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Latest / The Productivity Podcast with Fexingo: Output, Efficiency, and Long-Term Economic Growth

Why Most Productivity Tools Actually Reduce Output

Lucas and Luna investigate the counterintuitive finding that many productivity software tools actually decrease net output. They dive into the 'productivity paradox of tool proliferation' using the case of a mid-sized manufacturing firm that adopted 14 new SaaS tools over two years. The episode draws on a 2025 study from the MIT Digital Economy Lab showing that knowledge workers lose an average of 42 minutes per day to context-switching between tools. Lucas breaks down the math: if a tool saves 30 minutes daily but costs 42 minutes in switching, that's a net loss of 12 minutes…

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