Habit 3 from Stephen Covey's "Seven Habits for Effective People" focuses on prioritizing tasks using a time management matrix. The matrix divides tasks into quadrants of urgency and importance - the ideal is to spend most time in the "prosperity quadrant" of important but not urgent planning tasks. Covey encourages managing daily urgent tasks efficiently, minimizing inefficient tasks, and eliminating wasteful tasks to better focus on important planning and relationship-building work.