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Leading Indicators

 

 

Leading indicators are not always the closest to the event... At least the one's we want to watch.  Some take years and even decades to unfold.  This frustrates many people because when they think of a leading indicator they want something like a wristwatch, or a speedometer, so they can quickly see and know. That is not how systems really work at the structural level.

I will provide an example of leading indicators, but first note that has taken decades to "fill up its bathtub" and still filling.  Soon, the runoff will take SIGNIFICANT effort to clean up, and that is the thing with bathtubs...and hot tubs.  One time I put my hot tub in my office and left the water running, it filled up the basement!

Just a slow trickle at the start, only a few involved.  However, we forgot it was left on.  Not much noise, just water everywhere.  It all looked ok, until the water started rising out of the basement... Not a good sign. That is what people think are leading indicators, the water that ran out of the bathtub, that filled up the basement and is now running on the street...

What was going into the bathtub was really the leading indicator, and what you think are leading indicators is the noise they make, the flood.

Once the flood comes, you have significant damage and cleanup efforts, it's better to know what's going into the tub!

Here is the example: [Probably shouldn't use such a political example, because Obama just happens to be at the wheel.  This has been going on long before he was born, wherever that was.  <G>]

Americans' dependence on federal government assistance increased 23% in two years under Obama (the biggest two-year increase since Jimmy Carter was in office)… 67 million Americans now rely on some federal aid, according to a new study by conservative think tank Heritage Foundation.

Heritage's annual Index of Dependence on Government tracks money spent on housing, health care, welfare, education, and other federal programs that were "traditionally provided to needy people by local organizations and families."

The report shows spending on "dependence programs" accounts for more than 70% of the federal budget.  In 1990, that number was only 48.5%.  Meanwhile, fewer Americans pay income taxes… 49.5% didn't pay any income taxes in 2009 (the most recent data).  In the 1960s, that number was only 12%.

There are reasons why this is happening and it’s a slow trickle, but the bathtub is filling  Some might say it was full a while back and it's now running into the basement... I suspect in the example that is true, because the amount of ITEAM, it's going to take to resolve this is now generational.

You can't expect things that took decades to happen, to be fixable overnight, and that is why you want leading indicators.

HOWEVER, there is one issue with leading indicators, they require an ego check...because the reason most leading indicators don't work is that we are subject to them, and don't have an object relationship.  We figure since it's not affecting us directly, it's someone else's problem --> and our ego error!

Leading indicators are key elements of trying to understand how systems function.  What are the bathtubs, what are the flows into those bathtubs and what happens when something reaches an equilibrium that is not going to be a good result; which means we get a positive reinforcing loop, and the negative loops disappear; which means that we get more of what we got...and in the example above, I think you can see where that is going.

Who is going to be the first one to take a stand...?

Or will anyone?

AND that (not supposed to start sentences with propositions, ugh!)  ...is why most people don't really understand leading indicators, because they happen so far ahead of the results, that you have time for your egos to play pretending games about what is actually happening.  People and media prefer the noise of the basement filing up with water and running into the street.  It makes it easy to report and understand, and even fix, in our "wait until it breaks society".

The artifacts show that we have passed out of the blue meme and we have left the center of gravity in the USA of blue, or DQ (remember Dairy Queen), as the wholesome and sweet reminder of those chocolate-dipped cones <yummy>; which is sad, except to all those who realize that with this basin at critical levels of density, what it leaves us with are a lot of bathtubs that are going to run over...welcome to leading indicators and the pretense of ego.

Helpful Hint: A leading indicator that worth a lot to us in terms of being able to do something before the water gets to the street are really valuable, but hard to personalize.  In fact, almost impossible to personalize because usually these indicators are subtle things that don't attract real attention and they don't cause a lot of noise and the signal is usually embedded so deep, that it's hard to understand or even see, hear or feel, until it's too late.  These are the same things that we notice about our degrading personal health, or the loved-ones around us.  It begins subtly, and over time, can't be reversed because under the observation line, there is too much water in the bathtub, or in the basement, to just stop it anytime soon, and it already has done most of the damage before we even realize what it was that was happening.
Action Step: In your own life, leading indicators become subtle gauges of happiness AND success and it really is worth studying, and discovering those indicators and doing something to notice how they might be worth understanding.  What in your life would you love to have a leading indicator to notice?  

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