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Problem-Solving with Mental Models: Inversion

In the fast-paced, uncertain world of startups, we're constantly searching for better ways to solve complex problems. While most business strategies focus on direct, more traditional approaches to finding solutions, one of the most powerful and underutilized mental models takes the opposite approach.


This is inversion – an incredibly simple, yet one of the most effective mental models for solving complex problems with long-term solutions. 



brainstorming diagram
brainstorming diagram

What is Inversion?


Inversion is simple yet profound: instead of focusing on what you want to achieve, focus on what you want to avoid. (similar to the wise advice of “instead of trying to be smart, simply avoid being stupid”)


This concept traces back to the ancient Stoics but was perhaps most famously championed by mathematician Carl Jacobi, who advised "invert, always invert" when faced with difficult problems. Charlie Munger, later popularized this approach in the business world, and believed that most difficult problems need to be approached backwards, not forwards. 


The premise is extremely straightforward: many hard problems are best solved when approached backward. By identifying paths to failure, you clear the way to success by eliminating the solutions that won’t work.


Why Inversion Works Especially Well for Startups


Startups operate in environments of extreme uncertainty, where:

  1. Unclear path to success - There's no established roadmap

  2. Limited resources - Every decision carries significant opportunity costs

  3. High failure rates - Most startups don't survive their first few years


In such environments, knowing what to avoid can be more valuable than speculative paths to success. Inversion helps startups build robust strategies by addressing vulnerabilities first. It can also be a powerful tool when your current solutions aren’t working as planned, and you need to come up with strategic changes quickly. It’s also an extremely simple exercise that anyone can do - it’s nothing more than a perspective shift that enables you to think backwards.


The best part - the more you use this approach, the better you will get at it. You will naturally start inverting more complex problems, making problem-solving a less daunting task. 


Founder Fun Fact: This is my most used mental model. I’ve used it to develop products, to solve really tricky problems, and even in my business planning. If I were to pick my favorite mental model based on utility alone - it’s this one. 


Practical Applications of Inversion in Startup Contexts


Below are some examples to help you better understand how to use this approach in the work context. There are different flavors of inversion illustrated below, but all of them operate on the basis of starting with the logical outcomes of your assumptions and seeking to validate them. 


Product Development


Traditional approach: "How do we build features users will love?" 

Inverted approach: "What would make users absolutely hate our product?"


Why This Works: By identifying potential friction points, privacy concerns, or usability issues early, you can eliminate major problems before they arise. This approach often leads to more intuitive, user-friendly products than focusing solely on adding features. It forces you to put yourself in the shoes of the user, increasing your chances of making a product that actually resonates with your target market. 


Market Strategy

Traditional approach: "How do we capture market share quickly?" 

Inverted approach: "What would guarantee our market failure?"


Why it Works: This reveals insights about ignoring customer feedback, misallocating marketing resources, or targeting the wrong customer segments – pitfalls you can then actively avoid. It also helps with understanding the external factors that affect the market. 


Fun Fact: Inversion was used by an advertising agency hired by a tobacco company back in the 1920s. Edward Bernays, the individual who tackled this project, shifted the question from asking “how do we get women to smoke more Lucky Strikes,” to instead, “If women smoked more cigarettes, what else would need to be true?” This shifted the focus onto how to alter the environment and how it would need to be done. 


Team Building

Traditional approach: "How do we build a high-performing team?" 

Inverted approach: "What would create a dysfunctional culture and drive away talent?"


Why It Works: This perspective will highlight issues and problems that, when addressed, create the conditions for team success.

This can also be inverted by starting with the outcome and validating your assumptions, starting with “Our team is high-performing and we have high-retention rates, what else would need to be true?”


Investor Pitches

Traditional approach: "What will make investors fund us?" 

Inverted approach: "What would make investors immediately pass on our startup?"


Why It Works: This inversion helps founders identify and address critical weaknesses in their pitch, business model, or growth strategy before facing investors. It puts you in the seat of the investors and allows you to poke holes in your thinking before they can, as well as prepares you for questions you may not have thought of prior to walking into a pitch. 


Implementing Inversion: A Six-Step Process


  1. Identify the Problem - Clearly define the problem at hand

  2. Define the Objective - Know what you're trying to achieve

  3. Invert the problem - Ask "What would guarantee failure in achieving this goal?"

  4. Identify prevention strategies - What approaches avoid each failure mode?

  5. Identify enablement strategies - What approaches move you toward your desired objective?

  6. Create a "not-to-do list" - Sometimes what you don't do matters more than what you do


Avoiding Common Pitfalls When Using Inversion


While powerful, inversion can lead to excessive risk aversion if not balanced with forward-thinking approaches. Some guidelines:

  • Combine with positive strategies - Use inversion to eliminate obstacles in conjunction with your strategies to move forward. When used correctly, inversion almost always leads to innovation. 

  • Don't confuse avoiding failure with seeking perfection - The goal is resilience, not perfection.

  • Set time boundaries for inverted thinking - Don't get stuck in a negative mindset; allocate specific time for this approach. Focus on identifying your biggest obstacles. 


Conclusion: The Power of Thinking Backward


In startup environments where uncertainty reigns, inversion provides clarity by eliminating paths to failure, helping you avoid mistakes that could cost you time and money. By identifying what won't work, you narrow your focus to what might.


In the tech startup environment, the biggest failure-mode we see plague early-stage teams is getting caught up in buzzwords, jargon, and the mindset that complex problems must be solved using complex solutions. This is never going to work.


By utilizing mental models (like inversion), you are building a toolbox of simple, yet powerful, frameworks that can be applied in many different contexts and to a variety of problems. While this approach isn’t trendy by industry standards or screamed from the rooftops of YC’s social media, we promise that it works and has withstood the test of time. 


That said, keep in mind that inversion won't solve every problem, but it provides a powerful complement to traditional problem-solving approaches. The next time your team faces a complex challenge with no clear solution, try Jacobi's advice: invert, always invert.


Frameworks Labs partners with early-stage startups to help build and scale their operations, empowering teams to move fast while we fix things. Reach out to our team to find out how we can enable your team to innovate and scale more efficiently and effectively.



 
 
 

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