When Prioritisation defines Productivity (Part 3) - Warren Buffet 5/ 25 Rule

Warren Buffet's 5/25 Rule

When Prioritisation defines Productivity, it is not always about what we select but also about what we leave/ don't select. We will always have plenty on our list and it will never be easy to focus and direct our energy and effort on the things that matter most. Here's a rule/ strategy by Warren Buffet, one of the most successful investors in the world, about identifying an focusing on the important things in our life. The rule is known as 5/25 Rule. The power and impact of the rule could be gauged from the fact that it comes from one of the most successful person in the world. 

The story behind the rule goes like this - Mike Flint was Buffet's personal airplane pilot for 10 years and one day Buffet decided to help him plan out his career goals and priorities. The exercise involved Mike listing down 25 important goals of his life and then identifying the top 5 important goals to focus all his energy and effort on. The key highlight of the story is when being asked by Buffet about what he would do with the remaining 20 goals, Mike replied that he would work on these 20 goals intermittently while working on his 5 key goals. This is when Buffet corrected Mike by telling him that those 20 goals are the ones that he needs to avoid at all cost until he finishes with the top five. This is how Buffet helped Mike apply the 5/25 Rule for creating dedicated focus on his career goals and priorities. 

Let's look at the steps of applying the 5/ 25 Rule 

• Identify the area you want to focus on : Choose the area that's creating the most imbalance in your life and that has the maximum impact on your life

• Make a list of 25 goals in the area : Build a list of 25 goals, whether short-term or long-term. Make it a wish list and include every conceivable goal related to that area of your life.

• Identify the top 5 priority goals : This is the most crucial step of the process. Out of the 25 identified goals, identify the most important 5 goals that (according to you) has the maximum impact on your life. 

• Focus on the top 5 identified goals : Focus all your energy and effort on the top 5 identified goals and eliminate the rest 20 goals. Ensure you don't pay any attention to these "avoid at all cost" 20 goals till you have succeeded in the top 5 identified goals.

The 5/25 rule can be applied to any area of our life and the above exercise could even be done, in general, about life, without getting specific about any area of life.

Remember, the items 6 - 25 are also important but the rule suggests that we avoid letting them become distractions for us while we work on the topmost 5 goals.

Related Articles :

• When Prioritisation defines Productivity (Part 2 )- PARETO PRINCIPLE 

• When Priritisation defines Productivity (Part 3) - EISENHOWER MATRIX

So, get focused and go full throttle in achieving your 5 goals !