The Power of Habit. Why We Do What We Do in Life and Business

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Charles Duhigg, a Pulitzer Prize-winning New York Times reporter, takes us to the thrilling edge of scientific discovery that opens up our minds to how habits come to be, why habits exist, how patterns are formed and how we can change and rebuild them. With his ability to distill the vast amount of information and penetrate intelligence, Duhigg shares his perception about one of the most challenging human natures and how it can be transformed. In this book, he divides the science of habit into three levels: individuals, business, and society. This book is based on interviews, organizational research and a load of studies.

 

HOW HABITS WORK

In the first chapter, the author tells a story of Eugene Pauly, whose brain was damaged by a virus. After the damage, he finds it difficult to remember the slightest event for more than a minute. Despite that, he was able to navigate his way around his house and even the outside world to some extent, which was only possible because the part of the brain responsible for habit was intact. What supports this theory is that whenever something changes, his behavior falls apart; he would get lost and unable to complete the simplest of activities.

Even though habits are automatic and sometimes are an unconscious series of actions, they can be changed. The author gave his insight base on a further experiment with Eugene Pauly, “Habits are powerful but delicate. They can emerge outside our consciousness or can be deliberately designed.”

The habit loop starts with a cue which is like a trigger followed by an automatic response which can be mental, physical or emotional and then reinforced by a reward and then the cycle of a new habit begins. What keeps the habit loop rolling is the craving and anticipation of reward which locks in the routine and habit. Once a habit is formed, it runs automatically even without conscious thought and continues that way even when reward changes.

THE GOLDEN RULE OF HABIT CHANGE

Chapter three of this book describes how transformation occurs. Once you are aware of how your habit works, once you recognize the cues and reward, you are halfway to changing such habit. This was supported by a story of a girl who has the habit of nail-biting. The cure involved was to make her aware of the cues, making her note when the cues emerge. Eventually, she was able to replace the habit with rubbing her hands together. The signals stayed, the behavior changed.

At the end of the chapter, the author makes two essential remarks which are: it is difficult to draw the line between habit and addiction and the second is the process of habit change is easily described, it does not necessarily follow that it is easily accomplished.”

Other chapters of the book explore why some habits are stonger than others, willpower and dow it can be turned into a habit, organizational habits or routines. The final chapter discusses moral questions related to habits and to what extent we are responsible for them.

 

THE BIG THREE – KEY POINTS

 

Key point #1: Habits can be changed by removing cues that trigger the routine or by replacing a bad habit with good one.

Key point #2:  It is difficult to draw a line between habit and addiction.

Key point #3: Once you’re aware of how your habits work, once you recognize the cues and rewards, you’re halfway to changing them.

 

One Last Thing

“The Golden Rule of Habit Change: You can’t extinguish a bad habit, you can only change it.” ― Charles Duhigg, The Power of Habit: Why We Do What We Do in Life and Business

Start With Why

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Start With Why is about an effective way of thinking, communicating, innovating and influencing people as a leader. Simon Sinek displays the notion that capable leaders inspire other people by emphasizing on the intention (‘the WHY’) before the procedure (the “HOW”) and the product or service (the “WHAT”). The more organizations and people who learn to start with WHY, the more those around will live a fulfilled life.

The first part of the book talks about a world that doesn’t start with WHY. Simon discusses two ways to influence behavior which is inspiration or manipulation.  Salespeople believe they attract customers with their features or price. In other words, we have no idea, so we manipulate sales, promotion the whole time. And yes, manipulation works. Prices, promotion, fears, aspirations, and novelty are all used to manipulate and motivate a purchase. All of these techniques work but Simon made it known that they are not sustainable and are short-lived. Regarding leadership, they can push you to the top, but they won’t make people follow you. Leadership is the ability to rally people, not for a single event but for years. However, there are few leaders who choose to inspire rather than motivate people. Whether individuals or organizations, every inspiring leader thinks, acts and communicates the same way. Consciously or not, how they do it is by following a naturally occurring pattern called the Golden Circle.

Part two of this book shows how leaders can inspire actions instead of manipulating people to act. The golden circle revolves around the WHAT (product or service), the HOW ( the procedure) and the WHY (the intention). Inspiring companies start with WHY. There is no trickery or manipulation. They just reverse the order of information. As humans, we crave a sense of belonging and we do this to survive. Starting with why helps to eliminate fear, share your beliefs and create a sense of belonging.

Part three of this book introduces us to the leaders’ needs. Leaders need a following. As members of the human race, we are attracted to those whose values, cultures and beliefs align with ours. When we recruit employees, we recruit people who believe what we believe so that we can trust one another instead of hiring purely based on skills and experience. In order words, leaders must build trust before building followers. The emergence of trust shows that trust is not a checklist. Instead, it is a feeling. We trust people and companies even when things go wrong, and we don’t believe others even when things might have gone the way it should. The idea is as a leader; you must earn trust by communicating and demonstrating that you share the same value and belief. That is why recruiters don’t hire for skills but attitude. Skills can be taught, but attitude must align with the organization’s culture. When you have a belief, i.e., a ‘WHY’ your what is just one of the ways of bringing that WHY to life.

Other parts of this great book discuss building trust, marketing and branding, the big Why and many other cogent topics that add value to organizations and individual.

The WHY does not come from looking ahead at what you want to achieve and figuring out an appropriate strategy to get there. Finding WHY is a process of discovery and not invention.

THE BIG THREE – KEY POINTS

Key point #1:   To influence people’s behavior, you either manipulate or inspire.

Key point #2:   A clearly stated WHY helps separate you from others and build trust.

Key point #3:   Clients identify with organizations that have their WHY clearly stated.

 

One Last Thing

“People don’t buy what you do; they buy why you do it. And what you do simply proves what you believe”
― Simon Sinek, Start with Why: How Great Leaders Inspire Everyone to Take Action

Respect

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Sara Lawrence reaches deep into the human experience from the drama of birth to the solemn vigil before death to find the essence of respect. This book reveals the most powerful ingredient in any relationship both personal, professional or public life and also tries to dismantle hierarchies and other forms of denomination and replaces them with a sense of humanity, compassion, and equality.

 

Sara Lawrence was motivated by her interest in exploring the underlying nature of respect and some personal memories. She is also drawn to the concept because she understands the undying importance respect holds in both public and private life cycle. The traditional view of respect, though rarely expressed in its pure form, tends to be relatively static and impersonal. The remnants of this view survive today and shape our expectations, apprehensions, and disappointment. She discovered that respect is not the passive deference offered to a superior but the active force that creates symmetry even in unequal relationships.

Lawrence rejects what she terms the “traditional” notion of respect that accords esteem with rank and social status, often of an inherited sort. She desires to create a new view of respect that is egalitarian, that generates equality between people, mutual empathy and connections of solidarity. The author believes that respect has six qualities: 1) empowerment 2) healing 3) dialogue 4) curiosity 5) self-respect and 6) attention. Each chapter of the book focuses on a quality, interpreting it through concrete narratives.

She illumines empowerment by talking about Jennifer Dohrn, a nurse midwife; healing through the actions of pediatrician Johnye Ballenger; Dialogue through the work of Kay Cottle, curiosity in light of Dawoud Bey, artist, and photographer. Self-respect as expressed in the dignity of law professor David Wilkins who believes there is a proof that self-respect must come not from external measures but from within; only then can individual relate respectfully. And attention as exhibited in the pastoral care of Episcopal priest Bill Wallace. Bill Wallace move insight into the value of attention and silent presence as they relate to respect and the dying.  

Through striving for a type of simplicity of theory, the author never shows philosophically what respect itself means nor how its various qualities are coherently related to one another. She means to say that respect gives rise to attention which of course is true but so do a lot of other motivations that runs a spectrum from the desire to manipulate to the simple permission to contemplative awe.

 

The author works with the premise that respect is the primary virtue of moral life in our society such that it finds everything good- from curiosity to healing from dialogue to attention. There are essential components needed for a respectful relationship.

Usually, respect is seen as involving some debt owed because of their attained or original position, their age, gender, class, race, professional status or because of an accomplishment. This book focus on the way respect creates symmetry, empathy, and connection in all kinds of relationship.

THE BIG THREE – KEY POINTS

 

Key point #1: Respect generates respect, a modest loaf becomes many.

 

Key point #2: Respectful relationships have a way of sustaining and replicating themselves

 

Key point #3: Respect creates symmetry, empathy, and connection in all kinds of relationship.

One Last Thing

“I speak to everyone in the same way, whether he is the garbage man or the president of the university.”

― Albert Einstein

THE 21 IRREFUTABLE LAWS OF LEADERSHIP

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The 21 Irrefutable Laws of Leadership was written out of many studies and observations John Maxwell has carried out on leaders in various sectors like business, politics, military, sport and most of all his personal leadership experience. He poured out his heart into this book by giving us 21 laws that can help you become the most powerful and effective leader. The principles of leadership do not change over time, only the application does. These principles or law brings consequences; people will either follow you or they will not. It will depend on your mode of application. These laws when applied in real life form the foundation of leadership.

  1. LAW OF THE LID:  The law of the lid states that leadership ability is a determinant of a person’s level of effectiveness. This means that your effectiveness is determined by your level of leadership. When your level of leadership increases, you become more effective. An increase in effectiveness directly affects the level of success.
  2. LAW OF INFLUENCE:  Leadership is different from every other subject matter such as management or entrepreneurship. The true definition of a leader is determined by the level of people he has influenced. Your followers are the proof that you are a leader, nothing more or less.
  3. LAW OF PROCESS: Maxwell explains five different phases of leadership growth. He also explains that what sets a leader apart from their followers is their ability to learn, develop and improve their skill.
  4. LAW OF NAVIGATION:  A true leader is a leader with foresight. Leaders chart the course for their team because they have full vision of where they are going, understand the challenges and risk and also understand the right set of people needed to achieve the vision.
  5. LAW OF ADDITION: This law defines the ability of a leader to add value by serving others and making things better for them.
  6. LAW OF SOLID GROUND: The foundation of leadership is trust. Trust is built when a leader is consistently competent and displays remarkable character. Character conveys potential and builds respect.
  7. LAW OF RESPECT: In this book, Maxwell explains six ways leaders gain respect and how to access and improve your level of leadership. Leaders tend to stand out while others follow because they are perceived to be stronger.
  8. LAW OF INTUITION: We relate and see people based on who we are so leaders also see things with leadership bias. Maxwell explains in detail various ways a leader can apply their leadership bias and how to improve their leadership intuition.
  9. LAW OF MAGNETISM: You attract who you are. It’s as simple as that. People are drawn to others with similar characteristics like attitude, ability, leadership ability, energy level, etc.
  10. LAW OF CONNECTION: The key to connecting with people is by relating to them as an individual even if they are in a group. There is a need to connect with people emotionally as a leader before you can move them to action. Maxwell shares a bigger picture of how you can connect with yourself and others.
  11. LAW OF THE INNER CIRCLE: Your inner circle is the group of people you turn to for advice, support and assistance. These people must be chosen intentionally. They must be people who display excellence, maturity and good character in everything they do.
  12. LAW OF EMPOWERMENT:  The important thing in empowerment is believing in people. Most leaders refuse to empower others due to three key reasons: resistance to change, desire for job security and lack of self-worth. In this book, John Maxwell sheds more light on how to improve your self-worth and empower others.
  13. THE LAW OF THE PICTURE: Exceptional leaders understand the irreplaceable role of vision. A vision shows the picture of what is to be achieved. Therefore, for a leader to communicate it effectively, he/she has to model the vision by setting the right example and showing the way. This act of modeling gives the followers credibility, passion and motivation to carry on with the vision.
  14. THE LAW OF BUY IN: The secret is people buy into the leader first before buying into the vision. They listen to people who they trust, believe in and feel they are credible and worth going along with.  When followers buy into the leader and the vision, then they are ready and willing to follow such leader through any challenge and success.
  15.  THE LAW OF VICTORY:  A Good leader must take responsibility for all actions, be creative and transfer his success and passion to his followers. Failure or quitting is not an option on a leader’s list.  Maxwell wrote ”one thing victorious leaders have in common is that they share an unwillingness to accept defeat.” As a result, they take responsibility for the success of the team and do what it takes to lead the team to victory.
  16. THE LAW OF BIG MO: Momentum is a leader’s best friend. An organization or team with momentum can successfully pass through any obstacle, and momentum is a determining factor between winning and losing. It makes you unstoppable. In this book, Maxwell shares several characteristics of the Big MO and how to access where we are.
  17. THE LAW OF PRIORITIES:  Don’t just get busy, get productive. The heart of the law of priority states that leaders understand that activity is not about accomplishment. This means prioritizing requires leaders always to think ahead, to know what is more important and how it all relates to the vision. Maxwell discusses the Pareto principle and other key factors that help in setting a priority list which are Requirement, Reward, and Returns.
  18. THE LAW OF SACRIFICE: This law gives a glimpse of what leadership life is.  A leader might be looking glamorous on the outside, but the secret behind his true leadership is that he has sacrificed and still sacrificing. The hidden secret behind success is the sacrifice. And a true leader does not only sacrifice but also put others ahead of him.
  19.   THE LAW OF TIMING: Leadership is not only about how to lead but discerning the right time to take action. Maxwell summarizes his statement by saying “taking the wrong action at the wrong time leads to disaster and the right action at the wrong time leads to resistance while the wrong action at the right time leads to a mistake”. This shows that leadership ability goes beyond leading.

 

  1.   THE LAW OF EXPLOSIVE GROWTH: You can attain explosive growth when you choose to lead leaders and not followers. To lead leaders, you have to focus on the strength and not weaknesses, treat everyone differently and invest quality time into others rather than spending time together. Maxwell summarizes this law by saying leaders who develop other leaders experience incredible multiplication effect in their organization that can be achieved in no other way.

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  1. LAW OF LEGACY:  This is the final law in this book. The law of legacy states that a leader’s lasting value is measured by succession. What do you want to be remembered for? Maxwell summarizes the life of a leader by saying that “achievement comes when they do big things by themselves. Success comes when they empower followers to do big things for them. Significance comes when they develop leaders to do great things with them. Legacy comes when they put leaders in the position to do great things without them.” He ends the chapter with the thought, “our abilities as leaders will not be measured by the buildings we built, the institutions we established, or what our team accomplished during our tenure. You and I will be judged by how well the people we invested in carried on after we are gone.” This is the greatest challenge of  a lifelong pursuit of leadership, but it is also the only thing that will matter in the end.

Undoubtedly, you are eager to know other laws of leadership. The 21 Irrefutable Laws of Leadership not only explains the laws but include several tips on how to apply the laws. Do not hesitate to feed on the richness of this innovation.

KEY POINTS

Key point #1: Leadership is built on trust and compounds over time

Key point #2: Leaders attract who they are.

Key point #3: Leaders must learn, grow and develop.

One Last Thing

“Leaders Who Attract Followers . . . Need to Be Needed

Leaders Who Develop Leaders . . . Want to Be Succeeded”

― John C. Maxwell, The 21 Irrefutable Laws of Leadership: Follow Them and People Will Follow You

Zero to One

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This book is composed of Peter Thiel’s advice on startups with different take away such as the DO’s and DON’TS of startups, what to focus on when building a startup, insight of building a billion-dollar startup that stands the test of time and many more. He gave an illustration of the first team he built which is known as the “PayPal Mafia” who have gone out to help each other start and invest in successful tech companies. They sold PayPal to eBay in 2002 for $1.5billion. Ever since then:

  •    Elon Musk has founded SpaceX and co-founded Tesla Motors
  •    Reid Hoffman co-founded LinkedIn
  •    Steve Chen, Chad Hurley, and Jawed Karim together founded YouTube
  •    Jeremy Stoppelman and Russel Simmons founded Yelp
  •    David Sacks co-founded Yammer
  •    and Thiel himself co-founded Palantir
  • And today, all these seven companies are worth over $1billion.  

This book begins with Peter’s favorite interview question which is, “What important truth do very few people agree with you on?”  He justifies this question by saying that “brilliant thinking is rare, but courage is even shorter than genius”. He further says that globalization without new technology in a world of scarce resources is unsustainable. Because the truth is that technology matters more in globalization. The best way to create wealth is not by spreading old ways but by innovation. And to introduce innovation, we have startups. He points out that competitive market destroys profit. He said, “if you can recognize competition as a destructive force instead of a sign of value, you are saner than most.” To get more capital, you need to be a monopolist and escape competition. You may think monopolies are bad but thinking of it in a world where it’s possible to invent new things, it brings about more creativity and innovations. Creative monopolists add new categories to the categories of products available, thereby giving customers more varieties to choose from.

What makes a monopoly durable? What does a company with large cash flows far into the future look like? There are four key characteristics to describe:

  1. Proprietary technology
  2. Network effects (aka virility)
  3. Simple scalability
  4. Branding

Peter’s next favorite question is “What valuable company is nobody building?” You get a valuable company when you create value and capture value. If you want to create and capture value as an entrepreneur, don’t build an undifferentiated commodity business. The author makes the difference between a perfectly competitive market and a monopoly and explains how both companies are trying to disguise themselves. The author takes us through various schools of thought of startups in each chapter of his book. Some of which are: the ideology of competition which explains why people compete, secrets which reveal why people are not looking for secrets and why companies need to stop believing in secrets, the mechanics of mafia and so on.

He concluded by asking the question: Stagnation or Singularity? It all depends on us. Our task today is to find singular ways to create new things that will make the future transpire from Zero to One. The critical step is to think for yourself, see the world anew, afresh and as strange as it was to the ancients who saw it first. Then we can recreate it and preserve it for the future. Whatever decision you make today, determines the success we experience tomorrow. So think critically and take action not by acting upon a created solution but by searching out a unique problem and proffering a solution to it.

THE BIG THREE – KEY POINTS

Key point #1:  The author encourages monopolization other than perfect competition

Key point #2:   Leverage on the power of exponential growth

Key point #3: Don’t just invent a product; invent an efficient way of selling it.

One Last Thing

“The best entrepreneurs know this: every great business is built around a secret that’s hidden from the outside. A great company is a conspiracy to change the world; when you share your secret, the recipient becomes a fellow conspirator.”
― Peter Thiel, Zero to One: Notes on Startups, or How to Build the Future