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The Compound Effect - Transforming Productivity One Small Step at a Time

  • Writer: Fanny Chen (Yun)
    Fanny Chen (Yun)
  • Dec 9, 2024
  • 5 min read

Updated: Dec 10, 2024



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Some of my peers and friends know how “panicked” I felt during the first week of my sabbatical leave. I had clearly defined five areas to focus on, explore, and develop before requesting the leave from my bosses. I was excited and eager about this probably once-in-a-lifetime opportunity to recharge and renew myself.

However, unexpectedly, I felt anxious and self-doubt creeping in during the first weekend of my break (just three days in!). For example, a little voice in my head criticized me for "wasting time" after I spent a Saturday watching Emily in Paris on Netflix. The awareness felt funny but also hit me with a heavy nudge. I took half a day for self-coaching, asking myself the same question I often pose to clients toward the end of a session: “What support or resources can you reach out to for help?”


Immediately, I wrote down a few names and reached out to my mentor coaches, peers, and friends to talk through my struggles. My heartfelt gratitude goes to those who listened, empathized, and supported me through WhatsApp calls and coffee chats.

In this article, I want to share one of the greatest helps I received during that period: The Compound Effect by Darren Hardy, a book recommended by my mentor coach.

 


Facing the Transition and Finding Clarity


My anxiousness and self-blame emerged when I transitioned from a busy banking professional to someone with total freedom over my schedule. Suddenly, I could decide what to do—or not do—every day, yet I lacked a clear approach to navigate this “free time.” Living in today’s fast-paced world of business and personal development, we are bombarded with quick fixes and instant success stories. This pursuit can be overwhelming, pushing us to seek shortcuts or overnight transformations, by constantly taking actions.

When I reconnected with my intention for taking the sabbatical leave, I realized the real key to success lies in something far simpler and slower—a truth that resonated deeply with Hardy’s philosophy in The Compound Effect.


When I first picked up The Compound Effect, I was looking for ways to enhance my productivity and achieve my goals more efficiently. As an executive coach and someone deeply involved in change management, I am always exploring new tools and strategies for improvement. However, Hardy’s philosophy of small, consistent actions took me by surprise. It wasn’t about dramatic overhauls or radical shifts, but about the power of incremental changes, made consistently over time.

 


The Power of Small Decisions


At the heart of Hardy’s book is the idea that small, seemingly insignificant decisions accumulate over time to produce substantial outcomes. For example, Hardy describes how skipping one workout may seem trivial, but when repeated over time, it leads to a sedentary lifestyle and poor health. On the flip side, consistently exercising transforms fitness and well-being. I was immediately reminded of my mother, who started a daily 2-hour morning exercise routine in her 50s and has maintained it for more than 6,000 days. Today, she can outwalk many younger people in the city!


In the context of productivity, I realized that the small decisions I made every day—whether it was choosing to write a few paragraphs, respond to a couple of emails, or make time for self-care—were either contributing to or hindering my progress. These micro-decisions didn’t seem monumental on their own, but together, they create the direction to the future. Even in the context of building relationship, a small thought to give a small gesture of appreciation can create a long-lasting deep connection.


The challenge, however, lies in recognizing these micro-decisions, as many of them are unconscious or made on autopilot. Through mindfulness practice and coaching, I’ve learned to bring these unconscious choices to light to the subconscious and conscious awareness. Based on the compound effect, Hardy further provides proactive approaches to leverage the compound effect in decision-making.

 


The Compound Effect in Practice


When I started applying Hardy’s principles, the first step was revisiting my five focus areas and breaking them into Most Valuable Priorities (MVPs) for each quarter, month, and week. With just three MVPs per week, I created clear daily to-do lists. This was a turning point. Productivity, I realized, isn’t about working harder—it’s about working smarter and being intentional with small, daily actions. Instead of overwhelming myself with big tasks or complex projects, I focused on simple, consistent actions that gradually built momentum.

Additionally, I incorporated monitoring and retrospective practices to evaluate my progress. This helped me adjust my priorities and improve week by week. The same principle applies to finances—saving just $1 daily can amount to significant gains over time. This brings the next topic about consistency.

 


The Role of Consistency


The Compound Effect drove this point home in a way that felt deeply personal. Hardy emphasizes that consistency is not about perfection but about showing up regularly, even when the results aren’t immediately visible. Consistency, as Hardy emphasizes, is crucial for long-term success. In my corporate role, I do regular follow up consistently with the team. It is not just about effective communication and engagement, and a way to build momentum and debromination of achieving goal. Similarly, as a coach, I often invite clients to explore how showing up regularly—even without immediate results—leads to breakthroughs over time.


For example, I set aside 2–3 hours every weekend to review progress, brainstorm, or plan for the coming weeks. This habit helped me achieve significant milestones, like launching my coaching website by myself in just three weeks after a year of procrastination. Many authors also share the similar approach of blocking a regular time of dedication and their new books were born after a period of consistent writing. In supporting client develop resilience, we often talk about how resilience doesn’t come from avoiding setbacks, but from consistently showing up and learning from challenges. The compound effect of persistence, small improvements, and learning from failures builds resilience over time, and consistently levels up self-confidence. This approach has helped my clients develop a mindset of progress rather than perfection, as well the openness to more possibilities when focusing on the journey. This leads to celebrating small wins.


 

Celebrating Small Wins


Another aspect of the book that helped me boost my productivity was Hardy’s emphasis on celebrating small wins. It’s easy to become so focused on the end goal that we forget to acknowledge the smaller victories along the way. Like a wise man said, remember to notice and enjoy the beaty on the road before reaching the destination. Whether it’s completing a small task, overcoming a challenge, or simply sticking to a new habit, these small wins are essential for maintaining momentum and building confidence.


In fact, writing this article is my way of celebrating the accomplishments of my first quarter of renewal break!

 


Conclusion


The Compound Effect has been a game-changer for me. It doesn’t promise instant results but emphasizes sustainable, long-term growth. By focusing on small, consistent actions, and celebrating progress, I’ve transformed my approach to productivity.


If you’re looking to improve your productivity or navigate transformation, I highly recommend this book. The small steps you take today, though seemingly insignificant, can lead to profound, lasting results in the future. Of course, I’m here to hold you a safe space in coaching to support your transformation journey even more effectively.

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