A Financial Peace University class and a discussion with a friend last night sparked further discussion about locus of control. Simply put, locus of control is a term which describes to what a person attributes their success or failure. If someone has an external locus of control, then what happens to them comes from without. These people believe fate, God, the environment, the government or some other entity are responsible for both their successes and their failures. By contrast, those people with an internal locus of control believe that they themselves are ultimately responsible for their own successes and failures. Dave Ramsey says that there are people who are reactive, and people who are proactive. Proactive people happen to their own life (especially money, in his example). Reactive people are those to whom life happens.
Successful people tend to have a higher degree of internal locus of control and embrace proactivity. These are the people who happen to their money, their lives and their businesses. These are the people who you won’t hear whining about how bad the economy is for their business, but instead proclaiming how the bad economy is motivating them to try different approaches and ways of doing business.
Another hallmark of people with an internal locus of control is a feeling of empowerment. When I feel in control, then I feel empowered to keep on doing whatever it is I am doing. This, ultimately, leads to more success and a great feeling of being in control.
Who is responsible for your success personally and professionally? What motivates you to seize control of your business and happen to it?
- When Life Throws You Curve Balls: How To Manage Uncertainty (personalexcellence.co)
- Freedom, well-being & capitalism (stumblingandmumbling.typepad.com)