Warren Buffett: Leadership, Motivation & Communication Skills

warren buffett is the ceo of berkshire hathaway and is considered by many to be the most successful investor in the world he went from delivering papers and owning pinball machines to becoming known as the wizard of omaha with a net worth of over 71 billion dollars need motivation watch top 10 with believe nation top 10. hey it's evan carmichael and i make these videos because you are probably the most ambitious person in your circle but you know you're capable of more and you get that push by surrounding yourself with the best so today let's learn from one of the best warren buffett and my take on his top 10 rules for success enjoy okay let's kick it off with rule number one find your passion you're lucky in life if you can find your passion i tell the students you know what you may have to take a job or two you got you got to eat but never give up searching for the job that's your passion try to find the job that you would have if you were independently rich that's the job i have and when you find that job the job that causes you to be excited every day and forget about the pain uh and where you associate with people you love doing what you love it doesn't get any better than that my partner charlie is 89 and we were talking about that this weekend you know i'm 82 he's 89. we do what we love every day with people we love you know and they seem to like us okay so and you know it how can it be any better and just cost of living does not equate the standard of living and the standard of living is you know achieving what you want to achieve working with people that you love and you don't need that much money as i i love to ride around in a private plate i will totally acknowledge that leave it leaving that out you know i basically you know leaving out taxes and charity and things like that i can live on easily live on a hundred thousand dollars a year and and it and i wouldn't live i wouldn't live better if i had eight houses if i hadn't you know a 400-foot yacht or anything of the sword i've been on 400-foot yachts and i've been a lot of fancy houses but i'm in a house that i bought 55 years ago it's warm in the winter it's cool in the summer it has everything i wanted plus it has all kinds of good memories you know my kids have good thoughts about it i can't imagine living any better i paid thirty one thousand five hundred dollars for it i could pay 31 million for a house and and it wouldn't it wouldn't do for me what this present house does rule number two have the right heroes the most important thing uh aside from the things i've talked about already is it's really who you associate with you want to associate with people that are better than you are i mean basically you'll go in the direction of the people that you associate with and and you want to have the right heroes you want people if you want to emulate somebody you better pick very carefully who you want to emulate and and when obviously you can't pick your parents they're going to have an enormous influence on you but you don't get a choice on that but you get choices as you go down the line and you who you who you admire who you who who you want to copy and the most important for most people in terms of that decision is their spouse it's also important in terms of a partner in business but the partner in life is is the most important one you want to pick a spouse that's a little that's better than you are and then he or she and you hope they don't figure it out too fast rule number three be lovable when you get to my age you will not measure how well you've done by how much money you've got i can guarantee you that you'll you'll all do fine on money anyway i mean uh you know think about it seven hours a day you know you're in a bed you've got exactly the same mattress i've got if you don't listen to it the furniture mark you know i mean so so that when we're on a parody i can't i can't outdo you you know in terms of my sleeping enjoyment you can you can match it by by buying this mattress which we'll give you a special price on just mention my name uh we eat at the same places you know we eat a dairy queen particularly if you're in my position because we own it but but we eat at mcdonald's and burger king and and when i leave here i'll stop by a fast food place so our eating experiences are the same we travel the same i mean i had a 10 year old car up till about a year ago you know and it just doesn't make any difference to me they all work we live in a place that's warm in the winter and it's cool in the summer and we watch the super bowl on big screen tv you do it i do it you know we dress more or less the same i mean i pay more for my clothes but they look cheap when i put them on so we're really we're on a parody yeah so so the money isn't going to be that big a deal everybody in this country is going to you know that with the intelligence this group has the energy you have you're going to do well so what's the difference you know what really counts well i would say that you will measure health is enormously important and that's a matter of a fair amount of luck i mean you know so i won't i don't want i'm not short changing it i'm just saying you can't do too much about that but you will measure your success in life by whether by how many and extent whether it's the people you want at 70 or whatever the age may be you'll measure by how many of them really love you you know in the end i mean you can't you know you can't buy love i mean it doesn't work you buy sex you can buy testimonial dinners you can buy your name on buildings you can do all kinds of things but the you know the only way you get to be you know love is to be lovable it's kind of irritating actually you've got a lot of money be more fun to just write out a check for a million dollars so everybody you know from now on loves me but it doesn't work that way and in fact it the only way is to be is to be lovable and and you know i've got this friend who uh who came out of auschwitz and had at least one member of the family die there and what is it now it's uh 60 years later you know she still when she looks at people it's a polish jew when she looks at people the question she asks herself in determining who she really trusts his friends the one question in their mind is would they hide me now when you get to be 70 if you've got a lot of people that would hide you you've had a successful life i know people who have a tremendous amount of money no one would hide their own kids wouldn't hide them i mean they they really wouldn't i mean their business associates wouldn't or anybody else if it really came down to it you know they they don't have anybody's respect they've got their attention maybe with money or something of this sort but they they nobody loves them and uh my friend tom murphy at camp cities tv i mean dozens of people would hide murph you know all kinds of people would hide my wife you know that uh ben graham a lot of people would have my my dad it would have had a number and then like i say that i can i can tell you people that uh you know everybody may pay homage to them and the kids may put up with them and hope they don't change their will or something but the truth is that nobody would hide them and if you've got a lot of people that would hide you when you get to be 70 you will have a very successful life rule number four invest in yourself by far the best investment you can make is in yourself i mean that for example communication skills i tell the students that come that they're going to graduate schools and business and they're learning all these complicated formulas and all that if they just learn to communicate better and both in writing and in person they increase their value at least 50 percent and now i mean if you can't communicate somebody who says you know it's like winking at a girl in the dark nothing happens you know basically and and you have to be able to get get both your ideas and uh and that's that's relatively easy i did it myself with the dale carnegie of course some people wish i'd taken a shorter course now in terms of my talking later on but it it's just hugely important and you if you invest in yourself nobody can take it away from you also if you want to have more self-love and learn from billionaires check out my 254 series they're free the links to join are in the description below but if you ask me to write a story on what is potomac electric power worth or something like that i can write the story and that's what i'm doing every day i'm assigning myself a story and then i go out and if i ever write a book it's going to be called why smart people do dumb things if i give them a whole bunch of money and they love the money and they don't love the business no matter what they tell me six months from now they'll be gone rule number five learn the principles everything you do learn is cumulative i mean that doesn't mean that industries stay good forever or businesses stay good forever but but learning to think about business models what i learned at 20 is useful to me now what i learned at 25 is useful to me now and so it's not it's not so it's not a field that changes dramatically in terms of the underlying principles it's like physics i mean there's underlying principles now they're doing all kinds of things with physics they weren't doing 50 years ago but but if you know the if you've got the principles if you know what makes a good business if you know what makes a good manager you know if you know what makes a a good product uh and you learn that in one business you can there is some transference to other businesses as you go along and you learn what things you you're not going to understand i mean knowing what to leave out is just as important as knowing what to focus on and uh i don't think i can win every game you know somebody said how do you beat bobby fischer you play him any game except chess so i don't play bobby fischer chess and that's there's a lot of value to learning that over time and and learning what you're good at and what you're not good at rule number six have integrity all of you in this room have the brains to do extremely well in life you've all got the energy to do extremely well on life and then the question is how do you apply it if you've got a 200 horsepower motor you get 200 horsepower out of it you get your full potential or do you get 100 horsepower or 50 horsepower now there's two things that can hold you back in getting the full horsepower out of your your engine whatever it may be all of you have big enough engines and one of those is a lack of education but that probably isn't going to happen to very many people in this room if you did have a lack of education if you didn't have a chance to get a decent education in life it wouldn't make any difference what that potential was because you'd never unlock it but the second most important thing and equally as important is in terms of the habits that you develop in terms of what you do with yourself when we hire people we look for three qualities we look for integrity we look for intelligence and we look for energy but if they don't have the first one integrity the other two will kill you because if you're hiring somebody without integrity you really want to be dumb and lazy don't you i mean you know last thing in the world you want forms to be smart and energetic so smart and energetic only goes with integrity but the nice thing about you know you make your own decision on that you can't change your iq or how far you control football or how high you can jump or the color of your hair very easily but you can elect to have integrity that matches anybody else's and if you match that with intelligence which you have and energy which you have uh you will get an extraordinary result and you'd be very foolish to sell me ten percent of yourself for fifty thousand on the other hand if you don't match it with that your potential will in a significant part go unused rule number seven take care of yourself i do tell them those students you know that if i gave you a car and it'd be the only car you're getting the rest of your life you take care of it like you can't believe any scratch you'd fix that moment you read the owner's manual you keep a garage and do all these things and you get exactly one mind of one and one body in this world and and you can't start taking care of it when you're 50 by that time you'll rush it out if you haven't done anything so you you should really make sure that you just remember that you just got one mind and body to get through life with and to do the most with it rule number eight recognize your mistakes one of the things you do in your annual report which has become a classic is you will discuss what went wrong like dexter and what you and how and and and what you learned from it tough tough to do well it's it's it's very important to recognize mistake i mean if if something but it goes around and says you know i never made a mistake i mean you quit listening to them i mean you know they're in the dream world so so facing up to it uh it it's it's a little like in in in terms of discussing issues you should be able to discuss the other fellows position just as well as you can discuss your own so i mean that's part of thinking well and and certainly part of making good decisions in business is recognizing the poor decisions you've made and and why they were poor and and that doesn't mean you never do the same thing i mean because sometimes it was a freak situation but but i have made lots of mistakes i'm going to make more mistakes uh but you know papers struck out a lot of times i mean it's the name of the game that you do it you don't want to expect perfection in yourself you want to strive to do your best but but it's too demanding to expect perfection in yourself and it does some good to recognize them and not start trying to go around kidding people about them rule number nine learn to understand people what other habits did you cultivate in your 20s and your 30s that you now see as being foundational to your success as a business person well i i knew a lot about what i do uh when i was 20. i mean i i i really read a lot and and i aspired to learn everything that i could about the subject so intellectually i knew a lot i did not know a lot about human behavior i mean that that you can't learn really out of reading books but it's it's very important to understand people and uh i say to the students you know just imagine you could buy or you or you could be given 10 of the future earnings of one person that you know among everybody you know now are you going to pick the person that's the smartest i'm going to pick the person that can dance the best or that can run the fastest or anything like that that's the right height no anything no no you're gonna you're gonna pick the person that has the right habits that that is cheerful generous gives other people credit for what they do you know and when you look at all of the qualities that you admire in other people which would cause you to pick that person say to yourself which of those qualities can't i have myself because they are you know you determine whether you have them so just write them down on a piece of paper who is the person that you admire the most or like the best why do i like them and just write down and then say which of these can i do myself and the truth is you can do them and then you also if you really want to carry it to the next extreme you pick the person you dislike the most and why do you dislike that person you know and you know they always they're never fair about things basically they always claim more credit than they're doing everything and write down those qualities and say if you dislike that some other person why in the world would you want to have those yourself so you should get rid of those and it's it's a pretty simple thing to do but you want to be the person that if you could pick your best friend you know that you would have the same qualities and rule number 10 the last one before a very special bonus clip is avoid credit cards as a general matters of one piece of specific finance financial advice i would say you know avoid credit cards just forget about them we're in various businesses that issue credit cards the american public loves credit cards but if you start revolving debt on credit cards you're going to be paying 18 or 20 percent and you can't make progress in your financial life going around borrowing money at 18 or 20 percent you can make a lot of money by lending it out at 18 or 20 over time you know if you can find anybody that's good that will borrow from you but you don't want to be on the side of the equation that's always behind in life uh you know i was lucky i'd saved about ten thousand dollars by the time i got out of school that ten thousand dollars was really worth millions i might have earned later on because after you get a family and everything the expenses roll in but but those were my tools to work with but it was only because i was ahead of the game if you're behind the game by ten thousand dollars at some point and paying 18 or 20 percent interest on it you will never you know you'll never get out of it so the trick i've got a partner that says all i want to know is where i'm going to die so i'll never go there you know and uh and that's true in financial matters as well you want to figure out where you don't want to be ahead of time and avoid that and i get about a dozen letters a day from people who are having terrible problems and there are two reasons why they have terrible problems one is a number of them have had health problems of some sort i mean they have really been hit by some or somebody in their family has been hit by some kind of catastrophic illness and that is a you know it's a terrible thing to happen to any family and they get in they run up bills they can't pay and and really only society can solve that one uh uh in terms of protecting people against that that's just plain bad luck but the other one is from people who run up credit card debt and they're facing bankruptcy or they've been through bankruptcy once before and they owe a whole bunch of money and they can't they can't even pay the interest let alone pay any principal and half of my letters come from people like that and that that that problem is avoidable catastrophic illness is not but but credit card debt is something you bring on yourself and it's way better it's way easier to stay out of trouble than to get out of trouble financially and and i will guarantee you if you run a big credit card that you will be in trouble uh probably the rest of your life in terms of uh your financial situation on the other hand if you get ahead of the game uh even it's on a very modest scale so that money is coming in from investing and you're you're you people owe you money or equities owe you ownership uh you'll be way ahead of the game compared to paying it being always being paying your creditors every month so my advice to you is if you can't pay for it don't buy it now i've got a special bonus tip from warren buffett on how you can learn to communicate that i think you're going to enjoy but before that it's time for the question of the day i want to know where do you need to better invest in yourself let me know put it down in the comments below and if you made it this far in a video you're still here watching i want to celebrate you because believe nation we don't just watch videos we do something about it so that's you and you commit you promise you're going to take action immediately after watching this video give me a hashtag believe down in the comments and tell me where you're from because i want to celebrate you i was terrified for example both in high school and college i don't know when it started but i became terrified of public speaking and uh i just couldn't do it i mean i and so i arranged all of my classes so i never had to do any public speaking and i got to colombia and i saw an ad in the paper uh for dale carnegie course and i went down it was somewhere in the mid 40s and i gave the guy a check for 100 and i went back and stopped payment i lost my nerve and then i came out i got out of columbia actually when i was 20 and i came out to start selling securities in omaha and i realized i had to get up and be able to get up in front of people i couldn't go through life this way so i saw an ad again in the uh local paper that there was a dale carnegie course being given i went down and i gave the fellow 100 in cash and i became associated with 30 other people in the class we couldn't stand up in front of a group and say our own name i mean it was we were it was pathetic but that class changed my life in a big way as a matter of fact they used to give a pencil every week for whoever did the most with what they learned the previous week and during that class i proposed to my wife and she accepted and i won the pencil that week so it it's important i mean there's certain you've got to be able to communicate in life and it's enormously important and probably the schools to some extent underemphasize that i mean you can start going for an mba and people think it's kind of beneath them to teach about communication but if you if you can't communicate if you can't talk to other people and get across your ideas or write you know you know you you're giving up your potential and uh you know anybody that's got a career potential of x i i guarantee it'll be 150 of x if they uh if they really learn how to communicate well so that was that was a big a part of really succeeding in my career [Music] hey if you want more top 10 rules videos they are no longer on this channel i have a dedicated brand new channel just for them if you want to check it out go subscribe the link is right there next to me lots of great content go there go check it out and continue to believe and i'll see you there

Channel: Evan Carmichael

Views: 210,082

Keywords: entrepreneur, yt:cc=on, evancarmichael, evan carmichael, warren buffett top 10 rules for success, warren buffett, life advice, career advice, warren buffett’s motivation, success motivation, warren buffett interview, best of warren buffett, entrepreneur motivation, entrepreneurship

Id: Dis5JtnrCrA

Length: 21min 41sec (1301 seconds)

Published: Sat Sep 05 2020