Toxic Positivity

Toxic Positivity

Toxic Positivity Jonathan Poland

Top-down and bottom-up are opposing approaches to thinking, analysis, design, decision-making, strategy, management, and communication. The top-down approach begins with the most general, fundamental, or high-level concerns and progresses towards greater detail. This approach is often used in problem-solving or decision-making, and is characterized by a focus on broad concepts and principles. The bottom-up approach, on the other hand, begins with specific details and works upwards towards more general concepts. This approach is often used in design or planning, and is characterized by a focus on the practical details and specific components of a system.

Analysis

A top-down analysis of an investment begins with general economic outlook and analysis at the level of a firm’s sector and industry. A bottom-up analysis begins with details such as the management of a firm or the features of a product. Both may cover the same detail but progress in opposite directions. For example, top-down may quickly invalidate an investment based on its industry and bottom-up may quickly invalidate an investment based on its management team.

Thinking

Top-down thinking begins with high level information. For example, considering your priorities in life before choosing a career. Bottom-up thinking begins with details such as looking at the average salaries of professions to shortlist high paying careers.

Design

Top-down begins with the high level structure of a design such as the architecture of a building. Bottom-up begins with details such as the interior design of a floor in a building.

Decision Making

Top-down begins with major factors in a decision such as the price you can afford for a car. Bottom-up begins with details such as the color of car you want.

Strategy

Top-down strategy is formulated by upper management or uses top-down thinking. Bottom-up strategy is proposed by each team and department with approvals moving up the hierarchy of an organization.

Communication

Top-down communication flows from upper management down to the working level. For example, a corporate restructuring that is communicated by a CEO. Bottom-up communication flows from the working level up to executive management. For example, a quality problem identified by a quality control specialist that is reported to a manager to a director to the COO to the CEO.

Combined Processes

Processes can be both top-down and bottom-up such that both approaches are used strategically. For example, some strategies may flow from upper management downward and some strategies may be suggested by working level individuals and get approved all the way up a corporate hierarchy.

Iterative Processes

Many processes involve iterations of top-down followed by bottom-up in a repeated process. For example, a shoe designer who begins with a drawing of the shoe who reworks the drawing after investigating the properties of a foam that will be used in the shoe.

Middle First

It is common to start somewhere in the middle between top-down and bottom-up. For example, an investor who begins analysis with a firm’s business model with progression to their industry and later to details such as debt level.

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