“Let's start up with the backlog. Our expectation is as our backlog grows, and you've seen it grow in terms of the larger projects that we're doing, our backlog has been growing annually. As you see it grow, you will see that contribute between 1% to 3% of our EPS growth.”

In context

“derstand how you're doing that? And if the environment stays the same in '24, '25, is this sort of a new range of EPS growth you guys can do given there's not a lot of demand and volumes? Sanjiv Lamba: So Mike, you know that we've gone out and made a commitment of 10-plus percent EPS growth. We referenced that earlier in our introductory remarks as well, and that's what you should expect us to be doing as we move forward. The growth algorithm is fairly straightforward, and I'll kind of walk you through that very quickly. No rocket science here, as you'd expect. There are 3 key levers that we pull in ensuring that that EPS growth is delivered and why we feel confident making that commitment of 10-plus percent. And obviously, we've beaten that over the track record of the last 4 to 5 years. Let's start up with the backlog. Our expectation is as our backlog grows, and you've seen it grow in terms of the larger projects that we're doing, our backlog has been growing annually. As you see it grow, you will see that contribute between 1% to 3% of our EPS growth. So strong, contracted growth with high-quality customers, developing projects that we feel pretty good about. And as Matt has reminded you in his remarks as well, we have a very stringent definition. We do not put MOUs and LOIs into the backlog. Our backlog is only recognized when we have a signed contract in place with guaranteed cash flows for the future contracted in. So that's our backlog, 1% to 3% in terms of EPS growth coming from there. The next big lever we have is a combination of pricing and productivity. That will give us between 4% to 6%. We flex that combination of pricing and productivity on pricing. I've said earlier in a response to a question that you should expect us to be slightly ahead of weighted global CPI, and again, we've demonstrated that consistently. You know ou”