$100M CEO: “How to make the HARD decisions that change your life”
Summary
- We're one decision away from dramatically altering our lives, for good or for bad.
- Decisions, particularly irreversible ones with long-term consequences, require careful thought and analysis.
- Emotions heavily influence decisions, so it's crucial to recognize and manage their impact.
- To mitigate emotional influence on decision-making:
- Ensure well-restedness before making significant decisions.
- Be well-fed to prevent stress and improve emotional resilience.
- Create physical distance from everyday environments that may bias your thinking.
- Approach decisions from a mindset of needing nothing, embodying a state of abundance.
- Rational decision-making leads to a smoother life, as emotional, rushed, or irreversible decisions often cause regret.
- To make sound decisions, rest well, eat properly, separate yourself from daily anchors, and operate from a place of abundance.
Video
How To Take Action
I would suggest implementing these steps to make better decisions:
Rest Well: You must be fully rested. Wait for a day when you feel fresh, like you slept really well. Big choices need a clear mind.
Eat Right: Make sure to eat properly before deciding. Your brain works better when you're not hungry and you can handle stress easier.
Create Distance: Take yourself out of your normal routine and space. Go somewhere different, like on a mini-vacation, or just a new room. This helps you think without the usual distractions.
- Need Nothing Mindset: Pretend like you don't need anything to be happy. You already have it all. This makes you think about choices without feeling like you must have a certain outcome.
If you're about to make a decision, wait until you've got these four things checked off:
- You slept like a champ.
- You ate a good meal.
- You're somewhere new or different.
- You feel like you're okay no matter what happens.
With these steps, you won't rush, and you'll think more clearly. Rushing can make you mess up, especially with big, life-changing choices. This way, you're more likely to do what's really best for you in the long run.
Quotes by Alex Hormozi
"We're one decision away from changing our life forever"
– Alex Hormozi
"Learning to make the decisions is an important concept"
– Alex Hormozi
"If a decision is irreversible, and has downstream consequences, then those are the ones that I take more time to analyze"
– Alex Hormozi
"Mistakes love a rush decision"
– Alex Hormozi
"The key to make as rational of a decision as you possibly can is to not care about the outcome either way"
– Alex Hormozi
Full Transcript
in the past nine months i've had to make a number of decisions that had a nine-figure ramification on my personal net worth and what i want to walk you through is the actual decision-making framework or process that i used to create those and so if you're new to the channel my name is doctor mosey i own acquisition.com it's a portfolio of companies that does about 85 million a year all right i make these videos because a lot of people broke and i don't want you going all right so one of the important i mean the most important things that we have in our lives are our decisions right and one of the things that i live by is that we're one decision away from changing our life forever right you're one decision away from drinking and getting killed in a car car accident you're one decision away from you know cheating on your spouse and destroying your marriage you know you're one one terrible comment away from destroying your child right and you're also one decision away from destroying your business if you so chose so decisions are the wellspring of life or at least the the train track uh splits uh of where we're going to end up all right learning to make the decisions is an important concept but believe it or not for this video what i want to focus on is actually the environment under which to make the decision during this process one of the things that was very frustrating for me and this decision took me about 12 months to make and i'll make i'll explain what the decision wasn't in another video in the future but it's safe to say like it was it was a hugely impactful decision in my life financially and otherwise one of the difficulties that i was having is that the information that i had was not changing and yet my decision of which way to go continued to falter alright so i kept ping-ponging back and forth and back and forth and back and forth and so i was like it's not my decision-making process right and the data that i have to make this decision is unchanging and yet at different days i would have different outcomes which to me is big red flag danger alert in terms of like the the um a leading indicator of a bad decision mind you as a quick caveat to this this is not how you need to make all the decisions in your life i would say that you should find and use this process for the most important decisions you make in your life who are you going to marry where are you going to live what are you going to work on right what are you going like those are the decisions are we going to make this big strategic change in our business those are big irreversible decisions and that's the key for me is that if a decision is irreversible comma and has downstream consequences then those are the ones that i take more time to analyze all right now here's the here's the the piece that i was missing in my equation for making these decisions which i want to share with you all right one of the key pieces of how we decide is the brain chemistry that is going on so whether you have lots of dopamine lots of serotonin that are circling around in your brain will ultimately affect how you make decisions believe it or not we are 100 emotional decision makers the thing is is what we want to do is control the extent to which the emotions control our decisions all right that's the key point here if you don't acknowledge that emotions weigh into all of your decisions even your quote rational ones you are lost all right what you can do is first identify when you are feeling emotional and a lot of guys feel like this this is like a fufu turn if you're angry it's emotional if you're insecure that's emotional like there are other emotions besides being a pansy if you have emotions it decreases the speed that you make decisions and mistakes love a rush decision you can say it with me mistakes love a rush decision it's one of the credos that layla and i live by the environment under which we make this decision is important now we have to acknowledge the biases that we have here is where emotions get even worse you have two biases that you have to fight against one is confirmation bias which is your emotional soup in your brain is going to say this is what i want because this is how i feel safe then your logical brain will search out reasons or data to support that thing right it's like making an argument to yourself the problem is you may change your argument but it's not going to change reality which means that the decision can be good or bad based on the soup that we started as the previous position towards how we're going to gather data second is conviction bias which is how convicted am i in this thing or this decision the more you believe in it or the more you want the positive outcome to occur the more you will purposefully blind yourself because you want to save your ego and how you feel about yourself because you it makes you feel good to think about this positive outcome but it does not affect the percentage likely that it actually occurs in the real world which is why you see other people because you can be rational about others you see other people make these terrible decisions and you think yourself why on god's earth would they make those decisions when in reality that person is you and it's other people who are looking at you this is how i have learned to help mitigate or decrease the emotional impact or the impact that my emotions have on my decision-making process so that i can at least be as rational as i can possibly be and operate from these stance that will benefit my self in the highest degree in the long run so here's what it is number one is that i make sure that i am well rested when i make the decision so if i didn't have like a really good night's sleep like everybody knows like there's like normal sleep there's bad sleep there's like decent sleep but i'm talking like you wake up like a newborn child i recognize those days and i joke with layla about it cause i'm like man i slept like a like a cherub last night like if you've got so many big decisions i'm like let's let's make them now because i feel completely clear all right so number one very very good sleep number two and this may sound [ __ ] obvious but people don't do this right number two is to be well fed all right when we are well fed our serotonin levels our dopamine levels etc all get elevated in our body all right like you feel better after you eat and here's a fun one for you your body interprets stress both physical and emotional the same way it's a cortisol response and so you in a very real way when you eat more are more stress tolerant it's why people do it it's why people stress you because you do cope and make yourself more resilient to stress when you eat more so i'm not saying you do this all the time but if you're going to make a big decision you want to make sure that you are well fed and well rested all right and what we're doing here is we're trying to decrease the anxieties and the stressors and the noise that normally will confound the decision-making process because they'll start triggering emotions that will then force you to start finding and nitpicking different data points to then make a supposedly rational decision that is wrong and that it's there to protect your ego rather than what is going to serve you best in the long run and the third piece of the environment that i try and create is if i can i try and get space away from the day-to-day activities that i have so be that a vacation or literally just removing yourself from the normal space where you operate and because those spaces have anchors in your mind that you have made decisions in the past you have you have emotional occurrences that have happened in the room or at the desk that you work at and so you have these anchorings that are around you and you want to remove yourself from those things so that you can have as few outside influences on the decision as you possibly can now here's the trick is that once you ex once you create this environment right you want to make the decision from a place of needing nothing and so the definition of abundance is having everything you need which the corollary or the reverse of that is to need nothing else is to have enough and so when you have enough you will not need this decision to get you anything at all and so the key to make as rational of a decision as you possibly can is to not care about the outcome either way and to realize that you already have everything you need or want and so if you have everything you want and you're well rested and you're well fed and you're surrounded by the people that you love and you realize the things that are important in life all of a sudden it will approach it will help you appropriately weigh the decision that you were trying to make and so i don't know if anyone here who is listening to this has an important decision that they must make but these are the four steps number one rest number two eat number three separate number four operate from a place of needing nothing and when you have those four frames that are stacked on top of each other they can disinhibit to a great degree the extent to which your emotions will influence your decisions they still will but ideally secondarily so or at a at a lower percentage of influence and so it gives us just enough room to peak our heads again above our emotional cloud and make a decision that's truly rational and when we make more rational decisions we might we live a much easier life all right i'll say that firsthand a lot of the decisions i made in my past that were based on emotions ended up really budding me in the ass especially when i had lots of emotions and i acted really quickly in large ways against irreversible decisions great recipe for a terrible life so the opposite of that if we're trying to use charlie munger's inversion process is how would i make a terrible decision i wouldn't be well-rested i'd be hungry uh i would be rushed right i'd be i'd be i'd be anchored around all the things that stressed me out and i would make sure that i was operating from place of having to have the thing and so we look at those things and we reverse them all to stack in our favor so that we can have the best possible decision and so mostly nation i love you all keep being awesome and i'll see you guys in the next video bye
