The biggest cost to creating a prototype is coordination among a collection of experts.

· Bits and Bobs 5/5/25
  • The biggest cost to creating a prototype is coordination among a collection of experts.
    • For example, a PM, designer, engineer, etc, all with an individual picture of the overall problem.
    • The PM doesn't have enough time to do it themselves, so they have to communicate it with enough clarity to a team of people to execute.
    • The coordination cost dominates the cost to create.
    • But if you could have it one head, you could get away with significantly less coordination for a given magnitude of output.
    • LLMs provide that leverage.
    • This implies the power of generalist PMs should go up.
    • What are some implications for product organizations?[nv]
    • It should be easier to swarm and find good ideas cheaply.
    • Organizations should design themselves to be more resilient to experiments failing and reducing the downside cost of them.
    • They should also make sure the employees that get the upside are also exposed to the downside.
      • This helps align the individual and collective incentives.
      • The worst is the person who gets the promotion (upside) is only exposed to indirect / diffuse downside, so it won't hurt them directly, or by the time it does they'll be gone.
      • If individuals can be more agentic and productive, then it's more important the swarm of individuals is aligned with the collective's goal.

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