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Overview & basic idea
In a world characterized by complexity and uncertainty, Sull and Eisenhardt advocate using less complex rules instead of complicated strategies. These simple rules provide a framework that enables quick, intelligent action—flexible, practical, and appropriately measured.
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The six types of rules
The authors identify six categories that help you make clearer and more effective decisions:
- Boundary Rules – What you can (or cannot) do
- Prioritizing Rules – What is most important? (when resources are limited)
- Stopping Rules – When should you stop or end something?
- How-to Rules – Recommendations for action under time or information pressure
- Coordination Rules – How can multiple parties work together efficiently?
- Timing Rules – When should you take action?
Functionality & Benefits
- Structure instead of overload: Simple Rules reduce complexity and help you make quick decisions even in confusing scenarios. They offer less noise than highly complex models.
- Balance between structure and flexibility: Queues that have neither too many nor too few rules are the most successful—they enable adaptability without chaos.
- Relevance to everyday life: Whether in business, sports, institutional contexts, or personality structure—simple rules enable better actions everywhere.
The best rules are simple, flexible and purposeful, Stanford professor says | Stanford Report
Simple Rules – How To Thrive In A Complex World – The Future Leadership Institute
Creation & application of rules
The rule development process follows three core steps:
- Identify goals—What does the organization or person really want to achieve?
- Identify bottlenecks – What bottlenecks or recurring challenges are delaying progress?
- Write & iterate rules – Design, test, refine as a team – an ongoing learning process.
Simple Rules for a Complex World
Examples of applications
- Start-up founders use “boundary rules” to select the best projects.
- Netflix uses clear criteria to decide which series to produce.
- Athletes use “stopping rules” to conserve energy at the right time.
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