Being efficient....

Hi Thomas,

I really liked your posts on this! (And Michael's too....)

There are a lot of powerful ideas in what you wrote. We've talked about efficiency several times, and it took me a while to realize just how powerful the concepts you are talking about really are....

Firstly, as you say, efficiency is about getting more for less. Who doesn't want that? But a lot of people don't realize that that is what efficiency is really about.... Getting more for less. Thanks for clarifying that, it certainly helped me.... :)

Also, the example of Henry Ford and the assembly line really drove home a point to me. Many people think to become very successful, they need to come up with some incredible new product that everyone wants, or something like that.... But that isn't the only way. Being much more efficient than your competitors is another way to become very successful....

Henry Ford didn't invent the automobile.... Others did that before him. And his company was only one of many which produced automobiles.... I think back in those days, there were over a hundred different companies in the USA alone making automobiles....

But by using the concept of an assembly line, he was able to create an incredible increase in his company's efficiency. That was sufficient for him to be able to dramatically cut the prices of his cars (while still having a very healthy profit), and lead the industry....

And he revolutionized the world by bringing the automobile to the masses in the process....

So, what struck me was this thought. ONE way, which many people don't think about, to become a big success in business is to take an existing business.... And find a way to make it much more efficient.

When you think about it, McDonald's is based on the same concept. One of the main things which distinguished McDonald's from your corner hamburger joint was McDonald's efficiency.

In fact, when you look at how McDonald's operates, it's really the assembly line idea all over again, this time applied to burgers.

It's an important concept.... More important than I used to realize.

Thanks for sharing your thoughts, Thomas.... I know you've really thought a lot about this issue, and what you've said has really turned on the lights. :)

- Dien