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Pareto’s Law and applying it on business and life 0.2

This is the sequel of the part 1. you can read part 1 somewhere within the same website. Unless, the starting kinda doesn’t make no sense.

You don’t do it anyway.

6/7 society. 

So, one day.. author asked himself… why his life was so busy. Why he felt like he being running around and salving away 37 out of 24 hours at work and commute. And he went through a story about Mr. Pareto’s law which is now we know it as 80/20 principle. 

1. Which 20% of things are causing 80% of his problems and making him unhappy? 
2. Which 20% of things are giving him 80% his desired outcome and happiness? 

He found the answer of it. And it was simple. 

If you look around, you will notice that.. it is not 100% of all things happening to you that are problems. It’s only a small percentage of things which YOU consider as problems are actually the problems. Which may not be. But you consider it so, so be it. And your brain makes it big. Then yes, you have “ my life sucks!” “ I don’t wanna be alive no more” stuffs. 

That one thing, that one person, that one whatever. Only that “one something” is the only thing that bothering you and making you feel unpleasant, overwhelmed, making you think your life sucks.  It is not that the quantities of problems are growing. It’s just the quality of that (one something) is getting consistent. 

When I used to work at grocery store, I kinda realized it’s not every customer who’s making the most revenue of a business, because of whom the business kept running, the business got all the stuffs sold out. It’s only a few of them.

It is only a few of them. 

On the other hand, it was only a 20% of them, we through making 80% of our revenue. And the other 80% – only 20% of a revenue. It matters. They matter. Every customer matters. But not every complaint. It shouldn’t be. Rude ones? Oh worse! (we gonna mainly talk about that more, low quality, unproductive complaints) 

First of all, we are no robots. We do have feelings and limits. You gotta know that not every complaint is worthy of respond.

Second of all, COMPARISON

 A person 6 spends $1000 every month and a person 7 spends $50 every month, always complain, always wants free stuffs and discounts. 

Both regular patrons of a business. 

Been coming to business since dinosaurs got doomed.

Oh, almost forgot to mention, they both know the owner. 

A person 6 complains

A person 7 also complains on the same thing. 

They both matter? YES. Every customer matters. You should take good care of both of them. 

But who is more stress worthy? 6…. or 7? 

Who needs nay deserves more manager-leveled, emailed kind of apology? 6…. or 7? 

Who you rather lose 6…. or 7? 

CONCLUSION: take care of a person 6 yourself (find a way to work it out) and let 7 handled by the other. Or lose him. If he wanna leave, let him. No chasing. You will realize how stress clean you become and how your mind be cleared up to fill it more with better ideas for business.

So, the point is…you kinda need to group people up and get them treated accordingly. For all sakes. For business, and for your own peace of mind. We may name them “high-valued”, “low-valued” customers or “productive” “unproductive” customers. For those unproductives, put them on a passive mode. 

Meaning? If they mail you, you mail them back and you mail them back good. But you don’t start mailing them first. They come in, they buy something, they bargain, treat them nicely, get them good serviced, help them the best you can. But you don’t text them “Hey! Are you stopping by today? we got new stocks you wanted the last time”.

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Aforementioned means something that got mentioned earlier, and you refer the same thing again. But instead of saying the same thing again or same story again, you just say “ aforementioned”. 

Quandary means a situation where you don’t exactly know which choice is the best. 

It is quite a quandary you know…to say which seat is the best, Aisle or Window. 

Browbeating means… intimidating, bullying or pressuring somebody to make them do what you want.

I got browbeaten by my manager to work all days this week. 

Done

S.J

Pareto’s Law and applying it on business and life 0.1.

(credit goes to the original creator)

Just kidding, there was no official statement or record of him saying such undelightful things like that. Or maybe? Nicola Tesla knows the best.

The point is not him. But the point is now, we know who he is. How he spent his life. Pigeons. How much we using, utilizing his inventions all around us every single second of it. But my moms and their moms’ generations, it’d be a luck if they had known who Thomas Edison was. Or should I say….if they had known…. what electricity was. 

Anyway. 

Like a few of us (now) know who Nicola Telsa was or is. There are a lot of things or people that we don’t realize yet but we kinda living off their lives or their works every single day. One of them is…. Mr. Pareto. Vilfredo Pareto. 

You don’t know right? Neither did I. (but I am slightly better than you, just saying it you know?) 

Who was he? He was an economist, an engineer, and a sociologist.

During that time, one of his seminal works included… a law or a concept called Pareto’s Law which back then, only had to do with finance or economy or little did people care about. He said… 80% of wealth is produced only by 20% of society. 

Back then 1800s: okay, so… can I get a free potato? 

Nowadays: Woooooo, 6/7……….

Now I know you know what law that is. We don’t call it “law” nowadays of course. We adjust it a little bit. We call it “Principle”. The 80/20 Principle. And we can apply the principle in almost everything. 

80% of outputs come from 20% of inputs. 

80% of stress comes from 20% of problems. 

80% of work done by 20% of focused doing. 

Or Whatever. 

You don’t do it anyway.

6/7 society. 

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Economist means a person who studies economy or do things with economy like money or trades or prices or whatever things. 

Sociologist means a person who studies people, society, or human behaviors…how they interact with each other. 

Wily means being clever or smart but in a little tricky sneaky way to get there, to get something you want. 

Controversial means a fact, a person or a thing that not everyone agrees on. Which always brings up debates and disagreements and noises and stuffs.

Who is better? Ronaldo or Messi? Yup, that’s controversial. They are controversial. 

Pea pod means a green little pod where green little peas are inside. 

Idiom: two peas in a pod. Meaning: two close friends, two similar people, always together. 

That was a lil deep dive, rewriting of the “4-hour work week” page 70-71. More coming up!

Done. 

S.J