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Value is Impact divided by Effort.

  • High Impact, low Effort? That’s valuable.
  • Low Impact, high Effort? That’s not as valuable.

What does Effort mean for a client when they’re paying you to do the work? They aren’t putting in the sweat equity of Effort themselves, you are.

The Effort represents the Price that the client is paying for the project.

Impact is the outcome of the project for the client.

For a client, Value is Impact divided by Price.

  • High Impact, low price? That’s valuable.
  • Low Impact, high price? That’s not valuable.

(“Impact per Dollar”)

What does Effort mean when you’re working on your own business?

You’re putting in the effort and sweat equity and maybe you’re going to get paid directly from your work on your business.

The Effort represents the Time and Money that you’re investing in your own business. Mostly Time.

(“Impact per Hour,” “Impact per Dollar,” or “Impact per Effort”)

When you’re working on your business, It will take a few months for you to see the Impact.

When you’re planning what to work on — for a client, for yourself, for self-care, whatever — think about it in terms of “Impact” and “Effort.”

  1. What Impact will this have? Is it “Low Impact,” “Medium Impact,” or “High Impact”?
  2. How much Effort will this take? Is it “Low Effort,” “Medium Effort,” or “High Effort”?
  3. What does the Impact for the Effort look like?
  4. What different things could you work on that would provide a higher Impact for the Effort?

How can you learn what high-priority, impactful things your lead or client is looking for help with?

Sit down with the client and ask them questions about their business and the outcomes they’re looking for. Invite them to a Roadmapping Session (https://kaidavis.com/roadmapping/)



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