Outcome vs. Output in Leadership

Why do some leaders achieve remarkable success while others struggle despite working just as hard? The answer lies in a crucial distinction: Outcome vs. Output. Many emerging leaders focus on completing tasks, assuming that productivity equals success. However, great leaders understand that true impact comes from achieving meaningful outcomes.

In leadership, expectations are often outcome-driven. Leaders are naturally strong problem solvers and high achievers, so their success is typically measured by results, not just effort. But what does it really mean to be outcome-driven, and why do emerging leaders often fall into the output trap?

What’s the Difference Between Outcome and Output?

Let’s break it down with a simple example:

Imagine two marketing teams working towards increasing student enrollment.

• Team A (Output-Focused): Runs five campaigns, creates 20 social media posts, and hosts a webinar.
• Team B (Outcome-Focused): Runs two highly targeted campaigns, engages directly with potential parents, and refines their strategy based on feedback—ultimately increasing enrollments by 30%.

Both teams worked hard, but only Team B achieved the real goal. Team A focused on output (tasks completed), while Team B focused on outcome (actual impact).

This output trap is a common blind spot for emerging leaders—those transitioning into leadership roles. They tend to focus on tasks rather than whether those tasks lead to meaningful success.

Balancing Outcome and Output in Leadership

While outcome-driven leadership is essential, focusing only on results can sometimes neglect the human element of leadership. True leadership balances both outcomes (results) and outputs (processes), which is where the Three P&Ls of Leadership come into play.

The Three P&Ls of Leadership

1. Profit & Loss (P&L) – Financial sustainability and resource allocation
2. Passion & Love (P&L) – Purpose-driven engagement and motivation
3. Purpose & Life (P&L) – Personal growth, fulfillment, and alignment

1. Profit & Loss (P&L) – Outcome-Driven

This is about financial sustainability. A company must generate enough revenue to take care of its employees, ensuring they can sustain their lives. If financial security is lacking, employees will be too distracted to focus on their real work—such as educating children.

💡 Ask Yourself: Are we focusing on actions that drive financial stability, or just completing tasks without impact?

👉 Action Step: Leaders should review financial reports monthly and identify whether their team’s activities directly contribute to revenue and sustainability.

2. Passion & Love (P&L) – Process-Driven

Once financial stability is secured, leaders must ignite passion and love within the organization. Employees should understand and connect with why they do what they do.

However, passion cannot be forced. Leaders cannot demand employees to declare their struggles or share their personal motivations on command. These conversations take time and require trust.

💡 Ask Yourself: How well do I understand what motivates my team?

👉 Action Step: Schedule regular one-on-one check-ins with employees to understand their challenges and what excites them about their work.

3. Purpose & Life (P&L) – Process-Driven

At the highest level, leadership is about self-awareness and purpose. Many individuals struggle to define their purpose in life, and organizations should foster an environment where personal and professional purposes intersect rather than remain separate.

The key to building this intersection is relationships. Employees will only engage in deeper conversations about purpose if they trust that their leaders genuinely care.

💡 Ask Yourself: Does my team see their work as a job, a career, or a calling?

👉 Action Step: Encourage employees to reflect on how their personal goals align with the company’s vision.

Outcome vs. Output in the Three P&Ls

• Profit & Loss (P&L) must be outcome-driven. Numbers must be precise, and financial goals must be met.
• Passion & Love (P&L) and Purpose & Life (P&L) must be output-driven and process-focused because they require time, trust, and relationship-building.

Relationships cannot be rushed or measured purely by numbers—they require consistent effort and genuine care.

A Holistic Leadership Approach

Leadership must blend all three P&Ls because different groups within the organization will resonate with different priorities:

• High performers and visionaries buy into passion and purpose.
• Ground-level employees prioritize profit and stability first.

This aligns with Maslow’s Hierarchy of Needs—basic financial security must be addressed before higher levels of motivation and purpose can take root.

For an organization to thrive, leaders must create a well-balanced leadership strategy that integrates:

1. Outcome-driven goals for financial and business success
2. Process-driven efforts for employee engagement and purpose

Final Thought: Are You Focusing on the Right Target?

Great leaders don’t just execute tasks; they inspire, guide, and create lasting impact. If you want to elevate your leadership, stop asking:

❌ “What did I do today?”
✅ “What result did I achieve today?”

The difference between output and outcome is the difference between good and exceptional leadership. Which one are you focusing on?