Is the method you use when you have
some important to measure but you can't measure it directly e.g. Customer
Satisfaction
So what you do? You look for things
that are directly correlated to this thing and measure them. The more tightly
they are connected to the original thing and the ore they are, the more
accurate representation you will have
For example; you can measure the
customers' satisfaction by measuring the number of returns/refunds, the number
of complaint calls etc.
Know that this won't give you a 100%
perfect measurement, but if you do it right it will give you pretty good
representative numbers
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