Book Review: Subject - Increasing Personal Efficiency

Title: The 80/20 Individual
Author: Richard Koch
Publisher Doubleday - Random House Inc.
ISBN: 0-385-50957-X

I have always been fascinated by the "80/20 Principle" first theorized by the Italian Economist Vilfredo Pareto. He concluded that 20% of your effort generated 80% of the results. (You can do more by concentrating on less). It's amazing how that theory holds up. The top 20% of your clients generate 80% of your revenue. Of course it works in the reverse as well. From a retail perspective 20% of your SKU Base (Stock Keeping Units) generates 80% of your sales. The secret lies in figuring out your top 20% sellers and then concentrate on making sure you are always in stock on those items.

I use the "Pareto Rule" in my workshops to explain behavioural surface traits. It is what I refer to as the "Iceberg" analogy. Behaviour is observable but it's only the top 20% of the Iceberg. (Substitute the word iceberg and insert person.) Most of the iceberg is still below the surface (That's the 80%) but by being able to interpret body language (nonverbal communication accounts for 93% of how we communicate) you can with somewhat certainty, know what the person is truly feeling and really saying. (You need to read between the lines.)

I was first struck by Richard Koch's newest book "The 80/20 Individual" because of the sub-title. "How to Accomplish More by Doing Less - The Nine Essentials of 80/20 Success at Work." I mean based on that title alone who wouldn't want to read this book? I can't be the only person willing to do less to earn more. Richard devotes a whole chapter to explain each one of the nine essentials and what you need to do to become an 80/20 Individual.

I'm not an academic by any stretch of the imagination so I found this book a bit tedious to read. However, kudos' to Richard. He has taken the 80/20 Rule to heart and has discovered his own 20% niche. He's managed to turn Pareto's theory into a cottage industry complete with two books on the subject. (His first book "The 80/20 Principle" was published in 1998.) Richard goes on to conclude "The 80/20 Principle is the concept that in any given situation just a few events give rise to the majority of the effects. 80/20 is not meant to be an exact expression. The significance of the 80/20 Principle is that it provides the means to leverage effectiveness by identifying the few things that really matter; then concentrating resources and effort on those few."

Richards Koch's latest book supports the adage that less is more. The secret is to figure out what you are really good at and then stick to it. There is danger in trying to be everything to everybody. It tends to zap your financial resources, energy and creativity. Successful business people and organizations tend to concentrate on what they do really well and apply the 80/20 Rule. If you were looking for some additional insight into the 80/20 Principal than this would be a good book to add to your collection. Still looking for more information on the subject? I did a Google search using the key words "80/20 Principle" and found 26,800 results. I wish you good searching and good reading. Enjoy.