Reversible Vs. Irreversible Decisions
The two types of decision consequences, where reversible decisions can be unwound in a reasonable period of time, and an irreversible decision that are usually difficult or impossible to reverse.
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Origin
Popularized by Jeff Bezos in his 1997 letter to Amazon shareholders, where he distinguished “Type 1” decisions (irreversible, high-stakes — walk through carefully) from “Type 2” decisions (reversible, low-stakes — move fast). Bezos argued that most decisions are Type 2, and that treating them all as Type 1 leads to organizational slowness and risk aversion.
Updated February 22, 2026