Is there a reason step 3 on that last list isn't also part of the first list?

If I don't have time for sleep I don't have time for campaigns of self modification. More to the point when I feel mentally exhausted and are pressed for time I do not trust my reasoning capabilities. Decisions to self modify to change fundamental priorities and life strategies should be done when fully functioning and without pressure.

That step three really is a non-trivial change. It can influence what goals or roles can realistically be taken on - some time pressures are not avoidable without sacrifice. It also potentially requires other adjustments. For instance - in my undergraduate days I did most assignments at the last minute under time pressure and suppressing sleep. If I were to study while having implemented step three comprehensively I would need to completely change my lifestyle.

I would go as far as to say I don't recommend step three for most people at all. I would perhaps recommend moving somewhat in the direction of less submission to external time pressures, just not to an extreme.