Operating Principle

Operating principles are actionable guidelines that help individuals and organizations make consistent and effective decisions.

1. Personalizing Principles: Taylor Pearson devised his operating principles after noticing he was spending too much time making trivial decisions. Initially experimenting with six to ten principles, Pearson used these to reduce decision fatigue and improve the quality of his choices over time. He regularly reviews these principles to avoid recurring mistakes and maintain balance in his life

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2. From Core Values to Principles: There is a key distinction between core values and operating principles. Core values are abstract concepts like integrity or courage, which can often be vague and universally accepted. Operating principles, on the other hand, are concrete, actionable rules that guide specific behaviors and decisions, such as "I always have time for a good friend," which makes them more practical for daily use

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3. Corporate Application: Companies like Stripe use operating principles to distill the effective behaviors that drive their success beyond mere abstract values. For instance, Stripe's principles include "Think rigorously," "Move with urgency and focus," and "Users first," which are ingrained in their operations and celebrated among employees

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4. Leadership and Management: Implementing operating principles is crucial for effective leadership. Claire Hughes Johnson emphasizes that successful management and company building start with self-awareness, encouraging leaders to understand their own motivators, strengths, and blind spots. This self-awareness lays the foundation for creating mutual understanding and working effectively with teams

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Overall, operating principles are essential for navigating both personal and professional complexities efficiently, turning broad values into clear, actionable behaviors.