What are results?” The traditional answer—“the bottom line”—is treacherous. Under a bottom-line philosophy, we cannot relate the short run to the long term, and yet the balance between the two is a crucial test of management. The beacons of productivity and innovation must be our guideposts. If we achieve profits at the cost of downgrading productivity or not innovating, they aren’t profits. We’re destroying capital. On the other hand, if we continue to improve productivity of all key resources and improve our innovative standing, we are going to be profitable. Not only today, but tomorrow.
