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Tim Ferriss · 2024-07-05

Terry Crews and Richard Koch | The Tim Ferriss Show

Tim Ferriss 10-year anniversary combo: Terry Crews on courage and reframing failure, Richard Koch on the 80/20 principle and unreasonable success.

Terry Crews and Richard Koch | The Tim Ferriss Show
The guest

Terry Crews and Richard Koch: Terry Crews is a former NFL player turned actor (The Expendables, Brooklyn 99, Everybody Hates Chris), America's Got Talent host, and bestselling author of the memoir Tough. Richard Koch is a renowned investor and bestselling author of The 80/20 Principle, The Star Principle, and Unreasonable Success and How to Achieve It.

What this episode covers

This anniversary 'super combo' episode pairs two of Tim Ferriss's favorite guests. Terry Crews discusses growing up in Flint during the crack epidemic, discovering his talent as an artist, and the high-school basketball failure that taught him to always take his shot and reframe setbacks on his own terms. He shares a dark story of confronting his abusive father and how real healing came through vulnerability rather than revenge. Richard Koch then explains how he discovered Pareto's 80/20 principle in an Oxford library and used it to ace exams, built an investing career on the 'star business' principle (including a 1.5 million pound all-in bet on Betfair), and lays out the nine landmarks of 'unreasonable success' drawn from studying 20 world-changers from Bezos to Mandela.

Recommended on this episode

BookRecommendedISBN verified

Perspectives on Strategy

Carl Stern and George Stalk

“it's a very very good primer ... it's just a very very good thing and it's very easy to read”
“you can recommend a book called perspectives on strategy edited by Carl Stern and George stock can you speak to what people might learn in that book”— Tim Ferriss
BookRecommendedISBN verified

Good Strategy Bad Strategy

Richard Rumelt

“that's actually a very good strategy book very not very nice short strategy book”
“good strategy B bad strategy ... you type it into Amazon if you want good strategy bad strategy that's actually a very good strategy book very not very nice short strategy book”— Richard Koch
BookRecommendedISBN verified

Antifragile

Nassim Nicholas Taleb

“which I think is probably his best book”
“Nicholas Nassim talb wrote a book called an fragile which I think is probably his best book and the thesis behind that as you know is that resilience is not the point”— Richard Koch

The guest's own work

BookBy the guest

Tough: My Journey to True Power

Terry Crews

“best-selling author of six books including his Memoir tough my journey to True power you can find Terry on Twitter and Instagram”— Tim Ferriss
BookBy the guestISBN verified

Tribe of Mentors

Tim Ferriss

“one of the stor that you put in trib of mentors is related to my question related to favorite failures or a failure that set you up for later success”— Tim Ferriss
BookBy the guestISBN verified

The 80/20 Principle

Richard Koch

“renowned investor and bestselling author of books on business and personal success including the 8020 principal and his most recent book unreasonable success”— Tim Ferriss
BookBy the guestISBN verified

Unreasonable Success and How to Achieve It

Richard Koch

“his most recent book unreasonable success and how to achieve it you can find Richard on Twitter”— Tim Ferriss
BookBy the guestISBN verified

The Star Principle: How It Can Make You Rich

Richard Koch

“you wrote an entire book on this the star principle 2008 it that was published in 2008 work and investing in Star businesses that was the focus”— Richard Koch
BookBy the guestISBN verified

Financial Times Guide to Strategy

Richard Koch

“there's my financial times guide to strategy ... out of print at the moment but I'm producing the fifth edition as we speak”— Richard Koch
BookBy the guest

The A to Z of Management

Richard Koch

“I wrote something called the A to Z of management ... which is basically a paragraph about various different concepts and it covered all the principles I could think of”— Richard Koch
BookBy the guestISBN verified

Managing Without Management

Richard Koch

“I'd written a book for him called managing without management which was a title which he suggested was very clever”— Richard Koch

Also referenced (named, not recommended)

MediaReferenced

The 6th Day

“the first time I ever got a movie it was a big movie it was with Arnold Schwarzenegger it was called the sixth day”— Terry Crews
MediaReferenced

White Chicks

“I remember on a set of White Chicks it disappeared I remember I was rolling and I ke and I every wedes I was like you got any notes”— Terry Crews
MediaReferenced

Battle Dome

“I was on a TV show called battle dome where they they literally put me in a cage and I fought my way out”— Terry Crews
BookReferencedISBN verified

Cours d'economie politique

Vilfredo Pareto

“I wanted to read a book which had read about called the course of economic theory but it was in French written by our old friend vredo pero”— Richard Koch
ProductReferenced

Racing Post (Top Speed ratings)

Racing Post

“all that is calculated on the Racing Post website it's called some called top speed”— Richard Koch
BookReferencedISBN verified

Outliers

Malcolm Gladwell

“I took an old book which was Malcolm gladwell's outliers and you probably remember that in outliers the whole thesis is that success derives from Deep experience”— Richard Koch

Big reveals from this episode

  • Terry Crews recounts winning a blind art competition at Interlochen where the judge picked both of his anonymous drawings as the two best in the room, cementing his belief he could compete with artists from around the world.
  • Crews describes missing a last-second layup that lost the district championship at age 16, then days later realizing 'I took the shot' became the lesson that still guides him: win or fail, it's on your own terms.
  • Crews shares the darkest period of his life: beating his abusive father after he hit Crews's mother, feeling completely empty afterward, and years later achieving real healing by thanking and forgiving him instead.
  • Richard Koch reveals he discovered the 80/20 principle in a French 1896 Pareto book in the Bodleian Library and used it to 'cheat without cheating' on his Oxford finals by studying only six likely-repeated topics per paper.
  • Koch explains he invested 1.5 million pounds in Betfair, his entire liquid net worth, after just one hour of due diligence, solely because it was a 'star business' with no competition, eventually making about 100 million pounds.
  • Koch describes Bill Bain promoting him to partner nine months in advance and asking him to behave as a partner without the title, which transformed his loyalty, diplomacy, and assertiveness.
  • Koch names Paul of Tarsus the most successful of his 20 'unreasonable success' subjects for stripping Jewish customs from early Christianity so it could convert the whole Roman world rather than remain a small sect.
  • Koch credits Nelson Mandela's 'unique intuition' formed during 17 years on Robben Island with sensing the apartheid government secretly wanted a deal, enabling a peaceful one-person-one-vote transition no one else thought possible.

Worth remembering

  • In college Crews ran a 'scam' where he pre-made paintings over summer, brought in deliberately bad ones first for teacher critiques, then revealed the masterpieces to show fake improvement and earn A grades.
  • On the set of The 6th Day, facing Arnold Schwarzenegger for his first big movie line, Crews froze with impostor thoughts but talked himself back in, and Arnold said 'I like his energy.'
  • Crews's favorite quote, on his dressing room wall, is Ralph Waldo Emerson's 'God will not have his work made manifest by cowards.'
  • Koch researched 20 years of Oxford history exam papers and found recurring questions on the French Revolution, Russian Revolution, and causes of WWI.
  • Betfair was growing at 40 to 60 percent per month when Koch invested; no venture capitalist would back it because none of its managers had run anything before.
  • Of the 20 world-changers in Koch's book, he later classified 14 as 'adventurers' and only 6 as 'controllers,' with controllers like Lenin having far less fun.
  • Koch takes a two-hour countryside bike ride nearly every day on the same route as his unsystematic system for thinking and planning his day.
  • Koch wrote Unreasonable Success partly to refute Malcolm Gladwell's 10,000-hours thesis, finding it didn't explain most of his 20 subjects.
  • Amazon's relentless.com still redirects to amazon.com, a relic of one of the company's first domain names.
  • Churchill was nearly bankrupt after the 1929 Wall Street Crash, got hit by a car on Fifth Avenue during a US lecture tour, yet got up and kept going.