Short excerpt from a YouTube talk (Jason M. Lemkin) advising that while individuals (e.g., a VP of Customer Success) may have multiple metrics tied to their name (expansion, NRR/NDR), the organization must clearly define a single North Star metric — commonly ARR, a usage metric, or new logos — that drives the business model.
Here's, here's what, here's what it looks like in practice. Okay? In practice, people can have their name next to several different numbers. For example, a VP of Customer Success. Like, let's say they have an expansion number that has their name next to it. Let's say that they have an nrr, an NDR number, that their name is next to it. And you're going to have multiple. But you do have to, like, clearly define the North Star for the entire organization. So most of the time, that's like an ARR number. That's a usage number. That's new logos. Like, what is the model driver for your business? And that is the North Star.
