Full transcript
0:00everyone seemed Urban's here and today I
0:03want to tell you about systems thinking
0:05and how most successful people think now
0:10Systems thinking is something that you
0:12know has fascinated me for a long time
0:15and I've always been looking at you know
0:17some people who are really successful
0:19like entrepreneurs but even employees
0:21and people who you know are really good
0:23at anything and I've been trying to
0:25think you know what really separates
0:27them why are they different how come
0:30they can see things that that other
0:31people can't and what goes on in their
0:34brain like how do they think differently
0:37than normal people and this thing has
0:39fascinated me for a long time and I've
0:42really tried to study it and you know
0:45it's even become a point of obsession
0:47where I've been trying to figure it out
0:48and after a long time after years you
0:52know I figured out that most successful
0:54people it doesn't matter what field
0:55they're in their systems thinkers and
0:58what that means is they view everything
1:01as a system and how they think through
1:04things and how they visualize things in
1:06their mind is interconnected systems not
1:10linear
1:11like you know chain of cause and effect
1:14and I'm gonna explain this to you in
1:16this video and I'm gonna show you you
1:18know how as systems thinker thinks I'm
1:20gonna show you how you can become a
1:22systems thinker and how this has an
1:25immediate and profound effect on the
1:27results that you'll get in your business
1:28and in your life so first of all like
1:32what is assistant and what is systems
1:35thinking well it doesn't matter where
1:38you look in the world like the world is
1:39full of systems they're everywhere and
1:42I'll give you some examples like we have
1:45the solar system all right that's what
1:48it's called and it's called a solar
1:49system because there's all of these
1:51different planets and they all you know
1:53rotate around each other and all of them
1:55affect how like what happens with other
1:57things it's all interconnected and the
1:59solar system is basically moving it's
2:01interactive and it's trying to balance
2:03all the time all right and then within a
2:06solar system we have like earth and
2:09in with an earth we have an ecosystem
2:12all right that's what nature is and the
2:16ecosystem is what we all live in
2:17you know there's trees that produce
2:19oxygen and to do that they need water
2:22which comes from rain and clouds and
2:24also the Sun which you know which
2:26provides which heats the earth and then
2:29the the water evaporates rises up forms
2:32clouds drops down and you know it's a
2:35fascinating thing to look at because one
2:37of the best systems in the world well
2:39actually this is hands-down the best
2:41system ever is nature you know and if
2:45you think about it like nature it is
2:47it's smarter than any one of us on earth
2:51by a mile like we cannot figure it out
2:54we still can't predict the weather and
2:56you know we still can't really predict
2:58anything but nature is it continues to
3:02outsmart us all the time and what nature
3:05is doing is it's it's all interconnected
3:08right you've got like the Sun and that's
3:10interconnected by heating water that's
3:13like in rivers and in the oceans on
3:15earth and then that's evaporating it's
3:17coming in and forming clouds and then
3:19the clouds are moving around with wind
3:21and they're spreading rain into
3:23different areas areas which might need
3:25water and it's the Sun is taking that
3:27water out of other areas that that have
3:31a lot of water so you know nature is
3:32trying to balance itself all the time
3:34and even some things that you know we
3:37think we humans think are bad for a
3:40classic example is like forest fires
3:42right like it's fascinating a lot of
3:46humans will most humans always thought
3:48you know forest fires are bad and so
3:51what they did is they decided to put an
3:53initiative in place to try and stop
3:56forest fires all together and then what
4:00happened as they thought they were
4:01successful because they were able to
4:03stop some forest fires for a long time
4:05but then what happened is one big gnarly
4:07forest fire just swept through and just
4:09annihilated everything and then in
4:11hindsight they realized that those small
4:14bush fires that happen all the time
4:16that's Nature's Way of getting rid of
4:19the debris that's on the forest floor
4:22so that it never piles up too high and
4:24that it burns off and it causes small
4:28fires and small fires are actually a lot
4:30better than one big catastrophic fire
4:32right and so by preventing those fires
4:35they actually caused a bigger one and
4:36this is a classic example of you know
4:40why nature is a lot more intelligent
4:42than their nice humans and it's the
4:44ultimate system and you know it goes
4:47further than that there's you know if
4:50you if you think into society and
4:52different humans and they're
4:54interconnecting you know we've got
4:55social systems we've got a legal system
4:57you know that the legal system is
4:59different laws and how all of those laws
5:01interconnect social systems you know
5:04those are different social norms and
5:06we've got systems for operating you know
5:08if a human wants to interact in in
5:11society they it's very hard for them to
5:14just make everything up and go out there
5:16and say and do whatever the hell they
5:17want they won't be able to communicate
5:19with other people they won't be accepted
5:21and you know they won't really be able
5:23to integrate with the social system API
5:25because they don't know the protocols to
5:28to call into that thing and communicate
5:30things and so you know we have to learn
5:32all of these different systems in order
5:34to operate within the system and as you
5:36start going deeper into this thing you
5:38realize that everything is really a
5:40system we've got a language system we've
5:43got a numbering system you know when
5:45we're educated we learn the number
5:47system which is just very simple numbers
5:50and then we learn how to you know we
5:53learn a language like English or Chinese
5:55or whatever and the languages are just
5:57built up of words and the
5:58interconnections of those words and
5:59numbers are just made up of numbers and
6:01the interconnection of those numbers
6:02creates the system so we learn these
6:05elementary building blocks that then can
6:07be used to interconnect and communicate
6:10and do all of these things and without
6:12knowing the number system or without
6:15knowing a language system and without
6:18knowing the legal system or the social
6:19system then a human being cannot operate
6:22in this world the way it is right now so
6:25you start to get my point and then it
6:28goes you know even deeper like here's
6:30all the
6:31and even all of the systems within your
6:33body you know you've got your immune
6:35system your cardiovascular system your
6:38respiratory system your digestive system
6:40and then you've got your reproductive
6:42system and then your muscular system
6:45your sensory system your nervous system
6:47right it goes on and on and it there's
6:50systems within systems and when you
6:52really start to look you you realize
6:54that all life really is is all of these
6:57different systems at all different
6:58levels and all of them interconnect now
7:01why am I talking about all of this and
7:04how does this actually help you in
7:05business well business is you know a
7:08system again you know we've got an
7:10accounting system to try and figure out
7:12you know if we're making a profit or a
7:13loss we have you know all sorts of
7:16online systems
7:17right there's Google there's Facebook
7:20there's you know in if you're going to
7:22use a software like if you're going to
7:24use a landing page software like
7:25clickfunnels that's a system you've got
7:27to learn that system and how what its
7:29components are and how those components
7:30interconnect and what I've found is that
7:34the people who do really well as
7:36entrepreneurs and really well in life as
7:40well and our best hires you know the
7:43people that are just exceptional they're
7:46all systems thinkers and why that's
7:49important is these days I see a lot of
7:51people who are not systems thinkers and
7:54what's the opposite of a systems thinker
7:56well it's really like a component
7:59thinker right and what that means is
8:02that instead of viewing the whole and
8:04how the whole has all of these moving
8:06parts and how all these moving parts
8:07interconnect they just see a piece and
8:10they just see this piece frozen in time
8:13like it's static and you know all they
8:16know is this piece but they don't know
8:18how this piece fits into a larger whole
8:21and changes and affects other things
8:23within the whole right and in business
8:26like the piece is never important what
8:29what is important is the whole in the
8:31well-being of the whole and the whole is
8:33the business right so a classic example
8:35of this you know might be so might be an
8:38accountant right and this is true this
8:41is this is like accountants a notorious
8:43for this
8:44a lot of accountants they're so
8:46closed-minded and narrow-minded that all
8:49they can see and think about is just
8:51like the P&L and balance sheet that
8:54that's all they see and they're just
8:56confined to thinking about things as
8:57accounting so they might look at our
9:00expenses for Facebook ads and be like oh
9:03my god this is this is stupid why are
9:06you spending this much money on Facebook
9:07ads like why are you spending millions
9:09of dollars on it this is a waste this is
9:11an expense and what that accountant
9:14can't see is that you know when we spend
9:16money on ads we actually that's the
9:18action right which is an expense but
9:20then the reaction of that action is that
9:22we make a profit now that's not always
9:25true you that's that doesn't mean that
9:27if anyone's Ben's money on ads they're
9:28gonna make a profit but we do it in a
9:30way that does that and so you know you
9:32have to take your time to explain it to
9:34these people and they still really can't
9:36get it and I'm like man what the hell is
9:38wrong with this person like if I put
9:40$1.00 in drum machine and $3 comes out
9:43why would I limit my putting of dollars
9:48into the machine
9:49all right that's wouldn't accountant
9:50thinks you should do well that's what a
9:52bad one things you should do right
9:54because they can't see the bigger
9:55picture they can't see how all of these
9:57things interconnect so they just see
9:59expenses as bad and they can't see how
10:03an expense can actually create income
10:05and their component thinkers you know
10:08that they can only see their little
10:10thing and another example of this is
10:14basically you know a lot of employees
10:17who were just narrow-minded in their
10:19little area so you might have someone in
10:21customer support who you know who was
10:24who is answering support tickets in a
10:26particular way and doing things in a
10:28particular way not to not thinking about
10:31how that's going to affect the larger
10:32whole and you know they might think oh
10:34if I do this then it might come back and
10:36effect finance or it might come back and
10:38effect you know our live chat web site
10:40team or it might affect you know another
10:42team right they don't think about how
10:44all of these things interconnect they
10:46just think things operate in isolation
10:50and you know a lot of people think like
10:53this they think that everything operates
10:56in a vacuum
10:56and I see this a classic example in
10:59marketing is people who just focus on
11:01the landing page conversion range all
11:03right they look at the landing page and
11:05they see a conversion rate and they see
11:07a cost per lead which is a cost per
11:09email address and let's say that that
11:11number is 15% opt-in rate and they might
11:13think oh that's bad
11:14so then what they do is they start and
11:17they start making changes to that
11:19landing page and they get it from 15% to
11:2230% or 40% and they're like oh that's
11:24good I improve that conversion rate
11:26there but that's a component thinkers
11:29view all right what a systems thinker
11:32would do is they would look at the whole
11:34they would look at the health of the
11:36whole not the part and so instead of
11:38thinking about a landing page they would
11:40think about the entire machine and where
11:44does that machine end what's the
11:45ultimate measurement and within this
11:47machine well it's getting a customer and
11:49cost per acquisition and ROI return on
11:52investment all right
11:53and so when a systems thinker makes
11:56changes to the landing page they're not
11:58so worried about the landing page
11:59conversion rate they're worried about
12:01the change to the cost per acquisition
12:03in the our way and this is how I do
12:06things like we know I'm optimizing my
12:08landing page I've taken it from my 18%
12:11to 40% and I've actually hurt sales at
12:15the end and a lot of people don't
12:17understand that you can do this you know
12:18you can get an improvement here and
12:20Kittel everything here where it matters
12:23so where it doesn't matter you can make
12:24an improvement where it really matters
12:25you can hurt it it is more than possible
12:28and I see this all the time where these
12:30things actually go opposite ways at
12:32different stages in the machine and only
12:35really as systems think it can can do
12:37this another classic example is a lot of
12:40entrepreneurs I see who just have really
12:43shitty like customer support you know
12:46they they think that customer support is
12:49is not worth anything to a customer they
12:52think that you know that part of the
12:54business they should just farm out to
12:56you know to some people overseas for
12:59like you know $500 a month for them to
13:02just do and figure it out and it's an
13:04afterthought right because all their
13:07money they think should be
13:08into marketing and other things because
13:11support doesn't influence income that's
13:14how a that's how a component think it
13:17would would think but a systems thinker
13:19would would think hey if a customer bias
13:22from us and then they have a question
13:24and if we answer that question in poorly
13:27or late or you know if it's not done
13:31professionally and well if it doesn't
13:33well with a customer then how is that
13:35customer going to feel probably pretty
13:37bad and then if we sell something else
13:40which we're highly likely to do then
13:43they're less likely to buy something
13:44else from us in the future so actually
13:48we're harming ourselves by offering
13:49shitty support we're actually going to
13:51make less money by doing that that's
13:54what a systems think of a thing and so
13:56that's why you know with with my team
13:58we've got like we've got well paid well
14:01trained full time like us based like
14:04people doing our customer support and I
14:06obsess over it you know I try I look at
14:08all of the numbers I look at our
14:10happiness score which is how happy
14:11people are and that is you know I looked
14:15at the standards across the board and
14:17like Google and and a lot of companies
14:19that are really good at this they've got
14:20their satisfaction score like ninety to
14:22happiness right and we've been able to
14:25get ours to about eighty seven and
14:26that's pretty damn good and we're you
14:29know my mission is to get it better than
14:31Google's right and we're doing that
14:32we're making it better every day and
14:33that's actually had an effect on
14:35ourselves we make more money because our
14:38supports better because when a customer
14:40has an amazing experience and when
14:43they've dealt with other businesses like
14:44ours they've had a horrible one then who
14:47are they more likely to buy from next
14:48time around it's a no-brainer but only
14:51when you think like a systems thinker
14:52and also we obsess over the response
14:56time how fast from when someone submits
14:58a ticket to win we reply you know right
15:00now we're at like two hours or two and a
15:01half hours and I want to get that down
15:03you know my missions to get there to
15:05like six minutes right because I want it
15:07not to just be good enough I want it to
15:09be exceptional to the point they're our
15:11support becomes a marketing and sales
15:13tool in and of itself their systems
15:16thinking everything can be used to do
15:19anything because at all interconnects
15:21all right now I want to show you how a
15:26system basically works first and
15:27foremost because it's pretty simple and
15:31everything in the world works like this
15:32so you've got inputs over here and input
15:38so what you put into a system and then
15:40you've got processes in the middle of
15:43the triangle and the processes alike you
15:46know what happens with those inputs it's
15:48it's like you know it's how you're
15:51manipulating and combining and changing
15:54those inputs to produce something and
15:56then you've got on the other side the
15:59outputs and that's all really a system
16:02has inputs processes and outputs but
16:05then there's something that influences a
16:07system and that's the environment
16:09there's the Sun up here because like I
16:12said nothing works in a vacuum you know
16:15like when you're building out when
16:18you're doing anything like it's not like
16:20it's not it's not like it's not affected
16:24by something else
16:25everything is always running in a vacuum
16:27and a classic example of this is like
16:30you know your imagine you as a human and
16:34you've got your you know your you've got
16:37a your system a human is basically a
16:39system right you got all of these
16:41different components within you and then
16:43you've got all of the interconnections
16:45between all of them now if you want an
16:48output out of yourself which is good
16:50like if you want to be happy and if you
16:52want to perform well and do good work
16:54and be focused and all of that then if
16:58that's the output that you want then the
16:59inputs matter you know if you if you
17:02don't sleep properly then your output
17:05isn't going to be very good because
17:07sleepers are really important input if
17:09your food isn't good then your output
17:11isn't going to be very good and just to
17:13show you how input sexually affect
17:15outputs just try having like 20 beers as
17:18an input right just try to drink 20 of
17:21those and then see how see how sharp you
17:23are all right you you won't be so that's
17:26just right there that shows you that
17:28what goes in affects what comes out
17:31there's the saying you know with systems
17:34garbage in garbage out you know what
17:36what we put in is often what we get out
17:39and then we've got the environment which
17:42affects us too and humans are really
17:45influenced by our environment you know
17:47one of the largest influences of our
17:50happiness and things is the weather and
17:52you know if it's sunny
17:54we're statistically more likely to be
17:57happy just if it's sunny and if you
18:00don't believe me on this one then look
18:02at the most depressed countries in the
18:06world and it'll be those ones over like
18:08Greenland Iceland where they don't have
18:11any daylight for basically all that like
18:13most of the year right and then if you
18:15look at the some of the happiest places
18:17then you'll notice that it's it's places
18:20with really good with it all right
18:21and there's even a trader called like
18:24Paul Tudor Jones who who even has
18:26developed a stock trading algorithm that
18:29basically looks at with the patterns and
18:32humans reactions - with the patterns and
18:34at trade stocks based on that because
18:37peat humans are more likely to feel good
18:41and make optimistic bits winners sunny
18:46you know we think we're logical but
18:48we're affected by the Sun that changed
18:51the sale decisions alright and so we've
18:53got inputs outputs processes we've got
18:57our environment and then we have
18:58feedback and what feedback is is you
19:02know outputs actually affect inputs all
19:04right so all of this stuff is
19:07interconnected and a classic example of
19:09this is you know if you have just think
19:14about a crowd forming right so if you're
19:17if there's like a some sort of dance
19:20party or music event or something like
19:23that and let's say that no one is
19:26dancing in it's just an empty field then
19:29one person goes in and starts dancing
19:31that one person is going to be by
19:33himself for a while but then is another
19:35person comes in then people slowly start
19:38coming in faster and faster because the
19:40crowds now forming and then
19:42as soon as a lot of people start running
19:44in a lot more people start running and
19:45then a lot more people start running in
19:47and it grows exponentially and this is a
19:50classic example about how outputs come
19:53back and provide feedback to inputs
19:55alright and this happens the same way on
19:58the way back down you know if a lot of
20:01people start leaving like a dance dance
20:04circle or whatever the hell you call
20:06those things then a lot more people
20:08start leaving right and it it decreases
20:10just as fast as it is it increases and
20:14that's basically how it works now you
20:17know one thing this this operates
20:19everywhere this is what we call a
20:20feedback loop when you know when the
20:23output of something directly affects the
20:25input of something and a classic example
20:27of this is you know the stock market in
20:30stocks so the biggest influence on a
20:32price of a stock is the price of a stock
20:35so if a stock price is going up quite
20:37fast then that's going to influence more
20:41people to think oh this is good and in
20:43the people who put their money and
20:44they're gonna be like oh this this
20:46wasn't the right decision so they might
20:48put more in and tell more people and
20:49then you get you get your bubble you get
20:51your Bitcoin you know sort of event
20:54because of the feedback and so that's
20:58basically how systems work and so you
21:00don't have to be like an Einstein or a
21:03NASA space scientist to really become a
21:06systems thinker
21:07all you do is you just think about
21:09inputs outputs processes feedback
21:13environment so you want to think in your
21:16you know it yourself like if you want
21:19what outputs do you want out of yourself
21:21you want to do really good work do want
21:22to be healthy and fit well then you need
21:24to have good inputs you need to be good
21:26you need to eat good food you need to
21:27sleep and more than the physical things
21:30you need to put good you know good
21:33information into your brain you know if
21:35you if you don't ever read anything or
21:38watch anything or consume any form of
21:41information it is impossible for you to
21:44know anything all right we don't we're
21:46not just born knowing stuff we don't
21:49know anything when we're born other than
21:51some survival instincts which you know
21:54Pro
21:54into us from you know our evolution but
21:58the that's really it if we want to learn
22:01something we have to have inputs so you
22:04know smart people will often read books
22:06that's how they learn and then they'll
22:08often watch good sources of information
22:10you know they won't be watching the news
22:13and they won't be reading the newspaper
22:14and they won't be you know watching like
22:19Game of Thrones and binge watching
22:20Netflix because that's that it doesn't
22:23really teach you anything right but
22:25instead they'll be reading books and
22:27they will be doing experiments and
22:30learning and that'll be the input into
22:34their brain and then obviously the
22:35output is knowledge right so it doesn't
22:38matter where you look everything is this
22:41simple if you want to be healthy eat
22:43well sleep well drink water exercise
22:45those are the inputs the outputs are
22:47health right if you want to be
22:50knowledgeable or smart it's something
22:52read good books practice learn put those
22:56inputs in intelligence is the output and
22:58then if you want you know if you want to
23:02grow a business well then you've got to
23:04think like what are the inputs processes
23:06and outputs right and this is basically
23:11what I broke my business down to I
23:12realized inputs are basically is web
23:16traffic so people becoming aware of what
23:18we're doing right those are the inputs
23:20traffic number of human eyeballs coming
23:23through on the internet that's the input
23:26what is the process well that would be
23:28like right now it's my automated webinar
23:31so webinar that shows people the
23:33presentation explains what it's all
23:34about and sees if they're interested
23:36what is the output well it's like a
23:40customer someone signs up or not all
23:43right and then what's the environment
23:47well the environment is you know this
23:50changing PPC prices like the chain sorry
23:53the CPC prices so you know those move up
23:57and down and these are also competition
24:00you know if someone comes in and they're
24:02doing something better then that man
24:04he changes the environment right so this
24:07doesn't just run an isolation in a
24:09vacuum it is affected by a lot of other
24:11things and so a good a good systems
24:13thinker will first and foremost create a
24:16basic elementary system we have got
24:18inputs processes and outputs and they
24:20will test it at a small scale to make
24:22sure that it delivers the desirable
24:24outputs what is that well it's customers
24:26at a profit so if I spend a grand do I
24:28make like more than one grant do I want
24:30to make at least like two grand so if I
24:32put a thousand in and I get a bunch of
24:34clicks coming through and do I make more
24:36on the output if that is true at a small
24:39scale then it should be true at a lab
24:42scale and then we just keep scaling it
24:43up until we get you know to more than
24:45one hundred and twenty thousand a day
24:46all right it's as simple as that we
24:49don't you know we don't do some weird
24:52magic to just scale it up it has to be
24:55inputs it has to be an increase in
24:57inputs to move that thing up there is no
25:00magic magic has only things that people
25:02cannot understand right and this is what
25:05it is
25:05there's also feedback that comes from
25:08that you know if someone comes through
25:10our program and gets good results then
25:12they will tell people about the results
25:16and then more people are likely to buy
25:17my program because it's been getting
25:20people good results and then when they
25:23tell more people and more people join in
25:25that's more people who are likely to
25:26have good results and so when they're
25:28when they have better results they tell
25:30more people and you see what happens
25:32here we have a crowd forming sort of
25:35phenomenon but the environment is also
25:37playing a part you know we we have to
25:40watch what's going on with the internet
25:43and with CPC prices different channels
25:47different competitors different
25:49strategies right all of these things are
25:51influencing it and that's basically you
25:55know how I view my business and in every
26:00different part within the business and
26:01it's how I view myself it's how I view
26:03everything and I've been doing it for
26:06basically my whole life but I didn't
26:07really know what it was and I couldn't
26:09put a name in a word to it in its
26:11systems thinking now you're probably
26:14thinking
26:15all right I kind of get this but right
26:18now I want to make it really clear to
26:19you just the main tools in the main
26:22points of difference between you know a
26:24normal person and a systems thinker so
26:27here we've got tools alright so the
26:30first thing is disconnection and
26:33interconnectedness right top left and a
26:38normal person thinks with you know
26:40disconnection so they're thinking that
26:42everything is different and it's not
26:44interconnected so my customer support
26:46team has no effect on my sales all right
26:49and my marketing has no effect on my
26:51customer support and my customer support
26:53and my marketing have no effect on my
26:57finances all right there's me pretty
27:00messed up there's honestly how they
27:02think that's like you know that's like
27:04doctors who treat a specific symptom
27:08without understanding how that's gonna
27:11affect other systems within your body
27:14right and then we have you know the next
27:19one across is so good good systems
27:22thinkers always see that everything is
27:24interconnected there is no such thing
27:26that isn't connected to something else
27:28it is through multiple different
27:30dimensions everything is connected right
27:33and then linear versus circular so you
27:38know normal people they think that
27:41everything happens linearly and what I
27:45mean by that is that like an event
27:48happens now that affects like an event
27:50that happens there and then that affects
27:52an event that happens there but what
27:54they don't understand is that there's
27:56normal really happens otherwise how does
27:59a crowd form exponentially how do stock
28:03prices grow exponentially how do we get
28:06any form of exponential behavior when
28:09things happen in linear cause-and-effect
28:14chains right it's impossible the only
28:17reason why you know a crowd forms faster
28:21and faster and faster is because the
28:23more people that are joining influences
28:27the more
28:28that are joining and like I see it one
28:29of the biggest influences of the price
28:31of a stock is the price of a stock and
28:33if it's going up it's more likely to
28:35keep going up and if it's going down
28:36it's more likely to keep going down all
28:38right and so that happens because
28:40there's a feedback loop and the things
28:42happen in a circular sort of way not in
28:46a straight line not in a linear sort of
28:48way so that's important to understand
28:50and then you know the the next tool is
28:56silos versus like emergence so you know
29:02normal people think that everything
29:04happens like in a silo and they like to
29:07really trap everything down and bolt
29:09everything down and force things to
29:12happen the way that they wanted them to
29:14and only that way now let me give you an
29:19idea of this it's this is a tougher one
29:22to understand but when you really
29:24understand it it will help you in a big
29:27big way so emergence is basically
29:31letting the merchants basically as
29:33complex behavior that arises from simple
29:35rules and so if we look at like the
29:40formation of birds when they're flying
29:41it looks very very complex and like a
29:46form of art right and we probably would
29:48be we probably think there's something
29:50very sophisticated going on there but
29:52really it could just be a very simple
29:53rule that the birds have which is don't
29:56collide all right and based on that
30:00simple rule we get this amazing pattern
30:02and behavior in the formation of a bird
30:04and in the formation of a flock of birds
30:07and the same happens in business all the
30:10time like you don't need to control
30:14everything you can just set some simple
30:17rules and in their emergence happen and
30:19a perfect example of this in my business
30:22is we don't tell people you know what
30:26niche to pick we we did this before back
30:29when I didn't understand things so well
30:31you know I used to tell people these are
30:33the top 12 niches in the world I don't
30:36know who I think I was to be able to
30:37make a claim like that that I
30:39we know that which nobody can know it's
30:42anyone who claims that they know the top
30:44niches in the world is they don't
30:47understand how life in the world works
30:50and the reason why is because I'll give
30:56you an example of this and this is
30:57fascinating when I was at school you
31:02know a lot of this the social norms and
31:05what what society had kind of tended to
31:08believe is that trades and being a
31:12plumber or a carpenter or builder or an
31:15electrician you know they started to
31:17believe that doing these things is is
31:20not considered successful you know they
31:23were they were like these things became
31:24frowned upon and if you really wanted to
31:27be successful you are you going to be a
31:28doctor or an accountant or a lawyer
31:29these people are good worthy people
31:32these people are not good all right
31:34which is kind of messed up so you know a
31:37lot of parents would say that to the
31:39kids and you know a lot so then what
31:42happens right and they they probably
31:45thought that at that time this is how
31:47people don't understand systems thinking
31:49at that time doctors and lawyers and
31:51accountants probably made more money
31:52than trades people so they were like oh
31:55okay well then we should tell everybody
31:57to do these things because they
31:58obviously make more money and if they do
32:01these things then they will be more
32:03successful than these and so it doesn't
32:07nothing works there's some that's simple
32:09right so then they tell everyone to do
32:10these things people stopped going and
32:12and starting these sorts of trades then
32:16what happens with time is that we end up
32:18in a market where there's too many
32:21lawyers and accountants and not enough
32:25trades people and so back home in New
32:27Zealand this is happening right now I
32:29know this well because I've got friends
32:30that are accountants and lawyers and I
32:31also have friends that trades people a
32:34my dad was a builder so he knows this
32:37well too and right now in New Zealand
32:40carpenters and builders and plumbers and
32:42electricians make more money than
32:44accountants and lawyers but not this is
32:47this is the way it is and not just a
32:49little bit but a lot more
32:50so right now like if you work for the
32:53top law firm and you've got like
32:55first-class honours and more and all of
32:57the stuff and then you go get a job at a
32:58law firm right and then you're gonna
33:01make less money than if you're just a
33:03carpenter or a plumber or an electrician
33:05and so the tables have turned right and
33:10this is because people didn't know how
33:12to think like if you skew the evolution
33:15of something like that it's going to
33:16change right and that's what happened
33:19and my point with this is you know a lot
33:22of people don't understand when they're
33:24teaching a course and telling people
33:25what to do if they tell people to all do
33:28one thing then as soon as everyone is
33:30doing that one thing then it stops
33:32working because the only reason why it
33:35was working in the first place was
33:36probably because there wasn't a lot of
33:38people doing it so now that a lot of
33:40people are it loses its edge now it
33:42doesn't work as well and now the whole
33:44business blows up and the tactic and
33:47strategy is no longer useful all right
33:49same thing with niches if I find at a
33:52point in time that the best thing to do
33:53is helping dentists with Facebook ads
33:56then that might be true right now in a
33:59moment in time in time but if now I
34:00teach 10,000 people to do Facebook ads
34:03for dentists it's not the same anymore
34:06it's the same phenomenon we saw with the
34:09doctors lawyers accountants and in the
34:11trades people right so as soon as I
34:13started to learn this which was years
34:16ago I stopped telling people what niche
34:19to pick because I didn't know anyway and
34:22I know that the best the best form or
34:25the best niche to pick is something that
34:26is unique to you individually and as
34:29soon as I started doing this people came
34:32up with the most amazing niche ideas
34:34which I've never seen before in my
34:35entire life people started doing porn
34:37addiction consulting let hunter odors
34:39and when he did this he was way more
34:42successful we've got people who do
34:44consulting on irritable bowel syndrome
34:46we've got people who consult on like
34:50family crisis intervention we've got
34:52people who consult on you know losing
34:56weight and in in all of these different
34:58unique things that I would have never
35:00thought of that
35:01they've turned out to be extremely
35:03profitable for for all of these
35:05different people and it's because
35:06they're unique and it's because there is
35:08emergence happening and what happens is
35:10when you stop siloing things you know
35:13siloing is telling everyone that they
35:16should all do Facebook ads for dentists
35:19siloing is telling everyone that they
35:20should do you know law or accounting
35:24right emergence is letting things evolve
35:29for themselves and creating diversity
35:33and you know really letting things
35:35flower and that's a huge strategy and
35:38tactic that I've executed in my company
35:40that's helped us get to where we are
35:42today by removing the siloing letting
35:45emergence happen another one is parts
35:49and holes so like I told you it's like
35:51the the typical business owner who
35:55thinks customer support doesn't affect
35:57the whole it's just something that
35:59should be farmed out to somewhere for
36:00cheap it doesn't every part affects the
36:03whole alright and quite often the whole
36:06is only as good as its worst part so
36:09doesn't matter how good any like all
36:11these other things are if one parts
36:13rotten the whole is rotten alright it's
36:16all about having you know the whole
36:20operating the best I can and then we
36:23have analysis and synthesis so you know
36:27analysts that just a few one the core
36:29component without viewing the entire
36:34interconnectedness of all of the
36:36components they're not very good
36:38analysts a perfect example of that is
36:40the person who looks at their landing
36:42page and thinks that by improving their
36:44landing page conversion rate that
36:45they're improving their whole business
36:47not true
36:48I've seen that the opposite is true a
36:51lot of the time so that's an example you
36:54know I can view the whole in the
36:56synthesis instead of just individual
36:59component analysis and then isolation
37:02and relationships so you know a lot of
37:05people think that things just happen in
37:09a vacuum but the systems thinker will
37:11understand that everything is
37:13interconnect
37:14and everything has relationships with
37:16other things for example my mood is
37:20affected by the weather alright so if
37:23there's sunny I'm gonna be happier
37:24that's like a fact and then if I'm
37:27happier I'm gonna do a bit of work right
37:29and then if I do a bit of work then
37:32we're gonna make more money and help
37:34more people so if we trace that back the
37:37weather is actually quite important
37:39right so is my food
37:42so as my diet so as my exercise if these
37:44inputs are off my mood isn't very good
37:47if my mood isn't very good I don't do
37:49very good work if I don't do very good
37:51work I don't help my customers if I
37:52don't help my customers they don't make
37:53much money so all of this is
37:55interconnected you can start to see what
37:57I'm saying here right so some action
38:00steps for you to take how do you become
38:03a systems thinker well you want to start
38:06thinking of things like this I recommend
38:08that you take a screenshot of this thing
38:11actually I'll include a PDF of this
38:13beneath this video for download so just
38:15go to but beneath this video find this
38:17link grab the PDF printed out put on
38:20your wall learn to see everything as a
38:22system and learn to see what what are
38:24the input if you're analyzing anything
38:26or trying to troubleshoot or diagnose
38:28anything or fix it make it better just
38:30ask yourself what are the inputs what's
38:32the processes and then what are the
38:34outputs is their feedback present if so
38:36what is it as a positive is that
38:37negative what's the amplification of
38:38this feedback and in the environment
38:40what things or forces are are
38:42influencing this and in what sort of way
38:45all right understand this and then it
38:47makes everything so damn easy I mean I
38:50guess it doesn't make things really easy
38:52but compared to doing it without this I
38:54mean yeah it's like putting on glasses
38:57after being blind and then learning to
39:01see you know if you do this it'll make
39:03you learn to see so if you enjoyed this
39:07video what I want you to do is just
39:09click that like button also let me know
39:12what you thought of this video in the
39:13comment section below I'm gonna be
39:14checking these comments myself
39:15personally and if you've got any
39:17questions about systems thinking or how
39:19you can be your systems to think let me
39:21know in those comments also subscribe to
39:24my youtube channel if you liked this
39:25video I release one of the
39:27every single week as well as customer
39:29interviews and other things that will
39:31help you on your journey of becoming an
39:33entrepreneur or if you're already one
39:34becoming a better one so thanks for
39:37watching this video and I look forward
39:38to seeing you in the next one soon