Results in a business are obtained by exploiting opportunities, not by merely solving problems.


All one can hope to get by solving a problem is to restore normality or to eliminate a restriction on

the capacity of the business to obtain results.


Resources, to produce results, must be allocated to opportunities rather than to problems. Of course,

not all problems can be shrugged off, but they can and should be minimized.


Economic results are earned by leadership, not by mere competence. Profits are earned by making a

unique, or at least a distinct, contribution in a meaningful area. What is meaningful? It is decided by the

market and the customer. Profit comes from providing something the market accepts as value and is

willing to pay for.


This does not mean that a business has to be the giant of an industry or first in every product line.

Sometimes the second or third spot is preferable.


But a company that wants economic results has to have leadership in something of real value to a

customer or market. It may be in its service, its distribution or its ability to convert ideas into saleable

products speedily and at a low cost.


It is the executive's job to focus the business on opportunities and away from problems; to re-create

leadership and counteract the trend towards mediocrity; to replace inertia by new energy and new direction.


Source: Managing for Results, Peter F. Drucker