读书笔记 - Principles

Ray Dalio shared his principles of life and work using three parts and 567 pages. After he went over his life and work experiences from 1949 to 2017, then he used two major parts to discuss life principles and work principles.

Life Principles

• Embrace reality and deal with it
• Use the 5-step process to get what you want out of life
• Be radically open-minded
• Understand that people are wired very differently
• Learn how to make decisions effectively

Work Principles
To get the culture right

• Trust in radical truth and radical transparency
• Cultivate meaningful work and meaningful relationships 
• Create a culture in which it is okay to make mistakes and unacceptable not to learn from them
• Get and stay in sync
• Believability weight your decision making
• Recognize how to get beyond disagreements

To get the people right

• Remember that the WHO is more important than the WHAT
• Hire right, because the penalties of hiring wrong are huge
• Constantly train, test, evaluate, and sort people

To build and evolve your machine

• Manage as someone operating a machine to achieve a goal
• Perceive and don't tolerate problems
• Diagnose problems to get at their root causes
• Design improvements to your machine to get around your problems
• Do what you set out to do
• Use tools and protocols to shape how work is done
• Don't overlook governance

Key takeaways

• Pain + Reflection = Progress
• 5 steps:  Goals -> Problems -> Diagnosis -> Design -> Doing
• 2 barriers: ego barrier, blind spot barrier
• Thoughtful disagreement
• Get the right people in the right roles in support of your goal
• Decision making is a two-step process (learning then deciding)
• A believability-weighted idea meritocracy is the best system for making effective decisions
• Idea meritocracy = Radical truth + Radical transparency + Believability-weighted decision making
• Responsible party will be the person who bears the consequences of what is done
• Pay attention to people's track records
• When you know what someone is like, you know what you can expect from them
• Provide constant feedback
• Tough love is both the hardest and the most important type of love to give
• Understand the differences between managing, micromanaging, and not managing
• Clearly assign responsibilities
• Don't treat everyone the same - treat them appropriately
• Hold yourself and your people accoutable
• Be very specific about problems
• Remember that almost everything will take more time and cost more money than you expect