Leila Hormozi über den Aufbau eines Millionen-Teams

0:00folks today Lea's going to share with you her blueprint to building a $5500 million company Lila hosi has a master portfolio of 16 companies over the last 10 years building a net worth of $100 million and becoming one of the most influential figures in business and Leadership so just quickly run me through the things you want to teach us today yeah so first we're going to run through how to manage stress next we're going to go through leadership which is really leading others then we're going to go over finding Talent then we're going to talk about delegation and then lastly we're going to do manag agement management right let's talk about manage your stress because I think a lot of people don't actually know how to do it so how how do we do it so Step One is acknowledging what the thought or emotion is that is stressful right it might be a thought that's causing an emotion um it could be a situation that is causing emotion whatever it is it's acknowledging that thought or emotion the second step is that once you've acknowledged that thought or emotion it's being able to diffuse from that thought or emotion rather than looking from a thought or emotion looking at them that's diffusion the third step would be acceptance right because you can diffuse but it doesn't mean it makes it go away it just means you have a different relationship with that thought or emotion and so then you want to accept that you don't need something to go away in order to lead a productive life or reach your goals whatever it may be um and I would say the next step is reorient yourself in the direction of your values or your goals and so it's really reorientation so it's acceptance um or acknowledgement diffusion acceptance and then reorientation so when I think about step one for example which is acknowledging the thought or emotion which is I often ask people this when they come to me and they say I'm really stressed here's and there's this word vomit right that's coming out I say well what's the Thought I think of it like a fear hierarchy you have all of these I call it like fake fears that keep popping up all over the place because they're almost defending you or protecting you from the main fear which is like the top of the hierarchy this is actually they use in Psychology and I want to figure out what's the main fear so first question is what's the Thought the next question is what are you scared of mhm and often times if I can ask those two questions what we can get to is the root and I ask myself these questions by the way first um of what that person or what I am actually thinking that is causing me so much distress and so that really helps people acknowledge it because if they can't think what's the thought because maybe it just feels like mashed potatoes going on in here then it's like okay at least tell me what the fear is yeah right because sometimes when we're so emotional in that state it's difficult to even think about what the thought is so what's the fear right and then usually that gets a person to identify exactly what it is right so maybe it's uh you know I'll tell you for a lot of people that work in my company it's I'm afraid if I don't do this well I will lose my job right and so the the top fear is that I will lose my job and even beyond that is I will then be a failure like my mother or my father or something like that right now the next step is to diffuse diffusion the best way that I can help somebody do that is I think with visualization so I have two cues that I use with people the first one is that I imagine all of my thoughts as fish in a pond so it's like I have a thought about this random thing I've thought about this random thing oh there's a light over there oh there's this over here and then I see like there's this rotten fish right and that rotten fish is the thought that is causing me the distress and then I'm imag myself looking at it at that point and then that is enough usually to be like oh it is exists outside of me it's not a part of me it is just something that exists in this world right and if anything just like you see it's okay it's a fish in the pond it's a sentence in my mind it is not absolute truth it is not a directive it is just a thought or a sentence that exists in my mind right now the second cue that I have for people is to think of it really like you know books on a bookshelf you're looking at a bookshelf and you're thinking like what do I want to select for the day and you're looking at all these books and like o that's a scary one what's that one right there it's a horror movie okay I'm getting fired I'm dying my loved ones are all leaving me um and so I think of it like there's different books on a shelf and the fear that you have or the thought that you have is just a book now you can pull it off the shelf you can look at it but that doesn't mean you need to open up and read the whole book M and so both of those visualization techniques help me and have helped a lot of other people that I work with be able to detach from that thought because if you walk someone through the exercise it's just long enough for them to realize one they're kind of distracted from the actual thought because they're thinking about the thought not from the thought you see what I'm saying totally yeah and so that's the second step is to diffuse now after you've diffused the next natural step is that people want it to go away they're like okay I'm diffused like that means it goes away right and I'm like no no no no it doesn't need to go away the next step is acceptance which is if this thought were to never go away and I were to always have this thought what would I do what you would likely do is live your life yeah with the thought and so acceptance to me is I have the thought there's nothing I can do to make it go away taking action on the thought only reinforces the thought for me to have more of those thoughts so I will take it with me in my purse I'm sure you carry a per kid um and so I imagine it acceptance to me is I'm going to put my purse over my shoulder I'm going to put the thought in there I'm going to take it with me throughout the day I don't need to take it out and look at it I don't need to check that it's in there every 5 seconds but I know it's with me and it's in the back of my mind it's floating around I don't need to focus on it but it can come with me and I can still take action towards my goals which brings me to the fourth one which is reorientation often times when you start up at the top where you're not able to manage stress because of these thoughts or emotions you are stopping yourself you're paralyzing yourself you're not taking action and often times it's because we try to solve a problem from the same place it started we are trying to think our way out of the the thought or think our way out of the problem instead I want to get into our lives by taking action towards our goals which is the next question I ask myself is what is an action or what is a behavior I can demonstrate right now that would align me with my goals right um something that I always think of and it's a visualization technique for me in terms of reorienting myself with my my goals or my values is I think of it like I have a board of directors and it consists of my goals and my values and so for me it's it's it's irrelevant what I think it's irrelevant what other people think but if I'm asking myself will this action take me closer or further from my goals and values I look at it like okay here's all my values and here's all my goals and they're looking at me telling me if it will or if it will not and if it will [ __ ] your mood follow the plan MH it doesn't matter how I feel it doesn't matter about this thought I'm going to go do it anyways and so those are the four steps that I use to manage tress just out of Interest where did you learn this from this is just is it Instinct on you or how years of bad therapy is it uh you know I read so many old psychology books one of my friends told me once because I actually had I had a very good therapist and I had a very bad therapist I had to basically undo some of the things that person had uh spoken over me that really kind of messed with me and I was really questioning a lot of things in my life at that point this is about 5 years ago and a friend of mine said you know you're very smart you're very bright why don't you just learn psychology yourself like behavior science and I was like okay like I love studying I love information I love learning and so I started reading some of the oldest like behavioral psychology and just psychology books in general and I felt so empowered by it because it made so much more sense to me everything that I had ever heard that did work for me and it also made sense why the other things that say the bad therapists had taught me didn't work um and then what I learned very quickly was that most things don't take a long time to change it's just that most people do things over a long time Horizon so learning how to change a behavior might only take two weeks it's just that you condense the amount of times you expose yourself to a stressor a fear whatever it might be most people take 8 weeks or 12 weeks or a year because they only try to overcome something once a week during a therapy session and then I learned oh I could do this multiple times a day every day to myself and so I was able to get over a lot of things that had stressed me out for a long time very quickly and then I realized the power of knowing how to do these things for yourself you know I'm going to say this pretty like candidly but like you know there's good ways waitresses and bad waitresses there's good therapists and bad therapists just because someone has the the name therapist doesn't mean they're good or bad and so I look at it like anything else in life which is like I'm not going to hire a CPA without knowing a single thing about taxes I'm not going to hire a business coach without knowing a single thing about business like you have to know some level to judge if somebody is competent or not and so that was my journey to figure that out and in doing that I realized how much of this didn't only help me but helped the people on my team help people I worked with and I was like holy crap this is what they've all struggled with and if I master this myself then I can help other other people Master it too totally what I also love about this is um a lot of people that I meet that have a dream they don't make it happen because they've let fear take over them and they've not realized that that thing in their handbag can actually power them up as well yes depending on the fear like if you're scared of not making it well use that fear to make sure you do make it cuz fear is a superpower it was given to us you know as a superpower Mentor feel fear it gives us we can run faster we think differently it can be fuel for you right yeah a lot of people don't keep it in your hand don't try to get rid of it it's like use it right right like you say like reorientated maybe even think about that fear is a power I agree and I it's actually something I say to my team which is I say it's the curse of care yeah you know like they're like I'm so scared I'm like you're scared because you care yeah and caring is a good thing and caring is something that I think is made to be it's like cool not to care nowadays and I I said in one of our company meetups recently I said like let's make caring cool again right I give so many shits I care so much and I'm proud of that because it makes me try really hard on these things so I agree with you on that one I think it's a superpower yeah I've also been to therapy best thing I ever did I actually got a good therapist so I was lucky but I really like it I think because it's the psychology of how your brain works people don't know how it works so sometimes they think the fear is there and it stops them instead of instead of pushes them well it's like if you go to drive a stick shift you don't know how to drive it then you think oh this thing doesn't work there's something wrong with it people always do you hear those people who are constantly saying there's something wrong with me there's nothing wrong with you you don't know how to work it you don't know how it's supposed to work so you don't realize that this is normal yeah yeah totally well said okay leadership something I'm always trying to be a good leader myself so I'm really excited to hear leadership how does it work demonstration everybody wants to hear the secret to leadership and I think that you have to go to the way to show the way right and so you have to demonstrate what it looks like to people and so I have really three steps that I I teach which I think actually this will link into one of them which is like in order to properly delegate you have to properly lead because in order to delegate you have to demonstrate in order to lead you have to demonstrate and so what I look at it is true leadership is being able to create an environment that makes it easy for people to hit their individual and group goals so in a company that would mean that you create an environment that makes people want to achieve their own personal goals and the business goals by consequence so you arrange people in a way that allows them to achieve their personal goals and because they achieve their personal goals the business goals also are achieved and so it's like if you can arrange people in that way then I think that it's a win-win for everybody John Macky from Whole Foods talks about this and this resonated with me when I read his book it was like four and a half years ago where he talked about like he will not make a decision unless it's a win win win for everybody win for the customers for the environment for the community for the employees for him for the investors and so every time I make a decision I think about how can this be a win for every single person and how can I make sure my team wins wins so that the business can win rather than the other way around I think the beautiful thing about that is and I'm personally building a company around purpose you can hire people around purpose because then if they have the same purpose as you that also demonstrates the same goals right because if I'm someone isn't interested in fixing the education system and they're working with me it's harder to manage them it's harder to motivate them but if we're aligned and I can demo that I care about it and then they also care about it it makes life so I don't manage people I manage purpose yeah I I've stopped managing people you can't motivate people they don't have if your goal isn't align with their goal to your point it's the same as and I think going with this is that if you share a mission and you share values everything else is easy yes it's just like when people ask like how do you work with you know because I think at at the very top why is it that myself and Alex are able to be business partners because we have the same we share a vision we uh an a mutual Vision we then have aligned Mission and then we have shared values M and so it's like when you look at a group of people what makes it easy to lead people I think is the shared Mission shared values and then even I would say the third piece is shared interests because if you have one thing in common I think that's amazing but if you have multiple things in common I think that makes for camaraderie how do you a check on the values side how do you make sure people listening like okay I love the idea of shared values how do you determine that is true yeah shared values are just shared behaviors right so culture is what you do not what you say right and I think that this is where it gets very misconstrued so I always use the term operationalizing values and I think that's the job of a leader is to teach people how to operationalize values when I say operationalize values it means people are like be honest well what the [ __ ] does that mean so I'm supposed to go into an interview and be like hey are you honest yeah he said yes oh my God he's honest amazing he should be on the team um and so I think that again when I it all goes back to demonstrate which is did they demonstrate honesty so something that I like to ask people on interview for example is I like them to tell me I always kind of like level with them I'm like listen let me tell you something about myself that's not so good right um and then I'm like I'm kind of a control freak here's something de I actually [ __ ] up really bad yesterday on this thing and I I try to share something vulnerable with them that I've messed up on and I say great so here's the thing we all have [ __ ] you've just told me all the stuff that's amazing about you I want to know the [ __ ] though because I want to know if it's [ __ ] that I have a strength to to match with so I can help you and in that moment because we have a value of sincere cander if somebody opens up and tells me the truth I don't really care how bad it is because everyone has [ __ ] it's just like to what degree do you have [ __ ] it's the people who tell me they don't that tells me they just demonstrated they don't have sincere cander because everybody has stuff of course totally um so that is operationalizing a value it's not asking a question do you have this value it's getting someone to show you if they behave in a way that exemplifies that value MH you know the next piece would be if if you look at competitive greatness um that's another value of ours how do I operationalize that value well I would say putting someone in this situation and this is a question I've asked people in interviews which is if you worked at a restaurant and we served breakfast until 11:00 and a customer came in 11:15 and said I wanted to have breakfast what do you do serve it to them right and so competitive greatness is like I will [ __ ] figure out a way I will go make it myself in the kitchen I don't care Chef into it even I'm going to do anything right they're going to find a way they make [ __ ] happen and when somebody doesn't have that they're like well the rules say that ends at 11 so I would respect the rules of the company like oh no I need people to break rules right make the rules for them to break the rules right exactly exactly and so um when I talk about operationalizing values I'll tell you another one that I would say like I talked to my team about a lot within this building which is having a physical headquarters how do you operationalize values on a daily basis you know for example we have our coffee maker and every once while I come and it would be out of water and I was like cuz our other values unimpeachable character which is like doing the right thing and being the kind of person that somebody would want to associate with I wouldn't want somebody who doesn't refill the coffee maker doesn't refill the fridge doesn't clean up after themselves to be on the team and so I was like I took a picture of it and I was like the next time that it does enough water I'm going to shut it's going to be unavailable for people to use right I walked in the next day and found a teammate nobody was around refilling the water mhm right she was demonstrating unimpeachable character and so I think that when you look at leadership it's being able to demonstrate those values being able to live them out and being able to creatively find ways to test if others hold those values really just by watching and seeing if they demonstrate them rather than taking people's word for it and I think a lot of people when they think of leadership and culture it's just a lot of like well if people say the right things but it's not about what we say it's about what we do totally when people aren't looking exactly great leaders are m multipliers and so when I think of somebody who's a leader you have to have influence and people who have influence influence the behavior of others and when you influence the behavior of others to be like yours you create more of you and so there's two things I think that go with that which is with great power it's Spider-Man yeah I never will forget that line because it just with great we can use it I think it's not tradem markable okay with great power comes great responsibility um they will do do what you do to such a degree that it's scary sometimes so if I ever want to know where my deficits as a as a leader I look at everyone who reports to me what are their deficits okay those are my cracks I have to work on this happened to me recently the second piece to it is that when you're hiring for leaders when you're hiring for people on your team ask yourself would I want 10 more of this person on my team and if I did have 10 more of them what bad would occur like where are their deficits and if you multiply a person you can see those which is why being a leader in a company is one of the most important and hardest roles because if if people ask what is leadership it's very difficult to say what a leader is because it's a 100 micro skills bundled into one term so it's one term that if you actually looked at leadership it's probably 12 different descriptors and each of those 12 have 30 skills attached to it so when people say write a book on leadership I'm like what the [ __ ] I would need to write 15 books on 15 different things because leadership is the bundling of all those things into one term and so when you look at the multiply effect the reason that you hold leaders to such a high standard is because if they have any sort of crack it multiplies with all the people that they influence which is why you hold them to a higher standard yeah I really love it I recently became a father so I've got a son and uh my business skills came into effect when I realized my son doesn't do what I tell him kids don't do what you say they do what you do you know I think that's the same with leadership yeah you know you can say all the time come in early care do the and you're not there and you're out playing golf but how can you expect people to not just do what you do you know so that that that you know my seven-year-old me wrapped around his little finger but but conceptually like I I try to act like I want him to be I I don't just tell him I show him it's funny it's it's uh in my last company we were completely remote and I got a walking treadmill desk M and I remember I got one and people like oh wow you're walking a lot more whatever I'm like yep I want to stay healthy even though we're working a lot and all this stuff and it was within 2 months I took a screenshot half the people on the call had got gotten treadmill D and then all of a sudden it's like lost 10B lost 15 and I was like yeah that's a big effect yeah interesting yeah I think being a leader is is um the word leadership is probably a bit misleading isn't it it's like it's kind of a guide I think it probably needs a new word you could write a book about you know guide as opposed to leadership because it's it's not that's a misinterpretation of what it actually is right yeah I do agree with you and I think it is a at the core guide that uses influence right right yeah it's just a matter of are you using the influence to get people to achieve their goals or to achieve your goals and the best leaders lift people up so they don't have to do all the work you know like if you if you think leadership is you at the front doing it all good luck you know you won't build a team and you'll burn out pretty quick right the best leaders are the ones that you do it you're better than me or you know they lift other people up and you let people borrow your confidence in them before they have it for themselves but your confidence are like that that's how I look at it is like if I think of the best leaders that I've ever had that have influenced my life they believed in me so much that I was able to do the thing and then I did the thing and then I believed in myself but I didn't believe in myself before I did it they believed in me first and so I try to give that to people which is I if anything have too much confidence in people's abilities sometimes and so I actually will overestimate what they can do and then when they can't I'm like oops you know and but I told I tell everyone I'm like listen I would rather you fail you try and fail um and I always make sure that I reinforce the fact that they tried I'm so proud of you for trying they're like I ate [ __ ] I'm like that's okay you tried that's why I'm so happy about it yeah I I I I always think if people have thought about it made the effort then you can't ever fault them it's the people that don't try that are frustrating or or assume they're going to fail I think it's also a beautiful trait as of a leader to believe that your colleague can do anything and you find out what their real ability is by giving them that free reign right yeah I would rather try I say test and learn totally like test and learn it's a test it's never we're not going to commit to anything we're not going to change your job we're going to change the company we're going to test something also reliev so much pressure cuz if I'm like we're changing everything like what the [ __ ] we're going to test something yeah yeah well that's great I was just talking to your editors doing your YouTube channel which is Amazing by the way and she was saying the thing she loves the most about working on that puff and working with you is that she gets to experiment you know and I think that's a really nice thing to be at that stage where you can experiment sometimes in businesses we get so stuck in our ways once something's working it's like copy and paste copy and paste it's the Innovation that's actually the fun bit especially if you're allowed to innovate you know what's funny is we always say this anytime we repeat something we've already done we say what's one thing we can change each time right because if we don't change one thing how will we ever learn if anything ever works better yeah so true and so we always say well we shouldn't do it exactly how we just did it we know that works but let's try and so because of that do we have more L's yes but we also get more outsized wins because we'll learn that something works so much better you know every four times yeah totally I was with Zack King who's got the most popular Tik Tok video ever a few days ago and he's literally killing on social media like an incredible Creator and we created a video where he was like well I've learned something there because you've done a different ending we always do a different ending to the story that you've done so you know even the most talented people can the reason they're so talented because they accept that they don't know anything even though he's got the most popular Tik Tok ever with 2.2 billion he's still like I've learned something from a much smaller Tik tocker like us you know like that's real leader you realize that your formula is not the best formula even when you've got the most popular thing out there you know what's funny is I was just talking to my team about this because a lot of them think uh there's this common misconception especially with new leaders that experienced leaders don't ask for help and I was like you've got this completely backwards if I'm in a room with anybody that I could learn anything from I act dumber than I am yeah and they were like well why would you because how else will I learn if if I can tell somebody this is the line I always use I say okay so say I'm talking to you and you're a I don't know an attorney for you know overshore overseas uh trust funds or something and I'm like listen I'm going to level with you here I'm like golden retriever level when it comes to these trust funds so if you could just break it down like I'm 5 years old that would be amazing yeah yeah and then you learn so much because somebody simplifies it down I actually think one of the biggest skills to success is learning to ask for help it's one of the hardest things to ask for help actually as humans it's not natural for us if you can learn to do it you can learn to accept that in the room you embarrassed for a minute but forever you're going to get the answer you need like be embarrassed in the room for a minute I don't know how that works can you explain it again it's like one of my favorite things in a meeting when someone says it cuz I think [ __ ] they're going to be brilliant over time because they're willing to be embarrassed for a minute it's funny you say that because the the number one thing when I promoted a guy uh his name was kale to be CEO of my last company I said there's one thing that you've got to learn and he was like what I was like you have to be okay with falling on your face yeah he was like what do you mean I was like on every meeting I was like you don't challenge you don't ask you don't do this because you're afraid of falling and looking like an idiot I was like how often do I look like an idiot he was like okay and actually it's people like it too it's quite an endearing thing when someone sees that you don't know it and actually you have a respect for someone when they say they don't know something oh 100% when people pretend they know everything I'm always like it's impossible I'm like I don't know ja [ __ ] people like oh you're great at content I'm like I feel like I don't know anything I'm just winging it out here you know you are good at content just for the hey I hope you're enjoying today's podcast I've just written a book guys it's taken me 35 years to get all this knowledge and I put it all in here it will help you remove any subconscious bias you have for stopping you from starting your dream the key in this book that I want you to learn is if you want your dream to happen you've got to make other people's dreams happen first the link is down in the description it would mean a lot to me if you bought it all the proceeds from this book I'm giving away to fun dreams so please buy if you can thanks now let's get back to the podcast finding Talent out of Interest well interest the insecure thing is really interesting by the way cuz I again I think that comes back to um just accepting you don't know everything I'm actually also insecure I don't I don't think I'm the best YouTuber I've got a very successful YouTube video doesn't mean I'm a good YouTuber but I think that can spur you on to be good yeah if you think you're good enough you just I see people that think they're brilliant and they don't grow they they don't last long you know like I think that humbleness is actually really important to keep it cuz you're always like did I provide value did I do a good job you're not resting on your laurels totally yeah I think the people that think that they're the best at something I'm always like oh be careful you you know you not going to survive nothing Fails Like success totally I love that and I think FS like success I'm going to write that one down too I don't like to invest in a company that the founder hasn't had their first failure totally because then they act like this totally I I've invested in 78 startups and the ones that have done really well people that failed quite a few times before I invested in them like they don't think they're Invincible yeah you know what's really interesting I invested in someone who had a really big success in their second company they didn't realize but they didn't learn much from their success because you learned so much more from your failure it's very true it's when you actually break it down like and I even think for myself like my success is like oh luck you know PWC bought my business oh that was actually really lucky you know like but I look at the ones where it failed I'm like a wrong partner um put too much money in too quick didn't do enough on the sales you you can see where it went wrong so much easier yeah it's funny because my first company like I knew it was luck because it just blew up and I was like I definitely it's not me because I'm not talented and then I feel really lucky because then Co hit MH and all of a sudden we couldn't do business in any one of our three businesses and then I learned what it's like to eat [ __ ] for a year and a half and then I feel like I got it was like nice because it didn't completely fail but it definitely I mean it it completely changed the business forever we were still able to have like a successful exit but like what people don't know was the business was getting at 250 million before Co and then we were like oh I think we could make they were like well if you wait a year you might be able to get 350 400 million for it and then we wait a year and then we got 50 million right one in hand is better than the fish yeah yeah it's it's so funny isn't it finding Talent this is something I've personally honestly struggled with over the years um until recently when I been purpose at the front of the business but how do you find talent you have to know your employee value proposition right just like you have an offer for the marketplace you have to have an offer for the talent Marketplace and so I'll tell you what mine is for example growth that is the number one like for example when you're a product on the market there's like good fast cheap right pick one to lead with the same goes for when you have like an employee value proposition which is like there's tons of money there's tons of growth there's tons of status which one do you lead with MH for me lead with tons of growth right I would say that status is a followup because of our brand pay is like we pay on the on the top end but it's not like astronomical compared to what you get from a different private Equity Fund and so I would say that that's my stack in terms of doing what my employee value proposition is so that I know when people come here the people I'm speaking to because if you don't know who you're trying to attract and why they want to work for your company then you cannot Market to them so I'm writing a job description I'm orienting it towards a director of customer service who's looking to grow they want more skills I'm looking when I build my organ ganizational design the way that this company is designed for example I have it basically where people can be deployed into any project at any point in time it could be in our portfolio division our $100 million series division which is also the content or it could be in our Workshop Division and so people are always learning because they're getting deployed on different projects so everything is to support this one number one value proposition which is growth it's just like when you have a product strategy it has to revolve around the main value of the product same with your talent strategy it has to revolve around the main value for the talent and so I Orient everything towards growth when that comes to an employee value proposition the value that they get from the job is how much they're going to learn so it's the trainings that we conduct here it's the experience they're going to get here it's the uh upwards momentum that we're going to provide them with so we like even at a very small stage it's like working on career pathing and career development and talking about where someone's going to be going and providing a clear way to get about that so a lot of people have like performance management plans but we have performance development plans which is we're not just looking to manage people's performance we're looking to develop people's performance how do they get better love that I'll give you an example as we have people that come in to work on our portfolio companies and they're experts in let's just say an expert in sales well now I'm going to say I'm going to take you and you're going to run these three workshops well in order to run workshops you have to learn how to present you have to learn and so then we're going to put you into the presenter training curriculum which is is led by one person who's going to be constantly grading you giving you feedback giving you assignments and so I have people that were solely working on my portfolio that now sound like honestly like world class at speaking and it's been like the coolest most insane thing to watch but what's even better is that it just drives this and so then when I'm speaking to people who want to join my team I get to use those instances to explain to them here's what you're going to get to learn here's all the different types of things you can learn in each division and here's how I'm going to facilitate that learning it's much harder to do this as a company but the reason that I chose growth to be our number one is because people watch our content and they say I want to become like that I would love to be able to lead a company one day I'd love to be able to have a company like aition it's usually they're very aspirational right and so I don't think it makes sense for us to just throw a bunch of money at people that's not why they want to come here that's not why companies even wants to invest in them every single person whether it be an employee or company wants growth and the great thing about growth people you know pick this up is that one of my personal biggest achievements when I sold my company fluid to price house creeper said what's your biggest achievement there was one particular person Jessica was her name and I put a development plan in front of her and she worked so hard for two years she got so good she ended up being head of Wall Street Journal content in China you know she went from from working for me to working in this incredible job doing an incredible thing and that's one of my biggest achievements she's not working for me anymore but that that feeling that you really you you invested in someone and they took the challenge and went and became brilliant you know I I think that that that's an underrated thing in leadership that a lot of people don't realize it's like if you can develop Talent they also become friends for life kind of as well I know you know friendship and businesses with people say you can't say they're friends but I I consider her a friend now yeah you know and I think because uh she put a lot into the company she helped the company but at the same time she got something out I think that's really important to make that this is sales as well by the way a lot of people when we're talking like internally how to build a company they don't this is sales what you're doing here too right if someone and I've spoken to a lot of your team they're here for growth yeah they want to learn they want to be the best so that incredible sales pitch and and salary is important you got to be competitive but people overrate salary yeah and they undervalue growth yeah and most people leave because they don't see anywhere to grow anymore 100% that's what I see most people leave companies I I agree I think we follow up the close second status because what I've explained to them is that if we invest in acquisition. comom brand then they get by by proxy they get to be associated with it which gives them status as well I think status is a really interesting one too and I see it with my team my team have helped me build up my personal brand I wouldn't have done it without them oh yeah and they leverage it by saying they built Simon grip brand and I love to see it think this getting this status that they deserve because of their hard work I think is again a value that not a lot of companies can give people as well you can build this in if you can actually give status to that's why people want to be lawyers and doctors when they're young yeah you know like whether they dream jobs or not it's status I'm a lawyer I'm a doctor there a lot of businesses you know traditional businesses are competing with that yeah you know you want people could work for you could go just be a lawyer in a law firm or you want to come and work for you you better give them status 100% And I think a lot of places lead with one of these two with this as like a third but I think that especially for you know bootstrapped self starters Etc like this is actually the one that you have the most control over and usually can be best at because a lot of people are so growth oriented and that's why they get into it and it's being able to you know disseminate that down so you know employee value proposition uh managing employee development rather than you know per I would say performance development not Performance Management and then I would say the last thing is creating community so if you think about like what creates raving fans uh it's often when somebody can create a community um everything I've learned about creating Community has actually come from creating teams so anything that I understood worked on my team I said what if we did this for our customers you know and then it's always the unscalable things right where people say like what creates a community it's like well communities really built off of brand and brand internally is your reputation and so what is my reputation as the CEO is probably like the uh stemming point at which we create that Community because it's like my brand is people know I I pretty sure my team would say like Lea cares a lot she probably can tress cuz she cares so much sometimes but like she's personable she's funny she's not going to yell at you like there's probably like a brand like that and then that is what builds the community and so I'd say you know for me it's how do I create an environment where everyone has shared values and so they can start to add value to each other rather than just from management uh down into people and so that's where I look at how do you create the community because I think the community is the retention and it's also an attraction piece which is for example when somebody comes in here to do an interview and they get to talk to different people on the team and they say wow you don't just have like one person like this is not BS like you guys actually live by your values and like every person here is a killer and it's not just oh you get to work for Lila now but oh you get to work with all of these very talented people and so I think it's also continuing to hold those standards that you create that community that other people want to be a part of I I think Community is one of the biggest business hacks that big companies don't do very well that gives people a Competitive Edge on all levels both from your customer point of view like I think of all the big Brands what communities do they have like Google even there's no other than the campus and the staff which you can argue is just a place to work actually Google there's no Community there's some of the big Brands externally have no Community this is like the biggest way of disrupting the big guys in the future I think it is and I do think it's the it's probably one of the hardest ones to create too because I think community in my opinion is where also a lot of the shared interests come in which is like why do I have a gym in my headquarters right because it creates a sense of community people get to commune in the gym with each other people get to commune in the snack areas with each other it's creating opportunities for people to demonstrate their shared interests in the work environment but not in the actual work and so it's like what are the other activities that they have in common that approximate work but are not work and then how can you facilitate them doing those things together and so I see a lot of people working out together I see a lot of people going and filming in their free time together I see a lot of people going and uh they actually study together study their materials together so it's all of the other things that occur outside of that one thing because if you think about a community it's usually like I will say they created a very strong community- like feel why is it that crossfits at such a shared Community it's like they literally eat the same food they do the same workouts they a lot of them have the same jobs I mean it's like they have so many similarities and so I look at it the same way with Community which is like if you don't have the similarities you can create them to a degree with the environment you know I think there's a lot of people who didn't work out until they start working here oh there's a gym down there I'll start working out and hey I'm going to start working out with three or four people that goes back to like shared values as well right like your core value as a company has to be inside people themselves which means of course that creates you can't force a community I think a lot of people try and right come on everybody come on my platform we've got a community and like well I'm not naturally there you know I'm not naturally doing it you got to go with it's got to be natural back to the hiring process you got to make sure they have the same values so they want to be healthy they want to be the best versions of themselves are they willing to push themselves to be the best versions of themselves then they'll go to the gym yes you know if they don't have those values they won't it's the two things which is like if you ensure that everyone is aligned with the mission and the values and if you create an environment that's that's step one step two is create an environment that makes it easy for them to interact like within the sphere of those values or interests then it's like there's not much else you got to do you know what I mean yeah yeah people make value being healthy and there's a gym they're going to use it yeah that's very true right we're going to do delegation which I am brilliant at I'm absolutely brilliant delegation can you hear my sarcasm in my voice yeah I I was one to do it myself and then when I delegate it I realized there are people better than me I delegated running my last company to someone else best thing I ever did they did a better job than me they made it 4X bigger than I did wow yeah so I'm glad I delegated it but it was so hard it was like giving my baby over to someone I know I know that feeling so how do we dedicate yeah so it's really three steps which is it starts with one of the similar ones from leadership but it's we first we demonstrate right and so I think a lot of people they skip to the Second Step which is document so the first thing you want to do is you want to show somebody what to do the step after that is you want them to document what they just watched you do this is where most people [ __ ] up they say I'm going to demonstrate and then I'm going to make an sop of how to do it to show the person there's so many psychology studies around this which is the person who documents the process learns the most so why would you keep that to yourself by being the one to document it and so the way that I build a customer success department or service department for example is that I have somebody come in and I say great so the first thing I want you to do is I want you to document all the customer inquiries that we're getting and they're like we don't know I'm like just do it you know I'm like yes we have it but uh and then I say okay great now I want you to document all the responses that people are giving to each of those customers and what you see is that by doing that people literally teach themselves what is already happening and what the process is and though I already have some of these things done they learn it so much faster doing it themselves and so first you demonstrate it you show the person they get to watch you do it then you ask them to document what you just did and then the Third step is that you ask them to duplicate what you just showed them right and so duplicate what you demonstrated in the first place and when they duplicate it you want to make sure they duplicate it by following the document they made why so think about like this right I'm going to make a sale so I'm say cool I want you to watch me make a sale okay great while you watch me make the sale now I want you to go document the script of what I just said okay great now I'm going to watch you make a sale using the script that you just wrote off of me making the sale you'll find the flaw quite quick you will find the flaw very quickly um and so you continue to repeat this process until somebody is able to match or I would say matches the the standard match whatever metric or qualitative measurement determines success right and so for sales for example I said cool I'm closing 80% this is when I had my first company it's 9 years ago right if you can close 80% like from a call to close then you can take over right and then of course what happens is you know they have more time and resources so they close 80% then eventually even more because they're not doing 17 other things like me and so this is the process I've seen has worked the best I think what most people do to delegate something is they skip right to I'm going to document something and somebody should know how to do this based off of a spread sheet I mean it's like how many processes can we actually like properly do by just reading instructions now I'll say this as a caveat to all of this more intelligent people require less specific Direction the more intelligent somebody is the more they can take vague Direction and get it right think about your smartest people you're like dude sales is on fire I need you go handle this he's like I [ __ ] got it and you're like yeah he's going to figure it out cuz he's a smart dude if somebody is less intelligent they require more specific instructions or less intelligent on that specific topic so if you hire a very experienced person and bring them in you might actually be able to just give them very vague Direction not have to do many of these things at all but if you bring somebody in who is less intelligent or less intelligent in a specific area then you have to do this even more times and so it's not even do you delegate or not but it's it lies on a spectrum which is like to what degree do I delegate to what degree do I run this process with this person if I you know for example I hired my first CFO I brought her in I was prepared to do this and she's like what I know how to do all this what do you mean I've been doing this for 30 years and I was like okay so I just said Skip One and Two okay show me and then I watched her and so I do think that there is a little Nuance to it which is just again the more intelligent someone is the more they can take vague Direction and get it right plus if has experienced there sales in particular some people can wing it you know based on the experience of a document theya created in the past in their head yes what about like delegating in particular like for example I I like certain things I've replied to all the comments on my own posts I've tried delegating it no one is quite my voice no I keep doing it and I kind of like it so I'm kind of like okay I'm accepting that I like it and I'm not going to delegate it but what how do you decide what to delegate what not to delegate is there any process you have for that yeah often times I think there is if we made like a little quadrant right okay yeah there's uh what you suck at okay suck B at bad uh what you're good at what you like doing and I think that most activities fall into some end of this quadrant and so what I try to do is I try to say cool so things I suck at doing or I dislike doing um those are the things we're going to look at first specifically the things I suck at doing right and so if I suck at doing something then I want to try and delegate it as soon as possible somebody who's good at it if I'm good at doing something I'm probably going to hold on to it first if I like doing something I'm probably going to hold on to it if I dislike doing something I might say oh I think you know now I delegated things I suck at let's look at the things I don't like doing because uh I'll put a caveat to this sometimes there's things we don't like doing that we should do mhm right that are important and have uh are hard to reverse if there's something very important and is very hard to reverse and has a very high dollar amount tied to it even if I don't like doing it probably going to do it there's always nuances to this firing people for example I can do it I dislike it but you have to do it yeah 100% yeah um and so the second I move on to is dislike and then I would work my way to things that I'm good at doing and like doing and so it's like you start on this end and say like what do I suck at that I also hate that also I would say like dollar per hour is the lowest so if I want to delegate when I'm first starting I would say if I suck at it if I don't like it and if it's cheap to hire for that's the first thing I want to get off my plate um the second thing I want to get off my plate are things that I'm like mediocre I could even be good at but it's still low dollar per hour so I'm saying okay I I'm good at doing it I'm good at doing customer service but I can pay somebody $115 an hour to do customer service and it's not the highest Roi of my time and so I work my way all the way to I want to do things that I like doing and are high dollar per hour so it's like this produces you know $500,000 an hour for the company when I work on this or whatever it might be which is really where you want to get to yeah and so that's the overarching like I would say you lay that over everything which is like what's the dollar per hour of this task worth and that's something that people have to ask themselves now I'd say responding to comments though the question is because I actually am in the same boat as you which is I don't have other people respond to my comments and the reason I think is because it's also well what kind of brand am I trying to build I'm not going for quantity of comments responded to I'm going for when I do respond they know it's me and so they always know that they can trust that Lea is the one who speaks from her Prof M it's fascinating that's a brilliant framework thank you I'm I'm going to use it right management last but not least management so I look at management as being the glue that ties the vision of where we're going to the day-to-day activities mhm management is Bridging the Gap mhm and so I look at it as a manager job is to constantly ensure that the day-to-day operations are leading us towards the greater Vision or goal now how do you do that it's usually people process projects that's usually what managers are overseeing um because you can manage people you can manage processes and you can manage projects and I look at that as the job of a manager and so management is figuring out how to bridge the gap using the least amount of resources possible and the right ones MH so you want to use the right resources and the least amount needed to achieve that goal now management as a again like it's a it's a term that is many bundled terms like management is communication management is resource allocation management is accountability management is because to do all of these things you have to have so many other skills that allow you to do it for example like when I first started I knew how to communicate well I knew how to allocate resources but I didn't necessarily know how to track and measure things and so then I was doing all these things but I couldn't effectively tell you how fast I was going to get us towards that vision and so I think that there's a lot of different pieces to it however I think that the best like analogy I can give is that you are that glue that gets us to the vision so it's like somebody's making sure that the day-to-day operations are leading us towards the greater Vision so if I am managing marketing for example and I know that the vision is that we are a marketing department that is able to produce both organic and paid content that leads to maybe I'm a service business 5,000 booked calls a month okay are the day-to-day operations leading to that well that means if I want to know that then maybe that means I need a 100 book calls a day maybe it means okay how do I produce 100 book calls I need 17 ads okay how many ads do I have to create every week I need and so that's where you start with all the measurements and basically developing kpis and performance metrics because it's really hard hard to hit a goal that's 12 months out or ever reach a vision if you're not measuring incremental progress towards that Vision MH and so I do think a lot of the management comes from through the people process and projects being able to measure the effectiveness and progress of each of those things and so I would say that it's a lot less sexy than leadership because it's a lot more the the difficulty of management I would say and where most people falter is managing process I think a lot of people are really great at managing projects I think a lot of people are really great at what's hard is managing people because how do you get a person to do a process how do you get a person to complete a project and so that is where I think like there's management there's and there's leadership I don't think that they are exclusive I think that they have a lot of overlap I do not think that you can be an effective manager without also being a leader because people if they only do things out of threat of losing their job then they will give you the minimum effort required to maintain the job but if people do things because you've aligned their personal goals with the business objectives and they're doing things to achieve their personal goals and by consequence achieving the business objectives they give you discretionary effort and therefore you get more from the people on the team and so I think a lot of management comes down to it's a phrase that I use which is just like the philosophy of positive reinforcement versus punishment because a lot of managers if you look at it they B basically continue to raise the bar over and over and over again with hey if you don't raise if you don't continue to meet the bar I will fire you y and that gets people to perform when the manager is present but kpi as well right right exactly hit these kpis and you will maintain your job whereas when I walk out of the room it's kind of like a dog if I hit the dog every time the dog jumps on the couch then the dog when I'm there won't jump on the couch but the moment proba won't come to anymore either right but then the moment I leave the house the dog's going to jump on the couch most traditional management is this is this way and I'll say this which is the reason it's this way is because think about this right people like well Lea why why would people ever want to manage like that well how hard is it to say you know what I would like you to manage with positive reinforcement versus I would like you to yell at people if they don't do their job right again like intelligence it's a lot easier to teach people how to yell at people than it is to teach people how to positively reinforce people it's more effort to positively reinforce exactly I think the best measure is like you're not getting where you want to be how can I help you get there exactly right and people don't frame it that way like you haven't met your targets what's wrong with you exactly they misunderstand you know they think management is that it's not well it's kind of your fault if someone hasn't met a Target you hired wrong back to the list all this inter links doesn't it you've hired wrong you haven't put the systems in place you haven't got the right culture you know if if you literally shouting at someone I think you're the problem Oh 100% And it's what I tell people all the time is it's the main like takeaway is tell them what to do instead somebody does something wrong they already did something wrong we're not going to re configure the past tell them what to do next time like what do you the question is always this I ask manager specifically I say what do you want to have happen and they're like well I want them to do it right the next time okay well yelling at them doesn't do that no makes them want to quit you know what yelling at them does and they're like what I'm like it makes them feel bad and people who feel bad are less able to change because they're distracted by the feeling bad about the past mistake so they cannot focus on the new to move forward totally but you will find that lots of people do want people to feel bad yeah well that that makes them feel better somehow they've done their job but you when you shout at someone anyway I've done it a few times in my career by the way I've accidentally shouted I've been stressed when I was younger in particular I was you wasn't managing my emotions right had other things going on in my life I was shouting at them but I was really shouting at my own problems I think there's a real interesting thing around being careful with your back to what you were saying earlier regulate your own emotion when when you shout and I think when you do it you you you you don't realize basically people instant go into fight or flight oh yeah basically when you put someone in fight or flight they're no longer working with their logical brain they can't learn anymore when someone's in fight or flight they don't learn anymore so you put people in a defensive position their brain changes if you were scanning it at that moment they're no longer learning they're literally how can I survive and not get killed in this situation back to a basic human instinct right so so shouting might make you feel good like you've somehow done your job you're putting that human into a fight or flight and they'll never learn from you and they'll be scared in the future to repeat that same pathway and they won't be loyal and they won't be loyal and they back to the dog analogy they won't sit with you at night when you need them to no right don't know how that relates to this but it does general idea you know like won't be there late at night with you when you need it helping you when you're having a tough time so because you become the threat yeah because you become unpredictable and so then they constantly feel like there's this looming threat they never know when it's going to strike and so because of that then they grow resentful because they're resenting you for the fact that they're constantly feeling this like wavering anxiety when they're around you and then they start to do things to almost sabotage even but you've actually made them that way so it's just a very interesting concept I like that you you uh see things the same way because it's I think Beyond a lot of people's comprehension I'll say this which is if you use positive reinforcement in the workplace there's not concrete evidence on this but if you look at the studies people are likely to stay about 3 to five times as long in a workplace that uses positive reinforcement than punishment mhm I've seen in company cuz I've done a lot of consultancy in the past for big brands that are losing staff and when I used to dig into why it's internal marketing by part is internal marketing when you dig into it it's like you'll find that in a company that's doing quite well with a bad manager you'll find that the low no title person is keeping the team together the person that's there at night with them working hard they got no title but your the companies that somehow survive when they have a bad culture like that because there's quite a few of them in big corporate world the manager is the problem the staff are working together like I'm not going to let my colleague down yeah I don't if you saw a clip recently of some guy who was offed a lot of money to quit his job at McDonald's he said I can't I don't want all that money I can't leave my colleagues there's only two of us here today you know like that is a golden human being you know like and that that s person is actually naturally a manager yeah because they're not willing to leave their team it's like the kind of battle scene thing you don't go on a battlefield and leave your troops and Shout at them from a distance go and kill those people over there right no so all of this ties together everything you've described today all of these points I hope people have listened carefully because they all actually Interlink don't they um and it's F thank you well it's funny because what you just said you think of this line which is um if you want to know who the leader is don't look at their titles look at who people listen to yes totally yeah totally …