What Makes a Feedback Loop Actually Useful

In my previous post I showed how organizations and systems naturally degrade without feedback loops. Here, I want to focus on one of the most common reasons feedback loops fail: the signal isn’t objective.

A feedback loop is a system designed to improve performance. You measure outcomes, compare them to a goal, and adjust.

Going back to the steamship analogy from the first post, the goal is getting to Lisbon from New York. The captain continuously checks the compass to see if the ship is on the correct heading. When the compass reveals that the ship is off course they correct.

Objective Outcomes

Each outcome has to be objective in order to be effective. Everyone in an organization needs to be able to clearly identify what success is and if it was achieved. It should not be necessary to have to explain the result of an outcome to others, because it's obvious. You are either "off course" or "on course" because the compass tells you the truth.

Subjective outcomes lead to negative feedback loops. These outcomes are defined by feelings, opinions, and tastes rather than being objectively true or false. The feedback loop rewards those who align with it. Over time the focus is no longer the original goal, but rather appealing to another’s preferences rather than objective standards. This shift is subtle, but compounds over time.

Everyone has a right to feelings, opinions and taste. But do not base your outcomes on them as you will never make meaningful progress towards your goal. Ensure your outcomes can always be evaluated with a "yes" or "no" by anyone.

If you can’t clearly tell whether you’re winning or losing, the feedback loop isn’t working.

What it looks like

Let’s look at a real example of how objective (or subjective) signals affect feedback loops.

Consider a software company that mandates a code review process to be followed for every code change, but doesn't define criteria for reviews. Without clear standards (objectivity) the end goal becomes appealing to another's feelings, opinions, and tastes (subjectivity). This shifts the work from improving quality to managing preferences. Taking time to develop criteria, measure the effect, and then adjust is how you start moving from just checking a box to having an actual impact.

A challenge

Before thinking about feedback loops in your organization, start with your own life. Ask yourself:

“Which feedback loops in your life sound useful—but don’t actually change anything?”

I've been thinking about the morning routine I've developed over the past 6 months. I'm at my most productive in the mornings and I've leveraged that to create a consistent morning routine. It's been a very positive feedback loop as I've been able to become very consistent and productive with it. A few weeks ago I disrupted this pattern. I can't say that I'm as consistent and productive as I was previously, but it was an intentional choice.

Why did I do this? I realized I wasn't making the kind of progress I wanted to in other areas of my life, and the key to getting to where I wanted to be involved unlocking some of my creativity. I had free time later in the day, but I struggle to be creative when my day is winding down.

I changed my routine and now I’m watching the results closely. The key difference is that I can clearly see what’s working and what isn’t — without explaining it to myself. Even clear signals can fail when they point at the wrong goal — that’s next.