Second Order Thinking (Lifestyle)
July 13, 2024
I recently came across the concept of second-order thinking and found it to be a good mental practice for identifying potential weak points in decision-making. In business, you are often faced with a binary decision tree (a structure based on a sequential decision process). The first solution you choose might be the most positive in the short term but harmful in the long term. The more time you spend walking yourself through the ripple effect of an immediate decision, the better you can set up potential success in the future. It often feels like the first-order decision, while immediately gratifying, leaves you worse off in the long run, whereas the second-order decision leaves you worse off immediately but pays significant dividends in the long run.
