Warren Buffet is one of the most inspiring billionaires in the business world. He built colossal wealth for several long years. Today, he is at the top of the ranking of the richest men in the world, thanks to his company, Berkshire Hathaway, valued at nearly $ 600 billion.
The secret to Warren Buffett’s success is that he keeps learning new things through reading and personal reflection. He spends 80% of his time reading. Having more money or running a large company did not prevent him from respecting this rule of 5 hours of learning per week. For him, having free time is never a default solution, it is rather the result of a different vision of the notion of time. In this article, we present to you the strategies that Warren Buffett has adopted throughout his career to have much more time than he devotes to his personal development.
Devote your time exclusively to the things that really matter
Warren Buffett does not attend any internal meetings. He just sent a letter to each of his companies to congratulate them on their success and accomplishments of the current year. He adopts a different posture from traditional CEOs. This is how he creates time to move forward effectively on his projects. As such, he rarely responded to the media and never attended events organized by companies. He has always lived outside of New York, in Omaha, Nebraska. Warren Buffett’s associate Charlie Munger describes: “You look at his schedule and sometimes it says hairdresser. Tuesday is the day of the “hairdresser”. This is what created one of the world success records in the history of commerce. He has a lot of time to think. “
What’s interesting to note is that Warren Buffett’s decisions are not made at random. They require continual resistance to distractions and immense social pressure. To do this, it follows the following strategy:
- List your top 25 goals in order of importance
- Circle the first 5 objectives
- Put the 20 remaining objectives on a new list that he will name “to be avoided at all costs”. Warren Buffett does not hesitate to point out: “Either way, those last 20 goals shouldn’t hold your attention until you’ve successfully hit your first 5 goals. “
Buffett’s three-step approach will help you get organized. It is by adopting this strategy that 20% of your priorities will generate 80% of your results.
One of Warren Buffett’s best-known quotes is: “I am not interested in cars and my goal is not to make people envious. Do not confuse the cost of living with the standard of living. ” It’s very hard to imagine, but, despite the fact that Warren Buffett is one of the greatest wealth in the world, he has always wanted to live below his means in order to favor investment. This is a winning strategy, since he will be sure to increase his wealth and never declare bankruptcy. In addition, Warren Buffett lives in the same house which he bought in 1958 for the modest sum of 31,500 dollars.
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Invest your time and money wisely
Warren Buffett makes very few investments per year. He does a lot of research before investing a single penny in a business. If he judges, following these analyzes, that the actions are worth the trouble, he therefore invests generously. He also has a preference for easy-to-run businesses, which he considers a safe investment.
Warren Buffett unveiled his investment method, which is based on the following four criteria:
- “A sustainable economic situation for the company
- Competent and honest management
- Attractive prices
- An industry that you know and of which you will be able to judge the long-term commercial characteristics ”
This investment lesson also applies to the knowledge and knowledge that you develop daily. He underlines in his biography: “The knowledge you learn and invest in has to be cumulative, so that it builds on itself. So instead of learning something that might become obsolete in the very near future that no one will use in two years, choose areas that will make you smarter in 10 or 20 years. “
Now you understand how Warren Buffet, one of the busiest people in the world, gets organized and still finds time to read. All of the strategies he has adopted are not the result of chance. They all revolve around the famous mental model: the 80/20 rule, which is based on the fact that 20% of efforts lead to 80% of results in many areas. In every aspect of his life (relationship, professional, financial, etc.) Warren Buffett ruthlessly prioritizes the things that really matter and automatically eliminates everything else.
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