Concepts / Setting Measurable Goals for AI Products

Setting Measurable Goals for AI Products

Milestone planning turns a measurable goal into a sequence of intermediate targets, and the right sequence depends on where the team starts.

  • Programming

The Gap Between a Goal and a Route

Once a team has defined measurable goals for an AI product, the next question is how to reach them. A goal such as handling a share of customer support tickets automatically tells the team where it wants to end up, but it does not say how to get there. Planning the route is the work that comes next.

This article follows one idea from start to finish: the route a team should take depends heavily on where it begins. Before reading on, hold a simple question in mind. If a product already does part of the job, how much of the job is actually left?

What Milestone Planning Is

Definition

Milestone planning turns a measurable goal into a sequence of intermediate targets, and the right sequence depends on where the team starts.

Milestone planning comes after goal-setting because a goal alone is too distant to act on directly. Intermediate targets break the distance into stages. Each stage is measured, so the team can see whether the product is moving toward the final target.

The plan is not written in the abstract. The starting point is usually a set of existing models whose abilities can be measured before any custom work begins. That measurement is what makes the plan concrete.

Starting From an Existing Model

Evaluating existing models reveals the baseline, meaning the level of performance a team gets before doing any custom work. The baseline is the first point on the route. A stronger baseline means less custom work is needed to reach the goal, and a weak baseline means more building.

The evaluation also makes the effort visible. It shows what the models can already do, so the team can see how far each intermediate target sits from the starting point. The diagram below shows how milestones sit between the baseline and the final measurable goal.

Measure existingmodelsFind the baselineBaseline capabilityWork already done by modelsIntermediate targetNext measurable stageCheckpointIs the goal still worthpursuing?Final measurable goalTarget quality levelrevealscustom work closes gapevaluate progresscontinue
In what order do the intermediate targets sit between the starting point and the final measurable goal, and what does each milestone unlock?

Worked Example: Support Ticket Automation

Worked example

How much of the gap is left?

A team's goal is to have an AI system handle 60% of customer support tickets automatically. An off-the-shelf model they are evaluating can already handle 30% of them with no custom work. How much of the gap remains?

  1. 1
    Identify the goal

    The measurable target is 60% of tickets handled automatically.

  2. 2
    Identify the baseline

    The existing model already handles 30% of tickets with no custom work. This is the starting point the evaluation revealed.

  3. 3
    Compute the remaining gap

    Subtract the baseline from the goal: 60% minus 30% leaves 30 percentage points of tickets still to be automated.

  4. 4
    Interpret the result

    Half of the goal is already covered by the baseline, but the remaining half is the part that requires custom work and, as the next sections show, is often the hardest part.

Result

30 percentage points of tickets still need automation, which is half of the 60% goal.

What do you think happens?

Before reading the answer, how many percentage points of tickets are still left to automate?

Reveal answer
Answer:

30 percentage points, since 60% minus 30% equals 30%.

The baseline covers half of the goal, so the remaining distance is equal in size to the work already provided by the existing model.

Why an Early Demo Misleads

A very common belief goes like this: if a prototype already looks impressive after a short build, the product must be most of the way finished. The reasoning feels sensible. When effort is visible and results are visible, people tend to assume the remaining distance is proportional to what has already been done.

The source gives two reasons this pattern appears. First, foundation models already have impressive base capabilities, so a convincing demo can be built quickly. Second, that speed hides the work of refining behavior. The source names product kinks and hallucinations as areas that consumed a large share of the time. The early success is real, but it says little about how much refinement is still ahead.

Quick prototypeBuilt in a short timeDemo looks finishedImpressive on the surfaceRefining behaviorMost of the remainingeffortFixing product kinksInconsistent behaviorReducinghallucinationsUnreliable outputsMeasurable goalFinal quality targetappearshidesincludesincludesmust reach
How can a demo sit close to the final goal on the surface while most of the distance to the measurable target is still ahead?

Why Progress Slows Near the Target

Early success can mislead, because the last mile of quality often takes far longer than the first stretch of progress. The first improvements tend to come quickly, since the base model already does a lot. As the product approaches its final quality level, each further gain tends to require more work than the one before it.

Because of this, a team cannot judge remaining effort by looking at how fast it has moved so far. The pace of early progress is not a reliable guide to total effort. The most demanding stretch lies close to the target, which is exactly where a team is most tempted to believe it is nearly done.

Mistakes When Planning Milestones

  • Common mistake

    Treating a convincing demo as proof that the product is nearly finished

    What it looks like

    A prototype is built in a short time and looks impressive, so the team assumes most of the work is done.

    Why it fails

    The source notes that speed hides the work of refining behavior, and that the last mile of quality often takes far longer than the first stretch.

    Do this instead

    Measure the product against the measurable goal, and plan for refinement work such as product kinks and hallucinations.

  • Common mistake

    Starting milestone planning without measuring existing models

    What it looks like

    A team writes a schedule of intermediate targets without knowing what an off-the-shelf model can already do.

    Why it fails

    The route depends on the starting point. Without a baseline, the size of the custom work is unknown.

    Do this instead

    Evaluate existing models first, so the baseline shapes the sequence of milestones.

  • Common mistake

    Assuming the goal is fixed for the whole project

    Why it fails

    Evaluation can reveal that the work costs more than the value the product could return.

    Do this instead

    Include a checkpoint where the team revisits whether the product is still worth pursuing.

  • Common mistake

    Assuming remaining effort is proportional to effort already spent

Check Your Plan

EASY

A team's goal is to have an AI system resolve 80% of incoming requests automatically. Its evaluation shows that an existing model already resolves 45% of requests with no custom work. Work out how many percentage points of requests remain to be automated. Then describe one milestone you would place between the baseline and the goal, and one checkpoint where you would reconsider the goal.

Hints
  • Subtract the baseline from the goal to find the remaining gap.
  • A useful intermediate target sits between 45% and 80%, and should be measurable.
  • A checkpoint asks whether the work still justifies the value the product could return.

Summary of the Planning Route

  1. 1
    Milestone planning turns a measurable goal into a sequence of intermediate targets, and the right sequence depends on where the team starts.
  2. 2
    Evaluating existing models reveals the baseline. A stronger baseline means less custom work is needed to reach the goal.
  3. 3
    An early impressive demo can mislead a team, because foundation models make early results fast while refining behavior takes much longer.
  4. 4
    Progress often slows near the final quality level, so early pace is not a reliable guide to total effort.
  5. 5
    A good plan includes a checkpoint for reconsidering whether the goal and the product are still worth pursuing.

At a glance

  • Milestone planning turns a measurable goal into intermediate targets, and the right sequence depends on where the team starts.
  • Evaluating existing models reveals the baseline, and a stronger baseline means less custom work is needed.
  • Early demos can mislead because the last stretch of quality often takes far longer than the first stretch of progress.
  • A good plan includes a checkpoint for reconsidering whether the goal is still worth pursuing.

More concepts starting with S