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	<title>Jesse Meijers &#187; Entrepreneurship</title>
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		<title>The difference between value and price</title>
		<link>http://www.jessemeijers.com/difference-between-value-and-price/</link>
		<comments>http://www.jessemeijers.com/difference-between-value-and-price/#comments</comments>
		<pubDate>Mon, 18 Oct 2010 19:41:48 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Becoming Successful]]></category>
		<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Business Models]]></category>
		<category><![CDATA[Creativity]]></category>
		<category><![CDATA[Finance]]></category>
		<category><![CDATA[Investing]]></category>
		<category><![CDATA[Money]]></category>
		<category><![CDATA[Money Making]]></category>
		<category><![CDATA[Sales]]></category>
		<category><![CDATA[Secrets]]></category>
		<category><![CDATA[Success]]></category>

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		<description><![CDATA[All successful entrepreneurs know that there is a distinct difference in value and price. But most people don't fully understand this difference. If you want to build a successful business, understanding this distinction is simply crucial.

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Related posts:<ol><li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
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<li><a href='http://www.jessemeijers.com/increasing-your-turnover/' rel='bookmark' title='Permanent Link: Easily increase your turnover &#8230; without spending a penny!'>Easily increase your turnover &#8230; without spending a penny!</a></li>
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			<content:encoded><![CDATA[<p>All successful entrepreneurs know that there is a distinct difference in value and price. But most people don&#8217;t fully understand this difference. If you want to build a successful business, understanding this distinction is simply crucial.</p>
<p></p>
<h2>What is price?</h2>
<p>Everyone understands what &#8216;price&#8217; is. It is the amount of money you pay for goods or services. Sometimes price is not as easy to deduct, but in essence it is that simple.</p>
<p>As an example let&#8217;s take a simple software system which you can buy, which will cost you $1.000,-. Then the price is simply $1.000,- (sorry if this seems too obvious, it is important to clarify what price is for the next bit!)</p>
<h2>What is value?</h2>
<p>Value is the actual worth of whatever it is that you are buying, such as goods or services. Value is not easy to deduct and therefore needs some more explanation. Let&#8217;s look at a simple software system again. If I can use a software system and it allows me to either:</p>
<ul>
<li>Increase my sales by $1.000,- per month (for simplicity&#8217;s sake we assume no costs are involved)</li>
<li>Decrease my costs by $1.000,- per month</li>
</ul>
<p>Then the value of the system is $1.000,- per month or $12.000,- per year.</p>
<h2>The difference between price and value</h2>
<p>If both software systems in my example are the same, then I am able to make a great deal. If I know that this system is saving $12.000,- in costs per year for a company and yet it costs me $1.000,- to buy it, there is a huge difference between value and price!</p>
<p>So remember that <strong>value is the perceived worth</strong> while <strong>price is the actual cost</strong>.</p>
<h2>Some examples</h2>
<p>I have been using this difference for years to build a successful company, and so have many others who understand this principle well. Here&#8217;s some examples of ways to use this knowledge:</p>
<ul>
<li>Warren Buffet &#8211; uses this knowledge to buy stocks which have a lower price than they&#8217;re actually worth. Knowing this, he is basically buying a bargain and he can be sure that in due time, the price will once again reflect the actual value; leaving him with a nice profit!</li>
<li>Reselling &#8211; did you know that Red Bull was a hugely popular energy drink in Japan before it came to Europe? Some smart guy figured that the success of the drink could easily be turned into millions by changing the name to Red Bull. The value was reflected by this smart man&#8217;s imagination, while the price of the reselling rights outside of Japan was the price. And much lower than the millions or even billions of dollars it is generating each year!</li>
</ul>
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<div style='margin-bottom: 10px; border-bottom: #cacaca 1px solid'><p>Related posts:<ol><li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
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<li><a href='http://www.jessemeijers.com/increasing-your-turnover/' rel='bookmark' title='Permanent Link: Easily increase your turnover &#8230; without spending a penny!'>Easily increase your turnover &#8230; without spending a penny!</a></li>
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		<title>Easily increase your turnover &#8230; without spending a penny!</title>
		<link>http://www.jessemeijers.com/increasing-your-turnover/</link>
		<comments>http://www.jessemeijers.com/increasing-your-turnover/#comments</comments>
		<pubDate>Thu, 14 Oct 2010 19:17:08 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Becoming Successful]]></category>
		<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Business]]></category>
		<category><![CDATA[Creativity]]></category>
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		<guid isPermaLink="false">http://www.jessemeijers.com/?p=942</guid>
		<description><![CDATA[If I told you there is a way that you could increase your turnover, without even spending any money, would you be interested? Of course you would! You probably spent money on silly things that promised you extra turnover or profit, but actually didn't do anything other than costing you money... Well, let me explain how to do it... for free!

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Related posts:<ol><li><a href='http://www.jessemeijers.com/difference-between-value-and-price/' rel='bookmark' title='Permanent Link: The difference between value and price'>The difference between value and price</a></li>
<li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
<li><a href='http://www.jessemeijers.com/identify-great-business-ideas/' rel='bookmark' title='Permanent Link: How to identify great business ideas'>How to identify great business ideas</a></li>
</ol>]]></description>
			<content:encoded><![CDATA[<p>If I told you there is a way that you could increase your turnover, without even spending any money, would you be interested? Of course you would! You probably spent money on silly things that promised you extra turnover or profit, but actually didn&#8217;t do anything other than costing you money&#8230; Well, let me explain how to do it&#8230; for free!</p>
<p style="text-align: center;"></p>
<h2>Story of the tool salesman</h2>
<p>I met a tool salesman once who specialized in a certain area of tools. He sold cutters, picks, drills, etc. Me being from an entirely different market, I obviously asked him &#8216;what do you do&#8217;. And he told me he sells &#8216;cutters, picks, drills and the like&#8217;. The best one he told me, was the drills. Those sold best for him.</p>
<p>When I asked him why he thought the drills were the best selling item, he simply replied: because most people want to drill, and they need a drill. So I explained to him that this was wrong&#8230;</p>
<p>Most people couldn&#8217;t care less about drilling a hole. What they want &#8230; is a HOLE! They would be perfectly happy if the hold magically appeared in the wall at the right place. With the right depth. And width. But they don&#8217;t care about the drilling! They only care about the hole; about the result!</p>
<h2>Thinking in advantages</h2>
<p>The big difference between what I told the man and what he told me is this: the tool salesman was thinking in products. Thinking in products is what most salesmen do; they will explain you that you need the PowerHammer 2000 XTR because, well, it packs more power (and by the way, is more expensive!). So buy that! It is a great product! Just look at all the impressive features it houses! AMAZING!</p>
<p>Thinking in advantages and result is different. You simply ask the person what kind of hole they need. Big? Small? Deep? Shallow? In what kind of wall? How many holes?</p>
<p>This difference goes a long way. Don&#8217;t think in products. You are no longer a tool salesman. You are a hole-solution-provider. Present yourself this way!</p>
<h2>The result&#8230;</h2>
<p>This tool salesman actually increased his turnover simply by doing this one, free thing. This simple mind shift led him to more than triple his turnover! That is really how simple it is. Think in advantages for your customer. Don&#8217;t sell a product. Sell a solution!</p>
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		<title>Work smart, not hard!</title>
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		<pubDate>Sat, 02 Oct 2010 19:40:20 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Becoming Successful]]></category>
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		<guid isPermaLink="false">http://www.jessemeijers.com/?p=927</guid>
		<description><![CDATA["Work smart, not hard". Isn't this a big cliche? Doesn't everyone dream of working smart and not hard? And doesn't it turn out differently all the time? Let me explain how you too can work smart instead of hard, and make more money while you're at it! Here's how I did it...

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			<content:encoded><![CDATA[<p>&#8220;Work smart, not hard&#8221;. Isn&#8217;t this a big cliche? Doesn&#8217;t everyone dream of working smart and not hard? And doesn&#8217;t it turn out differently all the time? Let me explain how you too can work smart instead of hard, and make more money while you&#8217;re at it! Here&#8217;s how I did it&#8230;</p>
<p style="text-align: center;"></p>
<h2>Let other people do the work</h2>
<p>The big secret of working smart and not hard is to let other people do the work for you. That is easily done when you have a big business with hundreds of employees, but how do you start out? Well, let me tell you how my business partner and me started letting other people doing the work for us, and making a lot of money at the same time.</p>
<p>The idea is pretty simple, and can be explained along the lines of an investment. Let&#8217;s say you have a project which would mean you&#8217;d earn $100.000,-. The project would cost you 10 weeks working full time to do by yourself, so this means you earn $1.000,- per week. Not too shabby!</p>
<p>But we want to make more money in less time! The solution to this problem is to hire someone else to do the work for you, for example, an employee or a third party company. The trick is to find a cheaper way to do this, for example a company or person that can do it in the same amount of time for $80.000,-. Usually you can find a cheaper deal in the form of outsourcing abroad or hiring someone full time (since wages are usually much lower than what you can charge per hour to customers).</p>
<h2>How this helps you to make more money</h2>
<p>If you would walk this route, your income would suffer, because this solution would only mean $20.000,- in your pocket! While doing it completely yourself would mean a whopping $100.000,-! But the big advantage of having other people doing the work is that you&#8217;ll spend far less time on searching a company or person to handle the work (let&#8217;s say 1 week) which means your weekly rate is much higher!</p>
<p>Here&#8217;s how the numbers work:</p>
<table style="padding-bottom: 6px;" cellspacing="0" cellpadding="5" width="100%">
<tbody>
<tr>
<td style="border: 1px solid darkgray;" valign="top"></td>
<td style="border: 1px solid darkgray;" valign="top"><strong>Doing it yourself<br />
</strong></td>
<td style="border: 1px solid darkgray;" valign="top"><strong>Having others do the work<br />
</strong></td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Turnover</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Third Party Costs</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$0,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$80.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Your Share</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$20.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Time Spent (weeks)</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">10</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">1</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Weekly Rate (Your   Share / Time Spent)</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top"><strong>$10.000,00</strong></td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top"><strong>$20.000,00</strong></td>
</tr>
</tbody>
</table>
<p>As you can see, having other people doing the work can mean increasing your weekly rate with 100%!</p>
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		<title>How to identify great business ideas</title>
		<link>http://www.jessemeijers.com/identify-great-business-ideas/</link>
		<comments>http://www.jessemeijers.com/identify-great-business-ideas/#comments</comments>
		<pubDate>Sat, 25 Sep 2010 16:11:23 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Business]]></category>
		<category><![CDATA[Business Models]]></category>
		<category><![CDATA[Concept Development]]></category>
		<category><![CDATA[Investing]]></category>
		<category><![CDATA[Money]]></category>
		<category><![CDATA[Money Making]]></category>
		<category><![CDATA[Product Development]]></category>
		<category><![CDATA[Sales]]></category>
		<category><![CDATA[Success]]></category>
		<category><![CDATA[Tips]]></category>

		<guid isPermaLink="false">http://www.jessemeijers.com/?p=921</guid>
		<description><![CDATA[You are going into business with a partner, who has developed 2 fantastic products. The first product is a prevention against cancer, that people have to take every day. The second is a cure for cancer, which you take once when you have cancer and heals you. If you have only enough money to market one of these, which would you choose?

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			<content:encoded><![CDATA[<p>You are going into business with a partner, who has developed 2 fantastic products. The first product is a prevention against cancer, that people have to take every day. The second is a cure for cancer, which you take once when you have cancer and heals you. If you have only enough money to market one of these, which would you choose?</p>
<p style="text-align: center;"></p>
<h2>What most people choose</h2>
<p>The fact of the matter is that most people will go for the prevention. Obviously this has a huge sales potential. Just think of the literally billions of people world wide who might be interested in this! And they have to take it <strong>every day</strong>!</p>
<p>The math seems to add up to favoring this decision. But as I always say, if you find yourself on the side of the majority, it is time to reflect. Is this really the best choice?</p>
<h2>What successful entrepreneurs would choose</h2>
<p>If you would ask a successful entrepreneur what product you should market, they would give the exact opposite answer: go for the cure. At first glance, this doesn&#8217;t make sense, because the math can&#8217;t be fixed to overshadow the huge potential of the prevention, can it?</p>
<p>Indeed, it can&#8217;t. But there is more to it than this. The fact of the matter is that most people couldn&#8217;t care less about taking a prevention medicine every day. Just take a look around: how many people that you know actually make sure they get enough vitamines, fibre and other important stuff every day? I bet you hardly know anyone who does&#8230;</p>
<p>Yet, if you were to have terminal cancer, wouldn&#8217;t you give up anything that you own just to be cured? Of course you would! Most people (except maybe if you&#8217;re 100 years of age) wouldn&#8217;t think twice about wanting the cure. That is why the potential of the cure is so much higher. When people are in need of something, they&#8217;re willing to give a lot more in return for it!</p>
<h2>Other examples</h2>
<p>Obviously the cancer example is a rather delicate subject. But it illustrates this point so well. People do not behave rationally. People do not do the right thing every day. People do not work out as much as they should. People do not exercise regularly. But when they&#8217;re overweight and have diabetes because of it; they will do anything for the cure.</p>
<p>It is the same with accountancy firms, who made huge amounts of money off of small companies. What happened is that 2 people team up to form a company, and all is well. But when in time one wants out, they suddenly find they haven&#8217;t taken into account how to handle this situation. Accounting firms have &#8216;helped&#8217; these desperate people to settle their debates. But I can assure you that they made a huge profit simply because the need was so high for their clients.</p>
<h2>Rate your business idea</h2>
<p>If you go into business, always ask yourself if you are fulfilling a need for your customers. It is much easier to sell to a need than create one. Don&#8217;t get me wrong, there are times when you can create a need for your product. Yet this is much harder than fulfilling a need. So if you&#8217;re trying to decide which business idea is good, remember: <strong>always fulfill your customers needs</strong>!</p>
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<div style='margin-bottom: 10px; border-bottom: #cacaca 1px solid'><p>Related posts:<ol><li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
<li><a href='http://www.jessemeijers.com/difference-between-value-and-price/' rel='bookmark' title='Permanent Link: The difference between value and price'>The difference between value and price</a></li>
<li><a href='http://www.jessemeijers.com/accept-yourself/' rel='bookmark' title='Permanent Link: How to accept yourself'>How to accept yourself</a></li>
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		<title>Go R.O.W.E &#8211; Results Only Work Environment</title>
		<link>http://www.jessemeijers.com/results-only-work-environment/</link>
		<comments>http://www.jessemeijers.com/results-only-work-environment/#comments</comments>
		<pubDate>Sun, 13 Jun 2010 19:00:40 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Business]]></category>
		<category><![CDATA[Control]]></category>
		<category><![CDATA[Leadership]]></category>
		<category><![CDATA[Methods]]></category>
		<category><![CDATA[Relationships]]></category>
		<category><![CDATA[Success]]></category>
		<category><![CDATA[Teamwork]]></category>
		<category><![CDATA[Time Management]]></category>

		<guid isPermaLink="false">http://www.jessemeijers.com/?p=897</guid>
		<description><![CDATA[Recently I posted about location independency. This is one of the great opportunities that the Internet has given us. But it also means that we need to adopt our management strategy, to match the location independency of our team. The Results Only Work Environment is a proven strategy used by a few very successful companies (large and small) to do just that.

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<li><a href='http://www.jessemeijers.com/google-versu-microsoft/' rel='bookmark' title='Permanent Link: Google versus Microsoft: no game'>Google versus Microsoft: no game</a></li>
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			<content:encoded><![CDATA[<p>Recently I posted about <a href="/create-location-independent-office/" rel="nofollow" title="How to create a location independent office"  target="_blank">location independency</a>. This is one of the great opportunities that the Internet has given us. But it also means that we need to adopt our management strategy, to match the location independency of our team. The <strong>Results Only Work Environment</strong> is a proven strategy used by a few very successful companies (large and small) to do just that.</p>
<p style="text-align: center;"></p>
<h2>The idea behind R.O.W.E.</h2>
<p>R.O.W.E. is a strategy which focuses not on how many hours we make, but on the results we achieve. This means that workers have complete freedom in choosing their hours, and choosing in which way they do their work.</p>
<p>Obviously some jobs don&#8217;t allow for completely free choices, but there are strategies to make this work well. An example would be a system where you&#8217;d have to make sure, as a team, that the presence rate is at a certain level. This is true for call centers for example. However, if done well, it doesn&#8217;t matter whether the call center agent works from the office or from home. Or from the beach on Hawaii for that matter.</p>
<p>What counts is results. And results are measured in happiness of workers, the retention rate of workers/talent, worker productivity, and lastly financial results. The key thing here is that R.O.W.E. focuses on the people, not the finances per se.</p>
<h2>Business Culture Shift</h2>
<p>The old business culture where we try to make people fit into the 9-5 schedule isn&#8217;t working anymore. We are in a global financial crises because our old bonus structure isn&#8217;t doing a good job in making good executives, there are traffic jams longer than ever before every day and many, many people are not happy working the job they have. Something needs to change. Now.</p>
<p>I have often stated things as &#8216;I do not care whether you earn $10.000,- an hour&#8217; and people look at me in amazement, because they don&#8217;t understand. What I mean by this is that I only care about results. If I pay you $5.000,- because what you give me as a result is worth $5.000,- to me, does it really matter whether you do that in 30 minutes or 100 hours? No!</p>
<p>This is a very big culture shift for business owners and managers alike. We were taught from pre-school on that there are set times to do almost everything. Especially work. But studies have shown that 9-5 are not good times for everyone. People will be happier when they can pick up the kids at 3 pm from school, without discussion. And as a result people have more fun in their work and yield a higher productivity!</p>
<h2>Example Companies</h2>
<p>Great examples of companies who have adopted R.O.W.E. like mindsets are Atlassian and Google. Atlassian has gone completely R.O.W.E. and while at first the company had some struggles (people had to get used to it and kept showing up 9-5), eventually everyone was very happy about it. Some employees who couldn&#8217;t handle the newly given freedom and responsibility left, but as a result the team is much more in sync now.</p>
<p>The second example is Google. Google has a 20% rule. 20% of your time is spent on doing something that you choose to work on. A pet project for example, or a crazy new idea you have for an online service. People work on these things with all their heart, because it is something they love. Things that have come out of this? Maps and GMail are only two examples of fantastic services that are directly a result from the 20% rule. Isn&#8217;t that amazing!?</p>
<h2>Go R.O.W.E. too!</h2>
<p>If you are intrigued by this, there is a website which explains in more detail what R.O.W.E. is about. They also offer consulting on the topic. As a note, I am completely unrelated to this company, and make no money at all from mentioning them. I just found them via Google when searching for R.O.W.E. implementors, so go ahead and have a look too: <a href="http://www.gorowe.com" rel="nofollow" title="Go R.O.W.E."  target="_blank">www.gorowe.com</a>.</p>
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		<title>Intrinsic motivation versus extrinsic motivation</title>
		<link>http://www.jessemeijers.com/intrinsic-motivation-extrinsic-motivation/</link>
		<comments>http://www.jessemeijers.com/intrinsic-motivation-extrinsic-motivation/#comments</comments>
		<pubDate>Sun, 06 Jun 2010 18:56:54 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Business]]></category>
		<category><![CDATA[Control]]></category>
		<category><![CDATA[Methods]]></category>
		<category><![CDATA[Motivation]]></category>
		<category><![CDATA[Success]]></category>
		<category><![CDATA[Tips]]></category>

		<guid isPermaLink="false">http://www.jessemeijers.com/?p=873</guid>
		<description><![CDATA[The current economic crisis has led to a lot of new insights in how we should deal with our economy. On of those insights is that it seems that big bonuses don't seem to work well. The banks of who the top executives had huge bonuses, haven't exactly performed very well. There is a different way to get results, and would you believe me if I told you this has actually been scientifically proven and has been known for over 60 years?

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</ol>]]></description>
			<content:encoded><![CDATA[<p>The current economic crisis has led to a lot of new insights in how we should deal with our economy. On of those insights is that it seems that big bonuses don&#8217;t seem to work well. The banks of who the top executives had huge bonuses, haven&#8217;t exactly performed very well. There is a different way to get results, and would you believe me if I told you this has actually been scientifically proven and has been known for over 60 years?</p>
<p style="text-align: center;"></p>
<h2>Extrinsic Motivation</h2>
<p>Whenever we encourage someone to do something in exchange of a reward, we are extrinsically motivating them. In simpler terms, their motivation should come from external stimuli, such as a money bonus for example.</p>
<p>The financial crisis has shown that these extrinsic motivations do not actually produce the results we expect from them. We would expect people to improve in performance if we give them the proverbial carrot to chase. Using the proverbial stick to &#8216;punish&#8217; unwanted behavior has the same counter-intuitive effect.</p>
<p>Our society is drenched with extrinsic motivation. From a young age, we are given rewards and punishments for wanted and unwanted behavior respectively. It is no wonder we don&#8217;t know better than to use extrinsic motivation to get what we want from others&#8230;</p>
<h2>Intrinsic Motivation</h2>
<p>The opposite of extrinsic motivation is intrinsic motivation. It is the motivation we get from inside ourselves, without any other external rewards, when doing something.</p>
<p>Intrinsic motivation is what drives people to play an instrument, do sports, learn photography, etc, without ever having a chance to make a single dime from their efforts. Their intrinsic motivation consists of a form of fulfillment they get when pursuing the activity.</p>
<p>This intrinsic motivation is hardly used by entrepreneurs, executives and managers. While we all know what it is, because we all have activities we do without any gain other than personal fulfillment (i.e. fun).</p>
<h2>Scientific Proof</h2>
<p>There is actually scientific proof that extrinsic motivation isn&#8217;t nearly as effective as intrinsic motivation. As early as 1949 an experiment was conducted by Harry F. Harlow, that suggested that intrinsic motivation was present in primates.</p>
<p>The experiment showed results that were so controversial, that the idea was completely ignored until 1969. In that year Edward Deci got interested in the topic, and decided to use it for his dissertation at Carnegie-Mellon University.</p>
<div id="attachment_875" class="wp-caption aligncenter" style="width: 290px"><img class="size-full wp-image-875" title="Soma Cube" src="http://www.jessemeijers.com/wp-content/soma.jpg" alt="Soma Cube" width="280" height="280" /><p class="wp-caption-text">Soma Cube</p></div>
<p>Edward Deci used the Soma cube, which is a puzzle consisting of 7 pieces which look like Tetris blocks. Deci divided his test subjects into two groups; group A and group B. Both groups were taking part in three sessions of one hour each, during three days.</p>
<p>Each session took part as follows. The participant entered a room where the pieces of the Soma puzzle were placed on a table, drawings of three possible configurations of the puzzle and copies of Time Magazine, The New Yorker and Playboy (remember, it was 1969). Deci was on the other end of the table to give instructions.</p>
<p>During the sessions the participants of both groups had to reconstruct the configurations they were presented on paper, using the Soma puzzle pieces. During the second session they did the same with new drawings, but now Deci told the participants from group A that they could earn a dollar (equivalent to roughly 5 dollars today) for every configuration they successfully built. Group B wasn&#8217;t given a reward.</p>
<p>The last day was the same as the first, so neither group was given a reward. The final schedule looked like this:</p>
<table border="1" cellspacing="0" cellpadding="0" style="padding-bottom: 20px;">
<tbody>
<tr>
<td style="border: 1px solid black;" width="154" valign="top"><strong> </strong></td>
<td style="border: 1px solid black; border-left: none;" width="154" valign="top"><strong>Day 1</strong></td>
<td style="border: 1px solid black; border-left: none;" width="154" valign="top"><strong>Day 2</strong></td>
<td style="border: 1px solid black; border-left: none;" width="154" valign="top"><strong>Day 3</strong></td>
</tr>
<tr>
<td style="border: 1px solid black; border-top: none;" width="154" valign="top"><strong>Group A</strong></td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">No reward</td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">Reward</td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">No reward</td>
</tr>
<tr>
<td style="border: 1px solid black; border-top: none;" width="154" valign="top"><strong>Group B</strong></td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">No reward</td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">No reward</td>
<td style="border: 1px solid black; border-left: none; border-top: none;" width="154" valign="top">No reward</td>
</tr>
</tbody>
</table>
<p>The crucial part took place half way during the second session. When the participant had reproduced two of the three configurations, Deci stopped the experiment. He told them he had to enter the results in a computer (big, slow machines back then) to determine which drawing to give the participant next. This meant that Deci had to leave the room. In the meanwhile, the participant was allowed to &#8216;do something for themselves&#8217;.</p>
<p>Instead of entering the results, Deci went to a room with a two-way mirror to observe the participant. During exactly 8 minutes he observed the participant&#8217;s behavior.</p>
<p>Day 1 showed little difference between group A and B. Both continued with the puzzle for roughly 3,5 minutes before starting to do something else. On day 2 group A (the paid group) performed better than group B (non-paid group), spending over 5 minutes on the Soma puzzle.</p>
<p>But the interesting thing happened on day 3. Deci told the participants from group A that there was only enough money to pay them for one day, so that the last day was unpaid. The participants from group B spent more time on the puzzle than they had before. But the participants from group A (the previously paid group) spent far less time on the puzzle.</p>
<p>This led to the conclusion that human motivation works in completely different ways than we had until then taken under consideration.</p>
<h2>Other Experiments, Same Conclusion</h2>
<p>There have been countless other experiments that have been conducted since, that all prove the same thing. The reason to conduct so many experiments was that the results are so counter-intuitive, that they are hard to accept.</p>
<p>The conclusion always was that when people are motivated intrinsically, they perform better and more consistently than when they are motivated extrinsically.</p>
<p>Extrinsic motivation works very well for a short duration. Much like caffeine does, before the effect wears off. But if you want to have good performance from your employees or team members, they need to be intrinsically motivated!</p>
<p><span style="color: #c0c0c0;"><em>Title image copyright by Paul Foreman &#8211; Mindmapinspiration.com</em></span></p>


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		<title>How to create a location independent office</title>
		<link>http://www.jessemeijers.com/create-location-independent-office/</link>
		<comments>http://www.jessemeijers.com/create-location-independent-office/#comments</comments>
		<pubDate>Fri, 04 Jun 2010 12:34:48 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Life]]></category>
		<category><![CDATA[Location Independency]]></category>
		<category><![CDATA[Mobility]]></category>
		<category><![CDATA[Time Management]]></category>
		<category><![CDATA[Tips]]></category>

		<guid isPermaLink="false">http://www.jessemeijers.com/?p=856</guid>
		<description><![CDATA[With the internet becoming an ever greater part of our lives, there are more and more possibilities. One of those interesting possibilities is to make yourself, and your office, location independent. As an entrepreneur, there is no greater feat than location independency. It makes your life so much easier and much more fun!

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			<content:encoded><![CDATA[<p>With the internet becoming an ever greater part of our lives, there are more and more possibilities. One of those interesting possibilities is to make yourself, and your office, location independent. As an entrepreneur, there is no greater feat than location independency. It makes your life so much easier and much more fun!</p>
<h2>Location Independency</h2>
<p>With the term &#8216;location independency&#8217; I mean the fact that you can work from &#8216;anywhere&#8217; in the world. Basically, it doesn&#8217;t matter whether you&#8217;re enjoying a cappuccino in Italy or you are sitting in an office in New York. Either way, you can do your job.</p>
<p>To translate this to an office, let me first say that I view an office as a place where my employees can work. We prefer an office because it is a place to go to every day, to do our job. However, I want to make sure that my employees can do their work from home, or better yet, from a nice cafe if they want to. That is what location independence is all about: working from where ever you are.</p>
<h2>Internet</h2>
<p>We recently moved our office and it amazed me how easy it was. We picked up our laptops, some small stuff like a printer and some ordners and we were basically good to go.</p>
<p>When we arrived in the new office, all we had to do was enable the new wireless internet connection on our laptops, and we could continue to work. We moved in about 2 hours. Okay, we moved one door down, but still, 2 hours is pretty fast.</p>
<p>All we need for our employees is for them to have internet access, and their laptop.</p>
<h2>Our Setup</h2>
<p>The setup we use is pretty simple. We use only hosted applications for our main business applications. This allows us to access them through a web-browser from anywhere that we have an internet connection. In our case, this is our customer portal, project management system and CRM (Customer Relation Management) system.</p>
<p>Our e-mail is hosted through Hosted Exchange, which means we can connect our laptops, home computers and mobile phones to it easily to get any mail or calendar updates we get.</p>
<p>We use a file server which is also hosted, and connect through a VPN (Virtual Private Network). Then we can easily access the files as if they were stored locally.</p>
<p>All our mobile phones have internet access, with a flat fee subscription service. The mobile phones can be connected to the laptop and function as a modem. This means that we can go online anywhere that our mobile phone has internet access.</p>
<h2>My Location Independency Gadgets</h2>
<p>It has happened on many occasions that I was sitting at a road side cafe, waiting to go to a next meeting, that I had to get some work done. Simply connecting my mobile pho</p>
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		<title>The OTOM principle: Other people&#8217;s Time, Other people&#8217;s Money</title>
		<link>http://www.jessemeijers.com/otom-principle-other-peoples-time-other-peoples-money/</link>
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		<pubDate>Tue, 18 May 2010 22:15:20 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Becoming Successful]]></category>
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		<category><![CDATA[Money Making]]></category>
		<category><![CDATA[Success]]></category>
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		<category><![CDATA[Time Management]]></category>
		<category><![CDATA[Tips]]></category>

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		<description><![CDATA[There is a principle that is widely used amongst successful entrepreneurs, and especially those with the aim of making money. This principle is called the OTOM principle: Other people's Time and Other people's Money.

<div style='margin-bottom: 10px; border-bottom: #cacaca 1px solid'>
Related posts:<ol><li><a href='http://www.jessemeijers.com/8th-world-compound-interest/' rel='bookmark' title='Permanent Link: The 8th Wonder of the World &#8211; Compound Interest'>The 8th Wonder of the World &#8211; Compound Interest</a></li>
<li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
<li><a href='http://www.jessemeijers.com/difference-between-value-and-price/' rel='bookmark' title='Permanent Link: The difference between value and price'>The difference between value and price</a></li>
</ol>]]></description>
			<content:encoded><![CDATA[<p>There is a principle that is widely used amongst successful entrepreneurs, and especially those with the aim of making money. This principle is called the OTOM principle: Other people&#8217;s Time and Other people&#8217;s Money.</p>
<p style="text-align: center;"></p>
<h2><strong>Leverage</strong></h2>
<p>The first thing you have to understand about the OTOM principle, is the principle of leverage. In very simple terms, leverage means that you use less to achieve more. The term comes from mechanics, but is very easily explained by a simple picture:</p>
<p><img class="aligncenter size-full wp-image-831" title="Leverage" src="http://www.jessemeijers.com/wp-content/leverage.jpg" alt="Leverage" width="250" height="250" /></p>
<p>You can achieve more with less, by using leverage. In this case, the 50 lbs weight tips the scale in its favor, even though the 400 lbs weight is obviously heavier. This is exactly what leverage does.</p>
<h2>Other People&#8217;s Money &#8211; Financial Leverage</h2>
<p>Leverage in financial terms means to use debt to supplement investment. But it can be explained simpler than that. You borrow money at a certain expense (interest) to earn more money than you have to pay in interest.</p>
<p>There is a great example which will immediately show you the power of using <strong>Other people&#8217;s Money </strong>to yield higher percentage returns on your investment.</p>
<p>Let&#8217;s assume we are buying a property at the cost of $100.000,-. If we buy this property with our own money, we have nothing to pay in interest. If we sell this property after a year for $120.000,- we have made a whopping $20.000,- profit (we won&#8217;t take into account any rental income you could have earned for the sake of simplicity). This comes down to a <strong>20%</strong> <strong>return on investment </strong>($20.000 / $100.000).</p>
<p>Not bad, considering the bank gives you about 3-5% return on investment per year (interest on your savings account) currently!</p>
<p>But now consider this. Instead of pouring in $100.000,- of your own hard earned cash, you only pay $10.000,- and borrow the other $90.000,- against 10% interest at a bank (current interest rates are actually much lower). This means if you sell the house after a year you have not earned $20.000,- but only $11.000,- because you have to pay $9.000,- (10% of $90.000,-) interest. But after paying back the loan and paying the interest, you have made $11.000,- by investing $10.000,- which equals a whopping <strong>110% return on investment </strong>($11.000 / $10.000)!</p>
<p>Here&#8217;s an overview of the numbers:</p>
<table cellspacing="0" cellpadding="5" width="100%" style="padding-bottom: 6px;">
<tbody>
<tr>
<td style="border: 1px solid darkgray;" valign="top"></td>
<td style="text-align: center; border: 1px solid darkgray;" valign="top"><strong>Your Own Money</strong></td>
<td style="text-align: center; border: 1px solid darkgray;" valign="top"><strong>Other People’s Money</strong></td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Downpayment</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$100.000,00</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$10.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Loan</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$0,00</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$90.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Interest Payment (10%)</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$0,00</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$9.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Gross Profit *</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$20.000</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$20.000</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Profit (Gross Profit – Interest)</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$20.000</td>
<td style="text-align: right; border: 1px solid darkgray;" valign="top">$11.000</td>
</tr>
<tr style="text-align: right;">
<td style="text-align: left; border: 1px solid darkgray;" valign="top">Return on Investment (Profit / Downpayment)</td>
<td style="border: 1px solid darkgray;" valign="top"><strong>20%</strong></td>
<td style="border: 1px solid darkgray;" valign="top"><strong>110%</strong></td>
</tr>
</tbody>
</table>
<p>* Based on selling the property for $120.000,- after 1 year</p>
<p>This means that you could do 10 investments by using the <strong>Other People&#8217;s Money</strong> principle, than you could with the Your Own Money principle, if you had $100.000,- to invest with. This would mean that you could make <strong>$110.000 in a year</strong> with the <strong>Other People&#8217;s Money</strong> principle, whereas with the Your Own Money principle you would only make $20.000!</p>
<h2>Other People&#8217;s Time &#8211; Time Leverage</h2>
<p>Using other people&#8217;s time is a form of leveraging the time you have to spend. Let&#8217;s face it, here we are all equals, we all live NOW and none of us really knows how much time there is for us on this world. Or more philosophically speaking: time is your most valuable asset, and you&#8217;re running out of it at a steady pace.</p>
<p>Basically <strong>Other People&#8217;s Time</strong> can be explained along the lines of an investment as well. Let&#8217;s say you have a project which would mean you&#8217;d earn $100.000,-. The project would cost you 10 weeks working full time to do by yourself, so this means you earn $1000,- per week.</p>
<p>The <strong>Other People&#8217;s Time</strong> solution to this problem would be to hire someone else to do the work for you, for example, an employee or a third party company. The trick is to find a cheaper way to do this, for example a company or person that can do it in the same amount of time for $80.000,-.</p>
<p>Your income would suffer, because the Other People&#8217;s Time solution would only mean $20.000,- in your pocket. While the Your Own Time solution would yield $100.000,-. But the big advantage is that you&#8217;ll spend far less time on searching a company or person to handle the work (let&#8217;s say 1 week) which means your weekly rate is much higher!</p>
<p>Here&#8217;s how the numbers work:</p>
<table cellspacing="0" cellpadding="5" width="100%" style="padding-bottom: 6px;">
<tbody>
<tr>
<td style="border: 1px solid darkgray;" valign="top"></td>
<td style="border: 1px solid darkgray;" valign="top"><strong>Your Own Time</strong></td>
<td style="border: 1px solid darkgray;" valign="top"><strong>Other People’s Time</strong></td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Turnover</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Third Party Costs</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$0,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$80.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Your Share</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$100.000,00</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">$20.000,00</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Time Spent (weeks)</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">10</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top">1</td>
</tr>
<tr>
<td style="border: 1px solid darkgray;" valign="top">Weekly Rate (Your   Share / Time Spent)</td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top"><strong>$10.000,00</strong></td>
<td style="border: 1px solid darkgray; text-align: right;" valign="top"><strong>$20.000,00</strong></td>
</tr>
</tbody>
</table>
<p>As you can see, using <strong>Time Leverage</strong> can mean increasing your weekly rate with 100%!</p>
<h2>Combining Other People&#8217;s Time and Other People&#8217;s Money</h2>
<p>I hope that this article will lead you to understand the reason why people borrow money to build businesses. The borrowing money part is <strong>Other People&#8217;s Money</strong>, which is then used to hire people, the <strong>Other People&#8217;s Time</strong> part. This combination greatly increases your money making ability and is key to building a successful business.</p>
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<div style='margin-bottom: 10px; border-bottom: #cacaca 1px solid'><p>Related posts:<ol><li><a href='http://www.jessemeijers.com/8th-world-compound-interest/' rel='bookmark' title='Permanent Link: The 8th Wonder of the World &#8211; Compound Interest'>The 8th Wonder of the World &#8211; Compound Interest</a></li>
<li><a href='http://www.jessemeijers.com/work-smart-hard/' rel='bookmark' title='Permanent Link: Work smart, not hard!'>Work smart, not hard!</a></li>
<li><a href='http://www.jessemeijers.com/difference-between-value-and-price/' rel='bookmark' title='Permanent Link: The difference between value and price'>The difference between value and price</a></li>
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		<title>Create a win-win with these 3 simple rules</title>
		<link>http://www.jessemeijers.com/create-win-win-3-simple-rules/</link>
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		<pubDate>Wed, 21 Apr 2010 09:33:07 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
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		<description><![CDATA[The concept of win-win was introduced by Stephen Covey. A win-win situation is one where both parties in an agreement 'win'. For example a customer of mine wants a special software application. I know that I can sell the same application to another customer, with a few minor modifications. So I give my customer a discount (his win) in return for the right to sell the application to another customer (my win).

In this situation I have applied 3 rules for creating a win-win. If you use these rules you will make sure that any agreement you will make is a win-win agreement.

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			<content:encoded><![CDATA[<p>The concept of win-win was introduced by Stephen Covey. A win-win situation is one where both parties in an agreement &#8216;win&#8217;. For example a customer of mine wants a special software application. I know that I can sell the same application to another customer, with a few minor modifications. So I give my customer a discount (his win) in return for the right to sell the application to another customer (my win).</p>
<p>In this situation I have applied 3 rules for creating a win-win. If you use these rules you will make sure that any agreement you will make is a win-win agreement.</p>
<p style="text-align: center;"></p>
<p style="text-align: center;">
<h2>Rule 1: What don&#8217;t you want?</h2>
<p>The first rule is to make sure you know exactly what you don&#8217;t want. If we use the above example, I don&#8217;t want to give a discount without a benefit on my side.</p>
<p>The idea behind the first rule is to get yourself comfortable with the option of not making an agreement. If the agreement can only be made with you ending up in a situation you do not want; then don&#8217;t make an agreement.</p>
<p>Always remember: it is not a bad thing to not make an agreement!</p>
<h2>Rule 2: What do I have to offer?</h2>
<p>The second win-win rule is that you identify exactly what you have to offer the other party. In our example, I have a certain discount to offer. I could decide to be willing to offer a 5-10% discount, so that is what I have to offer. Another possibility would be to offer extra functionality for the same price.</p>
<p>Again this rule determines, in a way, what you do not have to offer. I do not have 25% discount to offer. If you have a clear picture of what you have to offer, it makes the process of making a win-win agreement much easier.</p>
<h2>Rule 3: What do I want?</h2>
<p>The final rule is concerned with specifying exactly what you want from the other party. In the example, this would be the right to sell the application to another customer, including minor modifications.</p>
<p>This final rule is used to identify whether what the other person has to offer to your own needs.</p>
<p style="text-align: center;">
<h2>Preparation is key</h2>
<p>Whenever you are about to make an agreement, make sure you use these rules before going into the meeting. Just make a quick note for yourself with the answers to rule 1, 2 and 3.</p>
<p>This way you will make sure that you do not give away things you don&#8217;t want to give away. It also makes sure that you know what you want in return. And above all, that you do not end up in a situation that you absolutely don&#8217;t want to be in!</p>
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		<title>Identifying Core Qualities, Pitfalls, Challenges and Allergies in Teams with Daniel Ofman</title>
		<link>http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-teams-daniel-ofman/</link>
		<comments>http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-teams-daniel-ofman/#comments</comments>
		<pubDate>Tue, 06 Apr 2010 07:27:21 +0000</pubDate>
		<dc:creator>Jesse Meijers</dc:creator>
				<category><![CDATA[Entrepreneurship]]></category>
		<category><![CDATA[Self Improvement]]></category>
		<category><![CDATA[Business]]></category>
		<category><![CDATA[Methods]]></category>
		<category><![CDATA[Relationships]]></category>
		<category><![CDATA[Roles]]></category>
		<category><![CDATA[Teamwork]]></category>
		<category><![CDATA[Tips]]></category>

		<guid isPermaLink="false">http://www.jessemeijers.com/?p=706</guid>
		<description><![CDATA[The post on the Daniel Ofman  model that I posted recently explains the Core Quality model very clearly. But it only focuses on personal personality traits, not on those of others. The question is; can we use the Daniel Ofman  model for teams? The answer is yes... with a little adaptation, this is certainly possible.

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Related posts:<ol><li><a href='http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-daniel-ofman/' rel='bookmark' title='Permanent Link: Identifying your Core Qualities, Pitfalls, Challenges and Allergies with Daniel Ofman'>Identifying your Core Qualities, Pitfalls, Challenges and Allergies with Daniel Ofman</a></li>
<li><a href='http://www.jessemeijers.com/identifying-your-own-strong-and-weak-points-with-belbin/' rel='bookmark' title='Permanent Link: Identifying your strong and weak points with Belbin'>Identifying your strong and weak points with Belbin</a></li>
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			<content:encoded><![CDATA[<p>The post on the <a href="/identifying-core-qualities-pitfalls-challenges-allergies-daniel-ofman/" rel="nofollow" title="Identifying your Core Qualities, Pitfalls, Challenges and Allergies with Daniel Ofman" >Daniel <span><span>Ofman</span></span> model</a> that I posted recently explains the Core Quality model very clearly. But it only focuses on personal personality traits, not on those of others. The question is; can we use the Daniel <span><span>Ofman</span></span> model for teams? The answer is yes&#8230; with a little adaptation, this is certainly possible.</p>
<p style="text-align: center;"></p>
<p style="text-align: center;">
<h2>Step 1 &#8211; Personal Traits</h2>
<p>The first step to use the Daniel <span><span>Ofman</span></span> model for teams is to start with a normal model, for your self. Since this process is explained in detail in <a href="/identifying-core-qualities-pitfalls-challenges-allergies-daniel-ofman/" rel="nofollow" title="Identifying your Core Qualities, Pitfalls, Challenges and Allergies with Daniel Ofman" rel="bookmark" >Identifying your Core Qualities, Pitfalls, Challenges  and Allergies with Daniel <span><span>Ofman</span></span></a>, I won&#8217;t go into detail here. Remember the complete model:</p>
<p><a href="http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-daniel-ofman/daniel-ofman-4/"rel="attachment wp-att-683" ><img class="aligncenter size-full wp-image-683" title="Daniel Ofman Model" src="http://www.jessemeijers.com/wp-content/Daniel-Ofman-4.png" alt="Daniel Ofman Model" width="333" height="307" /></a></p>
<h2>Step 2 &#8211; Pitfall as Allergy</h2>
<p>The second step that we&#8217;ll take is to identify our pitfall as someone <span><span>else&#8217;s</span></span> allergy. In other words; something we tend to do which gets on another person&#8217;s nerves:</p>
<p><a href="http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-teams-daniel-ofman/daniel-ofman-teams-2/"rel="attachment wp-att-710" ><img class="aligncenter size-full wp-image-710" title="Daniel Ofman for Teams - Step 2" src="http://www.jessemeijers.com/wp-content/Daniel-Ofman-Teams-2.png" alt="Daniel Ofman for Teams - Step 2" width="353" height="353" /></a></p>
<h2>Step 3 &#8211; The other person&#8217;s personality traits</h2>
<p>The final step in this model is to identify the other person&#8217;s Core Quality, Pitfall and Challenge. This is done by simply traversing model, starting from the other person&#8217;s Allergy, to his or her Core Quality, his or her Pitfall and finally his or her Challenge:</p>
<p><a href="http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-teams-daniel-ofman/daniel-ofman-teams-3/"rel="attachment wp-att-711" ><img class="aligncenter size-full wp-image-711" title="Daniel Ofman for Teams - Step 3" src="http://www.jessemeijers.com/wp-content/Daniel-Ofman-Teams-3.png" alt="Daniel Ofman for Teams - Step 3" width="406" height="394" /></a></p>
<h2>Example</h2>
<p>As a final explanation, let me give you an example. This example builds on the previous example, used in the article <a href="/identifying-core-qualities-pitfalls-challenges-allergies-daniel-ofman/" rel="nofollow" title="Identifying your Core Qualities, Pitfalls, Challenges and  Allergies with Daniel Ofman" rel="bookmark" >Identifying  your Core Qualities, Pitfalls, Challenges  and Allergies with Daniel  <span><span>Ofman</span></span></a>:</p>
<p><a href="http://www.jessemeijers.com/identifying-core-qualities-pitfalls-challenges-allergies-teams-daniel-ofman/daniel-ofman-teams-example/"rel="attachment wp-att-712" ><img class="aligncenter size-full wp-image-712" title="Daniel Ofman for Teams - Example" src="http://www.jessemeijers.com/wp-content/Daniel-Ofman-Teams-Example.png" alt="Daniel Ofman for Teams - Example" width="406" height="394" /></a></p>
<p>So, from my Pitfall (being &#8216;Too Busy&#8217;), we can identify that the other person&#8217;s core quality must be a Relaxed Attitude. So it is someone who doesn&#8217;t easily become stressed. The pitfall for this is Laziness (note that this happens to be my Allergy). From here we can deduce that the other person&#8217;s challenge is, in fact, my Core Quality (<span><span>Proactivity</span></span>).</p>
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