Saturday, March 23, 2013

Can you be the best at all these jobs

In a NBA basketball team there are 2 guards - 2 forwards - and a center.  Behind the scenes in the franchise there are countless of people who make help make the product.  Micheal Jordan was quite exceptional and probably the best guard/forward and even center that ever played the game.  Today he is the Charlotte Bobcats' Owner/GM and the team sucks. I'm not going to make a strong argument for specializing and utilizing your skills the best way possible because we have heard that one before.  Here are some businesses and some of the sub jobs of each.

Farming:

Seed procurement, soil prepping, planting, watering infrastructure, watering, fertilizer procurement, fertilizing, harvesting, marketing.

Real Estate:

Bird dogging, whole seller, real estate agent, home inspecting, mortgage broker, hard money lender, lawyer, tax accountant, property management, contractor, landscaper, locksmith, electrician, windows guy, escrow, title company, insurance agent, mentor, administration, banker.

It is through my experience that for the franchise/business to be successful you need to have some sort of competitive advantage in one or a few of the sub jobs.  You can even quantify this by beating the market 3-6+% in a category for example if you are good at taxes you have the ability to save taxes and augment you future buying power by 3 or more percent.  If you are good at installing roofs you can save yourself a lot when its time to redo your roof every 20 years.

Is it more effective to play all the positions or spend your time creating a team of consistent 1% out performers?

You don't win a Roto Fantasy sports league by winning all the categories nor not being last in any one.  You win with the sum of all the parts.

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