"Every street is paved with gold" has been divided into four parts totaling 52 chapters. In each chapter the author has highlighted a moral and has given useful suggestion with relevant examples. The book will go a long way in inspiring students and practicing businessperson to achieve their goals through hardwork and fervor. The book also shows how Kim combined his personal and business life and succeeded in them. It shows how an individual through his grit and resourcefulness can contribute to his country's economy as well as to the world economy, could help his country build diplomatic relationship with other countries and how his business could be used for social purpose. That the author's proceedings from this book are donated to the UNICEF gives an ample proof of his benevolent deeds.
The book highlights the author's simplicity of living and thoughts, his concern for society and his honesty, his hard working nature and the keen business sense in him. I believe that his personal beliefs and values led him from utter penury into which he was born to form the forty-fifth largest corporation on Earth. This book will help any management student and budding manager to appreciate the importance of hardwork, perseverance and sincerity towards the job. Right from the beginning of the book the need for hardwork, dedication and self-confidence hits upon us again and again.
The book starts with an introduction by Louis Kraar. Louis Kraar says that Kim personifies the drive and imagination that make East Asia a dynamic center for economic growth. This section presents the various business situations faced by Kim Woo-Choong. It also provides certain situation where Kim succeeded through sheer hardwork and relentless drive to make success of those situations. This section also highlights Kim's sense of sniffing business opportunities. To quote Kim "I can smell money everywhere."- Which justifies the name given to the book. In a sense Kim is a risk taker: He made investment worth $10 billion in civilian contracts in Libya. He started a project in Iran during the heights of Iran-Iraq war. However, it should be noted that Kim chose projects carefully. He undertook projects only if he were satisfied that any change in government would not affect his business.
Kim having built the forty-fifth largest corporation on Earth professes to have been inspired by the need to create big business that would help lift South Korea out of poverty. However, he has never accrued wealth for his personal benefits alone. Says Kim: "Daewoo is not something I can or will pass on to my family. I hope to be evaluated as a businessman who knew the difference between ownership and leadership." And indeed Kim has largely succeeded in his goal. South Korean per capita income has moved from a mere $75 in 1950s to $6000 now. He has contributed in the textile industry, shipbuilding, automobile, electronics and recently into aerospace products.
Kim's achievements in business and his contributions to society are acknowledged not only at home but also through out the world. He has been conferred honorary awards by government of Sudan, Pakistan, South Korea, and the US of A. He has donated a large part of his fortune to foundations for medical care, research in basic science and education. He has also helped the famine-stricken North Koreans by sending food grains across the borders.
Kim is known for his radical business thinking: he gave considerable autonomy to his executives whereas other companies were still controlled closely by the founding families; he was the first to divest his stakes in his company. He was known for honoring the commitment given to the customers even if it cost him fortune or his life.
One effective business technique emphasized in the book is the access to information. Another effective business technique highlighted is the proximity to political power centers.
The book also emphasizes the need for the CEO and the top executives of any company to have a feel of the front-line operations in the company. It says that it is important for the top executives to have a "feel and smell" of both hazards and opportunities in the business.
The book has been written in four sections comprising totally of fifty-two chapters. The first section is named "Dreaming".
DREAMING
- An artist who goes to the countryside to paint scenery looks only for good scenery. Someone who goes fishing always remembers the best places to fish. In the same way, an entrepreneur looks for ways to create new business wherever he goes - Kim.
History Belongs To Dreamers
"Dreams are the power for changing the world"
Kim, in this section says how his dreams were instrumental in his efforts to overcome the utter penury into which he was born. He also says that without dreams a person is like rudderless ship: he loses his direction and tosses about until he gets caught in the seaweed. The author also points out that a person with wrong kind of dreams and whose dreams does not go beyond the personal comfort of the present is as pathetic as a person and is in as much as danger as a person without dreams. Kim says that dreams make a person and it controls his personality, his work, and even his destiny.
Kim says that his dream to contribute to the social development of South Korea through corporate activity was the spark for the fire that stands today as Daewoo Corporation - the forty-fifth largest corporation on the face of earth.
My Philosophy of Life
"If there is only a one percent chance of success in a project, a true businessperson sees that one percent as the spark to light a fire"
In this chapter Kim urges the readers to have some philosophy in their life. To emphasize the point, he says how his philosophy of dedication, optimism, and hardwork has helped him in his business. Kim says that his optimism has been a great weapon and it has helped him in his business. He cites a few examples to demonstrate the extent of his optimism. - Once, fire broke out in the cabin of the plane in which he was travelling during takeoff. - Another time, the plane in which he was travelling had to make an emergency landing. In neither of the situation death crossed his mind. Kim considers critical situations as no more than a fleeting moment of danger and says that it is the essence of his optimism.
In this chapter, Kim has told something that would be useful for the people involved in business. He says that business is a kind of bloody fight. The bigger the business, the more fights the businessman have. If someone in business falls into despair and pessimistic in the process, then it is the end of his or her development. Kim considers abandonment as pessimism in action. He loathes people who abandon their business for fear of failure. To quote Kim - " When others start counting the impossibilities, I start counting the possibilities." He says that he confirms the possibilities and then quickly works on whatever can turn those possibilities into reality. He considers that pessimist have no credentials to be in business. However, to turn possibilities to realities, Kim says, dedication to work is essential. Work is my hobby
"No one who has pouted himself or herself into work has ever failed"
In this chapter, Kim emphasizes the importance of getting fully involved in the work what you do. He is strongly convinced that you are guaranteed success by pouring yourself into your work. He says that any thought like what on earth a workaholic would enjoy in life would come only from people who have never experienced the true joy of wok; from people who have never seen the true beauty of a person who pours himself/herself into something completely; from people who have never understood the beauty of a person completely absorbed in something; from people who have never experienced the utter joy that comes with accomplishment and fulfillment.
He feels sad when people consider work as a means to fill their stomach only. He says it is still sadder when people in the prime of their life, who should be filled with vitality, youth and ambition consider work as a nuisance.
Kim says that he cannot accept something as hobby if it were something you do to bid your time. He considers hobby as something that brings him satisfaction, joy and a sense of accomplishment. Kim advises businessperson to handle their work spontaneously and take a hobby-like businessperson to handle their work spontaneously and take a hobby-like joy in it.
It is a big world out there
"To pioneers, the world is a big place, and there is unlimited work to do."
In this chapter, Kim talks about the kind of people who would be successful. He says that people who are ready to tread into unexpected path, people who get involved into the job completely, people who take failure into their stride and consider failure as stepping stone to success would prove successful. He further says that because of their pioneering spirit these people are vulnerable to criticism. Danger and criticism do not deter real pioneers; they forge ahead making new paths and in the end they are praised for what they have done.
Kim's opinion is that there is a big world out there for people who are ready to walk into unfamiliar paths and do new things. He says, for people who only want to walk familiar path and do familiar things, the world is a narrow and limited place to live in.
The creative minority "Don't be fooled by numbers: they inform only of quantity, and this is a major limitation. If you have one hundred pigs and one person, the numbers tell you that it is one hundred to one. Numbers deceive: they can't tell you the strength of the minority."
Kim, in this chapter talks about the people who have contributed to the development of the society, nation and of the mankind. He says that it is a minority group of people who are creative and who contribute to the welfare of the society, nation and of the mankind. He urges the reader to be a part of this creative minority group that leads the people rather than in the majority group which is being lead. He also highlights the character of the people who constitute this minority, creative group. These people have a broad vision of what they can do for their nation and to the mankind as a whole. He further says that you should neither be an opportunist nor a mere observer. Nor should you have a defeatist attitude.
To emphasize this point he narrates a story of twelve Hebrews who went out in search of the land promised to them by God. Ten of these twelve returned with a negative and defeatist attitude saying that the inhabitants (Canaanites) were taller and stronger. They felt that they were at disadvantage and perhaps would lose the war. However, the other two disagreed saying that God promised the land to them and they would win the land because of God's blessing. Ultimately, listening to the arguments of the two groups the people felt the minority were logical and went ahead with their plan. In the end they wrested the land from the inhabitants. The essence of the story is that a few people in a group can really think and lead the rest. And Kim urges the reader to be in this minority group.
Who will wake the sleeping genius?
"If you are just holding your own, others are passing you by. Maintaining the status quo is regressing"
In this chapter, Kim talks about the latent potential in every human being. He also stresses the importance of knowing and understanding other religions and cultures. Kim advises the reader to be harsh onto him. Kim says that all human beings have latent potential hidden in them. Most of them don't recognize this potential. He says that even if we make use of 20% of our full potential we would be geniuses and if we use 30% we would be heroes. While talking about latent potential, Kim also talks about perseverance. He says people who don't give up easily tend to use more of their latent potential. He cites the example of Thomas Alva Edison who used to repeat his experiment two hundred times or more before inventing something. Similarly, any person who perseveres wakes up the sleeping giant in him.
Kim urges the reader to be harsh to himself/herself. He advises them not to fall into the trap of excuses or rationalization. He says that people should strive for better things. They have to learn more, become better, smarter and better. He further advises the reader not to feel complacent about his achievements. He says such a person will not progress further because he/she has no expectations for further development.
MANAGE
In this section Kim explains various business strategies, management concepts and business tips on profit making, retaining customers, retaining market shares etc. The whole section is filled with Kim's business life experiences. The whole section is a joy to read because of the anecdotes quoted by Kim. Management by objective is enough
"Business is more than making money; losing less money is sometimes important too"
In this chapter Kim talks about how a businessman should go about doing his business. Kim says that the executives or rather the top management (decision-makers) should be involved in the 'field work'. Unless they have feel of the environment, whatever decisions they are making would be less effective than what it would have been originally. Moreover, he asks the businessperson to look for reducing costs.
Kim adds two more functions namely, create and follow-up to the existing management functions of Planning, Organizing, Leading, and Controlling. Let us see how these two functions, the need for the top management to have first hand experience of the happenings and decision making is related. Kim cites the happening at Vietnam to bolster his point. Sensing business opportunities at Vietnam, Kin had sent his people to analyze the situation. After going through the report submitted by the team Kim went to Vietnam in person. While talking to the people in Vietnam he sensed the possibility of making investment at lesser cost using the idle machines in Korea. Kim negotiated the deal with the Vietnamese that resulted in the reduction of $80 million in cost of investment. The point here is that, because of going to the site in person Kim could take decision immediately that helped in reducing investment costs.
Kim also talks about the importance of information in running the business. For that matter he visits other countries regularly and gets first hand experience. He makes it a point to meet the government officials, local bankers, friends and others to obtain information - the full picture at any moment.
A lesson in making decision
"No matter what the issue, it is up to the executives to take the final decision"
In this chapter, Kim, talks about one particular event that helped him understand the importance of decision-making. Kim also feels that decision-making is important not only in business but also throughout one's life. He says life is a series of decisions and one wrong decision can ruin the whole life. He also wonders whether we are living just to be able to have the chance to make one right decision that will lead to success.
The only reason for Kim to treasure this experience of decision-making is that he made this decision in spite of other big companies from Europe and America backing out of the project. Kim on the other hand decided to go ahead with the project and he succeeded in turning around the company. This whole experience brought reputation to Kim as a turnaround specialist.
Kim advises the reader to assess any situation before taking any decision. He says that while doing business you run into a lot of decision-making situation. Sometimes these situations are minor and sometimes they can affect the entire fortune of the company. But no matter what the issues, it is up to the executives to make the final decision.
The toughest sale I have ever made
"A little help can be invaluable"
In this chapter Kim talks about one particular sales experience which opened up a lot of other business opportunities for Daewoo in America. He says that a small but timely help helps your business in more than one ways. Kim advocates the need for patience, perseverance and reciprocating favors in this chapter. Kim was trying to introduce Men's shirts in United States America through Sears in early 1970s. Initially Kim could not succeed in meeting people and make them accept his proposal because Daewoo was not known in United States America. Due to his perseverance Kim could meet the senior buyer of men's shirts at Sears. His logical and sincere presentation impressed Jim Weiss who helped Daewoo enter the US market through Sears. This success gave Kim the confidence to export other items like leather goods, handbags, shoes, baseball gloves and cars to US.
Kim is reciprocating this favor to Sears by recommending its name to the government of Korea when the insurance sector was opened. Kim also wants to help Sears in setting up the retail chain at Korea.
How to avoid long business meetings . "More meetings can mean more confusion, not less. Make easy decisions first; it gets them out of the way"
In this chapter Kim discusses about the need for quick decision making thus saving time. He gives necessary tips for taking quick decision. Kim points out that although long business meetings help the top executive in getting information, it is his experience, the feel and smell of the situation and the ability to get the right information helps the executive in taking quick and right decisions. He also says that a top executive only needs the key information to make a decision. Another way of saving time is to empower the subordinates to take decisions on certain things. Kim also says that he finishes of the easy things first and takes the serious matters in the late evening or on Sundays.
No one eats off the floor
"Rice has to be in a bowl to be eaten. Once it touches the floor it becomes inedible"
Kim, in this chapter says that everything and everyone in this world has a place in life. There is order and peace only when everything where it belongs. When things are not in place there is chaos and confusion. It is essential in organizations to put then right person I the right place for running the company smoothly. People are placed according to their abilities and capabilities because of difference in capabilities. Some people rise faster in the corporate ladder over others. Putting the right person in the right place is the most important task of the personnel department. Kim says that everybody in the organization has appropriate seat.
Why I promote executives from within the company
"When mistakes are made, the top executives has to take responsibilities"
This chapter deals on the responsibility and accountability on the part of the executives. Kim says that unless executives are promoted from within the company can't understand the organization's business. He says that anyone who works hard can be capable manager but it is necessary to find the best person for a job from within the company. He says that the executives are responsible and accountable for the job assigned and it would be easy for the person if he is from the organization itself.
The importance of innovation - and how to do it
Innovation is essential to life and it is not as hard as people might think. Most innovations are based on simple ideas. Innovation has played a major role in the history of mankind. It begins with the determination of a creative person to break with contemporary reality by making something new. The problem is not with innovation itself, but whether or not you want to innovate. It is important to be creative to innovate; creative people make history and keep the world moving. Kim says that developing creativity begins with asking questions about the present: "Have I tried my best?" " Is the current situation ideal?" "Can we make a better product?" Such probing stimulates the latent creativity in people. The deeper the probe the greater the results will be.
Think as if you own the company
There are two types of people: One set of people who not only do what they have to, but also do work for others without having to be told. There is another set of people who don't do their work unless they are told. Kim calls this difference in behavior as the difference between ownership mentality and the farmhand mentality. He advises the reader to always work and live with the mentality of an owner. Such people are creative. Take up challenge and make companies successful. People with the farmhand mentality would stand on the sidelines and they would fall into mediocrity.
Beware of the suitability syndrome
"A good enough finish mocks all the sweat and effort that go into the making of a product"
Most people tend to do things that suit them instead of working hard and doing the right things. Kim, in this chapter cites an experience from his student days when instead of attending classes he was doing part-time job. Later in the year-end he faced problems in graduating because of the lack of attendance. If instead of passing his time suitably Kim had attended the classes he wouldn't have faced this problem. He advises the reader not to succumb to this suitability syndrome. No matter what one does, it has to be done thoroughly: this holds the key to his/her success.
How to choose profitable market
This chapter would be of immense help to any organization that is trying to enter new market. The most important thing for any organization is to choose its market properly, narrow down the market to segments and then concentrate all its resources in it. More than looking at the short-term benefits from the market they should look at the long-term benefits. Choosing new market is not difficult for any organization because it knows its products and the place where it would be needed. The problem would be in narrowing down the target market. So, how do the organizations narrow down the market? Kim advises them to identify the richest sector, the sector with most land and the sector with the most people. When pioneering into an unknown, unexplored market it would be beneficial for the organization in deploying its resources efficiently. In a market where the political situation is volatile how do an organization retain its hold in the market without being kicked out? The organization should always - apart from earning profits from the markets - make efforts to do something that would be beneficial to the people. It might be through its operations itself or through some other social activities. When operating in a country where the political situation is extremely fluid, the company's social activities might come in hand (in remaining in the country) if there is any change in political leadership. Kim also advises organization s to take up projects that would be beneficial for the country also. He cites the example of Daewoo's operations in Sudan, where Daewoo established a tyre factory. This helped the country in saving valuable foreign exchange.
A sure way to profit
"Good relationship with outstanding people are more valuable than money, because you can't buy good relationship."
In this chapter Kim insists on companies to look for long term benefits and he gives an excellent tip for that. He insists on having good relationship with others. Everybody in this world needs others help to survive. We are all interdependent. In business, the profit an organization makes is dependent on the profit its partner makes. The whole business relationships are built on personal relationship. Hence, it is necessary for businessperson to build good relationships with one another and the customer. However, developing and maintaining good relationship with good people is not easy; good things don't come easily in life. Patience is necessary for developing and maintaining strong and beneficial relationships.
Growing
Opportunities come from adversity
Life is full of challenges. Success belongs to those people who are not afraid of them. When things are going well, everybody does well. But the real success is when a person succeeds in overcoming adverse conditions and accomplishes something. Kim says that crisis in Chinese closely means 'Risk-chance'. A pessimist would look at the risk and fall into despair. On the other hand an optimistic person would look at the chances and go ahead to achieve them. In the pursuit of achieving his goals he might either succeed or lose, but the point is that he at least tries to achieve. He doesn't cringe when faced with threats or risks. A person has the right to fall if he tried his best.
Strive to be best
In this chapter, Kim tells the experience when he as a kid used to support his family. This is in fact related to the previous chapter where Kim urges the reader to try his best, to take up challenges. In this chapter he says that it is just not sufficient to take up the challenge; every effort must be spent towards thwarting the challenge posed. It was during the Korean War that Kim had to sell newspapers in the market to earn a livelihood. He had to sell atleast hundred newspapers to feed his mother and brothers. There were other kids in the market place. Kim had to secure his market place. He put in all his efforts in securing and retaining his market share, thereby thwarting the challenge posed to him.
How to make the most of your time
"The most valuable commodity in the world is time, like an arrow shot from a bow it never returns"
This chapter emphasizes the importance of time over other possessions like property, work and so forth. New possessions or even lost possessions could be acquired but time once lost is lost forever. Success and failure of a person depends on how the person spends the time. The day is 24 hours long for everyone. The difference lies in the utilization of the time. A person who spends three times more hours per day is three days ahead of others. However, more than the utilization of time, the productive utilization of time should be emphasized. Life is sufficiently long for a person if he used his time to accomplish something great. But if life is wasted in dissipation and laziness it might seem to be short to accomplish something worthwhile.
How to become a wizard
"Every person has infinite capabilities, the only difference between a wizard and an ordinary person is that the wizard uses more of his or her latent capabilities and works harder."
Kim says that in today's complex business situation everybody has to be a master, an expert in his chosen field. No one is born an expert, but the work and effort they put in makes an expert out of them. Each person has infinite capabilities and the wizardry or expertise need not be restricted to only one field. A person could be an expert in a chosen few areas of work. In this context Kim advises the reader not to get stuck to one field only. Although one might be an expert in a few areas, he needs to have basic idea of other areas too, which might complement in his area of work.
Four ways to find your greatest teacher
"There is nowhere in the world that is not worth a tip"
Kim says that there are four teachers from whom one can gain a lot. · Experience: Experience is a great teacher. Through experience one can learn the truths of life; with experience one matures. Experience is the most direct and effective way of learning about society. Kim says that we are born with a clean slate and what we become after that is all the results of our experience. Once Confucius said that if he walked with two others, atleast one of them would be a teacher to him. Kim advises the reader to play hard, study hard, to try using a shovel, learn to drive, go for mountain climbing, make as many friends as possible and to fall in love. The idea behind this is that one should experience everything in possible. He says apart from morally reprehensible there is nothing one should not experience. He also adds that experiencing something once is better than not experiencing it at all. Apart from meeting people one should travel a lot. However, travelling without learning is a waste of time. For learning new things one should have an open attitude. Curiosity has to be an essential part of the luggage, whenever one is travelling. · Friends: Kim's advice to the reader is to make all sorts of friends. He feels making good friends are as important as travel. He says a broad range of friends is an asset. He also points out to the reader not to sacrifice the depth of friendship for want of numbers. You need to have a few close acquantices who does not turn his back in your time of need. · Determination: A determined person will learn more in his life because of his determination to achieve something in his life. To achieve his goal if he has to learn something, he will leave no stone unturned. · Books: Limits of space and time restrict us from experiencing everything in life. Certain things that could not be experienced could be learnt from books.
Six ways to success in starting a business career . · Hard work: In this world nothing comes without effort. When something is achieved through hard work, however small it might be, it gives a sense of satisfaction, a sense of achievement, and a lot of confidence. · Innovate: Innovation, however small it might be like - finding efficient ways of doing work, finding a short cut to the destination - would help in the long run. Large innovations are the result of accumulation many small innovations. · Work for others: Working for others is a sort of insurance. If we work for hundred others, the return would be in thousands folds. Similarly, if the benefits of a business were shared, one would get more business in the long run. · Stop counting personal Networth: Counting one's personal Networth shows the lack of confidence in him. Once a person starts counting his wealth, it shows that he is afraid of future and that he has reached his limits. · Confidence: Nothing is impossible if a person has self-confidence. Most people just use 10% of their capabilities because of lack of self-confidence. · Think: Thinking will help people create new things thus gaining self-confidence.
Just visualize what you want to accomplish
"If you have the capability to be a great musician, don't sit around and whine that you will never be a great painter"
In this chapter the need for self-confidence is emphasized. Kim says that the brain is such a powerful tool that one can create anything using it. He says that if one feels inferior to others thinks negatively and considers himself an ordinary person then that is what he will become. He quotes the great Japanese entrepreneur: "To succeed in something, you have to have the capability - but capability alone is not sufficient. You have to have the drive, concentration and perseverance." Work brings with success and failure, but the fun is in challenging the adversity. Nothing is impossible; it is only one's lack of tenacity that makes a job seem impossible.
Possibilities are everywhere and only those could exploit it who are confident and who have faith. People are born with tremendous capabilities and not using them is a sheer waste to the individual and the society.
How to view your competitors
"In true competition there is no end that justifies unfair means"
This section talks about sticking to the rules and the need to be fair in our means to achieve the end. With the competition increasing in all spheres of life the need for fairness in our approach is more necessary than ever before. The thrill in competition is competing with the rival and winning by fair means. There is no point in slaying the opponent through unfair means. This section guides and motivates the reader to stick to the rules of the game. The taste of success is sweeter when you win through fair means.
Advice to youth
"An empty waterwheel is quite noisy, but a full one is quiet"
This section emphasizes the need for internal development and advises not to concentrate just on the exterior factors. Kim feels that people concentrate on impressing others through external appearance even when they lack the content in them. He advises the youth to exhibit their talents through their work rather than talk. However, he insists that talking is also necessary; but it has to be sincere and honest. One has to impress others through his thoughts and actions. Acting sincerely and doing things convincingly is the best way of persuasion.
People who influenced me the most
"Life really begins with meeting"
In this chapter Kim talks about a few people who have made an impact on him. This chapter highlights the importance of meeting a lot of people and learning from them. A lot could be learnt from others; but only when you meet them. It is essential for all of us to follow the example of the person whom we respect the most. Basically, all of us meet the sort of people who had influenced Kim. His mother, his teacher, his subordinate, and his friend influenced Kim.
A lesson from the world of spiders
"The child plucks the fruit from the tree planted by its grandfather"
After reading this section one feels the need for all of us to become a bit altruistic, and a bit concerned for others. Kim says that the today's world has become more self-centered. He asks whether we would have enjoyed the benefits that we are getting today if our forefathers had not made any sacrifice. He cites the example of a particular breed of spider in which the mother spider actually feeds herself to her Babies. The essence behind this concept is that people reap the benefits of the actions done by their ancestors.
LEADING
What makes a leader?
"If a boat has too many rowers, it winds up on a mountain. Too few, it doesn't move. Anyone who sees leadership as a means for personal gain does not have the credentials to be a leader"
Pure springs make for clean rivers - says an old adage. This adage holds true for the society too. Leaders have to be clean for the society to be clean. Now, what makes a leader? Leaders have to have number of capabilities. They have to be convincing and able to organize people. Leaders must, through strong leadership, correct contradictions and inefficiency, and know how to utilize the group's energy for prosperity and development. Leaders should have thorough sense of duty. They must live and die for their work, their one and only mission in life. The group becomes a mass of confusion if the leaders do not have the commitment. A leader must have an important sense of sacrifice that comes with a sense of mission. Leadership doesn't come to a person who merely sits on the top. It can come only to those who have a sense of sacrifice and sense of mission. Kim cites the example of his life at Daewoo where he had sacrificed his personal life for guiding the corporate. He says that a leader should be able to transcend private comforts and considerations. He also differentiates between a dictator and a true leader. A true leader as mentioned earlier at various places, receives respect by having a true sense of mission, a sense of sacrifice and strong values. People obey dictators out of fear and not out of respect. Power and prestige comes from respect and not fear. A leader has to earn the respect.
Money Is Neutral
"Don't be afraid to spend lots of money when needed, but never waste money, not even a small amount"
A really smart person knows how to use both money and time. Money as such is neutral - it is neither bad nor good. It is only how a person uses it. Money should be used only when it is needed - for profitability, of both the individual and the society at large. Kim says that he selects gifts personally for his business associates. The salesman seeing that Kim is the chairman of a large conglomerate jack up the price of the gifts. But, Kim bargains them down all the way. He doesn't bother if the salesman thinks him to be cheapskate. All that matters is the right value of the product. He proposes to correct the thinking that one who throws money is generous and one who spends wisely is a cheapskate.
How to make money and use it well
"You can never be justly criticized for making too much money, or too less. Only for spending it unwisely"
An artist who goes to the countryside to paint scenery looks only for good scenery. Someone who goes fishing always remembers the best places to fish. Similarly an entrepreneur always looks for ways to make money wherever he/she goes. But making money without the ability to use it properly is talent wasted. Kim says that had he made money just for himself although materially rich, he would be feeling hollow from within. The money made by someone should be used for the welfare of the society as well. However, such good works should be done anonymously for it to taste sweeter. If you are not capable of spending money wisely then entrust it to someone else who could.
Why executives should live below their means
The leaders should set an example to his followers. If his standard of living is too high then it will affect his followers. Kim says that executives should live below their means along with the subordinates so that they could look upon the leader as one of them. This is not just to be humble or to save money, but to show the right spirit.
Why I work like a madman
"It is foolish to brag about the amount of assets you have, because that means you have nothing else to brag about. A person who has amassed a fortune, but doesn't know how to use it for others is poor, not rich. Never consider your money or your possessions as your own"
There are entrepreneurs who manage a business for amassing personal wealth only. As a result they are on the edge of worrying about their wealth. On the other hand, there are entrepreneurs who work hard for the sake of accomplish and accomplish only. They live for the joy and the love of accomplishing. Someone who lives only for his or her own wealth can never know the true joy of life, because the nature of greed doesn't have any boundaries. A man can never be happy as long as he is concerned with possessions. A life filled with dissatisfaction and greed knows no joy. In another sense, possessions are the beginning of suffering and anguish. That is why Buddhism preaches non-attachment and possessionlessness as the ways to true freedom and happiness. Kim says that he worked as a madman not out of attachment for possessions but for the sake of sense of accomplishment. What drives Kim harder to work is doing things that others say are impossible.
Does hard work harm your family life?
"A busier life makes most people happier"
Kim doesn't agree with the notion that hard work affects family life. He believes that a happy family life is the key to all successful accomplishment. He says working hard brings fulfillment to family life. He says an employee can never become an executive if does not spend enough time on his job. He says that even if you are working hard you can find time to spend with your family.
The rewards of awards
"The more the awards given, the better. They lead people to even greater heights"
Kim says that awards are symbols of social recognition; are a form of praise; are a form of confinement. His strong belief is that by giving awards to an employee for his achievement would instill a sense of pride and responsibility in him. He wouldn't want to betray the trust and confidence that has been placed on him. People feel good even if they win small prize. They like to hear compliments and praise. The pride involved in winning a prize stimulates a person to try harder and do better.
The one thing you cannot afford to lose "Corporations have their own work to do, and should not be taking work away from smaller firms." Kim uses this chapter to make one thing clear. He advises the reader not to lose his/her reputation. Losing reputation is akin to social death. Apart from the physical appearance, a person is identified by his reputation. Conducting oneself according to hi/her designation or social status is one way of maintaining good reputation.
Getting ordinary people to do extraordinary things
"If you are going to remain on top, you have to work much harder than those behind you - all they need to do is imitate you to catch up"
Kim feels that everyone has unlimited capabilities. However, they are often not utilized except for extraordinary situations. Moreover, people tend to become complacent after achieving certain things in life. And precisely that is what Kim advises not to do. He says that if people work heart to heart, they can solve all problems.
My eight steps for a full life
Kim concludes his book with these final words: "As your bones become stronger, your head should be lower." He gives this advice and gives eight steps to be followed for a full life. Fulfill your potential: He says youth is not just a passing phase. It will determine where a person will go. Have dreams: Only nations that have people with dreams can be leaders. Dreams should be pure and as clear as a spring. Finally it should be big. Think creatively: Creative people and thinkers lead History. Another piece of advice that Kim gives is that people should have positive thinking. Challenge: Kim expects youth to challenge every thing in their life. Person with fear is deemed to lose. Sacrifice: Kim says that every body has to make sacrifices so that the next generation prospers and lives peacefully. Be altruistic: Kim denounces egotism and advises youth to put public interest ahead of personal benefits. Be true to itself: Here Kim advises the youth not to be entrapped or snared in chains. Going after what a person wants is a way to be true to oneself. Be modest: Final advice of Kim is to be modest. He says that growth and development comes from humbling oneself and striving to learn as much as one can.