Analytics Magazine Analytics Magazine, May/June 2014 | Page 28

VA L U E OF BU S I N E S S I NTA NG I BLE S Explaining ‘How to Measure Anything’ Latest edition of book takes another look at seven arguments, new and old. BY DOUGLAS W. HUBBARD (left) AND DOUGLAS A. SAMUELSON A nalytics professionals and decision-makers are often stymied by the lack of good metrics on which to base decisions. But everything that matters has observable consequences and, with a bit of (often trivial) math, these observations provide the grounds for reducing uncertainty. Even imperfect information has a computable value for decisions. These ideas were summarized in the book “How to Measure Anything: Finding the Value of ‘Intangibles’ in Business” 28 | A N A LY T I C S - M A G A Z I N E . O R G [Hubbard, 2007, 2010, 2014], written by one of the authors of this article. With 65,000 copies of the book sold in five languages, the message seems to strike a chord. The client list of the author’s firm, Hubbard Decision Research (HDR), and the thousands of individuals who have registered on the book’s website indicate a diverse audience. They include engineers, human resources, software developers, information-security specialists, scientists from many fields, managers in many industries, actuaries and teachers. It W W W. I N F O R M S . O R G