Balancing the work that needs doing and the work that leads to growth.
- Divide a sheet of paper into 4 columns.
- Place the following headings on the columns: 10 | 100 | 1,000 | 10,000
- Write each of your daily tasks into the column that best represents the hourly cost of hiring someone else to complete the task.
- ‘book appointment’ goes in the $10/hr column since you could hire a freelancer or firm for less than or equal to $10 per hour.
- ‘design new brochure’ goes in the $100/hr column. It could be done well for around $100 per hour.
While the average professional and entrepreneur is paid more than $10 an hour, most of their tasks live within the first column. For entreprenuers, it becomes a limiting factor to growth and profitability because that time could be spend on higher yield tasks.
Which tasks belong in the $1,000–10,000/hr?
The last two columns revolve around strategy and impact. While you may never send someone an invoice for $10,000/hr, these tasks become instrumental in growth and driving the business forward.
For example, your factory sells widgets. Using an hour to analyze production could save $.10 per widget. If you sell 10,000 widgets, that hour has increased revenue by $1,000.
If making your widgets is dangerous, time spent improving safety could easily save tens of thousands of dollars.
Whether you’re a barista or a 7 figure CEO, you’re trading time for money. Make sure the math works in your favor.