Wednesday, August 17, 2011

Cost cutting - a cautionary tale

There was once a man who became so poor that he thought he could no longer afford to meet the cost of food for his small bird - his only friend in the whole world. He decided he would cut costs by training the bird not to eat.

In this he was very successful. The bird quickly learned not to eat. But then tragedy struck. Shortly after the bird was fully trained it died!!

So sad.

What lessons might we learn from this poor man's experience? For example,

  • Why did the bird die?
  • How successful was the man's strategy?
  • Do a full cost-benefit analysis of what actually happened.
  • What alternative strategies might the man have considered?
  • What other insightful questions might be asked?
Yes,  it is made up story. So why does it make sense at all? Mainly because it parallels some of our actual lived experience. Worth having in mind in times of austerity.

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