The 80 - 20 Rule

Look around.  You will see that the 80 - 20 rule is present in almost every facet of your life.  Each day when we get dressed we wear 20% of the clothers in our closet 80% of the time.

Most companies find (when they really examine it), that 80% of profits are generated by 20% of the customers.  Usually 80% of your sales come from 20% of your sales people. 

The lesson here is how we spend our time.  It is NOT simply intuitive.  We usually do not expect the differences between the important things and the less important things to be anywhere near as great as they usually are.  Many activities, customers, suppliers, and products actually SUBTRACT value, which helps to explain why their very positive counterparts (the 20%) product such a high proportion of net value.

Examine how you spend your time, and look closely at your list of customers and suppliers.  Determine where the real value in your company lies, and focus on it.  You'll see your business grow considerably.

Dedicated to increasing your wealth by doing business in America.

Jim Worrell