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Every time we use AI tools, we unknowingly pay a ‘friction tax’. Every time we open a new chat window, we have to introduce ourselves, explain our business, and re-state our preferred writing style. We spend 20 minutes to get an almost correct answer, and the next day, we have to repeat the entire process again. If we even switch to a different tool, we are plagued by the nightmare of all the information accumulated so far disappearing and having to start from scratch.

This problem cannot be solved with better prompts or new tools. The problem is not with the AI tools, but with the limitations of AI that always starts from zero.

💡 Three Types of ‘Friction Tax’

  1. Duct-taping AI Tools Together: Using multiple tools interwoven with prompts, screenshots, and copy-pasting.
  2. Repetitive Self-Introduction: The hassle of AI not remembering the user, forcing you to re-explain personal information, business details, writing styles, etc., in every conversation.
  3. Wasted Subscription Fees: Paying for multiple AI tool subscriptions but not being able to use only the tools you actually need, thus wasting money.

🔑 The Solution to ‘Friction Tax’: Information Hierarchy

The single way to solve all these problems is to build an ‘Information Hierarchy’. Once this structure is properly built, it makes AI smarter on its own, no matter which AI you use in the future.

🤖 The Core of an AI Agent Isn’t the AI Itself, But the ‘Information It Reads’

An AI agent is simply a ‘model that uses tools’. What’s important isn’t the AI itself, but what information the AI can read, what information it can access, and how clearly the task is explained.

When we hire a new team member, we don’t just say, “Just try it.” We explain the business, show examples of good output, and provide access to necessary information and context. AI needs the same approach.

📚 What is an ‘Information Hierarchy’?

You only need to explain your business to the AI properly once. Just as a textbook is structured with chapters, sections, and tables of contents to convey information systematically, AI learns most effectively through structured information.

The key is not to build the AI, but to build the ‘information’ that the AI will read.

  • AI is an Interchangeable Part: Whether you use Claude or ChatGPT, you can have it read the same information hierarchy.
  • Information Hierarchy is Permanent: Even as AI tools change over time, a well-built information hierarchy will continue to make AI smarter.

🏗️ Structure of the Information Hierarchy

1️⃣ Top Level: ‘My Business’ Folder

This folder contains all core information about your business. It consists of 4 files.

  • About Me: Your name, profession, a one-sentence description you can use at a dinner party.
  • About My Business: What you sell, your Ideal Customer Profile (ICP), your unique selling proposition.
  • About My Voice: Your writing style, tone and manner, frequently used words/phrases, words/phrases you will never use (including examples for emails, newsletters, blog posts, etc.).
  • My Offers: A list of products/services currently for sale and their pricing structure.

2️⃣ Lower Level: Project Folders

Create a separate folder for each project (newsletter, YouTube channel, client work, etc.). Each project folder contains the same 5 subfolders.

  • Instructions: Clear guidelines for the project, such as goals, target audience, criteria for good output, and things to avoid (a sort of ‘master guide’).
  • Voice: A separate voice tone or style specific to that project (important for client work).
  • References: All materials the AI should reference (research content, transcripts, SOPs, etc.).
  • Examples: Examples of good output (e.g., top 3-5 past newsletter issues).
  • Notes: Records of continuous updates and feedback (e.g., “Achieved 42% open rate for this week’s newsletter,” “Story format was effective”).

🛠️ Automating Structure Creation with Claude Code

You don’t need to create all these folders and files manually. Using Claude Code, you can automatically generate the structure with just a few commands.

  1. Create Folder Structure: Describe the desired folder structure (business folder, project folders, subfolders) to Claude, and it will generate them automatically.
  2. Fill in File Content: Claude can automatically fill in the content of each file by asking you questions in an interview format or by referencing existing files.

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1️⃣ Usage in Claude

  • Open a new Co-Work session, have it read your ‘My Business’ folder, and then ask, “Suggest 3 newsletter topics that my audience would find important. Tailor them to my style.”
  • The AI will suggest customized topics based on the information hierarchy without needing to re-explain itself.

2️⃣ Usage in Other AI (Gemini)

  • Provide the same information hierarchy file to Gemini and enter the same prompt.
  • Gemini, despite being a different AI tool, will generate consistent results based on the same information.

✨ Conclusion: The Surest Way to Invest in AI

An information hierarchy is the core of an AI investment whose value does not diminish over time. AI tools will continue to change, but a well-built information hierarchy will continuously improve AI performance, eliminate friction tax, and bring about true productivity gains.

Build your information hierarchy now and always get smart results, no matter which AI you use.

(Note: The video creator has provided detailed materials such as the entire structure and prompt templates via links in the video description.)