I have a silly habit. I like to study how successful CEO’s, especially founders run their companies. Jeff Bezos has been someone I’ve been fascinated by for a very long time.
In today’s video we’re going to talk about how Jeff Bezos’ 70% rule can be used in your company. I’m sure you’ll find some interesting ideas today.
You know, I have the silly habit. I like to study how successful CEOs, especially founders run their companies. You know, Jeff Bezos has been someone I’ve been fascinated by for a very, very long time. He went into his company in a really interesting manner, and there’s lots of things about him which I find, really interesting and great to emulate and a lot that I probably wouldn’t wanna emulate in my company.
But there is one thing that I love about Bezos, in the way he runs his company. It’s what he calls the 70% rule. Now the 70% rule means that we’re gonna go live with a product, when we get 70% there, we are never gonna wait for 90, 95 or 99%.
And one of the things I know all businesses want is to have their ideas implemented faster than they are now. I bet that’s true for you. I bet there are many times you think that everyone around you is just going to slowly, you wonder why they don’t go faster. It might not be that they’re actually going slowly and might be that your system slowed down, change by trying to be too perfect. You know, one of the things that you know is I love feel fast, feel cheap. When you’re trying to be too perfect, you’re never gonna do feel fast, feel cheap.
You know, I often have the same frustrations, too often I work with people who I think are going at a speed that’s slower than I would like. I find it frustrating. I’m always in the lead. I think and I bet you do also that will be really nice if people kept up with us. But the truth is, it’s us who’s keeping them from doing that. It’s not them not wanting to do it.
So in today’s video, we’re gonna talk about how Jeff Bezos’s 70% rule can be used in your company. I’m sure you’ll find some interesting ideas today, so let’s jump right in.
- Number one reason we go slowly – mistakes are not tolerated. When I’m doing my best, not to make mistakes, I’m not moving forward quickly. I’m moving forward very slowly, checking my work over and over and over to make sure I don’t make a mistake. If instead we say, okay, great, let’s talk about mistakes and how we can fix them quickly, that’s where we wanna have openness, transparency and the question has to be answered, what did we learn? If we say that, we stay away from all the things that we do to keep us from making mistakes in the first place.
- Number two, none of us can afford to have a be done perfectly. You know, one of the things I really like about a 70% completion thing is, that first 70% I can get to really fast. They go from 70 to 99% or 95%. I’m gonna spend four or five, six, seven amount of time of getting to 70% to get to the rest of 25 or 30. Why don’t we launch, learn what we’re gonna go and then move on from there and correct mistakes as we go?
- Because the truth is most of the time, perfect isn’t what your customers want. They want it to be good enough. And good enough is usually as 70%. And we’re gonna learn at 70% what we need to do to move into 75 or 80 or 85%. I just think it’s always silly to get to a hundred percent for anything you’re trying to do, just because it doesn’t work. Now, there are some exceptions to that. If I have somebody doing surgery on me, I don’t want them to do 70% work. I want 99 or a hundred percent work. But most of the time the projects we’re working on, 70% is just fine.
- So when you launch a 70%, you’re making your customers part of the innovation team and he might be asking yourself, how am I doing that? Well, the truth is at 70%, you’re gonna have some holes in what you’re producing. Your customers will let you know what they value and what they want. Too often we’re trying to be omniscient, in telling our customers we know exactly what you want. Well, if we make ourselves a little bit vulnerable and we launch at 70% and we know there’s gonna be some problems there, we’re bringing our customers in to be part of our innovation team. And when you bring somebody in to be part of your innovation team, I can tell you that their ownership and what you’re doing goes way, way up. And they start working for your success as well as you working for your success. Isn’t that something you might find interesting? So here’s another thing. When you launch it at 70% with internal ideas, you get the play feel fast, feel cheap. Now the truth is, the changes that we make and the innovation that we do in our companies, we do it both on the next journal basis with our customers, and we do it on an internal basis with our processes. So if we’re always experimenting with processes and we say, see, we’re almost there, let’s see how it works when we roll it out in the real world, we don’t roll it out to everybody, we roll it out to three, four, five people in our company at a time, we see how it works. We get the play, feel fast, feel cheap, see what works, see what doesn’t work and make mistakes correct it rapidly.
- You know, the truth is, and I’ve already talked about this is the last 30% probably takes three times as long as the first 70%. So if you’re trying to get iterations done and getting products out the door quickly, 70% will do that. 90% won’t. 90% by the time you get out the door, it’s gonna be too late. It’s gonna be over budget, it’s not gonna get the market want because the market has moved on. Change is happening fast now. Life is moving faster and faster and faster. And the more that we know about that and the more that we stay at 70% done, the better off we’re gonna do.
- Finally, until you see how your idea works in the real world, you don’t know if it makes any sense. By doing this, you get the thing out the door and you see if it works.
So if you need to have everything perfect, before you start, you’ll never finish. Getting it to close, allows you to see what the market thinks. That market might be your customers, or it could be your coworkers and team members.
Here are three things I want you to do.
- Number one, take a look at the projects you’re working on.
- Number two, choose one that’s on it’s way to 70% and launched before you think it’s ready. Launch at 70%.
- Number three, give feedback and make corrections, decide whether to keep going or kill it. Either one is okay.
Hey, this is Josh Patrick. You’re at The Sustainable Business. Thanks a lot for stopping by. I hope to see you back here really soon.
You know, oh, and while you’re at it, why don’t you scroll down and leave a comment about what you might- about what you think about the 70% rule?
You also might find our Free eBook on Simplified Budgeting, something that would help you with your first 70% project, because it gets the budgeting process down to what bare bones needs, not a great big long event. So try it, see what you think and let me know. So thanks a lot for stopping by. I hope to see you back here really soon.