Poll: law of diminishing returns

When you're working on a project, do you stop and consider this law?
How do you take it into account?

More in comments

 

I think that many people apply this law too early.

For example, in many of the gigs that I do for customer service research, I get paid maybe $5-$15 for each one. The work involved may take anywhere from 10 to 15 minutes (not including travel time to or from the target location) plus another 30-40 minutes to write up the encounter. Many people do one and never again. They say, "It's not worth it! I'm getting paid less than minimum wage!" That may be true because you haven't gotten any efficiencies in completing the visit, writing up the report, or lumping several gigs nearby or even doing it while doing another errand making it part of something bigger.

In doing so, I've overcome the lower paying gigs with companies and they offer the larger and bonused ones to me because they trust that I will complete them on time and with all requirements done correctly.

So that's the frontloaded side of the law.

Upon monitoring a project and seeing how things are tracking, you must measure, have baselines, and criteria for success. To me, most important is the definition of the criteria for success (CFS.) It is the most important definition to make sure that you don't move on from the project too soon or too late.

The law of diminishing returns may have a cross point where the diminish crosses a growth line and the returns can climb again. I'm looking at something like how threads and posts here operate.

 

I wish your poll said "maybe" or "in part"

I agree with @cynthetiq to a certain extent.
There are too many stories of pulling out too soon
Too many of those who pushed past to become successful

There are loss leaders where it costs initially, but this brings in more later.

The key is forward movement.
Everything counts.

And again, who ever said it had to be all or nothing???
You can rebuild.
Split off
Not only is there death by 1000 cuts...but there is life by a million cells.

Instead of the "bottom line"
You should be asking "What adds value?"
Are they "into it"?

If you're being real...sure, you factor the principle (not law) in, consider it.
But there is more than just the bottom line.

I can't tell you how many companies have gone under by just working the bottom line.
There IS "something" that brings people in.

I prefer the mindset that Warren Buffett has...
You invest into a thing that has "something" that you know for the long term. "The Snowball"
He really doesn't even think management really counts.

But still you have to keep at it and not let it linger.

 

There was a piece in the wall street journal over the weekend that highlighted the law of diminishing returns in relation to perfectionism. The writer mentioned that her mother taught her about the law when she was quite young, so she did not linger too long on one task and would be satisfied with "good enough." I see that Littlegirly (age 4) requires a similar primer, to help improve her functionality.

The author mentioned that before she began each project, she outlined minimum standards for herself, along with an ideal and maximum amount of time. Once she hit minimum quality, she would continue working to improve as long as she did not exceed the ideal time. If the project felt like it wasn't going anywhere, she would get it to minimum quality before max time, then leave it.

As I read the piece I realized that I had been applying the law of diminishing returns to my schoolwork since college. In high school, I would do whatever it took to get things done to my standards. In college I juggled a job with my schooling and I fully realized the limits on my time. Within my first year away, I figured out what effort was needed to get things done to a passable level and moved on. I took as many units as I could and worked as many hours as I could, so I could pay for the next semester.

I forgot a bit of this as I entered grad school, as my work and schooling were intertwined. But as I had a family I needed to start the juggling act again. In order to get things published, I had to let go and pass my work on to others much sooner than I wanted. It was a fine balance, and the law of diminishing returns took effect again as I turned around my edits and moved on to the next chapter quickly.

I can see now why this law applies to perfectionism. The piece made me feel more confident that I made those difficult choices.

 

Depends on what you consider profit.

 

Rules of Acquisition #18: A Ferengi without profit is no Ferengi at all.