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Retaining focus, investments and interest payments is a well-documented, applied and endorsed accelerator to financial growth, independence and ultimately to wealth. It is not a strategy limited to Omaha, the USA, an oracle, or Berkshire Hathaway. Nor does it depend on divine prophecy, insights, predictions and foresight.

What it takes is discipline, commitment, adherence, and a vision for the longer term.

The principles can and should be applied to the lifetime value of clients, customer service, relationships, business development, and life balance.

Doing the right things, doing them right, and equitably sharing the outcomes inevitably lead to compounding returns. Choose your adjective: increasing, enhancing, exponential or a host of others.

Disruptions and distractions are omnipotent, cascading and ongoing. Staying focused has its own rewards and requires effort, and, in many respects, denial. In business, sport and life, elite endeavours are demanding.

SYSTEMIC APPLICATIONS

Identifying, isolating, analysing, refining, implementing, standardising, maintaining, promoting and celebrating the underlying philosophies and practices is self-generating in terms of efficiency, effectiveness and productivity.

It is a three-phase process: input, process and output.

Select the people, ingredients, plan, systems, and context carefully.

Content is an essential part of the second phase, process. However, it alone will not ensure success, sustainability and viability. Cultures, beliefs, values and visions are substantive contributors.

Scalability is often overlooked, and therefore opportunities are forsaken. Changing perspectives is different to changing focus. They do unfold the scope.

Performance matrix project, enunciate and articulate what should be enjoyed by all.

For example, retained earnings can facilitate compound returns. Internally funded growth is relatively inexpensive and more controllable than external debt. So too retaining customers. They progressively become loyal and advocates. Retaining supply relationships, cooperative marketing initiatives, and joint purchasing packages are important because they have compounding effects on efficiency, costs of doing business, competitiveness, profitability, and ultimately viability.

Business life and politics are viewed through a range of common perspectives, filters and paradigms. Think cost-of-living crisis, AI (artificial intelligence), intrusions, technology, innovations and globalism. Put aside expectations and increasing dependence on government support and subsidies.

The consequences of compounding resource, capacities and capabilities provide for growth, development and independence.

LOOK FOR THE SIGN

James Carville, a Democrat political strategist, enabled Bill Clinton to win the 1992 Presidential election in the USA by constantly reiterating and ultimately placing a sign on the then-candidate’s campaign desk with seemingly immortal words:

“It’s the Economy, stupid”

There is much to think about and possibly gain from a parallel phrase:

“It’s Compounding, First and Forever”

It is power personified.