Multi-Tasking vs. Deep Work: What Works Best for Investors
DDVC #51: Where venture capital and data intersect. Every week.
👋 Hi, I’m Andre and welcome to my weekly newsletter, Data-driven VC. Every Thursday I cover hands-on insights into data-driven innovation in venture capital and connect the dots between the latest research, reviews of novel tools and datasets, deep dives into various VC tech stacks, interviews with experts, and the implications for all stakeholders. Follow along to understand how data-driven approaches change the game, why it matters, and what it means for you.
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Attention is All You Need
The infamous 2017 paper “Attention is all you need” was not only the epicenter of the recent AI wave but probably best summarizes a major theme of today’s modern world: Everyone competes for attention, from Instagram over TikTok to LinkedIn and Twitter. As a result of exploding information overload and increased context switching, the human attention span shrinked to 8 seconds, 1/3 less than it was a decade ago, and undercutting a goldfish.
In the ever-evolving world of investors, professionals are bombarded with numerous tasks that compete for their attention. Sourcing, market analyses, product reviews, due diligence, portfolio management, and maintaining investor or LP relationships are just a few aspects that make up an investor's daily life.
With so much to handle, the question arises: Is it better to multitask or to engage in deep work? Having spent several years coding and conducting a PhD, I know what proper deep work and tunnel vision feel like. On the flip side, my transition into venture was rough as it forced me to quickly adapt to multi-tasking to stay on top of things. In this post, I will delve into the merits and demerits of each approach and explore what works well for investors, sharing best practices from my own experience.
Multi-tasking is a VC Superpower
Multi-tasking is often seen as a survival skill in the frenetic world of venture capital. It involves handling multiple tasks concurrently—vetting a pitch deck while answering emails and taking calls from founders. Every day looks different and it is key to stay on top of things and be capable of juggling multiple tasks.
Pros:
Quick Response Times: In an industry where time-sensitive decisions are the norm, the ability to multi-task can be a significant advantage.
Diverse Engagement: Allows for simultaneous interaction with different stakeholders, be it founders, co-investors, or board members. Diversity of perspectives allows you to comprehensively access an opportunity.
Cons:
Quality Compromise: The risk of making hurried judgments or missing critical data points can be high when attention is divided.
Increased Stress: Juggling multiple tasks can elevate stress levels, making it harder to make clear-headed decisions.
Something I strongly dislike is that a lot of investors (unfortunately also non-investors..) check their phones all day long, disrespecting their conversational partner and leaving the impression that something more important might just happen. This is the limit of multi-tasking. If you commit to a meeting, please be present and dedicate all your attention to your counterpart.
Techniques to Get Multi-Tasking Right
Checklists: This is my clear number 1. Keep a checklist to ensure you're not missing out on any of the tasks you're juggling. For easy accessibility, I use Apple notes (works on iPhone and Macbook and is always synched) together with a more structured collection in Notion. Don’t overthink what you put in there, as long as your mental note finds its way to the list.
Task Batching: Group similar tasks and complete them in a specific block of time to reduce the mental load of switching between different types of activities, thus making the most of your cognitive resources. For example, instead of responding to emails intermittently throughout the day, you might batch this activity into a single one-hour block in the morning.
Notes: I shared my Second Brain technique here. Dumping my brain throughout or right after a meeting is key to freeing up capacity for the next task without being afraid that something gets lost. I finish every note with a summary and the next steps that get linked into the above checklist.
