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Library / Working with AI
Reviewed Oct 2026

Efficient AI Use for Product Work

Use the lightest capable tool and evaluate outcomes, not just token cost.

01 / flow

Pick the smallest sufficient approach

Define the jobSeparate deterministic rulesShrink contextChoose capable modelStructure outputVerify outcome
02 / cards

Ten practical habits

01 / Start with the job

What genuinely requires judgment?

02 / Shrink context

Remove stale or irrelevant material first.

03 / Match tool to task

Fast model for routine work; reasoning for ambiguity.

04 / Reuse knowledge

Keep decisions, briefs, evals and workflows durable.

05 / Batch comparisons

Cluster similar tickets, cases or feedback.

06 / Structure outputs

Decision, evidence, unknowns, risks, next step.

07 / Bound agents

Goal, tools, stopping rule and escalation.

08 / Escalate gradually

Signal → source → adjacent evidence → broader search.

09 / Verify with software

AI interprets, code checks, people authorize.

10 / Measure full cost

Latency, retries, cleanup, review and bad decisions.

03 / note

Decision rule

Optimize for quality-adjusted outcome per dollar, not lowest tokens per dollar.
GOING DEEPER

Do less before scaling up

Practical escalation: Start with a known signal and the smallest sufficient context; expand to likely sources, adjacent evidence and only then broader investigation. Use a fast capable model for ordinary tasks and a reasoning model only when ambiguity merits it. Agents need explicit tool scopes, stop conditions and escalation.
Measure total outcome cost: Include tool calls, latency, retries, cleanup, human review and bad-decision risk. Cheap tokens do not imply a cheap successful outcome.
PRACTICAL FRAMEWORK / AI PRODUCT WORK

Cost per successful outcome and spending authority

Do not optimize tokens alone. Track model calls, paid APIs, tool and compute charges, retries, review time, cleanup, support and downstream correction costs.

Measure or controlDecision rule
Cost per successful outcomeTotal operating + human cost ÷ verified completed tasks; include failures in total cost.
Per-action and total budgetsHard limits enforced by software, not by a reminder in a prompt.
Allowed services and escalationApproved spend categories, approval above thresholds and transaction logs.
Stop conditionTerminate repeated calls, loops or spending when the outcome stops improving.