Tag: Career Opportunities

The 95:5 Rule

The 95:5 rule

Have you heard of the 95:5 Rule? Based on research by Professor John Dawes, this rule states that at any given time, only about 5% of buyers are actively in-market for a particular product category. The remaining 95% represent future buyers who will enter the market when the need arises.

But what does this have to do with your career? Turns out, quite a bit.

Think of your career journey like a long hike. At any given point, you’re actively exploring a small number of opportunities – maybe 5% of what’s out there. These could be new roles within your company, a promotion you’re chasing, or skills you’re actively developing. This is your “in-market” 5%.

However, the vast majority of potential paths are not yet on your immediate radar. They represent the 95% of future possibilities that will become relevant as your circumstances and goals evolve over time. Just like a hiker can’t see the entire trail at once, you can’t pursue every career option simultaneously.

To make the most of the 95:5 Rule in your career:

  1. Actively invest in the 5% – Give your full energy to the opportunities you’re currently pursuing. Whether it’s crushing your current role, learning a new skill, or interviewing for a dream job, be “in-market” with gusto.
  2. Keep an open mind to the 95% – Don’t get tunnel vision. Keep scanning the horizon for new possibilities, even if you’re not ready to pursue them yet. This could mean attending industry events, growing your network, or simply staying curious.
  3. Trust in the journey – Just like a hiker has faith that the trail will open up new vistas, trust that your 95% of future possibilities will become clearer with each career step. Each role, project, and connection is shaping your path.
  4. Regularly reassess – As the “in-market” 5% shifts, periodically reevaluate your career priorities. Are you still energized by your current focus? Is it time to bring some of that 95% forward into active exploration? Pausing for self-reflection keeps you agile.

By embracing the 95:5 Rule in your career, you can balance active pursuit with open-minded exploration. Focus on the most impactful 5% while trusting that the 95% will continue to reveal new opportunities as you grow. Your career hike may be long and winding, but it’s all part of the adventure.

Mastering the Delta

The world of work is in constant flux. With technology advancing at an unprecedented pace, skills once considered indispensable can quickly become obsolete. To stay ahead, it’s crucial to continually evolve, to have a “delta” that is always in positive territory. This concept inspired from Victor cheng, can be broken down into three fundamental levels: your career skills delta, your employer’s delta, and your industry’s delta.

The ideal situation in this fast-paced landscape is to maintain a hierarchy where your career skills delta surpasses your employer’s delta, which in turn surpasses your industry’s delta. Let’s delve into these concepts further:

Your Career Skills Delta

Your career skills delta is the rate at which you’re improving and gaining new skills compared to the rate at which your current skills are becoming obsolete. In other words, it’s the difference between the skills you’re gaining and the skills you’re losing.

It’s about adopting a growth mindset, seeking out learning opportunities, and actively pursuing professional development. This could mean attending workshops, pursuing additional qualifications, or simply staying abreast of the latest trends in your field.

The key is to ensure that your skills delta remains positive, that you’re always learning more than you’re forgetting or letting become outdated. This personal growth, in turn, allows you to bring new perspectives, ideas, and methods to your workplace, contributing to its success and your own.

Your Employer’s Delta

Your employer’s delta, on the other hand, is the rate at which your organization is evolving and improving its practices and processes compared to the rate at which its current practices are becoming outdated.

Companies that fail to innovate and adapt to changing circumstances risk being left behind. Those with a positive delta – who innovate faster than they become outdated – are in a much stronger position. They can retain talented staff, attract new talent, and stay competitive in the market.

As an employee, you want to be part of an organization that has a positive employer delta. This provides opportunities for growth and development, and allows you to apply and expand your own skill set.

Your Industry’s Delta

The industry’s delta is the rate of change in the industry as a whole, including the emergence of new technologies, shifts in consumer behavior, and regulatory changes. The industry’s delta can serve as a benchmark against which to measure your own delta and your employer’s delta.

Staying ahead of the industry’s delta requires vigilance and foresight. It involves keeping an eye on industry trends, understanding the implications of emerging technologies, and adapting to shifts in the market. This not only provides a competitive edge but also ensures you’re well-positioned to seize new opportunities as they arise.

The Ideal Ratio

The ideal ratio, therefore, is:

Your Career Skills Delta > Your Employer’s Delta > Your Industry’s Delta

This means you’re learning and evolving faster than your company and your industry. This puts you in an advantageous position, ready to seize new opportunities and face challenges head-on.

The key is to keep pushing yourself, to never stop learning and growing. When your personal skills delta is larger than your employer’s and your industry’s, you become an invaluable asset, a driving force behind your organization’s success, and a leader in your industry.

In conclusion, embracing the delta hierarchy allows you to stay one step ahead in a fast-paced world. By keeping your skills, your employer’s practices, and your industry’s changes in mind, you can ensure that you’re always in a position to succeed, no matter what the future brings. So, here’s to cultivating a high delta – and to a bright, dynamic future!