Insight: As employees there is often no incentive to spend your time well unless you have commission.
Insight: For entrepreneurs the wasting of time is very expensive. It can often be a matter of habit, coming from a culture of 9-5.
Insight: We will complete a project in the time allocated.
Insight: Shortened deadlines force us to focus on the essential.
Insight: To increase productivity there are 2 approaches that are inversions of each other. The 80/20 Rule: limit tasks to the important to shorten work time; Parkinson's Law: Shorten work time to limit tasks to the important.
Principle: Shorten schedules and deadlines.
Principle: Shorten meetings.
Definition: Our consumption of a resource expands to meet its supply.
Insight: More time allocated to a project, more time it will take to complete.
Insight: Entrepreneurs often spend all the money they have, and struggle to turn a profit.
Insight: The more money/time we have, the more we spend.
Insight: Limiting the time available is only part of the solution - it is important to figure out where to focus the remaining time. Do the right things.
Principle: Limit the resource: save first, limit the amount available to spend.
Insight: The default time for a meeting is often 1 hour, whether or not you need it.
Insight: We plan by using all the time we have. With deadlines approaching, we make choices and trade-offs to do what must be done to complete the task.
Principle: Reduce meeting times.
Reference: Ingvar Kamprad: founder of IKEA: "If you split your day into ten-minute increments, and you try to waste as few of those ten minute increments as possible, you'll be amazed at what you can get done."
Insight: Parkinson's Law with personal finance: expenses rise to meet income. This is dangerous if you want to meet financial goals.
Insight: To achieve financial independence you must consciously break Parkinson's Law.
Insight: Over time, if you violate Parkinson's Law with finances, you will save more and more.
Principle: When income increases, save half of the increase.
Insight: The time you give yourself to complete a project is how long it will take to complete.
Insight: As income increases we spend every extra penny we earn.
Reference: Cyril Northcote Parkinson: Available resources (time & money) expand to fill the space made available for them.
Principle: Live within your means - do not expand lifestyle in response to income increases.
Insight: Those that believe the way to get wealthy is to earn a lot of money don't understand Parkinson's Law: expenses will always rise in proportion to income.
Definition: Work expands so as to fill the time available for it's completion.
Insight: Parkinson's Law can be adapted to any project.
Principle: Challenge yourself by imposing deadlines.
Definition: Work expands to fill the time allotted for completion.
Principle: Reduce meeting times.
Definition: Work expands to fill the time allotted to it.
Insight: "There should be a law of complexity: 'sufficient complexity will always be created to fill the need for complexity'".
Definition: Work expands to fill up the time available for its completion.
Insight: Financial success comes from breaking Parkinson's Law.
Key Insights & Principles
Productivity
We will complete a project in the time allocated.
Shortened deadlines force us to focus on completing what is essential.
We often adopt default timelines (9-5 workday, 1 hour meetings) regardless of whether they are relevant.
We can use Parkinson's Law on any project.
Shorten schedules and deadlines.
Focus on what is essential.
Personal Finance
Expenses often rise with income.
For financial success, you need to consciously break Parkinson's Law.
Save first and limit the amount available to spend.
