The Role of Hard Work & Embracing Uncertainty (on Leveling Up with Eric Siu) Pt. 2 Aug ‘23 Ep 637

In this in-depth conversation, Alex Hormozi, a seasoned entrepreneur and author, delves into his philosophies and strategies for business growth and personal productivity. Hormozi emphasizes the importance of focus, revealing his Twitter routine as a tool for learning concise writing and receiving immediate feedback. He discusses the role of his books, particularly "100 Million Dollar Offers," in demonstrating core business concepts like creating irresistible offers, and he shares his ambitious promotional strategies for his subsequent book, "100 Million Dollar Leads." Hormozi also touches on the significance of hiring top talent, advocating for paying above market rate for A-players who can exponentially increase a company's output. Additionally, he shares candid insights into his fitness regimen, advocating for simplicity and consistency over chasing fads. Throughout the conversation, Hormozi offers a glimpse into his reflective practice of consulting with an envisioned 80-year-old version of himself for wisdom and patience in decision-making.

• Work is deemed complete when there is nothing more that can be done to improve it.
• The standard for completion is based on the current knowledge and ability to enhance the work.

"Work does expand to the amount of time that you allow it, but I deem work done when there is nothing else that I can do to make it better, that there's nothing else that I know of that I can make this better."

This quote emphasizes the speaker's personal standard for considering work as finished, which is when no further improvements can be made with the current knowledge and capabilities.

• The podcast aims to discuss strategies for acquiring more customers, increasing customer value, and retaining them.
• It also shares failures and lessons learned in the journey of business.

"Welcome to the game, where we talk about how to get more customers, how to make more per customer, and how to keep them longer, and the many failures and lessons we have learned along the way."

The quote outlines the core topics and intent of the podcast, focusing on customer acquisition, value maximization, and retention, along with learning from past mistakes.

• Twitter is used as a tool for learning concise writing and receiving immediate feedback.
• The speaker finds Twitter as one of the most impactful tools for improving writing, alongside the Hemingway app.
• Tweets often reflect personal reminders or advice to oneself.

"I think Twitter low key is the single greatest tool for learning how to write because it forces you to have word concision and you get immediate feedback."

This quote suggests that Twitter's character limit and instant feedback loop serve as an effective means for honing writing skills.

• The speaker's Twitter strategy is spontaneous and genuine, without engagement groups or ghostwriters.
• Tweets are often themed based on current thoughts or lessons from personal experiences.

"I tweet shit as I think of it."

The quote illustrates the speaker's organic approach to Twitter, posting thoughts as they arise without a premeditated strategy.

• Writing books is described as a labor of love and an expression of the speaker's passion for writing and business.
• The speaker aims to answer specific questions through the books, such as "What do I sell?" and "Who do I sell it to?"
• Books are seen as a long-term investment for establishing authority and influence in the future.

"The books are my absolute long game."

This quote conveys the strategic purpose of writing books, which is to build a lasting legacy and become the go-to person in the field over time.

• The speaker does not believe in individual legacy but values the legacy of education and knowledge passed down through generations.
• Wealth is equated with knowledge, and the perpetuation of knowledge is seen as the true legacy that outlasts material wealth.

"I think that the ultimate legacy is education, because all of us here are sitting here in a house full of inventions that other people that we don't know invented and made our lives better."

The quote highlights the speaker's belief that education and shared knowledge contribute to humanity's progress and are the most enduring form of legacy.

• The speaker questions the direct correlation between a challenging childhood and future success.
• Success is attributed to being rewarded for certain behaviors, which reinforces the continuation of those behaviors.

"You either rewarded or punished for doing the things that you've done, and you either avoid things you've been punished for in the past, and you keep doing things you'rewarded for."

This quote suggests that reinforcement, whether positive or negative, shapes future actions and can lead to success rather than the circumstances of one's childhood alone.

• Focus is essential for success; trying to pursue multiple ventures simultaneously is seen as arrogant.
• Commitment involves eliminating alternatives and dedicating oneself fully to a single endeavor.

"The only one that will work is the one that you work on."

The quote stresses the importance of focus and commitment to one's success, implying that spreading efforts too thin across multiple projects is likely to lead to failure.

• The metaphor of pruning a tree is used to illustrate the necessity of focus and eliminating distractions.
• Success is often about saying no to almost everything, even opportunities that would have been highly desirable in the past.
• Judging oneself based on actions rather than feelings is crucial for maintaining focus and patience.
• Engaging in too many activities prevents deep understanding and progress.

"The difference between successful people and really successful people is that really successful people say no to almost everything."

This quote emphasizes the importance of selective focus for achieving higher levels of success. It suggests that the ability to decline opportunities is a key differentiator between the successful and the very successful.

• Knowing how to do something through experience is different from just knowing that something can be done.
• Experiential knowledge is more valuable than opinions, especially when it comes to business.
• A quote from L.H. Hardwick highlights the superiority of experience over opinion.

"No man with experience is ever at the mercy of a man with an opinion."

This quote highlights the value of experience over mere opinion. Those who have actually done something have authority over those who have not and merely offer opinions.

• Content should be based on first-hand experience and within one's circle of competence.
• Avoiding speaking on topics outside of this circle prevents spreading misinformation or generalizations.
• Staying within one's circle of competence also protects against criticism and self-doubt.

"Anything that you have to add that's outside of the circle of competence will often be a generalization that you heard from someone else."

This quote stresses the importance of sticking to what one knows deeply and personally to provide valuable and authentic content, rather than repeating others' generalized opinions.

• Content creators should initially stick to formats they understand before trying to expand.
• It's important to do what works for oneself rather than following trends or attempting formats that don't align with one's skills.

"I think there's also a circle of competence when it comes to content creation."

This quote suggests that just as investors have a circle of competence, content creators should also recognize their strengths and limitations in different content formats.

• The book "100 Million Dollar Offers" demonstrates the concepts it discusses by being an irresistible offer itself.
• The follow-up book "100 Million Dollar Leads" uses all eight methods of advertising discussed in the book to promote it, providing real-world evidence of their effectiveness.
• Each book in the series demonstrates its core concept through its marketing and launch strategy.

"I wanted to use the book to demonstrate the ideas in the book as proof that the ideas worked."

This quote explains the meta concept behind the book launch, where the strategies discussed in the book are also employed in its promotion to prove their validity.

• Affiliates are categorized into different tiers based on their audience size and influence.
• Top affiliates are offered unique incentives that benefit their audience, avoiding the extraction of goodwill.
• The affiliate strategy for the book is designed to be mutually beneficial and easy to promote.

"If someone says, hey, attend this thing so I can win this car, that's them extracting goodwill from the audience, right? And I don't want them to do that for me."

This quote explains the reasoning behind the specific incentives chosen for top affiliates, ensuring that promoting the book adds value to their audience rather than depleting their goodwill.

• A significant amount of money and time is invested in the book launch to ensure its success.
• The speaker emphasizes the importance of preparation and hard work, going beyond what is typically expected.
• The concept of "outworking your doubt" is introduced, suggesting that thorough preparation can alleviate nervousness.

"I've spent a million bucks in cash on the event so far."

This quote indicates the level of financial commitment put into the book launch, demonstrating the speaker's belief in investing heavily to achieve excellence.

• Over time, the speaker's standards for their work have increased significantly.
• The realization that excellence requires an extraordinary amount of effort has led to a willingness to put in the work.
• The speaker reflects on past work and recognizes the growth in their effort and standards.

"But what's interesting is that if you work 100 times harder, you can sometimes get, like, a million times the payout."

This quote highlights the non-linear relationship between effort and reward, suggesting that extreme effort can lead to disproportionately large successes.

• Time investment in a task can significantly enhance the quality of the output.
• Incremental time allows for continuous improvement of a project.
• The speaker's personal experience with editing a video illustrates the value of additional time for refinement.
• Determining when work is complete is subjective and based on the creator's ability to further improve the project.
• The speaker's approach to work is meticulous, striving for the highest quality possible.
• Effort is a critical component in the success of a project, as demonstrated by the speaker's rigorous editing process.

"Because when you start counting in hundreds, the depth of understanding of something goes to such a large degree."

This quote emphasizes the correlation between the amount of time invested and the depth of understanding achieved in any given task.

"I deem work done when there is nothing else that I can do to make it better, that there's nothing else that I know of that I can make this better."

The speaker's personal benchmark for considering work complete is when they can no longer find any way to improve it, indicating a very high standard for completion.

• Success is subjective and can be defined by personal milestones rather than external metrics.
• The speaker feels successful when they have exhausted all efforts to improve their work.
• The ability to control what is controllable and let go of the rest is key to managing anxiety and achieving a sense of accomplishment.
• The cost of excellence includes the sacrifice of not pursuing other interests due to the focus required for achieving high-quality work.

"It'll be successful the moment I step on stage."

Success for the speaker is tied to the moment of presenting the work, reflecting a belief in the effort put into the project.

"The real cost of excellence, is all the things that you want to try that you can't do, because excellence has a huge price tag associated with it, which is how much time you have to put into one thing."

This quote highlights the sacrifices and trade-offs necessary to achieve excellence in any endeavor.

• Achieving high-quality work, such as writing a world-class book, requires exponentially more effort as one strives for higher levels of excellence.
• The speaker provides an analogy that illustrates the disproportionate amount of work needed to increase the quality of a book from a 7 to a 9 on a rating scale.
• The difference between a very good and an excellent product can have significant financial implications.
• The speaker's personal experience with book sales demonstrates the potential lifetime financial benefits of creating a high-quality product.

"To go from a five to a seven is like twice the work. To go from a seven to a nine is like 100 times the work."

This quote conveys the idea that as one approaches the upper echelons of quality, the amount of work required increases dramatically.

"The difference between a nine and a half book and a 9.9 book on Amazon is the difference between you having one book that you can retire on for the rest of your life."

The speaker illustrates that minor differences in quality can have a major impact on the success and financial return of a book.

• The speaker shares the extensive rewriting process they underwent for their book, indicating a commitment to producing the best possible work.
• The rewriting process included considering the longevity and timelessness of the content.
• The speaker aimed to make complex concepts accessible, including simplifying language and incorporating visual aids.
• Determining the scope and depth of topics to cover in the book was a significant challenge.

"I did 19 drafts. I did four full rewrites, and the last version that has gone out, when I read it front to back so many times now, I was like, I can't take anything else out, and I can't add anything to it."

The speaker's extensive revision process reflects their dedication to creating a polished and finalized product.

"There's a 17 year old kid in Pakistan who has a goat who's going to be sleeping with this book under his pillow. He's like, do it for him."

This quote shows the speaker's editor providing motivation by emphasizing the potential impact of the book on readers' lives.

• Recognizing and attracting top talent is crucial for business success.
• The speaker believes in the concept of hiring based on potential value rather than immediate need.
• Understanding the difference between A and B-level talent and compensating accordingly is key.
• The speaker employs a strategy of continuous recruitment, willing to hire exceptional talent even without a clear position available.
• The importance of becoming the type of leader that top talent wants to work for is emphasized.

"You're just one great hire away from all of the money that you want."

This quote highlights the transformative potential of hiring the right person for a company's success.

"If you are not learning on the interview from the candidate about the thing that they're supposed to take over, you shouldn't hire them."

The speaker suggests that interviews should be a learning experience for the employer, indicating that the candidate has the necessary expertise for the role.

• Talent acquisition is considered a critical aspect of business success.
• Quick decision-making based on instinct is encouraged when identifying promising talent.
• A meticulous and swift hiring process is key to securing top candidates.
• Speaker A's company follows a 24-hour turnaround policy to expedite hiring.
• They have established key HR metrics that outperform industry averages, such as cost to fill and time to fill roles.
• Two-sided fit at 90 days is a unique metric used by Speaker A's company to assess the mutual satisfaction of the employer and employee post-hiring.

"She's a savage."

"Yeah. Because the next person to interview with will hire them."

"And do everything one day apart. We always try to do that. We have really good metrics around HR. Like, our cost to fill is way below industry average. Our time to fill roles is like 22 days versus industry average is much higher. Our two-sided fit at 90 days, which is one of our key metrics, is that the person above the person and the person both say that it was a perfect match. 90 days later, two sided fit."

These quotes emphasize the importance of swift action in hiring, the efficiency of the company's hiring process, and the innovative metrics they use to measure success in talent acquisition.

• Recognizing the value of learning from others, especially those with specialized expertise, is crucial for personal and organizational growth.
• Speaker A acknowledges their own learning experience from the Director of HR, who introduced valuable HR metrics.
• The importance of surrounding oneself with intelligent and skilled individuals is highlighted as a way to enhance one's own knowledge and capabilities.

"Well, director of HR did, and that was because she came from Audacs private equity firm, and so she was director of people there. And so on the interview, she gave all these metrics that I didn't like time to fill, and I was like, why have I never tracked this? That's so smart."

This quote reflects Speaker A's realization of the importance of HR metrics and the value of hiring knowledgeable personnel who can contribute new insights and practices to the company.

• Speaker A discusses their long-term commitment to fitness and the evolution of their workout and diet routines.
• Resistance training is highlighted as the most beneficial for longevity and maintaining bone mass.
• The importance of calorie intake, vitamins, and micronutrients for body aesthetics and health is discussed.
• Speaker A criticizes the commercialization of health and fitness, advocating for simplicity and skepticism towards fad diets and unnecessary health services.

"I eat two pounds of meat a day. That's how I get my 200 grams of protein in that is very easy for me to do. And then I have dessert in excess of my calories to hit my goal."

"Progressive overload on resistance training, meaning weights and machines and plate loaded machines for almost two decades."

These quotes outline Speaker A's personal diet strategy for protein intake and their long-standing commitment to resistance training as a core component of their fitness routine.

• Speaker A draws parallels between the simplicity required in fitness and business strategies.
• They emphasize the importance of focusing on fundamental truths and avoiding distractions from fads or minor incremental improvements.
• Speaker A's passion has shifted from fitness to business due to the dynamic nature of the business world.

"And the reason I think I got into business and I've stayed and I think I will continue to be interested in business. Whereas my love of fitness started to wane is because business changes all the time. So bodies haven't changed, but business and the market changes all the time. And I think that's why I love it."

This quote connects Speaker A's waning interest in fitness to their growing passion for business, attributing it to the constant changes and challenges present in the business environment.

• Speaker A discusses the concept of consulting with an 80-year-old version of themselves for life and business advice.
• Themes such as the insignificance of certain problems, patience, redefining problems, and embracing uncertainty are explored.
• The practice serves as a powerful self-coaching tool, providing context-specific advice with aligned incentives.

"Sometimes you have to give time. Time."

"Embracing uncertainty because I, and many of us want a guarantee from a world that doesn't give them."

These quotes reveal the introspective advice Speaker A receives from imagining conversations with their older self, focusing on patience and the acceptance of life's uncertainties.

• Speaker A concludes by offering resources for further learning and business growth opportunities.
• The discussion ends with a promotion of Speaker A's book and an invitation for companies to collaborate with their firm.

"And if you are a company and you have an EBITda of a million, 2 million, 5 million, 8 million, hit us up. We're always looking for great founders who are looking for growth partners because that's what our day job is."

This quote serves as an invitation for businesses to seek growth partnerships with Speaker A's company, emphasizing their focus on collaboration and support for other entrepreneurs.