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6 Understandings Of Growth #2
This is episode number two of the Six Understandings of Growth. If you missed episode number one, what I’m doing is I’m ripping through six seldom discussed topics that undergird hypergrowth in a company. I would say most fast-growing companies have an entrepreneur or a founding body that at least encompasses four or five of these six. I’m going to rip through what I believe are the six undercurrents of hypergrowth. This is number two, it’s the understanding of the true definition of net worth. I’m talking about personal net worth and the company net worth. You and your company’s net worth are directly tied to two things. Your network of the people you associate with in an annual calendar and the five closest people to you, but it’s also tied to your net work. Meaning how many greens do you manage each week? What is the net output of your personal work?
First, I’m going to go back to your network, meaning who are those five influential people? This goes back to the roots, quite frankly it’s biblical. The most common or most understood launching pad of network or mastermind group or the power of association comes from Napoleon Hill’s book, Think And Grow Rich. Back in the day when it opened our minds to the concept of an accountability team or a mentorship team. Your net worth is no question been proven both in and out of business, both in and out of schools and institutions. Someone’s net worth, meaning what’s left in their bank account when they pass or even currently, is in direct proportion to what’s been poured into the brain or sewed into the heart and soul and mind of a business owner, of an entrepreneur, of an executive, of a person.
Your net worth is in direct proportion to what's been poured into your brain or sewed into your heart, soul, and mind. Click To Tweet
It is undisputed that a person, even though there’s no such thing as original thought per se, is a product of what it’s absorbed. It’s a product of what they’ve read. It’s a product of who has sowed season to them. I don’t want to spend a ton of time on the net worth is closely tied to your personal network of close friends, close mentors and close board of advisors. It just is. You can’t avoid it. If you think you can be a renegade individual and read a ton of books and not hang with a lot of people that are much further along that love you and are pouring into you, the bottom line is you’re mistaken. It’s as simple as that.
I want to spend a little bit more time when it comes to net worth and I mean financially. It’s also tied to your net work, meaning there’s a ton of people that work hard. My grandfather was a plumber for a while before he started a restaurant. He worked his fingers to the bone literally. He worked hard, but he was always broke. When I say your net work, I don’t mean your hours. There is a lot of confusion out there of people that brag about how much work they put in, how much time they put in. I have famously said on this podcast, if you can’t do it in 40 hours a week, you’re doing something wrong. You’ve got to have a life. You’ve got to have a social life. You’ve got to have a family. You’ve got to replenish yourself. I don’t believe in balance. I work way more than 40 hours, but I still power into my wife and kids and travel a lot. I sow seeds in and out.
The point is I’m also conscientious that me or the people closest to me and all the people working for us have an understanding of net work. Meaning you can be efficiently ineffective if you’re working your brains off you. You’ve got a to-do list of a million things. Halfway through the week, you’re suffocating of all the things you have to do. You end up finishing the week exhausted. When you look back at your list, you really didn’t check anything off. There’s a thing out there called Six Sigma. I have in the last twenty episodes, at least two or three episodes, talked about how we invited the founder of the Rhythm Software to get our company managing everything through red, yellow and green lights. When it’s all said and done, one of the top ten most purchased business books of all time called The ONE Thing based on a Stephen Covey habit.
Let’s talk about the week. If my week goes haywire and I can only finish three things this week, these are going to be the three things. Quite frankly, this is the order they must be done in. This one, if I only do one, is the single most important part of my week. If this gets done, the rest gets done. If these two things get done, the rest take care of itself. If these three things get done, the rest takes care of itself. If you don’t manage yourself and the people that work with and for you in some form of a green light fashion, you are confused. You’re kidding yourself.
Let me make sure I’m perfectly clear. I spent several of my last many years checking things off a to-do list and bragging about how much effort I put in. The last few years have been hyper-productive because I make sure that I set a monthly agenda and a weekly agenda and I prioritize it into what is critical. Even down to what one thing, if done well takes away all pain in my life and creates tremendous joy. I can always in every month go into the month and say, “If I do this one thing, if we hit this one goal, everything’s easier.” I can always do that per week, per month or even per day.
If you have an understanding that your net worth is two things continually stacked on top of each other. Number one, the five people closest to you that are pouring into you, that are five to ten times further along in the life of where you want to go and you’ve publicly proclaimed, “This is where I want to go.” You better be surrounding yourself with people that love and respect you, who are farther along than you that are helping you. You stack that on top of the net worth of your net work. Meaning this week what did you proclaim was the one thing that no matter what happens you’re getting this done? You did it, now next week, what one thing or two that if you get it done takes care of everything else? You stack those things up every day, every week and then you look back in 90 days and you’re like, “Did I accomplish a lot?”
Most business people do not do that. Most business people, at least the ones I talk to, I’m going to say 90% have a huge to-do list and they confuse activity with accomplishment. If you want to grow hypergrowth, you say, “If I do this one thing, that thing is green. If I don’t get it done, it’s red.” I don’t care if you get a red marker and a green marker and you put a dot next to it. It could be a weight loss goal. I’m losing a pound a week. If the week ended and you didn’t lose one pound, you better mark something red. You failed. Red is beautiful. See if you’re stacking reds or stacking greens. If you want to grow fast, you will always find yourself stacking one, two, or three reds in a row until you get too upset. All of a sudden, that one item starts turning green and then magic happens.
That becomes a habit and you attack another area that you need to grow in. It’ll be red in one, two, or three weeks in a row. You get angry and you change and you execute, and then you understand execution is the strategy. It’s a phenomenal book by a gal named Laura Stack, Execution Is The Strategy. A lot of people out there are worry about what’s the greatest strategy? Forget that. Just come up with a simple task, “If I do this, is that going to propel us?” Do it. Turn it green. Understand the definition of net worth. Your net worth when you pass, I promise you, is going to be two things stacked on top of it. The network of people that pour into you and the books that you read stacked on top of every month the things that you turn green. That’s the second of Six Understandings. I hope that helps. Take care.