To
succeed in managing change and
transforming your organization
or business by applying the
80/20 Theory of the Firm,
you need to demonstrate that
simple is beautiful and why.
Unless you understand this, you
will never be willing to give up
underperforming 80% of your
current business and overheads.
"The truth is that the
unprofitable business is so
unprofitable because it requires
the overheads and because having
so many chunks of business makes
the organization horrendously
complicated". And complexity
means decay. Internal complexity
has huge hidden costs and
depresses returns more
effectively than anything else."
says Richard Koch, the author of
The 80/20 Principle and
80/20 Revolution.
