Pareto’s Principle

It's commonly known that 7 out of 10 small businesses are doomed to failure, and I want you to be the 3 out of 10 that succeed, that thrive, that have a Legendary message in a Legendary business that serves your clients. With that being said, today is all about Pareto’s Principle. If you’re not familiar with Pareto’s Principle by name, you may have heard it as the 80/20 rule: 80% of your results will be generated by 20% of your clients. Or, on the flip side, 80% of everything you do is only giving you 20% of the overall results.

The question to dig into here is this: Where does this apply to your business? We all have the 80%; the fluff/noise/distractions, or the ‘I gotta get these things done’, that are preventing us from focusing on the Big Rocks (thank you Stephen Covey!). We must put those big rocks (the 20%) in first or we’ll never have room for the small ones (80%). Ask yourself…are you running around doing busy work? Are you giving your time and focus to a bunch of little things? Are you conquering admin tasks or things that really aren’t worth your wage/hourly rate/net worth? Be truthful with yourself first so you can read on and make a game changing move for your business.

As most small business owners do, I started off as a one man show. I did everything myself, from content creation to marketing to sales to delivery. I had to do this to get a solid foundation, but as soon as I moved into growth mode, I recognized that most of what I was doing is not my area of strength; it was my world of 80% small rocks. In order to thrive, I had to spend money and build a team to do those things for me; employing people that are thrilled to use their gifts and absolutely fly in those areas. I no longer worry over what, to me, are the small things so that I can focus on my 20% big rocks: creating content for the masses while coaching and guiding my one-on-one clients to create plans for their success. That’s the 20% of what I do, which in turn nets 80% of the results for me and my clients.

Do I have to deal with invoicing and scheduling and notes and all of those things? Yeah, that’s the 80% that I’m not quite ready to get rid of, and you’ll have some of that as well. But because of my evolution and willingness to let go, I have time to be present; focusing and listening in for what’s going on with my precious 20%; my clients.

My challenge to you to make your small business a 3 out of 10: Spend just 15 minutes and identity, of your daily tasks, what are the 20% that are going to get you 80% of the results. Put those first on your calendar. If you’re a morning person, get them on the calendar for first thing in the morning when you have fewer distractions. If you’re an afternoon person, that’s where your 20% should go; always at your peak time! If you’ve been holding back, consider outsourcing or hiring a team for at least some of the 80%. If you’re not quite there yet, make sure you’re focusing on the 20% and getting the 80% done as you can, not the other way around.

As always, if you want help going after your big results or need to identify what’s in your way, we can help! https://www.chadecooper.com