Collaboration carries hidden coordination costs that force organizational execution to the speed of the slowest participant, yet executives never acknowledge this.

Collaboration has a hidden cost that executives never acknowledge: coordination costs force execution to the speed of the slowest node in the system.

“There's actually like a hidden cost to collaborating that no one really internalizes extremely well. Meaning like you'll never hear really any executive at any company be like stop collaborating. and to me that's kind of like a like a warning sign. collaboration comes with incredible coordination costs. And coordination costs essentially assure that you're moving as slow as the slowest node in the system.”

Predicted organizational problems when scaling from 50 to 300 people did not materialize at Clay.

“Many people told me there would be all these weird problems scaling 50 to 300 people. None of them happened.”