Evolution – the gradual development

Evolution, Financial Independence

Yesterday I was listening to the I Love Marketing podcast episode#387 (ilovemarketing.com) . If you are in any way connected to marketing, this is by far one of the best podcasts. Joe Polish and Dean Jackson give a ton of information absolutely free. Incidentally Dean Jackson also runs another podcast called More Cheese Less Whiskers and Joe has another one with Dan Sullivan called the 10X talk. All three highly recommended.

During the Q&A in this podcast while giving an answer, Joe spoke about how people first master a big pain and then when they are able to master one, they evolve and master another one and so on. So what starts as a specific issue to be mastered by an individual then becomes sharable with an audience. Then as the person becomes successful with one set of pain points he starts working on the other areas and improves there and then shares that. As per them most of the genuine personal development people actually have evolved this way.

Come to think of it, if you have been reading my blog, it has all been about the challenges I faced initially with my finances. As the years passed and I became more and more enthralled with the idea of compounding, I started sharing my life lessons on this blog. I have been a big proponent of starting small and letting the magic of compounding play its role. How even being able to carve out small amounts could help you get out of the financial mess towards financial freedom. I have shared the 100s of books I have read on the subject and even given out key ideas for everyone to work with

As I evolved from that level I started focusing on my abilities to read more and retain more, improve my health and other things.

Coincidentally I wrote in my blog a couple of weeks back, before I had heard this podcast, that my blog is going to now be talking about multiple things instead of just financial freedom/independence.

So I think I am on the right track in my own evolution and in sharing my journey with you folks.

Let me know your views.

Till next time….

Changing the narrative

compounding, Financial Independence, Health, Marketing

Hello Everyone. Its been quite a few months since I wrote on my blog. I hope all of you, your families and near and dear ones are safe during these tough times.

I have been contemplating a lot about what should constitute my next items on the blog and the structure. While I have been writing over the last few years on “The Magic of Compounding” and its ability to create “Financial Freedom” I was wondering what would be the outcome for someone to achieve financial freedom. Is that outcome really worth the effort.

So that’s what’s been keeping my mind occupied. I have been reading a lot of books in the meantime, which I will analyse in the coming weeks. The biggest benefit which I could think for getting “Financial Freedom” is to have a life well lived. So compounding becomes a tool to get financial freedom and the freedom you get helps you live your life to a full potential or at least with less regrets of “What Could have Been”.

To be able to “Live Life Well” then you need to have other things also.

  1. You need to be in good health – if you don’t have health then all you will think of is your ailments – but if you have good health then you can dream about other things
  2. You need to be able to dream and change contexts from your present scenario – which means you need to gain more knowledge, visit new places and gain more varied experiences
  3. You need to excel on your own Unique Abilities ( a term Dan Sullivan of Strategic Coach uses very often)

Let me know your comments below on what else you think is needed to “live life well”

So I will be changing the narrative of my blog as we go forward – I will not only talk about “Compounding” and “Financial Freedom” which I am very passionate about, but also look at other areas like Marketing and Health.

Marketing and being able to present things and interact with people has been one of my areas which I think I am very good at. So I would like to share those ideas as I come across them.

In addition I have been very fascinated with how improving my daily health habits has helped me improve myself. A lot of you could be in a similar boat so I would love to share those aspects as well.

When I started blogging my emphasis was to help people especially youngsters to avoid the mistakes that I had made as I reached middle age in my financial abilities.

Now while I will keep on that, the narrative would change to also include how a better health and better marketing could help write on our tombstone – This Person Lived Her/His Life Well

So till next time ….

Carpe Diem!!!

Law of compounding – for real life improvement

Affirmative action, compounding, Human Brain

I read – maybe 10 years back – Delivering Happiness by the CEO of Zappos – Tony Hsieh. I don’t quite remember everything in the book except that it was the journey of Zappos. However there is one statement from the book which Hsieh makes, which has remained with me since then, if you can improve even 1% everyday, imagine the improvement you will have at the end of the year – 367%. However inspite of having read it and also put it on a board where I could see it everyday, I have not improved 3670% in the last 10 years. The idea is simple I understand it but I still don’t go about achieving it.

The Japanese have a incremental improvement method called Kaizen which is about bringing about small incremental improvements continuously resulting in massive improvements over a period of time.

Both seem to be very simple concepts but we don’t end up following them. If you have been following my blog for sometime you would have noticed that as I am getting more experienced at writing things I am also questioning things about how I can be improving myself. Right now I am working on improving my reading capabilities. I have an agenda to read at least 3 books every week, consistently over the next few months, inspite of all the extended working hours we are having due to the lockdown. I want to check if I can improve my reading, which means I gather more knowledge, which then I try to put into action and therefore improve myself on a regular basis.

Yesterday however I was watching a YouTube video of Dan Sullivan of Strategic coach and he explained a very simple concept because of which I may not be achieving our goals for real life improvement. His logic is that there are no impossible goals, there are only impossible timelines. And because we give impossible timelines to ourselves, we end up messing up on achieving our goals. In case you are interested you can watch the video here.

As per him if we were to give ourselves long enough timelines, then our brain will not put barriers. The timelines he talks about doing a 10X is 25 years and breaks it down into quarters. So in 25 years there will be 100 quarters. If we were to use our compounding equation S=P*(1+r/100)^n. So if we put P=X and S=10X and “n” =100 then “r” turns out to be just 2.5% growth per quarter.

Is it feasible to improve 2.5% per quarter or less than 1% per month. Should be possible. If we were to break down our improvement points into clear bite sized goals then 1% per month should be very feasible and 10X in 10 years should also be feasible.

The reason this compounding works is because as a human being when you improve the first time, the next improvement is over the previous improvement and this cycle can continue forever. This is exactly how compounding works on your money and this how compounding works in real life as well. However our brain is conditioned to think in terms of linear activities. It is just not capable of comprehending non-linear equations like compounding and therefore whether it comes to money or self improvement our brain plays games with us.

Its one of those laws which are universal in nature and should apply to me as well. If I can improve by more than 1% every month in different areas of my life, based on the knowledge I acquire by reading the books and taking action, I should be able to grow. Let me see how this goes. Just to share the progress in the last 3weeks I have been able to complete 8 books. All non fiction books. These include Crushing It by Gary Vaynerchuk, Bold by Peter Diamandis, Attackers Advantage by Ram Charan, Triggers By Marshall Goldsmith etc. All these books are quite dense, as you will see in the picture, but I am trying to keep to my target.

Let me know if you also see Compounding in other areas of your life. I will be very interested in hearing your story.

Till next time.

Carpe Diem!!!

Leverage the WHO

Leverage

My initial posts have all been centered in some way on the magic of compounding with respect to our financial lives. There is another concept which has always made me wonder and that is Leverage. Aristotle once said – Give me a lever long enough and a fulcrum on which it can be placed and I shall move the world.

I have been listening to Dan Sullivan on multiple podcasts, one with Joe Polish (100X) and another with Dan Jackson (Joy of Procrastination) over the last 2 weeks, since I came back from my vacation in Canada (more about that in a later post).

Dan has not been one of the people whom I have known or written about earlier. But now after reading his books and listening to his podcasts, I find some of the things that he talks about very simulating ideas which are worth implementing.

During one of the episodes, Dan spoke about how when he analysed his successes over 30 years, the key turning points were not where he acquired new knowledge/talent/skill but where he met someone “WHO” helped change the direction of his life.

That got me thinking about my own 30 years. I have always believed that because I utilised my so called “down years” to prepare myself for the “when my opportunity comes”, I have been able to grow to where I am today in my job.

However after listening to the podcast I started co-relating the inflexion points which I had, to see if there was a “WHO” that helped me leverage on my knowledge. Dan’s premise is that if you have to grow yourself exponentially, then rather than working on the “HOW”(which is growing my own abilities in various areas) you should always first find a “WHO” that has these capabilities available.

So there were some positive things that came up which have helped me reach where I am today. For example my technical abilities aligned with my ability to present solutions , was recognised by one leader within the company, who then got me moved into a different division. In this division, for the first time my manager -gave me the free hand to build out a relationship with IBM which helped me blossom. Seeing my capabilities I was transferred to manager who actually took this capability of mine to propel me in a different orbit. Then during that time a couple of relationships in IBM helped me grow the business so dramatically. Now in all these situations my managers and colleagues in IBM also grew dramatically while I was growing.

After analysing these time frames however also got me a little pensive. You get connected to people when you meet them. As you meet more people the possibility of being able to connect with someone who can become the “WHO” also increases. So as I grew in my job positions, with my internal interactions taking up more time, I actually reduced my external meetings and therefore the reason for not getting the next set of “WHOs”

However Dan also brought out another aspect about using the “WHO” (he’s actually written a book Who not How) to launch any new idea faster. His suggestion is that you should actually first break down any new idea you want to launch into small pieces and then deliberately find the “WHO” to partner with and get all the work done by them. One should only focus on the “Unique Ability” one has, because then one is the happiest which results in things getting executed faster.

While I think this is a perfect idea, having been brought up with the idea of always improving personal capability first, this seems hard to implement….Do you think you would ascribe to this idea

Carpe Diem!!!