Sunday, 19 February 2017

Change

It’s gonna happen. The world has never been like this and never will again. So many things will be mixed up into different combinations meaning everything changes, sometimes the change is difficult to spot other times it’s unmistakable and urgent. Many of us spend to much time wanting or trying big change, let me list some words and tell me if big change is for you?

Earthquake,
Explosion,
Death.
Are you sure you want to be around or want to cause big change?

Most cultures have cottoned on to change as being constant (Wu Chang in Chinese) and things always changing like rivers (Heraclitus (Greek) and Confucius (Chinese)) and when dealing with it advice such as ‘every journey starts with a single step’ (Lao Zi (Chinese), and yes there are almost certainly examples from other cultures and very old too. Change is inevitable so you need to acknowledge it (it’s gonna happen anyway even if you try to ignore it!) so plan with it in mind.

I hopefully have given clear pointers that the big change does happen but it tends to have major consequences that are irreversible and scarring to the survivors. I suggest evolution not revolution. Taking small steps one at a time that will slowly and gradually change. Some times the Daoist; go with the flow (para phrase!) is useful, but also deciding to change towards a better situation step by step is easier than cold turkey withdrawal or jumping to a new action without preparation.

The concept of continuous improvement is encapsulated in Kaizen a Japanese name of an industrially applied method that transformed much of Japanese Industry from devastation after World War II to the top of many fields. Toyota is the face of this method with the development of the Six Sigma approach. Over the years Toyota used these ideas and gradually reduced waste, and improved their processes and products to become the biggest Car manufacturer where General Motors did not use small change philosophies and has gone from the biggest to bailed out bankrupt. So it’s slightly more than just theory. General Motors knew what Toyota were doing and even tried to work with them but failed to change themselves to a culture that embraces change.

So the general idea is to improve something maybe even a very small something that will lead to improvements. So having large warehouse areas with lots of stock is expensive, if you can arrange for smaller more regular deliveries just when you need them, you will not need as big a building to store them in, so smaller rent maybe? The impact is likely to be bigger than you think as other areas may be improved too. You may also reorganise the work area so everything is at hand rather than walking around all the time to get the pieces and tools needed. Now go home is your freezer large and full and a large electricity bill. Is your kitchen spread all over. So these two ideas that helped make a multinational massive organisation can also make your life easier with cost and space savings. Now look at all aspects of a business or home or what ever and look for small improvements that can save money, time, space or anything else. Productivity (you can produce more) or efficiency (do more with less) could save or increase what you want. The process is to regularly pick something to improve and each one will make things a little better but after you have made a few changes they will combine to make a larger noticeable effect.

Small changes can be seem in many areas of life (how principles and concepts work, learn them and apply in many areas). One you have forgotten from school maths is compound interest where interest on savings and debt is compounded. So a quick reminder if you put £100 in the bank and get 10% interest p.a. (We wish, but it’s easy numbers that’s all) then at the end of the year you have £110 the next year it is not £120 but £121. Only a small difference so far but the graph and your money go up quicker with the adding (compounding) of interest the interest on the interest is also added. This is a not very secret to how savings and wealth are best accumulated over time not by one payout. It has worked for Warren Buffet (from childhood pocket money to multi billionaire), it helps pensions work and the reason you can benefit a lot from clearing debt or paying off quicker if possible with compounded debt interest. It’s amazing the benefits of early started small savings can make after several years.

The same idea of small improvements is not just beneficial with business and personal finance. It can be applied everywhere and any time. So can you do something to improve your health, or your personal work approach or your relationships? It does not have to be big just a small change and make it now! Now get in the habit of regularly (say 1st of the month) pick a small improvement and make it. Sure it may not be obvious straight away but after a year with other small improvements there will be noticeable improvements.

The way concepts and principles can be learned and applied is also compounded. So now prioritise what is the biggest factor and look for improvement there. So in health the big 3 are sleep, eat and move. Which is your biggest problem? How can you make a small improvement? So could it be no breakfast well pick a simple starter to the day even if it’s a fruit juice or piece of fruit as early as you can and make it a permanent habit. A month later you could add some more to breakfast or swap your 11 o’clock unhealthy snack for some fruit. What ever it is pick an easy change and make it. You can look up sleep hygiene and make a change there or just add some more movement like a little walk daily to your life. A small change in a major area may have a bigger impact than a large change in a less significant area as well as being easier and more likely to work.

You may not even notice the change but every step is in the right direction, and small steps are easier. As time goes by bigger steps may count as small steps to you but do not run before you can walk then those big change words Earthquake, Explosion, Death can be avoided as much as possible. Making change part of you rather than waiting till only drastic action can possible work and still most often does not or causing major problems by instigating the more difficult (and less successful) big changes.

These changes can be made in the quiet times so their automatic when the stress increases. It could also be explained as a journey where if you are off by a degree at the start you miss by large amount by the end. Each small course correction lessen the margin of error (missing) later on. Big changes mean a long journey in the wrong direction and more waste or damage especially if left to late.

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