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businessFeb 13, 20266:47pending

The Doorman Fallacy

About this episode

In his 2019 book, Alchemy, legendary British advertising executive Rory Sutherland offered an interesting lens on the perils of automation:


Imagine you are the owner of a five-star hotel and you hire a consulting firm to come in and propose opportunities for efficiency improvements.


The consultant observes the operations of the hotel and suggests that the role of the doorman can be automated. He currently costs $40,000 per year. You can install an automatic door-opening mechanism and save that money annually.


You accept the proposal, fire the doorman, and install the automatic door. The consultant walks away pleased with their great work (and the nice payday they received for it).


But that's not the end of the story...

•••

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The Doorman Fallacy

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