New Delhi:
Tesla CEO Elon Musk shared his belief in reducing his company’s mistakes and improving decision-making. This “simple algorithm” forms the backbone of the tech billionaire’s productivity and operational efficiency strategy.
The technique first gained attention in a post on X (formerly Twitter) and an image of the algorithm displayed on a SpaceX wall. Musk responded to the post and explained the rationale behind its creation.
“This simple algorithm I came up with to reduce stupid mistakes in the future is incredibly powerful,” he writes.
The five steps of Musk’s algorithm are:
OptimiseAccelerateAutomate to remove parts or process steps that simplify requirements
This simple algorithm I came up with to reduce stupid mistakes in the future is incredibly powerful https://t.co/tRJhe0gy6y
— Elon Musk (@elonmusk) November 29, 2024
Walter Isaacson mentioned the algorithm in his biography of Musk and explained each step in detail. He said Musk wants all requirements to be vetted and traced back to individuals, rather than accepting them as dictates from some nebulous organization such as a “legal department” or a “safety department.”
Musk also advocates eliminating parts and processes wherever possible. He noted that you may need to add back in later, adding that if you don’t end up adding back at least 10%, you haven’t removed enough.
Optimization should be done only after removing unnecessary elements. Musk warns against the common mistake of simplifying and optimizing components and processes that shouldn’t exist in the first place.
The world’s richest man also encourages accelerating the process only after ensuring that the first three steps have been thoroughly addressed. Reflecting on his experience in his biography, Musk said, “At the Tesla factory, I accidentally spent a lot of time accelerating the process and later realized I should have deleted it.”
Automation should be the final step in the process. Musk pointed out that trying to automate flawed systems too early could lead to significant inefficiencies.
