We are familiar with the 80:20 rule, the Pareto Principle whereby 80 percent of results come from 20 percent of effort, or for example, in business 80% of our business generally comes from 20% of our clients.

The 40:70 principle, though, was new to me. Accredited to Colin Powell (pictured above) – American Secretary of State (2001-2005) and a four-star military general, this rule is the guideline he used to make quick and effective decisions as a military and state leader. It is a method to help avoid the two opposing evils of fast and foolish decisions and the slow burn of procrastination.

Simply stated, 40:70 is the lower and upper limits of good decision-making. The lower limit says hold back on your decision until you have gathered at least 40% of the information you need, and the upper limit says stop researching once you have 70%.

At some point between 40 and 70, you make a decision to act or not.

Reflecting on the bad decisions I have taken – times when I acted hastily without sufficient research, or on the other end, waiting until all information has been gained and then losing the window of opportunity – I can see the great value of this simple guideline in business.

In this rapidly changing world that often feels like navigating a battlefield, the ability to make wise decisions is very important and a simple method like this can be of great comfort.

Wishing you a wise, but fast-moving week as you step forward into the month of May.