In the film Moneyball, based on the bookof the same name by Michael Lewis, the Oakland A’s Major League baseball team had a tough task: assemble a competitive team with one of the lowest budgets in the league. Desperate times call for desperate measures, and in this case, the measures were a new set of metrics. General Manager Billy Beane focused not on the typical player performance statistics but on the less-flashy metrics like slugging and on-base percentages that exert greater influence on how many runs are scored – because that is what wins games.
Many were reluctant to believe that this new data set could accurately predict performance, but the data proved to be correct. The A’s spent that season challenging the American League record for consecutive wins. By keeping their eyes squarely focused on the real problem – protecting and safeguarding their franchise’s future – the A’s used simple, meaningful metrics to manage risk, guide their operating and decision-making practices, and strengthen their brand.