THE BUSINESS CODE

Key Terms

Glossary

Overview of key terms and concepts from THE BUSINESS CODE.

Business Code

The actual decision architecture of a company. It governs how signals are processed, where decisions are made, and how responsibilities are distributed.

Mental Capacity

The limited biological ability of the human nervous system to process complexity and uncertainty without degrading decision quality.

Decision Density

The ratio of generated questions and alignments relative to processing capacity. High density forces convergence to the top.

Complexity Gap

The cognitive divergence between exponentially growing technological information and constant human processing limits.

Compensatory Effort

The attempt to buffer unclear organizational interfaces through elevated personal effort and overtime.