinguish precision and accuracy. A “precise” measurement tool has low random error. E.g. if a bathroom scale gives the exact same displayed weight every time we set a particular book on it, then the scale has high precision. An “accurate” measurement tool has low systemic error. The bathroom scale, while precise, might be inaccurate if the weight displayed is systemically biased in one direction – say, eight pounds too heavy. A measurement tool can also have low precision but good accuracy, if it gives inconsistent measurements but they average to the true value. I think what must be intended is: your definition is for the EOL of an option. Now the EOL of a choice is the EOL of the option we choose given current beliefs. Then EVI is the expected reduction in EOL upon measurement.

How to Measure Anything: Finding the Value of Explaining ‘How to Measure Anything: Finding the Value of

Identified metrics procedures: Procedures are put in place to measure some variables (e.g. about project progress or external factors) continually. Can the thing be forced to occur under new conditions which allow you to observe it more easily? E.g. you could implement a proposed returned-items policy in some stores but not others and compare the outcomes. Other chapters discuss other measurement methods, for example prediction markets, Rasch models, methods for measuring preferences and happiness, methods for improving the subjective judgments of experts, and many others.  Maybe non-convergent: Market value of corporations, individual levels of income, casualties of wars, size of volcanic eruptions.Douglas Hubbard’s best selling book, How to Measure Anything: Finding the Value of “Intangibles” in Business is available as an unabridged audio book CD, narrated by David Drummond. A comprehensive guide to measuring anything and everything, from the concrete to the intangible, revealing the power of measurement in our understanding of business and the world at large.

How to Measure Anything — LessWrong How to Measure Anything — LessWrong

What if you already make measurements? Let’s say you collect data and have some system – even an empirical, statistics-based quantitative method – to make measurements. Your effectiveness may be severely hampered by measuring things that, at the end of the day, don’t really matter.

Adds new measurement methods, showing how they can be applied to a variety of areas such as risk management and customer satisfaction