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Efficiency is the enemy? (2021)

fs.blog

51–60 of 73 posts

Re: Efficiency is the enemy? (2021)

#51
It's interesting that if labor units were replaced with money, the concept would be intuitively obvious to everybody: Having a certain amount of money that isn't earmarked for anything is practically the Singularity of personal finance.

Re: Efficiency is the enemy? (2021)

#52
post #22

Earlier quoted context omitted.

If the roles are both equally necessary, why does the CEO make so much more than the secretary? The CEOs entire enterprise is due to others. If anything explicitly highlighting that undermines the myth they’re the experts. Both of your models rely on the CEO delegating to focus on the right state change for the business, so I’m not sure why you create two scenarios with squishy ideas of a CEO being efficient or slack…

> If the roles are both equally necessary, why does the CEO make so much more than the secretary? Most jobs don't set salary based on the necessity of having someone in that role, it's usually based on how difficult it is to find a capable person in that role. If there are 100k people capable of doing the job of the secretary, and 5k people capable of doing the job of the CEO, then the CEO will be able to negotiate a…

Right, the old supply and demand; a heavily accepted model drilled into us.

It’s not the only viable one to the species.

Given automation and first hand experience building analytics systems for VCs and investors; they’re not that much more capable. They’re humans at the same edge of knowledge as any grad of a decent university, of which there are millions.

Teaching “stay in your lane” tacitly props up apathy and disbelief in the proles.

Re: Efficiency is the enemy? (2021)

#53
I really dislike blogs/articles/publications that don't have a publication date prominently placed for the reader. This, at least according to the wayback machine, is from at least October 31st, 2021 -- Although I seem to remember reading it before this date.

It really does the reader a disservice by not giving them the temporal context in which the words were written.

Re: Efficiency is the enemy? (2021)

#54
I don't like efficiency as a concept -- it hides too much. As a ratio of output over input, it can be used to say all kinds of things (we pay our employees less, I spent less time with my family, etc) behind a veneer of merit or technological improvement.

I prefer talking directly about inputs/costs and outputs/desired effects. This also makes it more explicit who pays the costs and who gets the benefits.

Re: Efficiency is the enemy? (2021)

#55
"The enemy of efficiency

    “You’re efficient when you do something with minimum waste. And you’re effective when you’re doing the right something.”
Many organizations are obsessed with efficiency. They want to be sure every resource is utilized to its fullest capacity and everyone is sprinting around every minute of the day doing something."

This is what's called productivity. Efficiency is how much the productivity align to a certain goal. Depending on which goal you measure the productivity against the efficiency will be different.

In the case of Tony "Every minute of his time goes on the most important part of his work—making decisions—and not on dealing with trivial inconveniences like waiting in line at the post office."

does he take the -right- decisions for the company benefit? Could he think up good strategies at the waiting line? or get inspiration from the surrounding? or just rest at the waiting line to perform better in action?

To make it more trivial: Imagine a worker that's really good at making shoes. This worker can output 60shoes a hour (with good quality). But now this worker actually works at company making computers. The computer company does not really now what to do with all these shoes. The worker is really good at making shoes and have high productivity compared to his fellow friends at a shoe company. But it does not help the computer company to sell or produce more computers. This shoe maker would probably be a better fit in a shoe company. (But who knows, maybe the shoes are so good that the fellow computer makers need less time at the doctor by wearing them. And them seeing the shoe maker creating shoes with such determination and productivity, that they get inspired to make computers with same determination and productivity.) Only the results can tell.

So what is the goal? That is probably the most difficult question. As to be able to measure efficiency the goal needs to be measurable. And probably there is not only one goal that a company strive for but many. And these goals can compete with each other. These goals can also be divided into smaller goals, for different parts of the organization.

Efficiency isn't so easy to measure but productivity is. Therefore most tend to stick with productivity as a tool to improve.

There's often a mix up with productivy and efficiency which makes the messages confusing.

A good read: M Goldratt, E. and Cox, J., 1993. The goal - A process of ongoing improvement.

Re: Efficiency is the enemy? (2021)

#56
Oh, hello, queue theory and parallel processing theory! As you increase utilization (remove slack), throughput may grow, but latency grows more. If your nodes interact and depend on each other, the tail latency can grow completely out of hand, in exchange to tiny gains in utilization, and the actual throughput may go down as utilization goes up past some point.

Always have some free disk space. Do not run your web servers at 100% CPU utilization. Overprovision your clusters. Add redundant network links. These ideas look completely obvious, don't they?

Now apply them at the org level. Always have someone with spare cycles. Leave some time at the end of the sprint when all planned tickets are done. Allocate time during the day to sit and think, or to experiment, or to take a walk. Let the person oncall to mostly sit around and watch the system operate instead of churning out something. Now this sounds a little bit crazy, doesn't it. So much efficiency is left on the table!

(Also, certain Nassim Taleb used to be popular around here; he wrote a whole book, "Antifragile", based on these ideas.)

Re: Efficiency is the enemy? (2021)

#57
Personally, I've never been a fan of "the measured life."

Pro athletes and ultra-high performers use these types of metrics to maximize their "potential," but it seems to come at the cost of burnout, injury, and things like mental health and family issues.

I get a pretty significant amount of stuff done, and pretty well, but I could care less about measuring it.

I don't compete with anyone; especially with myself.

When crunch time comes, I roll up my sleeves, and get downright obsessive, but I also do things like take "side trip projects" (for example, breaking out UI widgets into open-source packages).

I get done what needs doing. I learn a lot, and I keep myself relatively healthy.

Re: Efficiency is the enemy? (2021)

#58
The more efficient your system is, the more fragile it is. Just look at global trade and how quickly it fell apart because of Covid. A more down to earth example is being “efficient” going on a trip, leaving last second to get to the airport, and then ending up missing the plane because of an unexpected problem happening on the way. The book “The Goal” (introducing TOC) is a good read to understand the problems with focusing on “efficiency” instead of the goal you are trying to achieve.

Re: Efficiency is the enemy? (2021)

#59
post #56

Oh, hello, queue theory and parallel processing theory! As you increase utilization (remove slack), throughput may grow, but latency grows more. If your nodes interact and depend on each other, the tail latency can grow completely out of hand, in exchange to tiny gains in utilization, and the actual throughput may go down as utilization goes up past some point. Always have some free disk space. Do not run your web se…

Not crazy at all. Just smart thinking combined with a good understanding of how the world actually works. You want to automate things as much as possible so that people have time to observe, think, and improve things. For example, a manager who is always 100% busy, working 80 hour weeks, is a bad manager. One step away from a heart attack or a major team/system failure.

Re: Efficiency is the enemy? (2021)

#60
post #22

Earlier quoted context omitted.

If the roles are both equally necessary, why does the CEO make so much more than the secretary? The CEOs entire enterprise is due to others. If anything explicitly highlighting that undermines the myth they’re the experts. Both of your models rely on the CEO delegating to focus on the right state change for the business, so I’m not sure why you create two scenarios with squishy ideas of a CEO being efficient or slack…

> If the roles are both equally necessary, why does the CEO make so much more than the secretary? Most jobs don't set salary based on the necessity of having someone in that role, it's usually based on how difficult it is to find a capable person in that role. If there are 100k people capable of doing the job of the secretary, and 5k people capable of doing the job of the CEO, then the CEO will be able to negotiate a…

CEO’s routinely run businesses into the ground. So the question is if the hiring process for CEO’s is actually working as intended.
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