LEADERSHIPOngoing practice

The Law of Process

Leadership develops daily, not in a day

Problem it solves

ineffective leadership

Best for

Aspiring leaders committed to long-term growth, anyone frustrated by lack of quick leadership results, leaders wanting a development roadmap

Not ideal for

Those seeking overnight leadership transformation or quick-fix solutions

Overview

Why this framework exists

Becoming a leader is like investing successfully in the stock market: what matters most is what you do day by day over the long haul. There are no successful 'day traders' in leadership development. The secret of success is found in the daily agenda. Leaders are distinguished from followers by their capacity to develop and improve skills. Most people overestimate the importance of events and underestimate the power of processes.

Core principles

5 total
  1. Leadership develops daily, not in a day
  2. The secret of success is found in your daily agenda
  3. Leadership compounds over time like financial investments
  4. Leaders are distinguished by their capacity to develop and improve their skills
  5. Most people overestimate events and underestimate processes

Steps

3 steps
  1. Identify your current phase of leadership growth
    Determine which of the five phases you are in: (1) Don't know what you don't know, (2) Know that you need to know, (3) Know what you don't know, (4) Know and grow and it starts to show, (5) Simply go because of what you know.
    Pro tipMost people who pick up a leadership book are at Phase 2 or 3. The key is recognizing exactly where you are so you can commit to the right growth activities.
  2. Create a daily growth plan
    Develop a personal growth plan that includes daily reading, regular learning from mentors, and attending conferences. Make financial sacrifices if necessary to invest in your growth.
    Pro tipMaxwell paid $100 per half-hour to interview the top ten leaders in his field. He planned vacations around where these leaders lived so he could learn from them.
  3. Choose processes over events
    Shift from relying on motivational events to engaging in daily growth processes. Events encourage decisions but processes encourage development. Events motivate but processes mature.
    WarningIf your only leadership development comes from annual conferences or occasional books, you are underinvesting in the compounding process.

Checklist

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Examples

2 cases
Anne Scheiber's Compounding Fortune

Scheiber retired from the IRS in 1943 with only $5,000 in savings and a salary of $3,150/year. She invested patiently in stocks, reinvesting all dividends over 50+ years. Her 1,000 shares of Schering-Plough at $10,000 eventually split into 128,000 shares worth $7.5 million.

OutcomeBy the time she died at 101, her estate was worth $22 million, all from patient daily compounding rather than any single brilliant move.
Maxwell's Challenge to Brian

Maxwell noticed a sharp 19-year-old named Brian at a Denver leadership conference. He told Brian publicly that in 20 years, he could be a great leader if he committed to daily growth, but it wouldn't happen in a day.

OutcomeMaxwell told Brian that in 5 years he'd see progress, in 10 years he'd develop competence, and in 20 years others would seek him out to teach leadership. The daily price must be paid now for future dividends.

Common mistakes

2 traps
Seeking quick fixes instead of daily discipline
People want the compounding effect that Anne Scheiber received over 50 years, but they want it in 50 minutes. There are no shortcuts to leadership development.
Relying on events instead of processes
Events are easy and motivating but only produce temporary results. Processes are difficult but produce lasting change. The temptation is to attend one more conference instead of building daily habits.

Origin story

How this framework came to be

Maxwell illustrates this through Anne Scheiber, who turned a $5,000 investment in 1943 into a $22 million estate by the time she died in 1995 -- not through a single brilliant trade but through decades of patient compounding. Leadership works the same way. Maxwell discovered this personally when Kurt Kampmeir asked him a life-changing question: 'What is your plan for personal growth?' He had no answer, and that moment started his lifelong commitment to daily leadership development.

Source

Traced to primary
Source · BOOK
The 21 Irrefutable Laws of Leadership
John C. Maxwell · 1998
Open source →

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