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How to Hire People Who Are Smarter Than You Are

June 27, 2019 By Nagesh Belludi Leave a Comment

Apple’s Steve Jobs frequently pointed to the risk of a “bozo explosion,” which is what happens within a company that makes the mistake of hiring B-grade managers early on. As the company expands, these bozos—Jobs’s label for well-meaning, but less-competent managers—tend to emerge through the ranks and run important divisions of the company.

When bozos hire other people, they prefer to hire bozos. As entrepreneur (and bonafide Steve Jobs’s coattail-rider) Guy Kawasaki explains, “B players hire C players so they can feel superior to them, and C players hire D players.” Lo and behold, entire divisions are soon swarming with hordes of bozos.

How to Prevent a Bozo Explosion

The heuristic “hire people smarter than you” is obvious enough, but, every so often, smart people can be a terrible fit within your team.

In this Startup School 2013 interview with venture capitalist Paul Graham, Facebook’s Mark Zuckerberg offers a better heuristic to hiring and keeping smart people who aren’t jerks and can get things done:

What’s the right heuristic for determining if someone is really good? Over time, what I figured out was that the only actual way to let someone analyze whether someone was really good was if they would work for that person. I don’t think that needs to recurse too many levels down in the organization but I basically think that’s a really good heuristic. I believe that. If you look at my management team today if we were in an alternate universe and I hadn’t started the company it would be an honor to work for any of these people. I think if you build a company that has those kind of values, rather than just saying ‘oh I want to hire the best person I can find’ or whatever, if you hold yourself to that standard then I think you’ll build a pretty strong company.

Idea for Impact: Mediocre managers often feel threatened by employees who seem more intelligent than they are, and could potentially pinch their jobs. In contrast, a wise manager knows that she reveals well on her own ability to discover and nurture talent.

As with advertising tycoon David Ogilvy’s Russian nesting dolls metaphor for building “a company of giants,” insist that managers hire folks who are better than themselves. For example, a product manager should hire a designer who is better at design than the manager is, not worse.
Insist that each interviewer ask themselves of job candidates, “Would I want to work for this person?”
Remember, the best don’t come cheap.

Change Isn’t Just Possible—It’s the Way Life Works

June 13, 2019 By Nagesh Belludi Leave a Comment

Remarkable lines from “Change” from the English metaphysical poet John Donne’s Elegy III (Poems of John Donne, Volume 1, 1896):

To live in one land is captivity,
To run all countries, a wild roguery;
Waters stink soon, if in one place they bide,
And in the vast sea are more putrified:
But when they kiss one bank, and leaving this,
Never look back, but the next bank do kiss,
Then are they purest; Change is the nursery
Of music, joy, life and eternity.

Change helps you come back to yourself, over and over again, and ride the waves of richness through whatever life has to offer.

Change is a gift! Flow with it and seek out the beauty in each moment. Show up and be present, for there is something precious for you now—even within the pangs of loss and melancholy.

To Micromanage or Not?

June 12, 2018 By Nagesh Belludi Leave a Comment

Micromanagement—any unnecessary meddling in someone else’s responsibilities, decision-making, and span of authority—is one of the most common gripes that employees have about their managers. No manager’s participation, influence, and authority should chip value away from an employee’s work.

Nobody Likes a Meddling Boss

There’s a thin line between appropriate questioning and micromanaging. What characterizes micromanaging is not whether a manager is questioning the minutiae, but whether the fine points are significant enough to be probed into and to what end the manager is probing.

For instance, is a manager making a point of a certain inconsistent operating expense, or is the manager examining bookkeeping details that may help bring to light a bigger-level problem such as a defective accounting system? Asking questions doesn’t in and of itself signify micromanaging, as long as those questions lead to insights of some substance.

If a manager hones into some trivial detail and challenges it with an intention of establishing an employee’s error, it’s reasonable to assume that the manager is micromanaging.

When micromanaging happens in the area of the manager’s expertise, his nitpicking is usually provoked by an egotistical need to emphasize his knowledge or experience on the subject, especially if the manager is insisting on his pet course of action.

Idea for Impact: When tactically applied, micromanaging can be a powerful tool to get the right things done

The ability to pose broad, open-ended questions (try the Socratic Method) and help an employee uncover crucial details—and to do this without creating the perception of micromanaging—is a particularly valuable managerial skill.

The smartest managers I know of do away with as many unnecessary reports, reviews, and approvals as possible. They ask the right questions about the right subjects in the right tone to help refocus an employee’s attention while deferring to the employee’s decision-making prerogative. They don’t delve into the fine points of everything—they selectively micromanage only if they must.

Why a Friend Can’t Keep a Secret

April 2, 2018 By Nagesh Belludi Leave a Comment

A caring, faithful relationship with a family member or a friend is a sacrosanct space where you can shed your guard, reveal your secrets, and disclose your worries. Such relationships are life’s principal social support systems.

Your ability to form close relationships with others hinges on the trust you feel with your nearest and dearest.

Once You Share Something Confidential, You Lose Control of it

Sharing your secrets with others and keeping others’ secrets are essential to establishing and nurturing bonds between people.

Secrets are kept or revealed for a variety of complex reasons—utter carelessness, actual malice, self-serving manipulation, or altruistic protection of others.

Forgetfulness and negligence often initiate letting a secret slip; some people may not understand the potential consequences of not keeping somebody’s secret to themselves.
As the World War II idiom cautions, loose lips sink ships. Some blabbermouths just can’t be the soul of discretion—they have no filters and don’t concern themselves with betraying others’ trust.
Some folks justify spreading others’ secrets by convincing themselves that the secret is common knowledge—if a source shared a secret with them, the source may have shared it with others too.
Some nefarious people use secrets they’re supposed to keep as currency to curry favor with someone else. An egregious recent example is that of McKinsey’s Managing Director Rajat Gupta revealing confidential information about Goldman Sachs, on whose board of directors he sat, to hedge fund manager Raj Rajaratnam.
Some people may assume an altruistic—or self-righteous—mind-set and reveal a secret assuming that divulging the secret could be more beneficial to those concerned than keeping the secret.
Some people reveal secrets because they can’t bear the mental distress of keeping the secret. Often, the bigger the secret, the harder it is to keep it.

If you’ve been told a secret or have some information in hand that may put somebody in immediate emotional or physical risk, be careful in how you act. Telling secrets in the wrong way, to the wrong people, or at the wrong time can be surprisingly destructive. If required, seek help from a relationship counselor.

If a friend shared something about you that you told them in private, try to forgive his/her lack of discretion. Hold back your trust until you can feel comfortable trusting them again.

Ideas to Use When Delegating

January 24, 2018 By Nagesh Belludi Leave a Comment

The American industrialist Alfred P. Sloan once declared, “The most important thing I ever learned about management is that the work must be done by other men.”

A manager’s principal task is to get things done through other people. Therefore, delegation is one of the most important skills a manager can master.

In addition, being effective at delegation has benefits in many areas of life—enlisting a friend to repair a computer, or getting your kids to rearrange a bookshelf, for example.

Here are a few ideas for effective delegation.

Delegate every task that can be performed just as well by someone who is paid less than you are.
Pick people who can accept responsibility.
Match the person to the task.
Remember that the person performing the task may not do it as well as you do it.
Build employees’ confidence by assigning low-risk projects at first. By giving employees tasks that are right at the limit of their existing capability, or even just beyond, you can motivate them to develop their skills and knowledge.
Let employees put their own spin on the assignment. Learn to have faith in the ingenuity of your employees, and give much latitude in how they do things.
Delegate outcomes, not just tasks. Identify the precise problem and define exactly what you want your employee to do.
Confirm understanding. Don’t assume that your employee understands what we mean. Have the employee restate the outcome you’ve delegated in his own words.
Give a due date for the assignment.
Monitor what you delegate. Don’t meddle—an overly-engaged boss can create self-induced commotion. Effective managers delegate results when they can and interfere only when they must.
Learn to be patient. Expect employees to make wrong decisions. Spend time with them to learn why a decision was wrong and how to avoid it the next time, rather than reproach or assign blame.
Set the standards, but tell your employees what you’re willing to accept as tradeoffs of delegation. Offer to lend a hand wherever necessary. As Peter Drucker wrote in The Leader of the Future, “Effective leaders delegate, but they do not delegate the one thing that will set the standards. They do it.“

By learning to delegate effectively, you can create a work environment that is more time- and skills-efficient, foster creativity and opportunities for professional growth, and focus on the importance of managerial communication.

Five Pitfalls of Coaching Success

December 20, 2017 By Nagesh Belludi Leave a Comment

According to Coaching, Mentoring and Managing: Breakthrough Strategies to Solve Performance Problems and Build Winning Teams (1996) by William Hendricks, et al., some managers instinctively do things that thwart their team’s performance.

Examine if you’re guilty of one or more of the following.

Do you tend to speak at your employees, not with them? Your style of instruction could be accompanied by the frequent use of phrases such as “I want” and “you should.”
Do you tend to exaggerate situations or behavior? Your tendency to color an employee’s behavior using qualifiers such as “always,” “never,” and “everyone” could be dragging him down. Generalizations could crush the employee’s sense of self-esteem. If you want to create positive change, instill pride, not shame.
Do you sometimes assume that your employee knows a problem and the solution? It’s possible that the employee may not recognize the problem. Skillfully use lines of questioning that can help the employee drill down into the details and reveal a higher-level issue.
Do you often fail to follow up? If you don’t follow up on directions or performance expectations, you will inevitably find yourself reacting to unpleasant surprises.
Do you not reward improved behavior? If you don’t reward positive changes in behavior, you will not expand behavioral adjustments to permanent performance improvement. Managerial feedback and coaching is all about reinforcing positive behaviors and encouraging corrections to damaging behavior.

Think of a Customer’s Complaint as a Gift

November 1, 2017 By Nagesh Belludi Leave a Comment

When managers become comfortable with the idea that complaints are gifts, they do not hesitate in responding to them.

According to A Complaint Is a Gift: Recovering Customer Loyalty When Things Go Wrong, the idea of complaints as gifts must be reinforced at every staff meeting and training session. The company’s policies must be aligned to support this philosophy. A Complaint Is a Gift‘s authors, management consultants Janelle Barlow and Claus Moller, restate some fundamental techniques for handling complaints:

Don’t get defensive. When managing complaints, managers can be their own worst enemies! Instead of taking complaints personally, managers should focus on the particulars of a problem. Then, complaints become less disruptive and constructive.
Say “thank you” and explain why you appreciate the complaint. Say something about how hearing the complaint will allow you to better address the problem. You create a more powerful rapport with customers by saying “thank you” than apologizing.
Apologize for the mistake and empathize when appropriate. Acknowledge the customers feelings You do not have to see eye to eye with the person to acknowledge how they are feeling. Saying “I can see you are upset,” or “I understand why this ordeal has been frustrating for you,” will go a long way toward diffusing any complainer’s anger.
Listen for what the customer wants to happen next, because it’s often easy to accommodate requests, as long as they’re not totally unreasonable. Promise to do something about the problem immediately. Then do something to fix the situation.
Ask for necessary information and correct the mistake promptly. Look at the problem from all perspectives and ask the customer to explain his or her expectations and the reality of what he/she experienced. Ask what it will take to meet their needs or to satisfy them. Rapid responses disclose you are serious about service recovery and customer service.
Check customer satisfaction. Call your customers back to find out if they are satisfied with what you did for them.
Initiate changes to prevent future mistakes, make the complaint known throughout the organization so this kind of problem can be prevented. Fix the system without rushing to blame staff or policies.

Idea for Impact: Managers who ask for complaints will find that customers express their concerns more openly and objectively. Inviting complaints reduces the likelihood a customer will be upset or emotional. It is a way to nip problems in the bud and solve problems before they can aggravate.

20 Reasons People Don’t Change

June 13, 2017 By Nagesh Belludi Leave a Comment

If you have trouble getting people to change, perhaps one—or more—of the following reasons are to blame:

They don’t want to change … they find reassurance in the status quo
Their environment is holding them back
They’ve tried to change in the past, failed, and have given up
Your coaching / feedback is garbled … the benefits of change are unclear
They don’t react well to criticism
They’re suspicious of your motives (i.e. fear of manipulation)
They see little incentive to change
They don’t know how to change
They have no role models
There’s no support (or resources) for change
Change threatens their self-image
They can’t tell what’s really important
They don’t feel courageous enough … i.e. they fear failure
They don’t feel enough pain yet
They’re overconfident or arrogant
They fear their weaknesses will be exposed
They’re too lazy and undisciplined
Change requires giving up something they presently value
They resist change that’s imposed from outside … i.e. they’re not intrinsically motivated for change
Change undermines their self-confidence

Idea for Impact: Temper your expectations of others. Old habits die hard. Even Einstein’s doctor couldn’t get the great physicist to quit smoking despite his deteriorating health.

Be realistic about changing others’ hearts and minds. If you can learn to accept them for who they are and let go of your conceptions of their perfection, your relationships become more richer.

Bad Customers Are Bad for Your Business

June 6, 2017 By Nagesh Belludi Leave a Comment

Herb Kelleher: “Dear Mrs. Crabapple, We will miss you.”

Southwest Airlines is a paragon of superlative customer service. Southwest’s happy and engaged employees routinely go out of their way to delight their customers. In spite of such remarkable devotion to customer satisfaction, there have been times when Southwest had to decide that some customers were just wrong for their business.

In the very entertaining and enlightening Nuts!: Southwest Airlines’ Crazy Recipe for Business and Personal Success, authors Kevin and Jackie Freiberg narrate how Southwest had to let go of a customer who couldn’t be less satisfied with her travel experience. This customer relations-story is best appreciated in light of the fun-loving and gregarious nature of Southwest’s legendary founder and ex-Chairman/CEO Herb Kelleher.

A woman who frequently flew on Southwest, was constantly disappointed with every aspect of the company’s operation. In fact, she became known as the “Pen Pal” because after every flight she wrote in with a complaint.

She didn’t like the fact that the company didn’t assign seats; she didn’t like the absence of a first-class section; she didn’t like not having a meal in flight; she didn’t like Southwest’s boarding procedure; she didn’t like the flight attendants’ sporty uniforms and the casual atmosphere.

Her last letter, reciting a litany of complaints, momentarily stumped Southwest’s customer relations people. They bumped it up to Herb’s desk, with a note: ‘This one’s yours.’

In sixty seconds, Kelleher wrote back and said, ‘Dear Mrs. Crabapple, We will miss you. Love, Herb.’

Bad Customers: Wrong for Your Business, Wrong for Your Employees

Customers are the lifeblood of any business. Customer satisfaction begets loyalty, and loyalty begets revenues and profits. Businesses can therefore never place too much emphasis on their customers.

However, with slogans like “the customer is always right,” many businesses fall into the trap—and the slippery slope—of trying to satisfy every customer’s every wish.

Although your business may need all its customers—even the irksome ones—the reality is that some customers can actually be bad for your business. You can’t sustainably run a business without trying to satisfy every customer—particularly those cranky, annoying, or unreasonable ones.

Be wary of customers that fall into these categories:

Customers who require high maintenance but cannot be charged more
Customers whose demand for price destroys your profitability
Customers who want a lot more (better product, better service, better schedule) but are tightfisted
Customers who require supplementary services or products (especially those that are not part of your business’s core competencies) and tailored solutions that you don’t provide and can’t profitably offer to the rest of your customer base
Customers who don’t subscribe into the future vision of your business or your industry, which they’ll need to strategically commit to as some point in the future
Customers who tend to be aggressive and hostile, and disrespectful to your employees, regardless of how well they serve the customers

Strategic Customer Management Involves Being Tough Minded with Some Customers

Considering your long-term business goals, sifting through who should and who shouldn’t be your customers is an important element of strategic leadership.

With every product or service you offer, focus on who you want your customer to be, what expectations they have of you, and what you can profitably provide to them. Once you have figured that out, customers who don’t fit well need to be managed judiciously and decisively.

Without strategic customer management, you run a risk of disrupting your ability to converge around the needs of your principal customer base.

Remember the notion of opportunity cost—every ‘no’ is a ‘yes’ to something important.

Idea for Impact: Let Go of Some of Your Troublesome Customers

Sometimes, it may be better to lose certain customers by turning them down than to dilute your ability to serve other valuable customers profitably. Stop trying to delight every customer. Take a hard look at the past, current, and future of every customer and prioritize whom you can going to serve better and more successfully.

Psychoanalyst Erich Fromm on the Art of Love and Unselfish Understanding

May 26, 2017 By Nagesh Belludi 1 Comment

To Listen is to Love

Erich Fromm (1900–80) was a famous German psychoanalyst, philosopher and social critic. His best-selling work, The Art of Loving (1956,) has been translated into more than fifty languages and has sold more than thirty million copies. Fromm argues that one of the deepest human desires is wholeness and unity. Consequently, humans seek to overcome their persistent sense of separateness by finding love, that profound experience of belonging and unity that still makes allowances for individual identity and expression.

According to The Art of Loving, one’s character orientation and social outlook depend greatly on one’s ability to experience meaningful loving relationships with others. The principal responsibility in practicing the art of loving is overcoming one’s narcissism, which Fromm argues is tantamount to cultivating objective reality and embracing the spirit of generosity—doing cosmic good, in other words:

Society must be organized in such a way that man’s social, loving nature is not separated from his social existence, but becomes one with it. If it is true, as I have tried to show, that love is the only sane and satisfactory answer to the problem of human existence, then any society which excludes, relatively, the development of love, must in the long run perish of its own contradiction with the basic necessities of human nature.

The Art of Therapy is the Art of Listening

For Fromm, the first duty of love is paying attention to others—to listen and to understand. His less-popular, but equally noteworthy The Art of Listening (1994) explores listening as an act of love. Based on the imperfectly-edited transcript of a 1974 colloquium on psychoanalysis, The Art of Listening presents Fromm’s therapeutic method of dealing with the emotional distresses of people through listening.

Psychotherapists endeavor to listen non-judgmentally, understand keenly, and frame questions that will assist their patients work out whatever they should do to change their lives. Exploring this nature of communication between the therapist and his patient, Fromm explains that the therapist must offer himself as a thoughtful individual specifically trained in the art of listening. Fromm identifies listening as “an art like the understanding of poetry” and offers six guiding principles for mastering the art of selfless understanding:

The basic rule for practicing this art is the complete concentration of the listener.

Nothing of importance must be on his mind, he must be optimally free from anxiety as well as from greed.

He must possess a freely-working imagination which is sufficiently concrete to be expressed in words.

He must be endowed with a capacity for empathy with another person and strong enough to feel the experience of the other as if it were his own.

The condition for such empathy is a crucial facet of the capacity for love. To understand another means to love him—not in the erotic sense but in the sense of reaching out to him and of overcoming the fear of losing oneself.

Understanding and loving are inseparable. If they are separate, it is a cerebral process and the door to essential understanding remains closed.

Even though The Art of Listening focuses on becoming a better shrink through listening, there’s much in this excellent book by way of techniques, dynamics, and mindsets that make for the most favorable listening relationships in life, as in therapy.

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How to Prevent a Bozo Explosion

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Nobody Likes a Meddling Boss

Idea for Impact: When tactically applied, micromanaging can be a powerful tool to get the right things done

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Once You Share Something Confidential, You Lose Control of it

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Herb Kelleher: “Dear Mrs. Crabapple, We will miss you.”

Bad Customers: Wrong for Your Business, Wrong for Your Employees

Strategic Customer Management Involves Being Tough Minded with Some Customers

Idea for Impact: Let Go of Some of Your Troublesome Customers

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To Listen is to Love

The Art of Therapy is the Art of Listening

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