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Hi, I’m Brad Feld, a managing director at the Foundry Group who lives in Boulder, Colorado. I invest in software and Internet companies around the US, run marathons and read a lot.

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Dilbert on Cultural Fit

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I’ve written before about hiring for cultural fit, and about the importance of prioritizing cultural fit over competence when hiring at startups. I started thinking about it again when I saw this Dilbert comic, because it pokes fun at the culture of startups and their propensity only to hire people who fit into them. But what are we talking about when we talk about cultural fit, anyway?

You’re probably familiar with some of the stereotypes around startup culture (free massages and dry cleaning, craft beer, cool art on the walls and dogs at the office, pulling all-nighters to ship on time) and the kinds of people who work at startups (according to Dilbert, “self-conscious hipster” types with “an earring and headphones.”) Stereotypes like these give you a picture of what startup culture might look like to an outsider, but they don’t reflect the intrinsic values that define startup cultures.

Gnip CEO Chris Moody explains this distinction really well when he talks about values vs. vibe. He defines values as “the guiding principles or code-of-conduct” that inform a company’s daily operations, whereas vibe is “the emotional side of the company … highly influenced by outside factors.” To figure out whether an aspect of your startup culture is a value, he says, try asking yourself these questions:

-      Is this aspect of the company important to our long-term success?

-      Does this aspect need to be maintained forever and is it sustainable?

-      Does this aspect apply to all areas of the company and to all employees?

-      Will establishing this aspect help us make important decisions in the future?

So, for example: riding your fixi to the office or playing foosball between coding sessions are vibes. Treating people with respect or being passionate about your work? Those are values.

Your company values should be clear, accessible, and pervasive – take, for example, Zappos’ 10 core values. Having clearly defined values is important because they drive your company culture, not the other way around. It’s also important when you’re hiring for cultural fit, because without clear company values you run the risk of making poor hiring decisions: hiring people because they look or act or talk like you, and not hiring people because they don’t.

Here’s an example: Businessweek says hiring managers are now asking candidates questions like, What’s your favorite movie? Or, What’s the last book you read for fun? If you’re asking interview questions like these at your startup, you need to make sure you’re screening for values and not for vibe. Just sharing your love of The Big Lebowski doesn’t make someone a good cultural fit for your company: in fact, it’s often the people who give unexpected answers who end up being your company’s most creative problem-solvers.

I chair the board of directors for the National Center for Women & IT (NCWIT), whose Entrepreneurial Alliance works with startups to help them recruit and retain more women in tech roles. There’s strong ROI for including more women on technical teams: women improve collective intelligence, make startups more capital-efficient, and bring the perspectives of half the population. But if you’re a “dude brew” startup, you may not even know why you don’t hire more technical women, and you might need help from NCWIT removing gender bias from its portfolio companies’ job ads.

Gnip recently told NCWIT that they added three women to its engineering team. They credited this in part because the VP of Engineering, Greg Greenstreet, attended every local women-in-tech networking event, recruited on campus, and talked to as many female candidates as possible. But fundamentally they succeeded in hiring more women because, like Etsy, they made diversity a value. Gnip assigned strategy, money, and resources to their recruiting efforts, and factored diversity into evaluations of cultural fit.

Every startup is going to have a company culture, by design or by default, so you might as well design yours with values that attract and keep the best possible talent. Once you’ve distinguished between your values and your vibe, hiring for cultural fit won’t just be easier; it will give you better – and likely more diverse – employees.

If you’re interested in more information about joining NCWIT’s group of startups, let me know.

God’s Debris

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On page 89, the book’s unnamed protagonist said “My brain hurts.”  I thought to myself, so does mine.

God’s Debris is Scott Adams’ first non-fiction book (yes, that Scott Adams, the father of Dilbert.)  Well – it might be fiction, it might be philosophy, or it might be a novella.  Or maybe it’s something else.  But it’s fascinating.  And challenging.  But short.  It was tonight’s book (although the night is still relatively young so I’ll get started on the next one in a few minutes.)

dilbertgod.jpg

This is not a religious book, nor is it a slam (or endorsement) of religion.  It is, in Adams’ words, a thought experiment.  One of the two characters is an old man who turns out to know everything.  He explains, through a series of short chapters on different subjects, all of the great mysteries of life.  While it’s easy to argue with some of his assertions, the old man (who turns out to be called The Avatar) explains things in a simple way that – while not bulletproof – is compelling.  Some of the chapter titles give you a quick feel for what is going to be covered: Free Will, Science, Where is Free Will Located?, Genuine Belief, Delusion Generator, Reincarnation, UFOs, and God, Free Will of a Penny, Evolution, Skeptics’ Disease, ESP and Luck, Light, Willpower, Holy Lands, and Relationships.

When I finished it, I hopped on Wikipedia and discovered that Scott Adams wrote a sequel called The Religion War.  I really want to read it on my Kindle but it’s only available in physical form so the atoms are now in the mail to me.

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