LEVERAGE (as a verb): “To use borrowed capital for an investment, expecting the profits made to be greater than the interest payable.” — New Oxford American Dictionary
As everyone who lived through the 1980s (decade of the LBOs, or leveraged buy-outs) knows, to leverage is to incur risk. What it does not mean is simply “to use” or “to exploit,” a definition creeping into vogue among obfuscating business writers today.
This new, timid meaning no doubt owes its birth to a secondary meaning of leverage, which is “to exert power or influence on” (Random House Dictionary). For example, a majority political party can leverage cooperation from the minority. What’s always implied, though, is something to leverage with. If you can’t fill in the leveraging capital (in the example above, it would be: “a majority political party can use its majority status to leverage cooperation from the minority.”), you’re probably using it wrong.
And because leverage is a transitive verb, it’s always necessary to remember what you’re leveraging. You can use power, influence, capital or surreptitiously obtained videos of unspeakable acts involving emus to leverage a result. You cannot leverage a technology or a new business practice. (Utilize, exploit or for Pete’s sake, use the damn thing!) Besides, if you claim to leverage a new technology, what are leveraging it with? Sorry, but your ignorance is not a sufficient fulcrum.
Already, The American Heritage Dictionary, always at the vanguard of rushing to include new (usually wrong) definitions, has added “to improve or enhance” as a secondary meaning for leverage. But even the quotation they cite seems detached from this definition: “It makes more sense to be able to leverage what we [public radio stations] do in a more effective way to our listeners” (Delano Lewis, San Francisco Chronicle, December 20, 1997).
Huh? I don’t have the context, but one doesn’t improve in a more effective way. I guess even public radio, manna of the literati, sometimes leverages its own highbrow pretentiousness against itself. Where’s Daniel Schorr when you need him?
— Otto E. Mezzo
Update | January 13, 2008
yes, let’s agree not to use the verb “leverage” when discussing business, marketing, and software. Leverage the word “use.”
Thank you, Gina! (http://twitter.com/ginatrapani/statuses/941183035)
Update | March 4, 2010
I have received mail asking why the “update” is stamped January 13, 2008 — more than a year earlier than the original entry. Sorry — that was the date of the tweet. I stumbled across it by accident, and it shows leverage has been enduring abuse longer than I expected. And speaking of which:
Sighting: yet another webinar
Leverage the strength of collective buying
We leverage best practices…
Leverage strategic partnerships with major vendors
I stopped counting after the third slide. The presenter really leveraged my attention away to a YouTube video of a lip-synching hamster. The twee rodent used not one word wrong and he used verbs.