First Principles Thinking
Break down complex problems into basic elements and reassemble from the ground up.
What It Is
First principles thinking is a problem-solving approach that involves breaking down complex problems into their most fundamental truths and building up from there. Instead of reasoning by analogy or accepting conventional wisdom, you question every assumption until you reach the basic building blocks of knowledge.
Why It Matters
This mental model helps you innovate and find novel solutions by removing the constraints of existing approaches. It's particularly powerful when facing unprecedented challenges or when conventional methods aren't working. Elon Musk famously used this approach to reduce SpaceX rocket costs by questioning the fundamental cost of materials versus market prices.
How to Apply It
- 1
Identify and define your current assumptions about the problem
- 2
Break down the problem into its fundamental principles and basic truths
- 3
Create new solutions from scratch based on these first principles
- 4
Test your new approach and iterate based on results
Example
When SpaceX wanted to reduce rocket costs, instead of accepting that rockets are expensive, Musk asked: "What are rockets made of? Aerospace-grade aluminum alloys, titanium, copper, carbon fiber." He then calculated the raw material costs were only about 2% of the typical rocket price, leading to the insight that rockets could be built much more cheaply.