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In 2025, over 2.5 quintillion bytes of data are created every day. For my non-mathematicians, that’s 2.5 followed by a whopping 18 zeros. With so much information flying at us, the true test of leadership isn’t managing it—it’s knowing which 0.01% of it actually matters.
The pressure to respond to every new tool and trend can feel intense. But leadership isn’t about reacting to every new “thing.” It’s developing the discernment to differentiate “signals” from “noise.” Netflix is an often-cited example of acting on “signals” like increased demand for streaming and broadband improvements, while Blockbuster remains a cautionary tale for ignoring them.
But of course, hindsight is 20/20. So how do you differentiate signal from noise as it happens, especially in such a crowded information landscape?
The danger of noise
An exemplary chief information officer once said, “We’re building a fence. I just want to know if we put in one, two or zero fence posts this week. Don’t confuse me with updates about who tripped over a shovel or which nails went missing. Start with what matters—Did we build something?”
“Noise” is like hauling a pile of lumber back and forth across a yard without ever nailing it down. All motion, no construction. It drains time, energy and attention without adding a single post to your fence.
When leaders aren’t clear about what kind of fence they’re building—or which direction it’s supposed to go—teams might spend their time walking in circles with tools in hand, congratulating themselves for staying busy. But busyness doesn’t equal building. Noise is dangerous because it’s loud—it can trick you into mistaking activity for structure, movement for milestones.
Common sources of loud and distracting noise:
◗ Internal noise: Pet projects that don’t align with the fence design (i.e. company strategy), unaligned spending and departmental fiefdoms protecting their interests rather than organizational goals.
◗ External noise: Industry hype creating FOMO and competitor activities that don’t align with your strategic direction.
◗ Data noise: Vanity metrics that look impressive but aren’t helpful for decision-making, unvalidated insights and self-fulfilling analysis exercises.
Recognizing signal
A signal is the unmistakable click of progress—it’s the sound of another fence post going in. Signals align with strategic objectives, appear consistently over time and come from trustworthy sources (be it your construction foreman, your leveler or your long-term strategy).
Unlike the clatter of dropped tools and side conversations, signals create clarity. The value of a signal isn’t in its volume or urgency, but in its strategic relevance and predictive power. Unlike noise, which is often amplified by anxiety or politics, signals maintain their integrity regardless of who’s listening. Signals don’t need champions or defenders—their value is self-evident in the outcomes they predict or produce. They show their value in how straight, tall and connected your fence becomes.
Key types of signals:
◗ Internal signals: Recurring operational bottlenecks, consistent patterns of success or failure, and boulders blocking the fence construction path.
◗ External signals: Regulatory trends, substantive market-demand shifts, changing consumer behavior, and disruptive technologies affecting your industry.
◗ Data signals: Leading indicators of customer churn and sustained growth in key metrics that align with strategic goals.
At the end of the day, no matter your industry, title or what kind of “fence” you’re building, it comes down to this: How many posts did we put up this week?
Making the distinction
Leadership means being the one who keeps eyes on the blueprint, not the leaf blower in the neighbor’s yard. To separate real progress from pointless commotion, consider running new information through this three-question filter:
1. Does this align with my long-term strategy? Information that doesn’t connect to your strategic objectives (i.e. your fence blueprint) is likely noise, regardless of how interesting it might seem.
2. Is it backed by real building evidence? Signals are backed by substantive data, consistent patterns or reliable expert validation—not just a hunch that the grass might be greener.
3. Does it drive action or just conversation? True signals compel action that advances strategic goals, while noise might be interesting but not actionable.
Building with intention
Faced with endless distractions, the most effective leaders aren’t the ones who chase every new trend—they’re the ones who stay focused on what they’re building. They help teams see the fence clearly, so everyone knows whether their next move adds to the structure or just stirs up dust.
When you filter for signals and ignore the clamor of unhelpful noise, you don’t just make progress. You build something that lasts.•
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Jess Carter is host of the “Data Driven Leadership” podcast and vice president of client experience and delivery operations at Resultant.
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