Think And Grow Rich (1937 Edition)

ORGANIZED PLANNING – THE CRYSTALLIZATION OF DESIRE INTO ACTION

You have learned that everything man creates or acquires, begins in the form of DESIRE, that desire is taken on the first lap of its journey, from the abstract to the concrete, into the workshop of the IMAGINATION, where PLANS for its transition are created and organized.

In Chapter Two, you were instructed to take six definite, practical steps, as your first move in translating the desire for money into its monetary equivalent. One of these steps is the formation of a DEFINITE, practical plan, or plans, through which this transformation may be made. You will now be instructed how to build plans which will be practical, viz:-

(a)  Ally yourself with a group of as many people as you may need for the creation, and carrying out of your plan, or plans for the accumulation of money-making use of the ‘Master Mind’ principle described in a later chapter. (Compliance with this instruction is absolutely essential. Do not neglect it.)

(b)  Before forming your ‘Master Mind’ alliance, decide what advantages, and benefits, you  may offer the individual embers of your group, in return for their cooperation. No one will work indefinitely without some form of compensation. No intelligent person will either request or expect another to work without adequate compensation, although this may not always be in the form of money.

(c)  Arrange to meet with the members of your ‘Master Mind’ group at least twice a week, and more often if possible, until you have jointly perfected the necessary plan, or plans for the accumulation of money.

(d)  Maintain PERFECT HARMONY between yourself and every member of your ‘Master Mind’ group. If you fail to carry out this instruction to the letter, you may expect to meet with failure. The ‘Master Mind’ principle cannot  obtain where PERFECT HARMONY does not prevail.

Keep in mind these facts:-

First. You are engaged in an undertaking of major importance to you. To be sure of success, you must have plans which are faultless.

Second. You must have the advantage of the experience, education, native ability and imagination of other minds. This is in harmony with the methods followed by every person who has accumulated a great fortune.

No individual has sufficient experience, education, native ability, and knowledge to insure the accumulation of a great fortune, without the cooperation of other people. Every plan you adopt, in your endeavor to accumulate wealth, should be the joint creation of yourself and every other member of your ‘Master Mind’ group. You may originate your own plans, either in whole or in part, but SEE THAT THOSE PLANS ARE CHECKED, AND APPROVED BY THE MEMBERS OF YOUR ‘MASTER MIND’ ALLIANCE.

If the first plan which you adopt does not work successfully, replace it with a new plan, if this new plan fails to work, replace it, in turn with still another, and so on, until you find a plan which DOES WORK. Right here is the point at which the majority of men meet with failure, because of their lack of PERSISTENCE in creating new plans to take the place of those which fail.

The most intelligent man living cannot succeed in accumulating money-nor in any other undertaking-without plans which are practical and workable. Just keep this fact in mind, and remember when your plans fail, that temporary defeat is not permanent failure. It may only mean that your plans have not been sound. Build other plans. Start all over again.

Thomas A. Edison ‘failed’ ten thousand times before he perfected the incandescent electric light bulb. That is-he met with temporary defeat ten thousand times, before his efforts were crowned with success.

Temporary defeat should mean only one thing, the certain knowledge that there is something wrong with your plan. Millions of men go through life in misery and poverty, because they lack a sound plan through which to accumulate a fortune.

Henry Ford accumulated a fortune, not because of his superior mind, but because he adopted and followed a PLAN which proved to be sound. A thousand men could be pointed out, each with a better education than Ford’s, yet each of whom lives in poverty, because he does not possess the RIGHT plan for the accumulation of money.

Your achievement can be no greater than your PLANS are sound. That may seem to be an axiomatic statement, but it is true. Samuel Insull lost his fortune of over one hundred million dollars.

The Insull fortune was built on plans which were sound. The business depression forced Mr. Insull to CHANGE HIS PLANS; and the CHANGE brought ‘temporary defeat,’ because his new plans were NOT SOUND. Mr. Insull is now an old man, he may, consequently, accept ‘failure’ instead of ‘temporary defeat,’ but if his experience turns out to be FAILURE, it will be for the reason that he lacks the fire of PERSISTENCE to rebuild his plans.

No man is ever whipped, until he QUITS – in his own mind. This fact will be repeated many times, because it is so easy to ‘take the count’ at the first sign of defeat.

James J. Hill met with temporary defeat when he first endeavored to raise the necessary capital to build a railroad from the East to the West, but he, too turned defeat into victory through new plans.

Henry Ford met with temporary defeat, not only at the beginning of his automobile career, but after he had gone far toward the top. He created new plans, and went marching on to financial victory.

We see men who have accumulated great fortunes, but we often recognize only their triumph, overlooking the temporary defeats which they had to surmount before ‘arriving’.

NO FOLLOWER OF THIS PHILOSOPHY CAN REASONABLY EXPECT TO ACCUMULATE A FORTUNE WITHOUT EXPERIENCING ‘TEMPORARY DEFEAT.’ When defeat comes, accept it as a signal that your plans are not sound, rebuild those plans, and set sail once more toward your coveted goal. If you give up before your goal has been reached, you are a ‘quitter.’

A QUITTER NEVER WINS, AND A WINNER NEVER QUITS

Lift this sentence out, write it on a piece of paper in letters an inch high, and place it where you will see it every night before you go to sleep, and every morning before you go to work.

When you begin to select members for your ‘Master Mind’ group, endeavor to select those who do not take defeat seriously. Some people foolishly believe that only MONEY can make money. This is not true! DESIRE, transmuted into its monetary equivalent, through the principles laid down here, is the agency through which money is ‘made.’ Money, of itself, is nothing but inert matter. It cannot move, think, or talk, but it can ‘hear’ when a man who DESIRES it, calls it to come!

PLANNING THE SALE OF SERVICES

The remainder of this chapter has been given over to a description of ways and means of marketing  personal services. The information here conveyed will be of practical help to any person having any form of personal services to market, but it will be of priceless benefit to those who aspire to leadership in their chosen occupations.

Intelligent planning is essential for success in any undertaking designed to accumulate riches. Here will be found detailed instructions to those who must begin the accumulation of riches by selling personal services.

It should be encouraging to know that practically all the great fortunes began in the form of compensation for personal services, or from the sale of IDEAS. What else, except ideas and personal services, would one not possessed of property have to give in return for riches?

Broadly speaking, there are two types of people in the world. One type is known as LEADERS, and the other as FOLLOWERS. Decide at the outset whether you intend to become a leader in your chosen calling, or remain a follower. The difference in compensation is vast. The follower cannot reasonably expect the compensation to which a leader is entitled, although many followers make the mistake of expecting such pay.

It is no disgrace to be a follower. On the other hand, it is no credit to remain a follower. Most great leaders began in the capacity of followers. They became great leaders because they were INTELLIGENT FOLLOWERS. With few exceptions, the man who cannot follow a leader intelligently, cannot become an efficient leader. The man who can follow a leader most efficiently, is usually the man who develops into leadership most rapidly. An intelligent follower has many advantages, among them the OPPORTUNITY TO ACQUIRE KNOWLEDGE FROM HIS LEADER.

THE MAJOR ATTRIBUTES OF LEADERSHIP

The following are important factors of leadership:-

1. UNWAVERING COURAGE based upon knowledge of self, and of one’s occupation. No follower wishes to be dominated by a leader who lacks self-confidence and courage. No intelligent follower will be dominated by such a leader very long.

2. SELF-CONTROL. The man who cannot control himself, can never control others. Self-control sets a mighty example for one’s followers, which the more intelligent will emulate.

3.  A KEEN SENSE OF JUSTICE. Without a sense of fairness and justice, no leader can command and retain the respect of his followers.

4.  DEFINITENESS OF DECISION. The man who wavers in his decisions, shows that he is not sure of himself. He cannot lead others successfully.

5.  DEFINITENESS OF PLANS. The successful leader must plan his work, and work his plan. A leader who moves by guesswork, without practical, definite plans, is comparable to a ship without a rudder. Sooner or later he will land on the rocks.

6.  THE HABIT OF DOING MORE THAN PAID FOR. One of the penalties of leadership is the necessity of willingness, upon the  part  of  the  leader,  to  do  more  than  he  requires  of  his followers.

7.  A PLEASING PERSONALITY. No slovenly, careless person can become a successful leader. Leadership calls for respect. Followers will not respect a leader who does not grade high on all of the factors of a Pleasing Personality.

8.  SYMPATHY AND UNDERSTANDING. The successful leader must be in sympathy with his followers. Moreover, he must understand them and their problems.

9.  MASTERY OF DETAIL. Successful leadership calls for mastery of details of the leader’s position.

10. WILLINGNESS TO ASSUME FULL RESPONSIBILITY. The successful leader must be willing to assume responsibility for the mistakes and the shortcomings of his followers. If he tries to shift this responsibility, he will not remain the leader. If one of his followers makes a mistake, and shows himself incompetent, the leader must consider that it is he who failed.

11.  COOPERATION. The successful leader must understand, and apply the principle of cooperative effort and be able to induce his followers to do the same. Leadership calls for POWER, and power calls for COOPERATION.  There are two forms of Leadership. The first, and by far the most effective, is LEADERSHIP BY CONSENT of, and with the sympathy of the followers. The second is LEADERSHIP BY FORCE, without the consent and sympathy of the followers.

History is filled with evidences that Leadership by Force cannot endure. The downfall and disappearance of ‘Dictators’ and kings is significant. It means that people will not follow forced leadership indefinitely.

The world has just entered a new era of relationship between leaders and followers, which very clearly calls for new leaders, and a new brand of leadership in business and industry. Those who belong to the old school of leadership-by-force, must acquire an understanding of the new brand of leadership (cooperation) or be relegated to the rank and file of the followers. There is no other way out for them.

The relationship of employer and employee, or of leader and follower, in the future, will be one of mutual cooperation, based upon an equitable division of the profits of business. In the future, the relationship of employer and employee will be more like a partnership than it has been in the past.

Napoleon, Kaiser Wilhelm of Germany, the Czar of Russia, and the King of Spain were examples of leadership by force. Their leadership passed. Without much difficulty, one might point to the prototypes of these ex-leaders, among the business, financial, and labor leaders of America who have been dethroned or slated to go. Leadership-by-consent of the followers is the only brand which can endure!

Men may follow the forced leadership temporarily, but they will not do so willingly.

The new brand of LEADERSHIP will embrace the eleven factors of leadership, described in this chapter, as well as some other factors. The man who makes these the basis of his leadership, will find abundant opportunity to lead in any walk of life. The depression was prolonged, largely, because the world lacked LEADERSHIP of the new brand. At the end of the depression, the demand for leaders who are competent to apply the new methods of leadership has greatly exceeded the supply. Some of the old type of leaders will reform and adapt themselves to the new brand of leadership, but generally speaking, the world will have to look for new timber for its leadership. This necessity may be your OPPORTUNITY!

THE 10 MAJOR CAUSES OF FAILURE IN LEADERSHIP

We come now to the major faults of leaders who fail, because it is just as essential to know WHAT NOT TO DO as it is to know what to do.

1. INABILITY TO ORGANIZE DETAILS. Efficient leadership calls for ability to organize and to master details. No genuine leader is ever ‘too busy’ to do anything which may be required of him in his capacity as leader. When a man, whether he is a leader or follower, admits that he is ‘too busy’ to change his plans, or to give attention to any emergency, he admits his inefficiency. The successful leader must be the master of all details connected with his position. That means, of course, that he must acquire the habit of relegating details to capable lieutenants.

2. UNWILLINGNESS TO RENDER HUMBLE SERVICE. Truly great leaders are willing, when occasion demands, to perform any sort of labor which they would ask another to perform. ‘The greatest among ye shall be the servant of all’ is a truth which all able leaders observe and respect.

3. EXPECTATION OF PAY FOR WHAT THEY ‘KNOW’ INSTEAD OF WHAT THEY DO WITH THAT WHICH THEY KNOW. The world does not pay men for that which they ‘know.’ It pays them for what they DO, or induce others to do.

4. FEAR OF COMPETITION FROM FOLLOWERS. The leader who fears that one of his followers may take his position is practically sure to realize that fear sooner or later. The able leader trains understudies to whom he may delegate, at will, any of the details of his position. Only in this way may a leader multiply himself and prepare himself to be at many places, and give attention to many things at one time. It is an eternal truth that men receive more pay for their ABILITY TO GET OTHERS TO PERFORM, than they could possibly earn by their own efforts. An efficient leader may, through his knowledge of his job and the magnetism of his personality, greatly increase the efficiency of others, and induce them to render more service and better service than they could render without his aid.

5. LACK OF IMAGINATION. Without imagination, the leader is incapable of meeting emergencies, and of creating plans by which to guide his followers efficiently.

6. SELFISHNESS. The leader who claims all the honor for the work of his followers, is sure to be met by resentment. The really great leader CLAIMS NONE OF THE HONORS. He is contented to see the honors, when there are any, go to his followers, because he knows that most men will work harder for commendation and recognition than they will for money alone.

7. INTEMPERANCE. Followers do not respect an intemperate leader. Moreover, intemperance in any of its various forms, destroys the endurance and the vitality of all who indulge in it.

8. DISLOYALTY. Perhaps this should have come at the head of the list. The leader who is not loyal to his trust, and to his associates, those above him, and those below him, cannot long maintain his leadership. Disloyalty marks one as being less than the dust of the earth, and brings down on one’s head the contempt he deserves. Lack of loyalty is one of the major causes of failure in every walk of life.

9. EMPHASIS OF THE ‘AUTHORITY’ OF LEADERSHIP. The efficient leader leads by encouraging, and not by trying to instill fear in the hearts of his followers. The leader who tries to impress his followers with his ‘authority’ comes within the category of leadership through FORCE. If a leader is a REAL LEADER, he will have no need to advertise that fact except by his conduct-his sympathy, understanding, fairness, and a demonstration that he knows his job.

10. EMPHASIS OF TITLE. The competent leader requires no ‘title’ to give him the respect of his followers. The man who makes too much over his title generally has little else to emphasize. The doors to the office of the real leader are open to all who wish to enter, and his working quarters are free from formality or ostentation.

These are among the more common of the causes of failure in leadership. Any one of these faults is sufficient to induce failure. Study the list carefully if you aspire to leadership, and make sure that you are free of these faults.

SOME FERTILE FIELDS IN WHICH ‘NEW LEADERSHIP’ WILL BE REQUIRED

Before leaving this chapter, your attention is called to a few of the fertile fields in which there has been a decline of leadership, and in which the new type of leader may find an abundance of OPPORTUNITY.

First. In the field of politics there is a most insistent demand for new leaders; a demand which indicates nothing less than an emergency. The majority of politicians have, seemingly, become high-grade, legalized racketeers. They have increased taxes and debauched the machinery of industry and business until the people can no longer stand the burden.

Second. The banking business is undergoing a reform. The leaders in this field have almost entirely lost the confidence of the public. Already the bankers have sensed the need of reform, and they have begun it.

Third. Industry calls for new leaders. The old type of leaders thought and moved in terms of dividends instead of thinking and moving in terms of human equations! The future leader in industry, to endure, must regard himself as a quasi-public official whose duty it is to manage his trust in such a way that it will work hardship on no individual, or group of individuals. Exploitation of working men is a thing of the past. Let the man who aspires to leadership in the field of business, industry, and labor remember this.

Fourth. The religious leader of the future will be forced to give more attention to the temporal needs of his followers, in the solution of their economic and personal problems of the present, and less attention to the dead past, and the yet unborn future.

Fifth. In the professions of law, medicine, and education, a new brand of leadership, and to some extent, new leaders will become a necessity. This is especially true in the field of education. The leader in that field must, in the future, find ways and means of teaching people HOW TO APPLY the knowledge they receive in school. He must deal more with PRACTICE and less with THEORY.

Sixth. New leaders will be required in the field of Journalism. Newspapers of the future, to be conducted successfully, must be divorced from ‘special privilege’ and relieved from the subsidy of advertising. They must cease to be organs of propaganda for the interests which patronize their advertising columns. The type of newspaper which publishes scandal and lewd pictures will eventually go the way of all forces which debauch the human mind.

These are but a few of the fields in which opportunities for new leaders and a new brand of leadership are now available. The world is undergoing a rapid change. This means that the media through which the changes in human habits are promoted, must be adapted to the changes. The media here described, are the ones which, more than any others, determine the trend of civilization.