Losing Many Times To Get Rich In The Long Run
Losing Many Times To Get Rich In The Long Run
A simple parable will change the way you understand finance
I have always liked children’s stories with a moral. When we are young, we only see them as a bedtime story, but as time goes by, you begin to connect the dots and understand all the background they have in many aspects of life.
The one I want to talk about today is the story of ‘The Tortoise and the Hare’ and how it resembles the inversion. On the one hand, we have the tortoise who walks steadily, his pace is slow, but he never stops, under any circumstances. On the other hand, we have the hare who is able to go much faster than the tortoise and could reach the finish line much sooner. However, the hare often stops or returns to the starting point.
‘The slower but consistent tortoise causes less waste and is more desirable than the speedy hare that races ahead and then stops occasionally to doze. The Toyota Production System can be realized only when the workers become tortoises’ — Taiichi Ohno (designer of Toyota’s Just In Time production system)
In add…