Just-In-Time: The Buffer Was Hiding Something
Cutting inventory frees a lot of cash. The original reason for cutting it was different — stock conceals late suppliers and broken machines, and removing it forces them into view.
Concept
Theory of Constraints
Vertical Integration: Owning the Step That Decides the Product
Buying from specialists is usually cheaper, and sometimes it means you cannot be better than anyone else. The right boundary moves as an industry matures — and rarely gets revisited.
Organizational Design: Choosing What Will Be Easy to Build
An org chart looks like a diagram of authority. It works as a map of which conversations are cheap — and that is what ends up shaping the product.
Brooks's Law: Adding People to a Late Project Makes It Later
The obvious response to a slipping deadline is more people. Output falls first, because the only people who can train them are the ones already behind — and coordination grows with the square of the team.
Software Engineering: Code Is Read Far More Than It Is Written
Most engineering time goes on code that already exists. Once you accept that, the practices that look like fussiness turn out to be straightforward economics.
Carrying Capacity: The Ceiling That Can Be Lowered
A population grows until the resource runs short — then often keeps going past the limit. What makes overshoot serious is that it can damage the resource base and leave the ceiling permanently lower.
Supply Chain and Logistics: The Ocean Is Cheap, the Doorstep Is Not
Crossing an ocean can cost less per item than the final eight kilometres. Once you see logistics as handling events rather than distance covered, most of the field makes sense.
Semiconductors: Everything Depends on a Handful of Buildings
Chip design is spread across hundreds of firms. Making the advanced ones happens in very few places — and that single asymmetry explains the shortages, the politics, and the fragility.
The Pareto Principle: Your Effort and Your Results Are Not the Same Shape
A few pea pods produced most of Pareto's peas. The lopsidedness he kept finding everywhere contradicts a default we apply constantly — treating twenty tasks as twenty roughly equal things.
Opportunity Cost: The Free Ticket That Costs You an Evening
Money spent arrives with a bill. The alternative you silently rejected never does — which is why we count one half of every decision carefully and the other half not at all.
Gall's Law: Complex Things That Work Were Never Built That Way
Every complex system that works turns out to have grown from a simple one that worked. Designing the finished version from scratch doesn't just take longer — it has a startlingly poor success rate.
The Amplification of Panic: The Bullwhip Effect and Supply Chain Volatility
A five percent shift in consumer demand stopped the world's car factories. The distortion happens on the way upstream — and it is entirely rational at every step.
Feedback Loops: Why Structure Beats Effort Every Time
A shower with a four-second lag will defeat anyone. The oscillation is a property of the loop, not the person — and most organisational dysfunction works exactly the same way.
The Illusion of Local Optima: The Theory of Constraints and Systems Bottlenecks
A factory running at 98% capacity can still fail to deliver. Optimising everything except the bottleneck is not progress — it is an expensive illusion.
Conway's Law: Your Architecture Is an X-Ray of Your Org Chart
Assign four teams to build a compiler and you get a four-pass compiler. The seams in any system fall exactly where the seams between its builders already were — and rewrites that ignore this get undone.
Parkinson's Law: The Deadline Decides the Duration
A two-page report takes a week if you have a week and a month if you have a month, and comes out about the same. Where the extra time goes is more interesting than the fact that it vanishes.
Technical Debt: The Loan Nobody Remembers Taking
Cunningham's metaphor was never about bad code. It was about a rational trade — ship now, pay interest later — and the interest is levied on every future change you make.
Geopolitics: Leaders Change, Coastlines Don't
Most commentary is about which leader decided what. Constraints — geography, resources, neighbours, demographics — explain the menu of realistic options, and they outlast every government.