The Importance of Distinguishing Inputs from Outputs

Audio Transcript

The confusion between input variables and output variables stems from one of the primary differences between the business and social sectors. In business, money is both an input—a resource, a means for achieving greatness—and an output, a measure of success. Whereas in the social sectors, unlike business, money is only an input, only a means, only a method. It is not a measure of greatness, a measure of success.

But what if your outputs are inherently not measurable? The basic idea is still the same. You must separate inputs from outputs, and hold yourself accountable for progress in the outputs even if those outputs defy measurement.