The Power of Inversion:

A Lesson from Charlie Munger

Read time -2.5 minutes

Most of us know Warren Buffet, but not everyone is as familiar with his brilliant partner, Charlie Munger, the co-founder of Berkshire Hathaway. 

Charlie was known for his sharp mind and his no-nonsense way of explaining things. He and Warren preferred businesses that were easy to understand and difficult to mess up. 

That’s where the idea of inversion comes in—a simple principle we can all use. 

“Invert, always invert,” Charlie once said. So what does inversion mean? In simple terms, inversion is the act of flipping something around. Instead of asking, *”How can I succeed?”* Charlie would ask, *”How can I fail?”* By figuring out what could go wrong, you can avoid those mistakes and get closer to success.

Think about it. 

We spend so much time trying to do things right, but sometimes the most important thing is avoiding the wrong moves. 

Here are a few questions to ask yourself when you’re trying to make a big decision:

• What could ruin this project?
• What would wreck our company?
• What’s the one thing that could make this fall apart?  
• What slows our team down from meeting their goals?

By focusing on these risks and weaknesses, you shine a light on the blind spots we usually miss. Inversion isn’t about being negative—it’s about being clear. It forces us to think critically and solve problems before they even happen.

Next time you’re planning something important, try flipping the script. Ask yourself, “How can I avoid failure?” 

You might be surprised at how much it helps. Inverting to win was one of Charlie Munger’s biggest strategies, and now it can be yours too.