Rituals of Great Decision-Making Shishir Mehrotra (CEO Coda)

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Key Takeaways

  • Golden Rituals: Great companies have named, templated rituals that every employee knows by their first Friday.
  • Two Products: Build products for both customers and employees. Rituals reflect and shape company culture.
  • Ask the Right Question: Use “igen questions” to address the most critical issues first, simplifying decision-making.
  • Structured Decision Processes: Implement rituals like “Dory Pulse” to ensure inclusive, thoughtful decision-making.
  • Right Forum, Right Stakeholders: Use scalable, multi-threaded decision forums like “Catalyst” to accelerate decision-making.
  • Proactive Stakeholder Engagement: Use tools like “flash tags” to pre-indicate stakeholder involvement levels, avoiding last-minute surprises.

Detailed Summary

Introduction

  • Speaker: Discusses the importance of rituals in decision-making, inspired by Bing Gordon’s concept of “golden rituals.”
  • Focus: How rituals shape culture and improve decision-making in organizations.

Golden Rituals

  • Definition: Named, templated rituals that every employee knows by their first Friday.
  • Examples: Amazon’s six-pagers, Google’s OKRs, Salesforce’s V2MOM.
  • Purpose: Reflect and shape company culture, ensuring consistency and alignment.

Two Products: Customers and Employees

  • Insight: Companies build two products—one for customers and one for employees (culture).
  • Rituals as Culture: Rituals are the operating system of a company’s culture.

Decision-Making Rituals

  1. Ask the Right Question:
  • Igen Questions: Questions that, if answered first, resolve most other issues (e.g., YouTube’s “Modern Family” question).
  • Example: YouTube’s decision to prioritize consistency over comprehensiveness in online video.
  1. Structured Decision Processes:
  • Dory Pulse: A ritual at Coda where decisions are made through structured write-ups, voting, and recorded opinions to avoid groupthink.
  • Variations: Zoom’s “Root Cause Reasoning,” Coinbase’s “Rapid,” and Stripe’s “Spin the Wheel.”
  1. Right Forum:
  • Catalyst: Coda’s multi-threaded decision forum that replaces standing meetings with topic-specific, role-based discussions.
  • Benefits: Increases decision throughput (from 5-6 to 50 decisions per week) and allows async participation.
  1. Right Stakeholders:
  • Flash Tags: A ritual from HubSpot’s Dharmesh Shah to indicate the severity of feedback (e.g., #FYI, #Plea).
  • Proactive Flash Tags: Pre-indicate stakeholder involvement levels to avoid last-minute surprises.

Conversational Insights

  1. “Golden rituals are named, templated, and known by every employee by their first Friday.”
  2. “Companies build two products: one for customers and one for employees (culture).”
  3. “Igen questions are the most critical questions that, if answered first, resolve most other issues.”
  4. “Dory Pulse ensures everyone’s opinion is heard and recorded, avoiding groupthink.”
  5. “Catalyst turns single-threaded meetings into multi-threaded decision forums, accelerating decision-making.”
  6. “Flash tags help stakeholders pre-indicate their level of involvement, avoiding last-minute surprises.”
  7. “Perceived performance can matter just as much as actual performance.”
  8. “Great designers can prototype solutions that cut through debates and drive decisiveness.”
  9. “Progress drives progress. Show users their progress to keep them engaged.”
  10. “Product is a people discipline. Great products reflect deep empathy for human tendencies.”

Software Tools

  • Coda: A collaborative tool used for decision-making rituals like Dory Pulse and Catalyst.
  • Google Docs: Used for collaborative write-ups and decision-making processes.
  • Slack: Used for communication and async decision-making.
  • Zoom: Used for virtual meetings and decision forums.
  • Stripe: Known for its reliability rituals like “Spin the Wheel.”

People Mentioned

Speakers

  • Bing Gordon: Former Chief Creative Officer at Electronic Arts, known for promoting “golden rituals.”
  • Dharmesh Shah: Co-founder of HubSpot, known for the “flash tags” ritual.

Other Individuals

  • Colin Bryar: Former Chief of Staff to Jeff Bezos, co-author of Working Backwards.
  • Sergey Nazarov: CPO at Coinbase, known for adapting decision-making rituals.
  • David Singleton: At Stripe, known for the “Spin the Wheel” ritual.
  • Wade Foster: Co-founder of Zapier, known for distributed team rituals.

Companies Mentioned

  • Amazon: Known for its six-pager ritual and decision-making culture.
  • Google: Known for OKRs and collaborative tools like Google Docs.
  • Salesforce: Known for its V2MOM ritual.
  • YouTube: Known for its decision-making process around the “Modern Family” question.
  • Coda: Known for its decision-making rituals like Dory Pulse and Catalyst.
  • Coinbase: Known for its “Rapid” decision-making process.
  • Stripe: Known for its reliability rituals like “Spin the Wheel.”
  • Zapier: Known for its distributed team rituals like “Silent Time.”