PME2 - Start with the End-State in Mind

Back in Mar '08, I'd shared on my take of a concept to achieve financial freedom, termed as PME2. In my subsequent blogs, I'd attempt to share more in-depth of each component of the PME2 concept.

In this article, I'd attempt to share more about "End-State - Desired Financial Outcome".

End-State, or what is commonly known as Objectives, Goals... are statements that spell out the outcome of certain actions. According to TheFreeDictionary.Com, End-State can be defined as, "The set of required conditions that defines achievement of the commander's objectives."

Some prefer that the end-state be specific, measurable and time-based so as to effectively evaluate the performance of certain systems being implemented. Some use simple keywords as in 5Ws i.e. Who, What, Where, When and Why as a guide to draft the end-state statement.

A possible example of how an end-state statement, or desired financial outcome, may look like:

"I am to achieve financial freedom, with a monthly passive and/or portfolio income of $10,000, in Singapore term, by age 45 years old, as part of my Phase 1 Dreams Realisation Plan."

Who: "I". Usually this is self-implied, and can be ommited.

What: "to achieve financial freedom, with a monthly passive and/or portfolio income of $10,000"

Where: "Singapore". Can be self-implied too and be ommitted.

When: "by age 45 years old"

Why: "as part of my Phase 1 Dreams Realisation Plan"


One of my mentor used to tell me, "Start with the End-State in Mind". This concept is actually not new. Google the phrase and it is not difficult to find out alot about how many people or groups of people in the world are applying this concept.

An example of one such group called themselves (or rather they are being labelled as) the Effects Based Operations (EBO) practitioners. There was a paper titled, "Making Information Operations Effects-Based: Begin with the End (-State) in Mind!", authored by Duczynski, Guy. The paper argues that an examination of the systemic interactions amongst factors may deepen planners or policy-makers understanding of why a region or area of interest behaves the way it does, before they attempt to change it. A method is detailed that couples effects statements and means and highlights capability requirements. A case study example is provided using North Korea.

In my opinion, the great thing about starting any project (or investment in our discussion context) with the desired end-state in mind, is the clarity of what is to be achieved and the focus of how to achieve it. Lesser time and energy will be wasted, trying to figure out what we want, when the actions have already began. We will be able to strategise better on how to go about achieving our desired financial outcome. Our strategy will be holistic, efficient and purposeful.

In the next article, I will attempt to discuss on the foundation of PME2 - "Purpose".

Meanwhile, spend some time thinking about the desire outcome you always wanted. Pen it down, if necessary, for yourself as a constant reminder. I have done mine. ;-)


Have a great day,

Leroy Ang

"When I Stop Learning, I Stop Living."