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Dalton + MichaelDalton + Michael

Process vs Chaos In Startups

In this episode of Dalton + Michael discuss their age old debate of how much process is too much vs too little. When you are designing a process are you creating art or manufacturing bolts? Dalton + Michael is brought to you by @Standard_Cap You can find Dalton Caldwell on X here: https://x.com/daltonc and Michael Seibel here: https://x.com/mwseibel

Michael SeibelhostDalton Caldwellhost
Oct 21, 202512mWatch on YouTube ↗

At a glance

WHAT IT’S REALLY ABOUT

When startups need process, when chaos drives real innovation forward

  1. Good process is measurable, repeatable, and improves outcomes—like an assembly line producing consistently high-quality “bolts.”
  2. Bad process behaves like self-serving bureaucracy, expanding headcount and control while shrinking actual product output.
  3. Founders often reach for process when the same problem repeats or when fear/anxiety makes planning feel safer, even if it doesn’t improve results.
  4. Innovation and creative work often start with chaos and rule-bending, while operational work (legal, finance, reliability) benefits from disciplined “bolt-like” process.
  5. Startups must embrace risk and path-blazing rather than adopting big-company carefulness that prevents them from exploring disruptive opportunities.

IDEAS WORTH REMEMBERING

5 ideas

Judge process by outcomes, not by how organized it looks.

A strong process produces consistently good results and gets better over time; “organized” bureaucracy can still generate worse output or slower execution.

Process should be treated skeptically because it naturally expands.

Without a devil’s advocate, procedures accumulate, more people are hired to maintain them, and the process can become the goal instead of the product.

Match the level of process to the work: bolts vs art.

Repeatable, measurable activities benefit from standardization; creative/innovative work resists optimization-by-checklist and can be damaged by “MBAification.”

Process is often an emotional coping tool, not a performance tool.

Fear and anxiety—especially when doing something new—push teams toward planning and procedure for comfort, even when it doesn’t improve output.

Pick a few areas to innovate; don’t try to be “creative” everywhere.

Founders should decide where differentiation truly matters and spend “innovation points” there, while running the rest with reliable, bolt-like practices.

WORDS WORTH SAVING

5 quotes

You can end up where the process becomes this big, and the actual product is this big.

Dalton Caldwell

A lot of process comes from people being afraid and anxious and wanting the comfort.

Michael Seibel

If you were to ask me... the biggest innovations... they've all started with chaos.

Michael Seibel

The more something looks like producing bolts, the more process works... the more it looks like producing art... the less you can.

Dalton Caldwell

You are chopping down things... you're blazing the path... you represent the risk in the economy.

Michael Seibel

Good process vs bad bureaucracyBolt factory metaphor for repeatabilityProcess as anxiety reductionChaos as source of innovationArt vs manufacturing continuumIterating and improving processInnovator’s dilemma and AI disruptionBig-company carefulness vs startup risk-taking

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