I am posting this for future reference. Gary North’s point isn’t original (it isn’t even his alone), but he has managed to articulate it succinctly, yet again, in “Putter, Fritter and Guess“:
It turns out that the best way for a businessman to spend his time is the 20% of his hours in a day that produce 80% of his net income. It may not be easy to identify these activities, but for a successful career, a person must do this.
What we find is that even when people do this, they do not have the self-discipline to ruthlessly abandon the 80%. They keep doing these low-return tasks. This may be pure habit. It may be a commitment to the ideal of perfectionism: to be sure that everything gets done right. The person refuses to decentralize and delegate. He cannot bring himself to let go. The result is that the person does not attain his maximum output/income.
The person who steadfastly refuses to delegate and decentralize is violating the principle of the division of labor. This principle says: “You can’t do it all.” In some cases, it says; “You can’t do it at all.” A task may not be a one-person task.
The person who is a perfectionist and who insists on doing an entire project is asking to minimize his output. If, by hiring an assistant, he can double his output and reduce quality only (say) 4% (20% of 20%), this will not matter, if the 4% is related to the 80% of the product’s functions that people rarely use.