Why it sometimes pays to be inefficient

The Economist
February 26, 2026
AI-Generated Deep Dive Summary
In a world obsessed with optimization, the idea of embracing inefficiency might seem counterintuitive. Yet, as highlighted in *The Economist*, there are instances where being less efficient can lead to greater creativity, innovation, and even better relationships with clients or colleagues. The article argues that while efficiency is often celebrated in business, over-optimization can sometimes stifle growth, reduce employee well-being, and limit opportunities for meaningful collaboration. By intentionally slowing down or taking a more flexible approach, professionals may actually unlock new ways of thinking and problem-solving that drive long-term success. The piece explores how industries like tech startups and consulting have historically thrived by valuing inefficiency. For example, Silicon Valley’s culture of experimentation often requires stepping away from rigid processes to foster creativity. In consulting, face-to-face meetings and slower decision-making can build trust with clients and lead to more personalized solutions, which are harder to achieve through streamlined, cookie-cutter approaches. These examples show that inefficiency can be a strategic tool for differentiation in competitive markets. Moreover, the article points out that employees who feel pressured to constantly optimize may experience burnout or lose their ability to think critically. By allowing room for less structured work, organizations can reduce stress and encourage more creative thinking. This approach not only benefits individuals but also strengthens teams by fostering a culture of adaptability and innovation. The key is to strike a balance between efficiency and flexibility, recognizing that sometimes doing things the “less efficient” way can yield greater returns in the long run. For business leaders, this perspective challenges traditional metrics of success that prioritize output over outcome. Instead of focusing solely on productivity, organizations should consider how fostering creativity, collaboration, and resilience might lead
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Originally published on The Economist on 2/26/2026