I have been talking about the concept of "cognitive folding" for two days. In other words, everyone in a civilized society actually lives in a folded system. Some of this folding depends on profound scientific and technological breakthroughs, such as internal combustion engines and computers; There are only simple method innovations, such as assembly lines and containers. However, as long as many complex things can be folded into a simple product, the degree of human civilization will be substantially improved.

Then let's look at this problem in reverse today.

You see, everyone lives in a system that is folded to some extent. After a long time, they will have no feeling and will ignore the existence of this system. For example, when I went to study in Taiwan Province Province a while ago, I forgot to change cash, so it was inconvenient to buy anything. Why? Because I am used to the cashless society in Chinese mainland, I think I can use WeChat to pay anywhere. You see, I forgot that I actually live in a deeply folded system.

So from a social point of view, the deeper the fold, the better, so that everyone can enjoy the simplest collaboration interface. But from a personal point of view, sometimes, in turn, you must be able to expand the folded system. Otherwise, you will be confused by various superficial phenomena. You can't do anything.

This year, we got a new course in application, Business Insights from Liu Run 30. The word "epiphany" originally sounded a bit illusory, but Liu Run said that it was not so mysterious. Everyone lives in a systematic black box. You can jump out and unfold the folded system, and see that the key is insight. Therefore, Business Insight 30 is based on system theory.

I finished this course by myself, and I feel that my understanding of business problems has made a great leap. There are two most important lessons: first, establish a "reinforcement loop" in the system of things; Second, in this reinforcement cycle, find the core action.

The so-called "enhancement ring" means that the cause of one thing can enhance the effect, and the effect in turn enhances the cause and forms a ring. This is the "enhancement ring". As long as you establish this enhancement cycle, the whole system is in the process of automatic enhancement and expansion. In fact, it is the principle of megaphone. Between the microphone and the speaker, a "loop" is formed, which is enhanced in turn. Your gentle voice, amplified circularly, may turn into a sharp "howl" in a few seconds, making everyone cover their ears. This is the power of the "enhanced loop". All people who have really achieved great things in this world, no matter how much they emphasize the role of hard work and diligence, we must understand that behind his efforts, we must actually start a chain to strengthen the cycle.

For example. For example, what should I do if I want to improve my child's composition? Sign him up for a remedial class? Want to force him to write more and practice more every day? Or a word-for-word correction and comment on his composition? Are these methods effective? Maybe they are all right, but they are all folk remedies, even if they are malicious, they will have side effects.

So what is a system-oriented approach? It is to establish a strengthening cycle and find the key points that will automatically strengthen his writing ability. What? Interest in writing, of course.

For example, if you register a WeChat official account for your child, he will write an article and post it on it. The more you write, the better, the more fans you get, the more feedback you get, and the greater your child's interest in continuing to write. Of course, the more you write, the better. As for writing skills, he will find a way to solve them himself. Of course, it doesn't mean that parents do nothing. You can become a user of WeChat official account, a reader who leaves messages for him, a fan who promotes him through WeChat official account, and even reward him. This gripper is enough, and the growth flywheel will rotate by itself, and it will turn faster and faster.

You see, when we talk about the word "system", people often misunderstand and think that the more complicated the problem is. In fact, on the contrary, once you see the operating rules of the system and unfold the folded things, you will find the easiest way to push them.

Recently, I chatted with Lao Yu, who is about to launch the life algorithm course here. When chatting with me, he also talked about a similar method.

As the old saying goes, a person needs to know his three "radii" if he wants to succeed. The first is the "cognitive radius", which should be as large as possible, and there are more things in your field of vision. For example, you should listen to more courses in the App. But you must not think that you can do anything within the cognitive radius. For example, just because you generally know what futures are about doesn't mean you can speculate on futures. You'd better stay away from that thing At this time, you should realize that the second "radius" is the radius of ability. Never do anything beyond your ability. So the radius of ability should be as clear as possible. However, there is a third radius, and that is the "action radius". The requirements of action radius and cognitive radius are just the opposite, that is, to be as small as possible.

What do you mean? That is, the bigger you want to do, the less you have to do, and the bigger the system you will eventually push. Large-scale systems are the result of a large number of repetitions of some simple elements. For example, the world's top large-scale catering groups are basically fast food. Only simple recipes and few actions can expand the scale through a large number of copies.

You see, this is what Mr. Liu Run said. It is necessary to find the reinforcement ring in the system and the core role in the reinforcement ring.

It sounds simple, but it's easier said than done, and it's not easy to really do it. Let me give you an example that happened to Mr. Liu Run.

Teacher Liu Run is a business consultant. However, he made a wonderful rule for himself, that is, he would never go to Party A for sales. Don't you think it's arrogant for a business consulting company not to discuss business with Party A? Is this business okay?

No, this is because Run has been trying to figure out the core action of enhancing the cycle, that is, the establishment of "reputation".

Every successful consulting company has its own success, and there is only one kind of failed consulting company: customers don't believe in your ability, that is, you don't have a "reputation". Because you don't believe it, the transaction cost between you is very high. Party A will repeatedly say, Tell me, what can you do? Where are you better than others? Can you make it cheaper? Can you bid? We can only pay 30% of the money first, and then I'll pay the rest when I see the effect? These are very high transaction costs, which will lead to a very slow transaction speed of a consulting company and insufficient strategic determination for customers. Even if your idea is good and your strategic determination is insufficient, the effect will not be good, so the consulting company itself will not receive money.

On the other hand, if the consulting company has a good reputation, there will be customers, and if there are customers, there will be cases. Good cases will bring more customers, and more customers will help you build a stronger reputation, so the whole enhancement cycle will turn.

Then, why doesn't Mr. Liu Run go to Party A to discuss business? This is to force all your attention to the focus and lever of "reputation".

He said: "No matter how big an entrepreneur you are, as long as you don't want to come to his small office to talk, it means that my' reputation' is not strong enough for you to come to my door. As long as it is not a customer won by "reputation", no matter how rich it is, it is not my real customer. It is my fault that I am not strong enough. My inner monologue is: Please forgive me for not being able to serve you, because I will use this time to continue to improve myself desperately. "

You see, this means doing nothing except the business that can start the promotion cycle, that is, the business that can enhance "word of mouth". Including the business introduced by friends, the business that is cheap, and the business that is obtained by hospitality, do nothing. Put yourself in the other's shoes. It's a tough decision not to make money. Huawei has a saying: "Don't consume strategic resources in non-strategic opportunities." That's what it means. If you can't see and unfold the folding system behind things, you can't do this.

Take the App we made as an example, there is only one reliable enhancement loop: the credit between us and you. Only when more and more people like you believe that every course and every product on the App is excellent content that has been carefully polished can we enter a benign growth track. All other growth paths may be "non-strategic opportunities" and should not consume our "strategic resources".

Well, at the end of today, I would also like to solemnly recommend to you Mr. Liu Run's painstaking work "30 lectures on business insight". How to see through the system behind the appearance of things? How to find your own power point in the system? This course will be of great help to you. Search for the word "insight" on the homepage and join us.