The 80/20 Principle
Ask yourself: What twenty percent of your actions are producing eighty percent of your profits?
In this video, Peter Voogd talks about the 80/20 rule, which states that eighty percent of effects come from twenty percent of causes. For Voogd, the 80/20 rule should apply to all aspects of an entrepreneur’s life.
Voogd talks about examples from his life of entrepreneurs who are struggling compared to those who are successful — the difference being proper prioritization and leverage. Voogd suggests asking yourself what twenty percent of your actions produce eighty percent of your profits. For creatives, marketing is an important focus, with eighty percent of your results coming from twenty percent of the effort.
Voogd also says that twenty percent of the people around you are taking eighty percent of your energy. He suggests auditing everything in your life and business to ensure you’re working neither hard nor smart, but rather “right” to build a business and lifestyle on your terms.