Idiot Index

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Elon Musk : SpaceX used the “idiot index” to bring down the cost of manufacturing rockets - https://x.com/TrungTPhan/status/1702517675963072570

Mohnish Pabrai - It all comes down to Elon's "Idiot Index." This is the mental model behind everything he builds. It's a simple ratio: the total cost of a finished component divided by the cost of its raw materials. If the index is high, a finished part costs $1,000 but the raw aluminum inside costs $10, you're being an idiot. You need to fix the process. https://x.com/myfirstmilpod/status/2058635181851082905

Idiot - Index