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Video 11 - Goal Mapping Part 2

This is the second "Goals" video, and at the end of the previous one, I left you with the checkpoint exercise to create your OG goal, your personal best, your dumb goal and one or more smart goals. And in this order: one, two, three, four.

How did you get on with that?
Just to give you a little bit of an insight into how I use this process, I’ll spend a few minutes going through my goal-setting process.

1) OG goal:

Mine was " I'm choosing to be a business owner” in the primary category of ‘career’- though there is also an overlap with the other vision areas.
But exactly how big a goal do I want to set here?
I know what I'm currently capable of doing in a job, working for someone else, in terms of earning potential, in terms of the number of hours I need to spend away from home and from the areas that I really want to focus on.

After some thinking of what is possible and what I see other people who are similar to me in ability doing, I’ve come up with this OG goal:

[01:55]
I choose to own a business that generates 100 million Japanese yen net annual recurring income.

It's almost like an affirmation, isn't it? I'm resident in Japan for tax purposes so at the end of the day, I'm going to see something in my bank account in Yen. To put this number into perspective, 100 million yen -- at an exchange rate of 119 yen to the dollar -- is about US$ 840,000 a year net income. That's a pretty big goal! How big it is, of course, depends on where my beliefs and expectations are set.

Currently, in terms of my own income earning potential and job, I know where I am, and I know it's a big step up, but that's why it's an OG goal. By achieving this goal, certain areas (of my life and the lives of others) will be positively impacted by that level of earning potential.

2) Personal Best Goal:

[04:30]
My starting personal best, if I'm quite honest with myself, is zero. In other words, revenue I’ve generated from my own business activities is zero!

If I put a coaching perspective on this and view myself as a ‘personal company’ whereby I have contracted my time and skills to an employer -- then of course I could say, "Well, I'm earning $ xxxx per month."

But I'm trying to break away from the mindset of selling my time and being dependent on someone else to tell me what to do, and to pay me.
So I'm going to say honestly, current reality shows “zero”. That means my personal best goal would be anything over zero. Even one yen. (A dime is roughly 10 yen). 10 yen would be a personal best. But it wouldn't be a very stretching personal best and it wouldn't actually pay very much in terms of bills or lifestyle or whatever.
So it's important to make it a little bit more demanding.

Therefore what I’ve decided to do is take that 100 million yen annual income OG goal, about US$ 840,000, and divide it by 365, the number of days in a year. That works out to be about Yen 273,972 net daily income for my OG goal. But what would that mean in terms of a ‘personal best’ goal?
Well, I'm a great percentages guy. In my running and in my corporate career, I know that if you can incrementally improve a percent at a time and keep that up, you can get there.

Certainly, you can get a lot closer, and you can see progress, and you can measure it on a regular and almost daily basis. Let’s take that OG goal of 273,972 yen - that's about $2,500 a day. If I divide that by 100, just 1% of that, it's 2,739 yen (20-something bucks a day.)
That sets my first personal best goal as 2,739 yen net profit per day.

That is tangible. That is reachable and the business is going to generate that daily, and predominantly in a passive manner. And when the personal best is exceeded the next target would be to make it 2% - making the next personal best to be 5,478 Yen net profit per day. In this case, I’m trying to increase the income by 1% in a reasonable time period.

3) Dumb Goal:

[09:02]
After you've created your OG goal and your PB goal, the dumb goal is actually almost a relief. There's less emphasis here on particular targets per day.

Remember, it's a doodle goal; you have unlimited time; there’s a madness element to it; and there's a best effort. Best effort means that I'm not going to go crazy and ruin my personal life or my relationship with my children or my wife with this dumb goal. Your dumb goal is something that you can find if you just look around you. In my case it came after I purchased an online course (The Lean Business System).

Kaizen”, if you're not familiar with it, is a Japanese continuous improvement technique, and this gentleman has a good blog and some interesting products on “lean business”.

And the connection here, the "Acres of Diamonds" approach, was that in my previous company, I had studied the "lean-sigma approach. I was aware of some of the continuous improvement and development processes or projects that large corporations often undertake and I'm thinking:

"Hey, I live in Japan. I see lots of examples of Japanese companies doing things. It's in the press here and it doesn't necessarily make it to the international press. Why don't I use what I know and see here, both in my own company and in the world around me in Japan, and kind of have fun with it? Apply it and the key lessons from Jim’s course in my own business?"

My dumb goal is to become aware of Kaizen improvements around me. I'm not going to go any further than that at this stage. I can modify the dumb goal once I get some experience with it. In my local supermarket, or at the bank or the train station - I can choose to become aware of how these improvements are made and why are they so good at what they're doing.

I can start to become aware of that information and I can make notes on it. (I'm going to use mind maps, by the way.) And some of these processes, I suspect, will morph into my own business. I will be able to use them in developing my own business.

How dumb is that? Everywhere I go now, I’ve got a pocketmod.com notepad in my pocket and I've got reason to be more aware of everything. I can pay attention to almost anything around me, and look for the Kaizen story in whatever I see, whatever I choose to focus on.

4) Smart Goals:

[13:42] If I'm going to achieve my OG goal then I'm going to have to break my personal best (duh!). That means I will create something in my business that is going to start generating net revenue.

I have decided to create one digital information product with five hours of work or better. That is a smart goal in my terminology. I haven't put a deadline on this particular smart goal. Some people are familiar with the power of deadlines. I could have said, "By the end of this month". But I know better in my case, because I have a limited amount of time to focus, and sometimes these deadlines get blown away.

In addition, there are other smart goals that will spin off from this product creation goal e.g. how to generate web traffic, how to write copy so that people are interested in it, how to provide customer service, how to collect the money. There is a whole army of smart goals. In fact, I could write at least ten more smart goals now that would fall out of this one. But I don't need to. I only need to get started.

This is a map you're creating here, it's a goal creation map, and depending on how big your piece of paper is, you can put more of these smart goals in. But it isn't necessary at the beginning.

For each category it's only necessary to identify your open goal, your personal best goal, one dumb goal and a number of smart goals. The smart goal I’ve got here is going to take most of the spare time that I want to devote to this particular project.

Checkpoint exercise

[18:08]
1) Write a separate description for your OG, PB, Dumb and Smart goals on the notes section of your map (software or paper).

2) Take each of the sentences in 1) above and reduce them to a single word. Then add each word (as a keyword) to the OG, PB, Dumb and Smart branches of your map.