Who Moved My Cheese?
/The best laid scheme of mice and men often go astray - Robert Burns
Who Moved My Cheese? is a business fable that tells the story of four characters living in a maze where they enjoy cheese as their ultimate symbol of happiness. The book is an international best seller with over 10 million copies sold, and has been a tool used by many Fortune 500 companies to empower their employees to handle change and develop new market opportunities.
The book recounts the story of four characters living inside the maze: two of the characters are mice named Sniff and Scurry. The other two are “Littlepeople” named Hem and Haw, who are beings the size of mice, but who act a lot like people. The characters start out eating cheese together, but reach a crucial crossroads when they discover one day that their coveted cheese has disappeared. At this point a whole host of reactions occur, from denial, disbelief, rage, frustration, confusion, hopelessness, and utter despair.
This simple allegory reveals complex truths about the psychology of processing and adapting to change. The characters are forced to reassess their routines and determine their response to this change. They can stay where they are, crippled by fear and wallowing in self-pity, or they can get up, venture out into the maze, and accept the change as the opportunity it is.
This story is less than a hundred pages long, takes less than one hour to read, but can positively impact your perception and response to change for a lifetime.
How can this story help you in your real estate investing?
The unique principles of this story are actually much bigger than real estate investing; rather, they are relevant to every kind of business, and every kind of person. In real estate investing, as in life, we are faced with unforeseen change almost daily. Whether minor or major, we are dealing with a host of uncontrolled variables in our investing, like difficult tenants, maintenance issues, money mishaps, communication breakdown, etc. The sooner we realize that the only thing we control of is how we react to uncontrollable circumstances, the sooner we can adapt and overcome adversity. And as we continuously discover the benefits of adapting and growing, the more we will come to see change - even calamity - as a good opportunity for personal growth and greater reward.
As the late John D. Rockefeller put it, “Don’t be afraid to give up the good to go for the great.”
That is one of the big lessons in this small book, and it can make a world of difference in your business and life.
What would you do if you weren’t afraid?
This is one of the most powerful questions because it forces us to confront our fears, which we all have. After learning their cheese has been moved, the two mice immediately move on through the maze, while the Littlepeople spend a lot of time in indecision and depression. They discuss their options (remain or explore) all while clinging to the unlikely possibility that they’ll awake the next day to learn it had all been a nightmare. Their fear of change and the unknown not only prevents them from action, but deludes them into believing the improbable. When we face change in our business and lives, we must waste little precious time in denial, and instead weigh our options and act on the best one. Too many people never start in real estate investing - or give up at the first sign of adversity - because they’re not prepared to deal with change. What this book offers is a paradigm shift in perception. Instead of regarding change as an unexpected and unwanted interruption, you can learn to see change as an inevitable and welcome opportunity to learn, grow, and receive the greater reward. With this mindset you can overcome fear.
This book can cure you forever of analysis paralysis!
By understanding these main truths:
Change is inevitable
We all know change - both good and bad - is happening all the time. Rather than fear change, we can embrace it as an opportunity to learn and grow - especially when we have systems in place to help us adapt.
You need to anticipate change
This is why we have things like contingency and cap-ex funds for the inevitable repairs and maintenance our properties will require, often at a moment’s notice. Our anticipation of change leads to our ongoing monitoring of change.
You need to monitor change
Having systems in place to detect change ahead of time can help mitigate unexpected surprises. For example, having your PM routinely walk your buildings to inspect all units and spot any maintenance issues is a key form of monitoring change. It’s crucial to have an experienced individual who knows what to look for regarding safety hazards, water damage, pest control, facilities management, lighting, secure entryways, etc.
You need to adapt to change quickly
It’s not enough that your PM walk the units and monitor the changes. They need to report what they see and work with you to determine the best most cost effective approach to handling the change.
The more important your cheese is to you, the more you want to hold onto it. You may have a 4-plex that you love because it produces good cash flow, you know the tenants, and your comfortable managing your established systems. But what’s the one thing you can’t do when you’re already holding onto something? That’s right, grab ahold of something else - something better. Maybe you get several offers over the years to sell your 4-plex for a large sum. You could then reinvest that money into a larger property or a syndication deal. But if your 4-plex is too important to you, then you may be holding it too closely, to the point that you reject or don’t even see better opportunities right in front of you. You could essentially be cheating yourself out of better partnerships, better deals, greater income, and more freedom!
Letting go of “old cheese” allows you to take hold of and enjoy “new cheese.” It’s not enough to just adapt; you need to learn to adapt quickly to acquire the best deals.
You need to change
This is a big one: If you refuse to change you may become irrelevant.
Moving in a new direction helps you find new rewards
Envisioning yourself enjoying new rewards can lead you to them.
It is safer to search in the maze than it is to remain in a cheeseless situation. If you were stranded in the jungle with no food, what would you do? Most of us would look for food. But what if you heard the howls of terrifying animals out amongst the trees? You might tell yourself, “It’s too dangerous to go look for food!” So instead you decide to stay where you are and hope that either the howling stops, or a cheeseburger magically materializes in your hand. Since neither is likely to happen, you end up starving to death! You failed to realize it was actually safer venturing out into the unknown - where yes, there is potential risk - than it was to sit where you were.
What are the “dangers” of staying where you are in regards to your real estate investing aspirations?
Remaining stuck in a dead end job
Not achieving financial independence
Failing to be a strong role model to your kids
A life of “what ifs” and regret
Don’t allow your life to be defined by the fears that prevented you from changing and successfully achieving your dreams.
You need to learn to enjoy change!
When you stop being afraid, you feel invincible! There are fewer experiences more rewarding than successfully responding to change by solving a problem. When you can bridle your emotions and exercise your mental and physical prowess to overcome an obstacle, you will be well on your way to success. Change is enjoyable not simply because it is new, but because it reveals who we are as people. “Grit” is a great word that defines one’s courage, resolve, and strength of character. You can develop grit unless you face change head on. It’s important to realize that we aren’t defined by failure, but by whether we get back up and try again. When you learn to enjoy change and even failure as part of the process, you will enjoy your success even more!
What are the current opportunities in your life, and what is the “cheese” that is preventing you from seizing these opportunities? Maybe you’re still trying to get started in real estate investing, but your cheese is the excuses you’ve made to disqualify yourself. Maybe your cheese is the cynicism of others around you. Maybe your cheese is your soul sucking, yet comfortable job. Whatever the case may be, you can choose today to leave where you are, venture out into the unknown, and discover a greater reward.
Life is no straight and easy corridor along which we travel free and unhampered, but a maze of passages, through which we must seek our way, lost and confused, now and again checked in a blind alley. But always, if we have faith, a door will open for us, not perhaps one that we ourselves would ever have thought of, but one that will ultimately provide good for us - AJ Cronin