"Why Can't I Keep Good Employees?" — Transcript

Full transcript

1. 0:00You're making mistakes in
2. 0:00entrepreneurship because of patterns you
3. 0:03have yet to recognize, and those happen
4. 0:06because the solutions to your sticking
5. 0:10point are counterintuitive.
6. 0:12And don't confuse that with
7. 0:14psychological versus logical solutions,
8. 0:16which is like for example, if I wanted
9. 0:18to get um my neighbor to stop having
10. 0:21their dog on my lawn, um you can't
11. 0:23hurt the dog cuz then you'd get
12. 0:24arrested. You can't steal the dog, you'd
13. 0:26also get arrested. You could ask the
14. 0:27neighbor nicely, but they might not give
15. 0:29a So, what do you do in that
16. 0:30situation? It's actually really tough.
17. 0:32You could try and go to court, but it
18. 0:33still probably wouldn't stick cuz
19. 0:34there's really no ramifications, and
20. 0:35even then it would just be a ticket that
21. 0:37the other person would pay, and the dog
22. 0:38could still on your lawn. So, it's
23. 0:39like a real predicament. So, what would
24. 0:40you do? Now, you could say, "Okay, I
25. 0:42could try and build a fence." And that's
26. 0:43a a potential solution. Um but I'll tell
27. 0:46you the cheapest one that you could do,
28. 0:48which is uh just get a motion-activated
29. 0:51sprinkler installed on your property,
30. 0:54and then whenever anything comes onto
31. 0:55the grass, it squirts them, and then the
32. 0:57dog would not do it anymore. And so,
33. 0:59that is an example of a psychological
34. 1:01versus logical solution. The types of
35. 1:03solutions I'm talking about are
36. 1:04intuitive versus counterintuitive. And
37. 1:06so, an intuitive solution would be what
38. 1:07you would naturally think would be the
39. 1:09thing to do.
40. 1:10And what I have noticed that is in
41. 1:11entrepreneurship is that we get stuck at
42. 1:13the counterintuitive solutions because
43. 1:15we almost always start with the
44. 1:17intuitive one, right? You you do the one
45. 1:19that we you think would make the most
46. 1:20sense.
47. 1:21But and to be very clear, the intuitive
48. 1:24solution usually is the correct solution
49. 1:26in the majority of situations because
50. 1:28you have a problem, you have an
51. 1:29intuitive solution, you do the intuitive
52. 1:30solution, the problem goes away, and you
53. 1:32don't get stuck. You move on with life,
54. 1:33and you solve problems every day. But
55. 1:34some larger problems in business have
56. 1:37counterintuitive solutions, and I
57. 1:39thought I would note down called the top
58. 1:4110 that I have seen
59. 1:45get entrepreneurs stuck, and this is at
60. 1:47every level. So, this is at 1 million,
61. 1:4810 million, 30 million, 100 million.
62. 1:51Um
63. 1:52And so, let's start with number one,
64. 1:55which is that
65. 1:57counterintuitively, this is a warm-up
66. 1:59for you.
67. 2:01You will save
68. 2:04I'll say it differently.
69. 2:07If your labor costs you too much, it's
70. 2:09probably because you're paying them too
71. 2:10little.
72. 2:11Counterintuitive. So, what does that
73. 2:13mean?
74. 2:14If you pay above market rates, you will
75. 2:16get above market talent and the
76. 2:19value of above market talent is in
77. 2:21excess of above market rates.
78. 2:24So, Henry Ford figured this out years
79. 2:26ago. He had uh he paid people above his
80. 2:30competition and as a result he was able
81. 2:32to suck up the best talent in the
82. 2:33marketplace and then his
83. 2:35people did two, three times the output
84. 2:37that call it B players would. And so, an
85. 2:39A player might be priced at 25 to 50%
86. 2:42above what a B player might be, but one
87. 2:44A player is worth three to five B
88. 2:46players. And so, it's counterintuitive
89. 2:48to think, "Wait, in order for me to save
90. 2:50on my labor costs, I should increase how
91. 2:52much I'm paying." And to be clear, if
92. 2:54you tomorrow just increase how much
93. 2:56you're paying all your people, you're
94. 2:57not going to all of a sudden get A
95. 2:58talent. The point of increasing how much
96. 3:00you pay is so that you can attract A
97. 3:01talent because of certain level of
98. 3:02compensation that they're going to
99. 3:04expect in order for them to even
100. 3:06consider your kind of job opportunity.
101. 3:08And to be clear, this is horizontally as
102. 3:10in, you know, plumbers versus plumbers
103. 3:12or accountants versus accountants, not a
104. 3:14C-level versus a front a frontline
105. 3:15employee, right? Competition's
106. 3:16horizontal, not vertical.
107. 3:18So, that's number one. Here's the second
108. 3:20kind of counterintuitive uh problem that
109. 3:22people have.
110. 3:24They think that in order to make more
111. 3:26money, and this is super common for
112. 3:27people who have an existing audience,
113. 3:29but
114. 3:30is that they need to sell more products
115. 3:32to make more money.
116. 3:34When the counterintuitive solution is
117. 3:36that you need to sell fewer products to
118. 3:38make more money. So, how does that even
119. 3:40happen? Well, the reality is if you if
120. 3:43you have fewer products to sell,
121. 3:46then you will be able to make those
122. 3:48products better. You'll be able to be
123. 3:50clearer about the avatars that you're
124. 3:51trying to serve. You'll be clear on the
125. 3:52messaging that you can put out in your
126. 3:54advertising. And so you think that oh,
127. 3:56I'm going to sell more stuff so that I
128. 3:58can sell more stuff, but you end up
129. 3:59selling less stuff and having more
130. 4:00things to maintain. And that applies to
131. 4:02both services and products.
132. 4:05Here's a third counterintuitive one. Um
133. 4:08in order for me to grow my business If
134. 4:10you like this video and you're business
135. 4:11owner who wants to break through your
136. 4:12current revenue ceiling, I distilled
137. 4:13every lesson from scaling 10 businesses
138. 4:15past 10 million and three businesses
139. 4:17past 100 million into a completely free
140. 4:19scaling roadmap that I've used to go
141. 4:21from zero to one, zero to 10, and zero
142. 4:22to 100 plus. And so you can click here
143. 4:24and you can check it out. Again,
144. 4:26absolutely free. And since you're
145. 4:27business owner, I appreciate you and
146. 4:29enjoy.