Anything of value is measured relative to time. Your health, wealth, money is also measured relative to time. From this standpoint it’s clear that anything of value takes time to bring to the market place.
What then is value? Value is something desirable and of worth, created through exchange or effort
It is important that you pay attention to the above definition of value. Value is desirable and of worth. Value is created through exchange or effort.
I have to ask you a very important question based on the above definition of VALUE.
What is the desirable outcome(s) in your work to your customer? What is it worth? How can you measure this form of value that you create through exchange or effort?
Your time is your greatest asset for value creation.
How intelligent are you in your use of time? Why should the way that you use your time matter to you?
The answers to these questions on a personal basis could be the secret to unlocking the hidden treasures in the value versus time matrix. The fundamental idea here is that bringing value to the market place takes time. It doesn’t matter whether its money or creating wealth it requires one form of value transfer or exchange over time. The Valuenaire is a value creator. The constraint in bringing more value to the market place is based on the ability to multiply or leverage value within a short space of time and to continue to do so consistently in the future. This is a very important principle that separates the rich from the poor. The ability to create and leverage value and is key to stacking and profiting from diverse asset generating vehicles.
The Value Exchange Matrix over Time
How do you profit from the principle of leverage by using different idea centres as your lever? For the purpose of this section we have to use money as a means to express the concept of value. You are paid (rewarded) a certain unit of money over time. Let no one put a ceiling above you as to what you are worth or the value you are able to create in any given marketplace.
How can you leverage you, time, products, services and money itself to create value beyond your wildest dream?
I want to share with you this important formula:
MONEY = VALUE X LEVERAGE
If you want to bring value faster to the market place you have to use more leverage. Leverage ability, to do more with less is an important principle to becoming RICH. You can increase your value … worth in the market place by applying the Law of Multiplication.
Money comes to those who find opportunities and create value and all billionaires know and believe that this is how to accumulate wealth.
Creating the value exchange matrix as a way to exchange value form diverse income generating streams is a way of thinking. It will challenge and change your belief and value systems in deed your whole attitude of what is possible in your income or value creating vocabulary. The value exchange matrix is an idea from Daniel Wagner in his book “Wealth DNA”, Proven Principles for Lasting Wealth. I have to share it here for your benefit, but knowing it is one thing but taking action one step at a time to master how they work will put you in good stead. Before I go into the explanation of each of these ideas, it is important to see the principles that are at work in each of these ideas. The key factor or variables are value; time, you and different way that you can replicate yourself to have more time freedom which everyone want. It is the same idea that was discussed by Robert T. Kiyosaki about CashFlow Quadrant in his book Rich Dad, Poor Dad.
Cash Flow Quadrant
If you are not familiar with the meaning of the above elements they are as follows:
E stands free employee
S stands for small business person, self-employed or specialist
B stands for the big business owners
I stands for the investor
For the purpose of this work, I’ll not go into this idea in a deeper dimension, but you can read more about it in Robert T. Kiyosaki book:
These quadrants represent different ways of creating value and it is hinged on your core value; none of them is written in stone as a person can operate in any one of them at any given time. All that is required is that you grow as a person in terms of your belief; value and attitude around money … value creation within your chosen market place. Cash flow is based on the simple proposition of our being valuable in the bid to providing solution to any given problem.
The Value Exchange Matrix describe by Daniel Wenger are described in this section.
1. Value* in exchange for time – Leverage You
In this level of the Value Exchange Matrix, you create value through the work you deliver and you are rewarded for your time. The key idea here is that you are trading time for money. There is a cap on what you’ll be rewarded in terms of your contributions in time and space. Precisely, your value is based on your input resulting to a given output. The key idea here is that if you want to continue to be relevant in your chosen career, profession or vocation, you need to make it a point of duty to expand your means continuously. How can you be the best among your fellows?
2. Value in exchange for People’s Time – Leverage Time
Have you heard about this acronym or abbreviation OPT.? It means other people’s time. In this aspect of the Value Exchange Matrix, you are paid for other people’s time because you are a business owner. This is very powerful way to leverage the quantity of value that you deliver to any market place. Let look at an example of a recruitment agency that finds work for people. Each time people go to work on their behalf they half slice of the candidates pay for every hour as this case may be. Being able to operate in this realm requires that you develop the ability to manage and lead people.
3. Value in exchange for Products – Leverage Products
Here you create value in you chosen market place because of the products you bring to sell. The principle idea here is that you work once through creating the product in question, and sell it time many times. You have to find out how to create your product and develop ways to distribute them to the market place. This could require some a lot of resource but you can find have to maximize your bottom line. You can also create a team to help you sell more of your products … by way of affiliates.
4. Value in exchange for Services – Leverage Services
The service based leverage is very similar to value exchange based on products. On example could be to deliver your service in a website based on subscription model. This business model can be as big as you imaginative ability to attract hood of paying customers. The service can be fast tracked by using different technologies like online software, video audio, webinar which gives you more leverage. If the service is such that it requires you to be present any time it’s used; then it will result to the first example, where you trade time for money (value).
5. Value in exchange for Value - Leverage Value
After you have made your money, how do you make your money to work for you? This is fundamentally the idea of investment. There are different vehicles for financial investment but you need to really learn how to use them to your advantage. Here you are partaker of the value (money) that you contributed both in terms of input and output. Most of this can be found in businesses, projects and ventures. On the whole the return in this level is phenomenal, more value within a short space of time. This is an area that requires a good knowledge of financial literacy and financial intelligence within the department of wealth building and wealth creation.
* You can replace the word Value with Money. Money is only an idea to represent how much value you have provided for others.
I’ll leave you with this thought from John Chliders, Businessman, Investor and public speaker:
“There are two economies in the world, “Time for money “and “Results for Money.” One has a lot of guarantee and limited income and the other has guarantees but unlimited income potential.”
If you want to increase your income, you must increase your ability to earn. If you want to increase your ability to earn, you must increase your value to society.
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Copyright 2016 B S C Ugoji