Compounding
Anyone who has ever taken an economics class or attended a Dave Ramsey seminar will tell you that compounding is an extremely powerful tool for multiplying the value of your efforts. Very simply, compounding is the cumulative effect of taking the outcome of your effort and reinvesting it back in as input. The result is the yield of your effort creates its own yield, which in turn creates its own yield… the cycle builds upon itself ad infinitum. Cool, right?
But like all strategic tools, the compounding phenomenon can work both to the benefit and detriment of your organization. A lesson that most companies (and people) learn the hard way.
A quick analogy.
Right now, there is infection in five of my toes. I’ll spare you the details but know this: IT HURTS. ...

