The Squawk Point

Organisational Mechanics

  • Home
  • Blog
    • People
    • Data
    • Process
    • Wild Cards
    • Index
  • Podcast
  • Book

Outputs and Outcomes

31 January, 2017 by James Lawther 1 Comment

Similar but not the same

It may be semantics, but I think we confuse outcomes and outputs:

  • A call that has been answered is an output
  • A query that has been resolved is an outcome
  • A “finished consultant episode” is an output
  • A patient who has been treated is an outcome
  • An order that has been shipped is an output
  • An order that has been received — in one piece — is an outcome
  • A shelf that has been stacked is an output
  • Finding the product you want is an outcome

Customers desire outcomes, organisations deliver outputs.  They are not always the same.

Where do you place your attention?

Outputs are easy to measure and manage.  Output data rolls off systems and out of processes.  Outputs are easy to quantify, target and incentivise.  Outcomes — on the other hand — are nebulous, qualitative, dependent on the circumstances and vague.

How can you target a doctor on a patient outcome that might not happen for five years?

What matters?

Outcomes have significance.  Outcomes have consequences.  Outputs, by comparison, are poor imitations.

Of course, you can’t have outcomes without outputs, but pushing outputs won’t necessarily give your customers the outcomes they desire.

Not everything that can be counted counts. Not everything that counts can be counted
~ William Bruce Cameron

If you enjoyed this post click here to receive the next

Stockpile

Image by Squire Morley

Read another opinion

Filed Under: Blog, Operations Analysis Tagged With: incentives, measurement, office productivity

About the Author

James Lawther
James Lawther

James Lawther is a middle-aged, middle manager.

To reach this highly elevated position he has worked in numerous industries, from supermarket retailing to tax collecting.  He has had several operational roles, including running the night shift in a frozen pea packing factory and carrying out operational research for a credit card company.

As you can see from his C.V. he has either a wealth of experience or is incapable of holding down a job.  If the latter is true this post isn’t worth a minute of your attention.

Unfortunately, the only way to find out is to read it and decide for yourself.

www.squawkpoint.com/

Comments

  1. maz iq says

    3 February, 2017 at 9:10 am

    Hello James,

    Interesting – yesterday I was involved in just this conversation / distinction with a potential client. Interestingly the client was on the ball he understood the distinction well – placing his emphasis on outcomes, not solutions, not outputs….

    It occurs to me that folks on organisations ignore outcomes especially when it comes to Customer outcomes as these are not readily measurable. Or because focusing on and reporting these would give a not so flattering picture of performance. Or it could simply be the expression of history: manufacturing / production focus of early business when the business was getting product out of the door like x number of Fords.

    Incidentally, I do not find myself in entire agreement with you. A patient that has been treated does not occur as an outcome. It you think of the Emergency dept, in a hospital, an output metric could be the number of people treated that day. And using this metric the focus would be in getting folks seen and out of the door whilst in the process sacrificing the degree of care and even the outcome. Which outcome? The number of patients healed such that no recurring symptoms, no need for another operation to remove the instruments that were left inside the first time. What do you think?

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Explore

accountability assumptions beliefs best practice blame bureaucracy capability clarity command and control communication complexity continuous improvement cost saving culture customer focus data is not information decisions employee performance measures empowerment error proofing fessing up gemba human nature incentives information technology innovation key performance indicators learning management style measurement motivation performance management poor service process control purpose reinforcing behaviour service design silo management systems thinking targets teamwork test and learn trust video waste

Receive Posts by e-Mail

Get the next post delivered straight to your inbox

Creative Commons

This information from The Squawk Point is licensed under a Creative Commons Attribution-ShareAlike 3.0 Unported License.
Creative Commons Licence
Customer Experience Update

Try This:

  • Fish Bone Diagrams – Helpful or Not?

  • Should You Punish Mistakes?

  • Brilliance Alone Won’t Take You Far

  • Regression to The Mean

Connect

  • E-mail
  • LinkedIn
  • RSS
  • YouTube
  • Cookies
  • Contact Me

Copyright © 2025 · Enterprise Pro on Genesis Framework · WordPress · Log in