Working Backwards: Insights, Stories, and Secrets from Inside Amazon

With all other things being equal, the organization that moves faster will innovate more, simply because it will be able to conduct a higher number of experiments per unit of time.

Better customer experience leads to more traffic. More traffic attracts more sellers seeking those buyers. More sellers lead to wider selection. Wider selection enhances customer experience, completing the circle. The cycle drives growth, which in turn lowers cost structure. Lower costs lead to lower prices, improving customer experience, and the f... See more

The job description Bezos wrote for his very first employee said, “You must have experience designing and building large and complex (yet maintainable) systems, and you should be able to do so in about one-third the time that most competent people think possible.

In the 2016 shareholder letter, even though he wasn’t explicitly talking about two-pizza teams, Jeff suggested that “most decisions should probably be made with somewhere around 70% of the information you wish you had. If you wait for 90%, in most cases, you’re probably being slow. Plus, either way, you need to be good at quickly recognizing and co... See more

I can say confidently that the extra time we spent slowing down to uncover the necessary truths was ultimately a faster path to a large and successful business.

In a company known for its inventiveness, separable, single-threaded leadership has been one of Amazon’s most useful inventions. We discuss it in chapter three. This is the organizational strategy that minimizes the drag on efficiency created by intra-organizational dependencies. The basic premise is, for each initiative or project, there is a sing... See more

Our culture is four things: customer obsession instead of competitor obsession; willingness to think long term, with a longer investment horizon than most of our peers; eagerness to invent, which of course goes hand in hand with failure; and then, finally, taking professional pride in operational excellence.

In other industries, such as media and financial services, a large percentage of executive compensation is doled out in annual performance bonuses. These short-term goals (and yes, a year is definitely short term) can generate behaviors that are detrimental to creating long-term value.

The best way to fail at inventing something is by making it somebody’s part-time job.