YOU ACCEPT YOUR FIRST JOB AS A MANAGER IN A

FAST GROWTH TECH COMPANY, THINKING: “HOW

MUCH DIFFERENT COULD THIS BE FROM MY
FORMER COMPANY—A FINANCIAL SERVICES FIRM?
MANAGEMENT IS MANAGEMENT, RIGHT?
BUT BY THE END OF THE FIRST MONTH YOU FEEL
CONFUSED AND DISORIENTED. A SERIES OF JARRING
EXPERIENCES HAVE TAUGHT YOU THAT:
• YOUR MANAGEMENT AUTHORITY IS MEANINGLESS IN A
CULTURE THAT WORSHIPS ENGINEERS
• HALF OF YOUR COLLEAGUES WORKED ABOVE, BELOW
OR ALONGSIDE EACH OTHER IN PREVIOUS COMPANIES
• TWO OF YOUR MOST SENIOR MANAGERS NEVER DO
ANY WORK—AND ARE ONLY ON THE PAYROLL TO KEEP
COMPETITORS FROM RECRUITING THEM
• A TENURE OF TWO YEARS MAKES YOU AN “OLD-TIMER ”
THE TECH INDUSTRY’S COMBINATION OF
• HIGH-VELOCITY COMPETITION
• COMPLEXITY
• GLOBAL TALENT
• INTERDEPENDENCE AMONG RIVALS
MAKES IT A TRULY UNIQUE ENVIRONMENT, REQUIRING A
DISTINCT SET OF LEADERSHIP SKILLS
DENSE GEOGRAPHIC CONCENTRATIONS IN REGIONS SUCH
AS SILICON VALLEY, SEATTLE, BOSTON AND BANGALORE
FOSTER EVEN MORE CULTURAL PECULARITIES
AS WE BEGAN OUR RESEARCH, WE LIMITED OUR
DEFINITION OF TECH COMPANIES TO THOSE THAT CREATE
TECHNOLOGY AS A PRODUCT OR SERVICE. (E.G. GOOGLE,
FACEBOOK OR UBER)
THIS DEFINITION OF TECH DIFFERENTIATES
ORGANIZATIONS LIKE GOOGLE, FACEBOOK OR UBER, FROM
WALMART
GOOGLE, FACE BOOK - ARE TECHNOLOGIES
WALMART, TOYOTA - USE TECHNOLOGY
• INTERVIEWS OF MORE THAN A DOZEN U.S.
LEADERS FROM ACROSS THE TECH SECTOR WERE
CARRIED OUT
• EACH LEADER IDENTIFIED THE CHALLENGES HE OR
SHE FELT WERE MOST IMPORTANT AND UNIQUE TO
TECH
THEREAFTER, MORE THAN 3,600 PEOPLE, EQUALLY
DIVIDED BETWEEN MANAGERS AND EMPLOYEES, FROM
TECH AND NON-TECH ORGANIZATIONS WERE SURVEYED
THIS SURVEY REVEALED FOUR CATEGORIES THAT ARE NOT
JUST CHALLENGING, BUT UNIQUELY CHALLENGING IN THE
TECH WORLD
1. THE COOL FACTOR
• ELITE COMPANIES AND PATH-BREAKING PROJECTS
GET DISPROPORTIONATE ACCESS TO TOP TALENT
• IF THEIR CURRENT COMPANY ISN’T SEEN AS THE
“COOLEST, ” ISN’T ON TOP OF THE LATEST
TECHNOLOGIES, PEOPLE MOVE TO COMPANIES
THAT ARE.
 • SIMILARLY, IF THEIR CURRENT JOB DOESN’T PUT
THEM ON THE COOLEST PROJECTS OR ON THE
MOST COVETED TEAMS, PEOPLE MOVE ON

AS A RESULT, INITIATIVES VITAL TO LONG-TERM

INSTITUTION BUILDING ARE OFTEN NEGLECTED
2. RELENTLESS PRESSURE
• THERE ARE NO BREAKS, PAUSES OR DOWNTIME
• TECH EMPLOYEES WORK LONG DAYS AND DURING
WEEKENDS AND HOLIDAYS
• THEY MUST DELIVER ON TIGHT TIMELINES, QUICK
TURNAROUNDS AND SHORT PROJECT CYCLES

AS A RESULT, OVER TIME, A “HERO” CULTURE EMERGES

THAT REWARDS THOSE WHO MAINTAIN FEW BOUNDARIES
BETWEEN PERSONAL AND WORK LIFE
3. CONSISTENT AMBIGUITY
• TECH EMPLOYEES HAVE TO NAVIGATE UNCLEAR,
OVERLAPPING AND SHARED ACCOUNTABILITIES
THAT CAN CREATE CONFUSION, MISALIGNMENT
AND COMPETITION
• IN ADDITION, THESE PRIORITIES, PROJECTS AND
ASSIGNMENTS CONSTANTLY SHIFT
4. DÉJÀ VU ALL OVER AGAIN
• THE TECH WORKFORCE IS ONE BIG NETWORK
• AS A RESULT, EMPLOYEES ARE LIKELY TO WORK
WITH THEIR CURRENT COLLEAGUES AGAIN,
PERHAPS IN A DIFFERENT COMPANY OR IN A
DIFFERENT ROLE
• PEOPLE WHO ARE THEIR PEERS TODAY BECOME
MANAGERS, PEERS OR DIRECT REPORTS IN
ANOTHER COMPANY TOMORROW
• THIS DYNAMIC DRIVES PEOPLE TO VALUE
MAINTAINING CONNECTIONS OVER SOLVING
TODAY’S PROBLEMS AND RISKING A FUTURE
OPPORTUNITY
• WHEN TECH LEADERS WERE ENLIGHTENED ABOUT
THESE CULTURAL PECULIARITIES , FEW WERE
SURPRISED
• HOWEVER, ONLY A FEW OF THEM HAD EVER BEEN
TRAINED OR COACHED ON HOW TO DEAL WITH
THEM
• AS A RESULT, LEADERS’ SKILLS AT NAVIGATING THIS
COMPLEX AND TURBULENT CONTEXT VARIED
WIDELY
OUR INTERVIEWS SUGGESTED TWO REASONS WHY THESE
CHALLENGES GO UNADDRESSED:
1. FIRST, ACKNOWLEDGING THESE CHALLENGES IS LIKE A
FISH ADMITTING IT’S IN WATER. BUT THIS LAPSE FAILS
TO MAKE CONSCIOUS A RELATED REALITY: THAT THE
WATER IS A TORRENT THAT IS HURLING THE FISH
TOWARD JAGGED ROCKS
2. SECOND, THERE’S A HEROIC CULTURAL NORM IN TECH
THAT SUGGESTS REAL PLAYERS ARE TOO SMART OR
TOO MOTIVATED TO BE DAUNTED BY THESE REALITIES
— SORT OF AN, “IF YOU CAN’T TAKE IT, MOVE TO THE
RUST BELT” FEELING
WHAT IS THE SOLUTION
1. CHALLENGES FACING LEADERSHIP IN TECH
ORGANIZATIONS MUST BE DISCUSSED. THE MOST HIGH
LEVERAGE SKILL A TECH LEADER CAN HAVE IS TO MAKE
THESE UNDISCUSSABLES DISCUSSABLE
2. FOR EXAMPLE, THE FACT THAT AN ORGANIZATION IS
NEGLECTING INVESTMENTS IN INSTITUTION BUILDING
BECAUSE TOP TALENT IS FOCUSED ON PRODUCT
INNOVATION CANNOT BE RESOLVED IF IT CANNOT BE
DISCUSSED (SIMILARLY THE OTHER CHALLENGES)
3. RESEARCH SHOWS THAT THE LONG-TERM HEALTH OF
TECH ORGANIZATIONS—OR ANY SOCIAL SYSTEM,
FOR THAT MATTER—IS A FUNCTION OF THE AVERAGE
LAG TIME BETWEEN IDENTIFYING AND DISCUSSING
PROBLEMS
MANAGERS’ BEST DEFENSE AGAINST THESE TOXINS IS TO
ESTABLISH TWO CRUCIAL NORMS:
1. CREATE A CULTURE WHERE ANYONE CAN SPEAK UP
AND SHARE HIS OR HER CONCERNS WHEN IT’S IN THE
INTEREST OF THE MISSION
THE NORM ACROSS TECH NEEDS TO BE THAT PEOPLE
CAN BRING UP CONCERNS WHEN THEY HAVE THEM

THIS NORM NOT ONLY CREATES A ROBUST, ELEPHANT-

FREE ORGANIZATION, BUT ONE THAT QUICKLY
SURFACES THE BEST IDEAS, ALLOWING COMPANIES TO
BETTER INNOVATE AND EXECUTE
2. ANYONE CAN HOLD ANYONE ACCOUNTABLE—FOR
BOTH PRODUCT AND CULTURAL EXPECTATIONS—
REGARDLESS OF ROLE OR POSITION

THE ABILITY TO HOLD OTHERS ACCOUNTABLE IS THE GLUE

THAT KEEPS OUR HUMAN ENTERPRISES FROM SPINNING
APART
CONCLUSION
1. THE UNIQUE NATURE OF THE TECH WORLD DOESN’T
APPEAR TO BE CHANGING ANYTIME SOON
2. WHAT CAN CHANGE—AND QUICKLY—IS A LEADER’S
ABILITY TO MANAGE THE IDIOSYNCRATIC CHALLENGES
THAT COME WITH THE TERRITORY
3. LEADERS WHO BUILD THE NORMS OF DIALOGUE AND
ACCOUNTABILITY, CREATE ORGANIZATIONS THAT ARE
SUBSTANTIALLY MORE LIKELY TO THRIVE IN THE LONG
TERM