2013-08-06T22:48:50Z“Although money is the main driver among rewards, it is not the only reward that works. People also change their behavior and cognition for sex, friendship, companionship, advancement in status, and other nonmonetary items.
“‘Granny’s Rule’ provides another example of reward superpower, so extreme in its effects that it must be mentioned here. You can successfully manipulate your own behavior with this rule, even if you are using as rewards items that you already possess! Indeed, consultant Ph.D. psychologists often urge business organizations to improve their reward systems by teaching executives to use “Granny’s rule” to govern their own daily behavior.
“Granny’s rule, to be specific, is the requirement that children eat their carrots before they get dessert. And the business version requires that executives force themselves daily to first do their unpleasant and unnecessary tasks before rewarding themselves by proceeding to their pleasant tasks. Given reward superpower, this practice is nice and sound. Moreover, the rule can also be used in the nonbusiness part of life. The emphasis on daily use of this practice is not accidental. The consultants well know, after the teaching of Skinner, that prompt rewards work best.”
- Charlie Munger, The Psychology of Human Misjudgment
JS Comment:
“Granny’s Rule” was further articulated in a popular corporate self-help book, “Eat that Frog” by Brian Tracy.
If you do the hardest thing first — or grossest thing, e.g. chomping down on a live amphibian — everything that follows feels easier, and the reward function of “fun” or “easy” tasks is enhanced. “I kicked ass all morning on something tough — now I can chill out a little with this cakewalk.”
This also makes sense from an energy level and time management perspective. The biggest runways and deepest energy stores should be devoted to the highest priority stuff.
There are hidden lessons of personal evolution here. Why do so many traders fail to evolve, never advancing beyond basic competence?
Perhaps it’s related to the reason your cousin, uncle, old college roommate etcetera is always going from one hot new business idea to another. (You know the type — they always have some new way to get rich, and never, ever follow through on anything.)
It’s fun to think about a new business idea or trading concept or personal life goal — the visualization phase is the exciting part — but as soon as the hard, gritty work of getting traction comes into play, a lack of self discipline means sudden lost interest. Many people live their entire lives this way, pepping themselves up with routine daydreams but never accomplishing anything. It’s really terrible!
On a meta level, the perspective of “Granny’s rule” means understanding, on a deep intuitive level, that all worthwhile successes require “eating the carrots before you get desert”… putting in the sweat equity and the diligence as a matter of first-priority habit, with a stone-cold focus on earning the rewards, not collecting passively via hope or dumb luck. “As ye sow, so shall ye reap.”
As a bonus, here are the summarized 21 “Eat that Frog” principles. Can you use any of these to step up your game?
1) Set the table. Decide exactly what you want. Clarity is essential. Write out your goals and objectives before you begin.
2) Plan every day in advance. Think on paper. Every minute you spend in planning can save you five or ten minutes in execution.
3) Apply the 80/20 Rule to everything. Twenty percent of your activities will account for eighty percent of your results. Always concentrate your efforts on that top twenty percent.
4) Consider the consequences. Your most important tasks and priorities are those that can have the most serious consequences, positive or negative, on your life or work. Focus on these above all else.
5) Practice the ABCDE Method continually. Before you begin work on a list of tasks, take a few moments to organize them by value and priority so you can be sure of working on your most important activities.
6) Focus on key result areas. Identify and determine those results that you absolutely, positively have to get to do your job well, and work on them all day long.
7) The Law of Forced Efficiency. There is never enough time to do everything but there is always enough time to do the most important things. What are they?
8) Prepare thoroughly before you begin. Proper prior preparation prevents [piss] poor performance.
9) Do your homework. The more knowledgeable and skilled you become at your key tasks, the faster you start them and the sooner you get them done.
10) Leverage your special talents. Determine exactly what it is that you are very good at doing, or could be very good at, and throw your whole heart into doing those specific things very, very well.
11) Identify your key constraints. Determine the bottlenecks or chokepoints, internally or externally, that set the speed at which you achieve your most important goals and focus on alleviating them.
12) Take it one oil barrel at a time. You can accomplish the biggest and most complicated job if you just complete it one step at a time.
13) Put the pressure on yourself. Imagine that you have to leave town for a month and work as if you had to get all your major tasks completed before you left.
14) Maximize your personal powers. Identify your periods of highest mental and physical energy each day and structure your most important and demanding tasks around these times. Get lots of rest so you can perform at your best.
15) Motivate yourself into action. Be your own cheerleader. Look for the good in every situation. Focus on the solution rather than the problem. Always be optimistic and constructive.
16) Practice creative procrastination. Since you can’t do everything, you must learn to deliberately put off those tasks that are of low value so that you have enough time to do the few things that really count.
17) Do the most difficult task first. Begin each day with your most difficult task, the one task that can make the greatest contribution to yourself and your work, and resolve to stay at it until it is complete.
18) Slice and dice the task. Break large, complex tasks down into bite sized pieces and then just do one small part of the task to get started.
19) Create large chunks of time. Organize your days around large blocks of time where you can concentrate for extended periods on your most important tasks.
20) Develop a sense of urgency. Make a habit of moving fast on your key tasks. Become known as a person who does things quickly and well.
21) Single-handle every task. Set clear priorities, start immediately on your most important task, and then work without stopping until the job is 100% complete. This is the real key to high performance and maximum personal productivity.
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