- The Leadership Role
- The Company's Financial Security
- Delegation of Jobs to Specific Employees or Groups
In a perfect world, Roberto commented, everything would fall into one of these three categories. This is the same brilliant simplicity that you see used by Warren Buffett in his KISS philosophy - short for keep it simple stupid.
Simplicity is the most important key if you want to get ahead. The great fortunes are often built on one or two really good, big ideas. Sam Walton's Wal-Mart was all about delivering goods at a lower price with lower costs and increased volume. It was revolutionary at the time. Disney was about creating great content in animation that was on par with films in main stream cinema. Berkshire Hathaway is about sourcing low-cost capital through insurance subsidiaries and putting it to work in a tax-advantaged way in high-quality businesses that earn big returns on capital. You need to know your central, organizing ethos if you are going to be successful. Otherwise, you will go around reacting to everything all day, accomplishing little but maintenance.
