The power of focus

 The power of focus

If you wish to become rich, look carefully about you at the prevailing industries where wealth appears to be gravitating. THEN GO TO WHERE THE MONEY IS! That is where you should focus your efforts. On the ball marked 'The Money is Here.'

There is no substitute for good timing. There is always luck involved, but it's often the kind of luck you help make yourself.

Human capital is by far the most important element of your environment, whether you are just starring up or deep into the game. By focusing hard on obtaining that human capital you will vastly increase your chances of becoming rich.

Stupid people are easy to hire. The world is full of stupid people. Many of them are extremely pleasant and will give you a lovely smile every morning. But such people will not add to your wealth. In the early days, you should avoid them like the bubonic plague. What you need are clever, cunning and adept people.

Focus tips when choosing human capital:

Never choose an important employee or a key supplier alone.

Get others to interview them or talk to them as well, either with you or separately.

You need the input of others to choose the right candidate, although the final choice, in the early days, must be yours and yours alone.

Go further than reading a person's references.

Make an appointment with a potential employee's last company or with a supplier's other customers.

Go and see someone there. Make nicey-nicey. Listen hard. You will discover more about your potential employee or supplier in a few minutes in this way than in hours of conversation with them.

Make notes. Speak little.

Have a series of questions handy to shoot out when they grind to a halt. Then focus like mad on what your instinct and your intuition is telling you - as well as your ears.

As to speaking little yourself, remember you are being interviewed, too. It is impossible for the other side to tell that you are not as clever as they are if you keep your mouth shut.

'Better to have the world suspect you a fool than to open your mouth and put the matter beyond doubt,' as the old saying has it.

Good suppliers respect attention to detail.

Don't hesitate to challenge quotes or invoices - after you have done your homework.

At the beginning of a relationship, everything will usually be hunky-dory. Later, hidden or unacceptable costs may creep in. Challenge them.

Constantly request quotes from your supplier's rivals. Demand refunds if a supplier screws up, based not on the cost of the goods or services, but the financial consequences of the screw-up.

Pay employees well. Bonus better.

Your company's salaries must be competitive. Bonuses should be more than competitive, they should be tempting, generous and based ruthlessly on meritocracy and delivery. That's the way to get employees to really focus.

Be alert for 'cross overs'.

All positions in your company, except your own, are temporary.

Nothing pleases a candidate who has failed to get a particular job more than being contacted some time later and offered a job out of the blue. It is like a vindication and they will almost certainly say 'yes' if the job title and money matches or exceeds their current position.

Only hire winners.

Hire winners or people you believe will become winners. Fire whiners and moaners swiftly.

Ignore your prejudices, likes and dislikes.

Some of the most successful colleagues and employees who have worked with me and for me over the years were not my personal cup of tea at the beginning.

Loyalty, effectiveness, honesty, integrity and stamina are crucial. Cleverness and cunning can be useful. Professionalism is vital. A desire to shine in the world is worth more than a university degree. All of this is important. Who you like and don't like is irrelevant. If an employee makes money for you, you'll get to like them later, I promise.

Promote from within when you can.

An external candidate, a candidate from outside the company looking for a senior position, had better be at least 30 per cent better than any internal candidates to get the job.

You know all the faults of an internal candidate - they may have worked for you for years. But external candidates come to you free from errors made in the past. All you are faced with is an impression at the meeting and a list of their achievements. Failures are not a part of anyone's CV.

Don't leave senior employees in any job too long.

You will get the most out of any senior employee in their first year or two in a new position. After that, they enter a 'comfort zone'.

If a man or woman heads up one of your companies and has been there too long, consider asking them to create a new division or company for you. But do not leave them to quietly go to seed - they will get bored and resign anyway, if they're any good.

There is no point in owning 100 percent of a rubbish company. Whatever it is you intend to do to get rich, get good at it. Hire people who are better than you at it. Listen and learn and get better still at it.

Focusing on doing an outstanding job is an important part of getting rich.