TBM 437: Tokens, Hours, Points, and Other Curious Proxies

Founder takeaway

Treat “return on tokens” and similar measures as proxies, not proof of business value. Before adopting a metric, identify the outcome it represents and who benefits from framing performance that way.

Why it matters

Proxy metrics can simplify decisions, but they can also optimize teams around vendor-friendly consumption or activity rather than customer impact, productivity, or profit.

Relevant guides

Put it to work

For one AI initiative, write down the business outcome you want, the proxy currently used to measure it, and one direct outcome metric that could confirm whether the proxy reflects real value.