Idea Almanac

Daily update on new ideas and books so that you can grow each day

February 19, 2022

“Another profitability measure used in companies is the operating profit margin (or operating margin for short). It can provide insights into a company’s operating efficiency and pricing strategy. By dividing the operating income by revenue it measures the proportion of revenue that remains after deducting the costs of operating the business, including costs for labour, raw material, overhead, depreciation, amortisation, selling, advertising, admin, etc.). Because operating income includes only the sales revenue from regular business operations (and not revenues from extraordinary items, taxes, and interest on long-term liabilities), the ratio provides an insight into the profitability of sales generated from regular operations of the business.”

Excerpt From: Bernard Marr. “Key Performance Indicators (KPI): The 75 measures every manager needs to know .”

February 17, 2022

The word ‘aptitude’ is often misused to mean ability or achievement, and in the context of psychometric testing aptitude may be regarded as just another way of referring to specific ability. There is, however, a subtle technical difference between the three words ‘achievement’, ‘ability’ and ‘aptitude’, which can be distinguished as follows:

Achievement ^ what you have accomplished in the past.

Ability ^ what you are able to demonstrate in the present.

Aptitude ^ how quickly or easily you will be able to learn in the future.

The Complete Book of Intelligence Tests: 500 Exercises to Improve, Upgrade and Enhance Your Mind Strength: 8 (The IQ Workout Series)

February 13, 2022

“And ring it does, not because McKinsey sells, but because McKinsey markets. It does this in several different ways, all of them designed to make sure that on the day a senior executive decides she has a business problem, one of the first calls she makes is to the local office of McKinsey. The Firm produces a steady stream of books and articles, some of them extremely influential, such as the famous In Search of Excellence by Peters and Waterman.* McKinsey also publishes its own scholarly journal, The McKinsey Quarterly, which it sends gratis to its clients, as well as to its former consultants, many of whom now occupy senior positions at potential clients. ”

Excerpt From: Ethan M. Rasiel. “The McKinsey Way.”

February 12, 2022

Value is created through internal business processes. The financial and customer perspectives in strategy maps and Balanced Scorecards describe the outcomes, that is, what the organization hopes to achieve: increases in shareholder value through revenue growth and productivity improvements; increases in the company’s share of customers’ spending through customer acquisition, satisfaction, retention, loyalty, and growth.

Strategy Maps: Converting Intangible Assets into Tangible Outcomes

February 10, 2022

“Imagine that you are coming into this world as an energy being. You’ve just completed your conversations at the Cosmic Bus Stop and boarded the bus. The next thing you know, you land hard and just kind of splat. Your energy disperses in all directions and you become a fragmented version of your original self, losing all bearings for navigating your new world. You have a case of “cosmic amnesia”—you don’t know who you really are. Without a sense of your true identity, you can only orient yourself by what you encounter here on the physical plane, so you develop a new or false self. In an attempt to make sense of your life as you are now experiencing it, your mind writes stories about why you feel lost, who made you that way, and what your circumstances mean about you, others, and the world. These stories, which become the mind’s beliefs, are limiting compared with the truth of your essential nature.”

Excerpt From: Sue Morter. “The Energy Codes.”

February 8, 2022

“How does the world get from one powered by fossil fuels to one that runs entirely on energy from the wind, sun, earth’s heat, and water’s movement? Part of the answer is biomass energy generation. It is a “bridge” solution from status quo to desired state—imperfect, riddled with caveats, and probably necessary. Necessary because biomass energy can produce electricity on demand, helping the grid meet predictable changes in load and complementing variable sources of power, like wind and solar. Biomass can aid the shift away from fossil fuels and buy time for flexible grid solutions to come online, while utilizing wastes that might otherwise become environmental problems. In the near-term, substituting biomass for fossil fuels can prevent carbon stocks in the atmosphere from rising.”

Excerpt From: Paul Hawken. “Drawdown: The Most Comprehensive Plan Ever Proposed to Reverse Global Warming.”

February 7, 2022

“Have you ever been bitten by an elephant? How about a mosquito? It’s the little things in life that will bite you. For most of us, it’s the frequent, small, and seemingly inconsequential choices that are of grave concern. I’m talking about the decisions you think don’t make any difference at all. It’s the little things that inevitably and predictably derail your success. Whether they’re bone-headed maneuvers, no-biggie behaviors, or are disguised as positive choices (those are especially insidious), these seemingly insignificant decisions can completely throw you off course because you’re not mindful of them. You get overwhelmed, space out, and are unaware of the little actions that take you way off course. The Compound Effect works, all right. It always works, remember? But in this case it works against you because you’re doing… you’re sleepwalking.”

Excerpt From: Darren Hardy. “The Compound Effect.

February 6, 2022

“I’m not sure how high it would have gone but I do know that it only takes two people to push up the price at an auction. Most of the people in the room didn’t bid at all and very few people bid beyond £1,500. But that doesn’t matter. When the supply is “one” and there are “two” who want it, then that price keeps going up. Two people who desire something is enough to oversubscribe the one person who has it. The price keeps going up until one entity gives in.
When Facebook purchased cross-platform mobile messaging app WhatsApp for $19 billion, the number seemed ridiculous to almost everyone on the planet – except one other bidder. Google was the other company who wanted to buy WhatsApp and the two rival companies bid the price into the stratosphere. ”

Excerpt From: Daniel Priestley. “Oversubscribed: How to Get People Lining up to do Business with You.”

February 4, 2022

“As we’ve already seen, the easiest way to free ourselves from the endless wheel of nonstop thinking is by learning the practice of mindful breathing. We breathe all the time, but we rarely pay attention to our breathing. We rarely enjoy our breathing. A mindful breath is the treat you get to enjoy when you’re giving all your attention to your in-breath and out-breath for the full length of that inhalation and exhalation. If you pay attention as you breathe, it’s as though all the cells in your brain and in the rest of your body are singing the same song.”

Excerpt From: Thich Nhat Hanh. “Silence.”

February 3, 2022

“Dream a little. If you have time left, spend some time dreaming a bit about what you’d like to see happen. In an ideal world, how would you spend your days, what kinds of opportunities would you have, and who would you interact with? Are there latent dreams or ambitions that you’ve allowed to fall to the side that you need to pick up, dust off, and begin acting on? Are there any items that you would add to the “before I die” wall that you’ve been neglecting because you simply didn’t know where to begin? If something comes to mind every day as you engage in this exercise, then it’s something to pay attention to.”

Excerpt From: Todd Henry. “Die Empty.”