More on this book
Community
Kindle Notes & Highlights
Read between
June 4 - June 4, 2024
From this point forward, I’m going to propose that you develop an uncanny ability to be selectively ignorant. Ignorance may be bliss, but it is also practical. It is imperative that you learn to ignore or redirect all information and interruptions that are irrelevant, unimportant, or unactionable. Most are all three.
Lifestyle design is based on massive action—output. Increased output necessitates decreased input. Most information is time-consuming, negative, irrelevant to your goals, and outside of your influence.
Learning to ignore things is one of the great paths to inner peace. —ROBERT J. SAWYER, Calculating God
Develop the habit of asking yourself, “Will I definitely use this information for something immediate and important?” It’s not enough to use information for “something”—it needs to be immediate and important. If “no” on either count, don’t consume it. Information is useless if it is not applied to something important or if you will forget it before you have a chance to apply it.
Follow your to-do short list and fill in the information gaps as you go. Focus on what digerati Kathy Sierra calls “just-in-time” information instead of “just-in-case” information.
If you are reading an article that sucks, put it down and don’t pick it back up. If you go to a movie and it’s worse than Matrix III, get the hell out of there before more neurons die. If you’re full after half a plate of ribs, put the damn fork down and don’t order dessert. More is not better, and stopping something is often 10 times better than finishing it. Develop the habit of nonfinishing that which is boring or unproductive if a boss isn’t demanding it.
Learn to be difficult when it counts. In school as in life, having a reputation for being assertive will help you receive preferential treatment without having to beg or fight for it every time.
For our purposes, an interruption is anything that prevents the start-to-finish completion of a critical task, and there are three principal offenders: 1. Time wasters: those things that can be ignored with little or no consequence. Common time wasters include meetings, discussions, phone calls, web surfing, and e-mail that are unimportant. 2. Time consumers: repetitive tasks or requests that need to be completed but often interrupt high-level work. Here are a few you might know intimately: reading and responding to e-mail, making and returning phone calls, customer service (order status,
...more
From this moment forward, resolve to keep those around you focused and avoid all meetings, whether in person or remote, that do not have clear objectives. It is possible to do this tactfully, but expect that some time wasters will be offended the first few times their advances are rejected. Once it is clear that remaining on task is your policy and not subject to change, they will accept it and move on with life. Hard feelings pass. Don’t suffer fools or you’ll become one. It is your job to train those around you to be effective and efficient. No one else will do it for you.
Decide that, given the non-urgent nature of most issues, you will steer people toward the following means of communication, in order of preference: e-mail, phone, and in-person meetings. If someone proposes a meeting, request an e-mail instead and then use the phone as your fallback offer if need be. Cite other immediately pending work tasks as the reason.
communication should be streamlined to prevent needless back-and-forth. Thus, an e-mail with “Can you meet at 4:00 P.M.?” would become “Can you meet at 4:00 P.M.? If so.… If not, please advise three other times that work for you.” This “if … then” structure becomes more important as you check e-mail less often.
Meetings should only be held to make decisions about a predefined situation, not to define the problem. If someone proposes that you meet with them or “set a time to talk on the phone,” ask that person to send you an e-mail with an agenda to define the purpose: That sounds doable. So I can best prepare, can you please send me an e-mail with an agenda? That is, the topics and questions we’ll need to address? That would be great. Thanks in advance. Don’t give them a chance to bail out. The “thanks in advance” before a retort increases your chances of getting the e-mail. The e-mail medium forces
...more
Speaking of 30 minutes, if you absolutely cannot stop a meeting or call from happening, define the end time. Do not leave these discussions open-ended, and keep them short. If things are well-defined, decisions should not take more than 30 minutes.
Batching is also the solution to our distracting but necessary time consumers, those repetitive tasks that interrupt the most important.
Empowerment failure refers to being unable to accomplish a task without first obtaining permission or information. It is often a case of being micromanaged or micromanaging someone else, both of which consume your time. For the employee, the goal is to have full access to necessary information and as much independent decision-making ability as possible. For the entrepreneur, the goal is to grant as much information and independent decision-making ability to employees or contractors as possible.
It wasn’t scalable because there was an information and decision bottleneck: me.
Upon close analysis, it became clear that more than 90% of the issues that prompted e-mail could be resolved for less than $20. I reviewed the financial results of their independent decision-making on a weekly basis for four weeks, then a monthly basis, and then on a quarterly basis. It’s amazing how someone’s IQ seems to double as soon as you give them responsibility and indicate that you trust them. The first month cost perhaps $200 more than if I had been micromanaging. In the meantime, I saved more than 100 hours of my own time per month, customers received faster service, returns dropped
...more
If you are a micromanaging entrepreneur, realize that even if you can do something better than the rest of the world, it doesn’t mean that’s what you should be doing if it’s part of the minutiae. Empower others to act without interrupting you.
Becoming a member of the NR is not just about working smarter. It’s about building a system to replace yourself. This is the first exercise. Even if you have no intention of becoming an entrepreneur, this is the ultimate continuation of our 80/20 and elimination process: Preparing someone to replace you (even if it never happens) will produce an ultrarefined set of rules that will cut remaining fat and redundancy from your schedule. Lingering unimportant tasks will disappear as soon as someone else is being paid to do them. But what about the cost? This is a hurdle that is hard for most. If I
...more
The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency. —BILL GATES
Each delegated task must be both time-consuming and well-defined. If you’re running around like a chicken with its head cut off and assign your VA to do that for you, it doesn’t improve the order of the universe.
Creating demand is hard. Filling demand is much easier. Don’t create a product, then seek someone to sell it to. Find a market—define your customers—then find or develop a product for them.
if everyone is your customer, then no one is your customer.
It is more profitable to be a big fish in a small pond than a small undefined fish in a big pond.
The Main Benefit Should Be Encapsulated in One Sentence. People can dislike you—and you often sell more by offending some—but they should never misunderstand you. The main benefit of your product should be explainable in one sentence or phrase. How is it different and why should I buy it? ONE sentence or phrase, folks. Apple did an excellent job of this with the iPod. Instead of using the usual industry jargon with GB, bandwidth, and so forth, they simply said, “1,000 songs in your pocket.” Done deal. Keep it simple and do not move ahead with a product until you can do this without confusing
...more
It Should Cost the Customer $50–200. The bulk of companies set prices in the midrange, and that is where the most competition is. Pricing low is shortsighted, because someone else is always willing to sacrifice more profit margin and drive you both bankrupt. Besides perceived value, there are three main benefits to creating a premium, high-end image and charging more than the competition. 1. Higher pricing means that we can sell fewer units—and thus manage fewer customers—and fulfill our dreamlines. It’s faster. 2. Higher pricing attracts lower-maintenance customers (better credit, fewer
...more
It Should Take No More Than 3 to 4 Weeks to Manufacture. This is critically important for keeping costs low and adapting to sales demand without stockpiling product in advance. I will not pursue any product that takes more than three to four weeks to manufacture, and I recommend aiming for one to two weeks from order placement to shippable product.
It Should Be Fully Explainable in a Good Online FAQ.
It is possible to know all there is to know about a subject—medicine, for example—but if you don’t have M.D. at the end of your name, few will listen. The M.D. is what I term a “credibility indicator.” The so-called expert with the most credibility indicators, whether acronyms or affiliations, is often the most successful in the marketplace, even if other candidates have more in-depth knowledge. This is a matter of superior positioning, not deception.
In modern PR terms, proof of expertise in most fields is shown with group affiliations, client lists, writing credentials, and media mentions, not IQ points or Ph.D.s. Presenting the truth in the best light, but not fabricating it, is the name of the game.
The contradictory advice you find in business books and elsewhere usually relates to managing employees—how to handle the human element. Herb tells you to give them a hug, Revson tells you to kick them in the balls, and I tell you to solve the problem by eliminating it altogether: Remove the human element. Once you have a product that sells, it’s time to design a self-correcting business architecture that runs itself.
Our goal isn’t to create a business that is as large as possible, but rather a business that bothers us as little as possible. The architecture has to place us out of the information flow instead of putting us at the top of it.
rough blueprint for designing a self-sustaining virtual architecture. There could be differences—more or fewer elements—but the main principles are the same: 1. Contract outsourcing companies53 that specialize in one function vs. freelancers whenever possible so that if someone is fired, quits, or doesn’t perform, you can replace them without interrupting your business. Hire trained groups of people who can provide detailed reporting and replace one another as needed. 2. Ensure that all outsourcers are willing to communicate among themselves to solve problems, and give them written permission
...more
Most entrepreneurs begin with the cheapest tools available, bootstrapping and doing things themselves to get up and running with little cash. This isn’t the problem. In fact, it’s necessary so that the entrepreneurs can train outsourcers later. The problem is that these same entrepreneurs don’t know when and how to replace themselves or their homemade infrastructure with something more scalable. By “scalable,” I mean a business architecture that can handle 10,000 orders per week as easily as it can handle 10 orders per week. Doing this requires minimizing your decision-making responsibilities,
...more
The more options you offer the customer, the more indecision you create and the fewer orders you receive—it is a disservice all around. Furthermore, the more options you offer the customer, the more manufacturing and customer service burden you create for yourself. The art of “undecision” refers to minimizing the number of decisions your customers can or need to make. Here are a few methods that I and other NR have used to reduce service overhead 20–80%: 1. Offer one or two purchase options (“basic” and “premium,” for example) and no more. 2. Do not offer multiple shipping options. Offer one
...more
Those who spend the least and ask for the most before ordering will do the same after the sale. Cutting them out is both a good lifestyle decision and a good financial decision. Low-profit and high-maintenance customers like to call operators and spend up to 30 minutes on the phone asking questions that are unimportant or answered online, costing—in my case—$24.90 (30 × $0.83) per 30-minute incident, eliminating the minuscule profit they contribute in the first place.
Don’t be the CEO or founder. Being the “CEO” or “Founder” screams start-up. Give yourself the mid-level title of “vice president” (VP), “director,” or something similar that can be added to depending on the occasion (Director of Sales, Director of Business Development, etc.). For negotiation purposes as well, remember that it is best not to appear to be the ultimate decision-maker.
Put multiple e-mail and phone contacts on the website. Put various e-mail addresses on the “contact us” page for different departments, such as “human resources,” “sales,” “general inquiries,” “wholesale distribution,” “media/PR,” “investors,” “web comments,” “order status,” and so on. In the beginning, these will all forward to your e-mail address. In Phase III, most will forward to the appropriate outsourcers.
Do not provide home addresses. Do not use your home address or you will get visitors. Prior to securing an end-to-end fulfillment house that can handle checks and money orders—if you decide to accept them—use a post office box but leave out the “PO Box” and include the street address of the post office itself. Thus “PO Box 555, Nowhere, US 11936” becomes “Suite 555, 1234 Downtown Ave., US 11936.”
By working faithfully eight hours a day, you may eventually get to be a boss and work twelve hours a day. —ROBERT FROST, American poet and winner of four Pulitzer Prizes
Practice the art of getting past “no” before proposing. Go to farmers’ markets to negotiate prices, ask for free first-class upgrades, ask for compensation if you encounter poor service in restaurants, and otherwise ask for the world and practice using the following magic questions when people refuse to give it to you. “What would I need to do to [desired outcome]?” “Under what circumstances would you [desired outcome]?” “Have you ever made an exception?” “I’m sure you’ve made an exception before, haven’t you?” (If no for either of the last two, ask, “Why not?” If yes, ask, “Why?”)
If you must play, decide on three things at the start: the rules of the game, the stakes, and the quitting time. —CHINESE PROVERB
If there is any question of why you took a break or left your previous job, there is one answer that cannot be countered: “I had a once-in-a-lifetime chance to do [exotic and envy-producing experience] and couldn’t turn it down. I figured that, with [20–40] years of work to go, what’s the rush?”
Would you like me to give you a formula for success? It’s quite simple, really. Double your rate of failure. —THOMAS J. WATSON, founder of IBM
There is more to life than increasing its speed. —MOHANDAS GANDHI
If you are accustomed to working 50 weeks per year, the tendency, even after creating the mobility to take extended trips, will be to go nuts and see 10 countries in 14 days and end up a wreck. It’s like taking a starving dog to an all-you-can-eat buffet. It will eat itself to death.
The alternative to binge travel—the mini-retirement—entails relocating to one place for one to six months before going home or moving to another locale. It is the anti-vacation in the most positive sense. Though it can be relaxing, the mini-retirement is not an escape from your life but a reexamination of it—the creation of a blank slate. Following elimination and automation, what would you be escaping from? Rather than seeking to see the world through photo ops between foreign-but-familiar hotels, we aim to experience it at a speed that lets it change us. This is also different from a
...more
True freedom is much more than having enough income and time to do what you want. It is quite possible—actually the rule rather than the exception—to have financial and time freedom but still be caught in the throes of the rat race. One cannot be free from the stresses of a speed- and size-obsessed culture until you are free from the materialistic addictions, time-famine mind-set, and comparative impulses that created it in the first place. This takes time. The effect is not cumulative, and no number of two-week (also called “too weak”)70 sightseeing trips can replace one good walkabout.71 In
...more
Learn to slow down. Get lost intentionally. Observe how you judge both yourself and those around you. Chances are that it’s been a while. Take at least two months to disincorporate old habits and rediscover yourself without the reminder of a looming return flight.
I asked every vagabond interviewee in this book what their one recommendation would be for first-time extended travelers. The answer was unanimous: Take less with you. The overpacking impulse is hard to resist. The solution is to set what I call a “settling fund.” Rather than pack for all contingencies, I bring the absolute minimum and allocate $100–300 for purchasing things after I arrive and as I travel. I no longer take toiletries or more than a week’s worth of clothing. It’s a blast. Finding shaving cream or a dress shirt overseas can produce an adventure in and of itself.