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Business Quote by Patrick Collison

“At most large companies, what is locally optimal for you is very frequently not what is globally optimal for the company.” quote by Patrick Collison
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“At most large companies, what is locally optimal for you is very frequently not what is globally optimal for the company.”

Patrick Collison

About This Quote

Local decisions that benefit an individual or team can clash with the overall best outcome for the organization.

In simple terms: Local vs. global optimum

Key Takeaway

Align incentives with company goals

Themes

Decision-making Organizational strategy Incentive alignment Systems thinking

Mood

Thoughtful Analytical

Type

Observation Advice

When to use this quote

  • Team performance reviews
  • Project prioritization
  • Resource allocation

Key Concepts

Optimization Trade-offs

Practical Applications

  • Strategic planning
  • Performance management

Questions to Reflect On

  • How can we ensure personal incentives support the company's mission?
  • What mechanisms detect misaligned local choices?
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