Learn to Think in Multiple Ways
Raw mathematical ability is always helpful.
You can understand any mathematical concept in six ways: verbal, visual, algebraic, numerical, computational, and historical.
Verbal—explain in words
Visual—make a graph
Algebraic—write the equation
Numerical—do a numerical example
Computational—code a solver or algorithm
Historical—tell where it came from
A good example is net present value. You can understand it verbally, visually, algebraically, numerically, computationally/algorithmically, and historically. I find that my depth of understanding improves when I do all six. You learn math best with pen and paper, and sometimes with hardcover books.
You can apply this concept to other things. I take an idea or problem and restate the verbal as a sketch, or restate a sketch as numbers. Often, I see things I couldn't before.
Let's say I've got a bunch of complicated deals, like sales contracts with different parties. I’d put them all on a whiteboard and map out what payments we receive and owe at what times. Then I’d start seeing options I wouldn't see when viewing the contracts as a whole.
Another example: the written charter of a company will have various thresholds for who can vote what rights or shares to whom. It’s sort of like the House and the Senate voting laws.
A permission matrix is actually the visual distillation of many, many words in a charter. A second matrix would be the cap table of company shareholders. We look at permission matrices and see what is possible.
