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Decision Making Framework

1. Overview

To avoid bottlenecks and "analysis paralysis," we use structured frameworks for making decisions. Not all decisions require the same level of scrutiny.

2. The Two Types of Decisions

We follow the Bezos "One-Way vs. Two-Way Door" model:

Type 1: One-Way Doors (Irreversible)

  • Definition: High stakes, hard to reverse (e.g., Hiring a C-level exec, changing pricing model, signing a 3-year lease).
  • Process: Requires the RAPID Framework. Needs written analysis (Briefs) in MS Loop.
  • Approver: Founder/CEO.

Type 2: Two-Way Doors (Reversible)

  • Definition: Low stakes, easy to fix if wrong (e.g., A/B testing a landing page, changing a weekly meeting time, trying a new software tool).
  • Process: "Disagree and Commit." Make the decision quickly based on 70% information.
  • Approver: Project Lead or Department Head.

3. The RAPID Framework (For Type 1 Decisions)

For complex decisions, we assign clear roles to avoid ambiguity.

  • R - Recommend: The person who proposes the plan (usually the subject matter expert).
  • A - Agree: People who must sign off (e.g., CFO for budget, Legal for compliance). Keep this group small.
  • P - Perform: The people who will actually do the work.
  • I - Input: People consulted for expertise, but who do not have a veto.
  • D - Decide: The single person responsible for the final "Yes/No."

4. Documentation

All Type 1 decisions must be documented in the Decision Log (MS Loop Component) with:

  1. Context/Problem.
  2. Options Considered.
  3. Decision Made.
  4. Why (Rationale).
  5. Date & Owner.

5. Decision Delegation Matrix

  • Strategic Direction: Founder/CEO.
  • Hiring/Firing: Department Head (with CEO approval for Key Hires per System 08).
  • Budget Spend (Under $500): Individual Contributor.
  • Budget Spend (>$500): Department Head + Finance Review System 07.
  • Content/Creative: Content Director System 05.

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