Scott took it too literally. See also how the broader rationalist community took issue with Sam Kriss for inventing a not-obviously-fake historical figure.
The biggest takeaway for me is that you shouldn't expect to succeed as a manager by meeting (or exceeding) KPIs. It's about as effective as being a "nice guy" and expecting intimacy in return.
The KPIs are there for assigning blame, not for identifying key personnel. You can game them to increase your compensation if you are already doing something that an even bigger manager finds useful and important. Conversely, you can get away with half-assing every official performance indicator as long as you keep delivering the real thing.