Business By Hormozi #253: Intelligence Over Experience – Why Smart Thinking Trumps Past Success

Why Intelligence Over Experience Matters More Than We Think

In the business world, experience is often seen as the ultimate qualification. We hire people because of their experience, assuming that what worked in the past will work again. But experience is good. But intelligence is better. The truth is, if someone has the intelligence to figure things out in one situation, they’ll likely have the ability to adapt and solve problems in any situation. Experience can’t replace the power of smart thinking.

This is the story of Alex and Maria, two leaders who learned the true value of intelligence over experience when they faced unexpected challenges in their companies.

Alex’s Faith in Experience

Alex was a firm believer in the value of experience. When hiring for his startup, he sought out candidates with impressive resumes—those who had worked at big companies, held senior positions, and had years of industry experience. He believed that someone with the right experience would be able to jump right into the role and tackle challenges without much training.

At first, it seemed like a smart move. His team was highly experienced, and they could hit the ground running. But soon, Alex began to notice a pattern. Whenever a new challenge arose—something the team hadn’t encountered before—they struggled. They relied heavily on what had worked in the past, and when that didn’t work, they found it difficult to think outside the box. Their experience didn’t help them adapt to the changing market conditions.

Alex began to wonder if there was more to success than just experience.

Maria’s Focus on Intelligence

Maria, on the other hand, took a different approach. When building her team, she focused on hiring people who were not only experienced but also highly adaptable and quick learners. She believed in hiring for intelligence over experience. Her philosophy was simple: if someone could think critically, solve problems creatively, and learn quickly, they could handle any situation—regardless of whether they had faced it before.

When Maria’s company faced a sudden market shift, her team didn’t flinch. They didn’t rely on old solutions; instead, they came up with innovative ideas, pivoted quickly, and adapted to the new environment. The intelligence of her team allowed them to thrive in unpredictable situations, and Maria’s company gained a competitive edge.

The Power of Intelligence Over Experience

The experiences of Alex and Maria revealed a powerful truth: intelligence over experience is what truly drives success in a fast-moving world. While experience may provide some shortcuts, it’s the ability to think critically, adapt, and solve problems that makes someone valuable in the long run. In today’s world, things change too quickly for experience alone to be the deciding factor. What worked yesterday may not work today, but someone with the intelligence to navigate those changes will always find a way to succeed.

Alex eventually came to understand that while experience is important, it’s the ability to think on your feet and adapt to new circumstances that truly matters. He shifted his hiring strategy to focus more on intelligence and problem-solving skills, and the results were immediate. His team became more creative, flexible, and capable of tackling unexpected challenges.

Conclusion

Experience may give you an advantage, but it’s intelligence that will carry you through the toughest challenges. In a world that is constantly changing, intelligence over experience is the key to long-term success. If you hire for intelligence, you can trust that your team will have the skills to adapt, learn, and thrive, no matter what comes their way.

Moral: "Experience is good. But intelligence is better."