Source: Wall Street Journal
Published: October 2011

Amazon Two-Pizza Teams

‍Founding Amazon, Jeff Bezos wanted a decentralized, even disorganized company where independent ideas would prevail over groupthink.

He instituted, as a company-wide rule, the concept of the “two-pizza team”: any team should be small enough that it could be fed with two pizzas.

‍The more people you pack into a team, the less productive the meetings of that team will likely be.

For each additional person over seven members in a decision-making group, decision effectiveness is reduced by approximately 10% (source: Bain & Company).

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