Subject: Why We Throw Good Time and Money After Bad Pillar: Systems Thinking Focus: Cognitive Bias & Rational Exit Strategies The Executive Summary The human brain is biologically averse to “waste.” When we have invested time, money, or emotional energy into a project, we feel a powerful urge to continue, even when the evidence shows…
Month: June 2026
Memo 79: The Pareto Principle
Subject: Finding the 20% That Drives the 80% Pillar: Systems Thinking Focus: Non-Linear Distribution & Resource Allocation The Executive Summary In almost every system, the relationship between “input” and “output” is not equal. The Pareto Principle (the 80/20 Rule) states that roughly 80% of your results come from just 20% of your efforts. Conversely, 80%…