[polynox]

Security teams don't bear the costs of reduced productivity from saying no, but bear all the blame if they make a wrong decision to approve something. So they're heavily incentivized to say no.

Like many principal-agent problems, it requires someone appropriately situated to weigh the costs and benefits.

If that doesn't happen, it gets borne by someone, usually shareholders who pay in reduced profits and eventually capital destruction as these companies get ossified and disrupted.

[ttttt444yeak]

This was very insightful, I hadn't thought of it this way before. Thank you for your comment.