Elon's 5-Step Problem Solving

A systematic approach to problem-solving developed by Elon Musk that emphasizes questioning and removal before optimization.

Core Philosophy

  • Smart people often make the mistake of optimizing something that shouldn't exist
  • Most organizations add more than they remove, leading to bloat
  • Need to override natural "hoarding" instinct in decision making
  • Should expect to add back ~10% of removed items - if less, not removing enough

The 5 Steps in Order

  1. Question Requirements

    • Challenge if task/process is needed at all
    • Examine why specific requirements exist
    • Make requirements as simple and true as possible
    • Do this before jumping to solutions
  2. Delete/Remove

    • Try removing parts/processes entirely
    • Ask if system works without the element
    • Focus on elimination before optimization
    • Apply to physical parts, processes, and roles
  3. Simplify

    • Streamline remaining elements
    • Focus on core functionality
    • Remove complexity where possible
  4. Optimize

    • Improve performance of necessary elements
    • Only optimize what truly needs to exist
  5. Automate

    • Automation should be the final step
    • Don't automate processes that could be eliminated
    • Example: Tesla's early mistake trying to automate factory too soon

Implementation Guidelines

  • Must be done in order - common mistake is starting with automation
  • Set target of adding back 10% of removed items
  • Similar to goal-setting: hitting 70% of targets is ideal
  • Requires overcoming natural resistance to removing things
  • Process learned through painful experiences of doing it backward
34:05 - 40:37
Full video: 44:36
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Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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