Slice down team size: Use Two Pizza Rule

In business, bigger is not always better. Especially when it comes to managing teams, having a large group can be more of a hindrance than an advantage. It can lead to lack of coordination, miscommunication and lower productivity. To avoid these pitfalls, managers need to be wise in selecting the size of their teams. One rule that has gained popularity in recent years is the “two pizza rule.”

What is the two pizza rule?

The two pizza rule is a popular principle in team management, particularly in the tech industry. It was introduced by Amazon CEO Jeff Bezos in the early 2000s. The rule stipulates that any team should be small enough to be fed by two pizzas. Bezos popularized the idea when he noticed that once a team grew larger than this, coordination and communication started to become a struggle.

The idea behind this rule is that if a team is too large, it can lead to the ‘too many cooks in the kitchen’ problem. There may be too many voices and opinions, leading to groupthink and the inability to make quick decisions. It is harder for members to communicate with one another, and overall teamwork suffers.

Benefits of using the two pizza rule

Using the two pizza rule can lead to several benefits for businesses.

1. Better communication

When a team is smaller, it is easier for members to communicate with one another. They are more likely to collaborate, share ideas and discuss challenges. This can lead to better decision-making and faster problem-solving as information can be passed along more quickly.

2. Increased efficiency

Smaller teams are more efficient as there are fewer people to manage, so it is easier to ensure everyone is on the same page. This can lead to faster decision-making and implementation. It also means that members have greater ownership over their work and are more invested in its success.

3. Greater flexibility

A smaller team can be more nimble and responsive to changes compared to a larger team. They can easily adjust their workloads and priorities depending on new information or shifts in the market. This flexibility is essential for businesses in an ever-changing landscape.

4. Better morale

Working in a smaller team allows for greater interaction and personal relationships to grow. This can lead to better team morale, motivation and job satisfaction. Members of smaller teams are more often validated for their work and feel a greater sense of responsibility for team success.

Downsides of large teams

While large teams may seem more advantageous on paper, these advantages are often offset by the downsides of having a large team.

1. Poor communication

Large teams present a communication challenge. With more members, there can be more confusion and miscommunication. Ideas can get lost in translation or overlooked altogether. This can lead to a lack of clarity, duplication of effort and poor decision-making.

2. Slower decision-making

When there are many opinions to consider and people to consult, decisions can take longer to come to fruition. This can be particularly challenging in fast-paced environments where time is of the essence.

3. Difficulties in coordination

Managing a large team can be challenging. There may be several different units with different goals and targets. Coordinating the activities of all these groups can lead to logistical and management strain.

4. Lower morale

In large teams, members can feel overlooked or undervalued as it is easy for their work to be subsumed into the team’s broader goals. This can lead to a decrease in morale, job satisfaction, and lower levels of productivity.

When should you use the two pizza rule?

The two pizza rule is not meant to be a hard and fast rule, and there are no fixed criteria for team size. Instead, managers should consider a variety of factors when selecting the best team size for their project or organization.

1. The nature of the work

Consider the complexity of the work involved, the tasks, and the level of specialization needed. If the tasks require multiple areas of expertise, a larger team can be justified.

2. Deadlines

Consider the timeline of the project. If the project is time-sensitive and requires rapid decision-making, then a smaller team is more advisable.

3. The level of collaboration

Consider the level of collaboration required within the team. If tasks require constant communication and coordination, a smaller team can be beneficial.

4. Budget constraints

Consider your budget constraints. A smaller team will be less costly and can free up resources for other areas of the project.

5. Company culture

Consider the preferences of your company culture. Organizations with a preference for flatter hierarchies and an emphasis on teamwork may prefer smaller, more autonomous teams.

Conclusion

The two pizza rule is a valuable principle that should be considered by managers when selecting team size. Smaller team sizes can lead to better communication, increased efficiency, greater flexibility, and better morale. While larger teams may seem advantageous on paper, they can often lead to the downsides of poor communication, slower decision-making, logistical challenges, and lower morale. While there are no hard and fast rules for team size, considering the nature of the work, deadlines, level of collaboration, budget constraints, and company culture can guide a manager in selecting the best team size for their project or organization. Ultimately, managers should be strategic in selecting team size to maximize the effectiveness and efficiency of their teams.