Between Windows Vista and Windows 7, Microsoft changed exactly one thing. They replaced the two icons with a single text label that said "Shut down."
Nothing else changed. There was still a fly-out menu. There were still half-a-dozen options that users vaguely understood. They still had strange labels like "Hibernate" and "Sleep." There was still a "Log out" option. There was still a "Lock" option.
Turns out, none of that was the problem. The problem was that people didn't understand what the power icon did. Replace the icon with text that said "Shut down", and suddenly they knew what it did, and started clicking on it. They stopped opening the fly-out menu, and the "Paradox of Choice" went away.
The lesson is not that you should stop offering choices to your users! You can offer simplicity and choice at the same time. Just stop replacing text labels with confusing icons.
Windows 95/98/Me/NT/2000 had a "Shut down" text label. Windows XP had both an icon and text. Windows Vista had an icon but no text. Windows 7 went back to just text. The only design that caused confusion was Windows Vista.
The real lesson is that design by comittee over years trying to reach a compromise will often result in terrible design decisions. It wouldn't even have been a problem if they had kept the icon, if it just did what people expected it to! (shutdown, not sleep as was the default). And now we have Windows 8, where they've hidden the shutdown menu inside Settings.
I just found it frustrating that the tech press echo chamber ganged up on the fly-out menu, when that wasn't even the problem. The fact that Microsoft eliminated the complaints with just one button in Windows 7 shows exactly where the actual problem was.
Unfortunately we are down this road and I'm unhappy with software taking away features I use. I can't wait for chrome to be one white screen with no buttons.
Original rant by Joel Spolsky: http://www.joelonsoftware.com/items/2006/11/21.html
Answer from the guy working on the shutdown menu: http://moishelettvin.blogspot.no/2006/11/windows-shutdown-cr...
Another response from the guy that implemented the OSX shutdown menu: http://arno.org/arnotify/2006/11/the-design-of-the-mac-os-x-...