2 Frameworks for Businesses

Why Listen To This?

• Alex Lieberman, Jesse Pujji, and Sophia Amoruso are 3 successful entrepreneurs riffing off on various business frameworks in this episode of The Crazy Ones.

Learnings

• ‘36 — The Entrepreneurial Operating System:
  • An idea put forward in the book Traction by Gino Wickman.
  • Its 6 parts are:
    • Vision
      • If you ask all the employees what the vision is, you should get the same answer.
    • People
      • Have the right people in the right roles
    • Data
      • Manage your business through a scorecard.
      • Have periodic reports measuring your business’ metrics — acts as a litmus test of how the business is doing.
    • Issues
    • Processes
    • Traction
      • Vision without traction → Hallucination.
• ‘38 — The 2 center pawns analogy.
  • In Chess, 90% of the outcomes can be predicted by what the 2 center pawns do on the board. i.e., those 2 center pawns dictate the outcome of the game.
  • Similarly, whenever taking any business decision, focus on the 2 center pawns which are key to reaching the goal.