As CEO of General Electric, “Neutron Jack” Welch was infamously ruthless. Under his instruction, GE managers fired the bottom 10 percent of employees regularly while Welch personally fired the bottom 10 percent of management. However, during his tenure, GE stock rose 4,000 percent—a strong defense against his critics. Successful business people, he reasoned, learn to identify those people who are effective at their work and know when to cut those who aren’t.
When executives like Welch hire and fire, they’re not just looking for talent. They’re looking for “fit.” Some people who excel in startups are not well suited for larger companies of, say, $50 million in revenue or more. I had the chance to interview Tod Nielsen, president and CEO of FinancialForce, who has built more than one $50+ million business and knows what it takes to be successful in a large company. Are you a good fit for a $50+ million business? Or are you destined for success in a smaller company? Take an honest look at yourself with these seven questions.
Are you self-aware?
“To thine own self be true,” Polonius says in Shakespeare’s Hamlet. Of course, Polonius was a blowhard who got himself killed by snooping behind curtains. The lesson? Better to understand yourself and play to your strengths than to force everyone else around you to work around your weakness.
In the spirit of self-awareness,Tod conducted a self-survey that he used to assess his own strengths and weaknesses. He followed it up with a 360-management survey, asking his team for feedback on his management style, and compared the two. This exercise helped him learn how his strengths and weaknesses were actually interpreted. “You can get a good picture of how self-aware you are this way,” Tod said. “When you’re aware, you’ll be a far more effective employee. You’ll know where your gaps are, where you need to work, and where you’re effective.” You’ll feel much better figuring that out for yourself than having the CEO tell you.
Do you value processes?
When faced with a process, do you welcome change—whether it’s a new process for billing, project management, or HR—or do you groan at the idea of having to adapt to a new process? “If you’re giving that an eyeroll, you’re not a good fit for a $50+ million company,” Tod says.
Do you want to be a hero?
As a student, a professor gave Tod’s class the option to take a test individually or in groups. Out of the entire class, Tod was the only student to take the test on his own. When the grades came back, 299 students got an A+; Tod got a C. He’s never forgotten that lesson about the value of teamwork.
“The employees in $0–50 million companies don’t see the value of team,” Tod said. “They’re more into heroics.” Larger companies, he explains, don’t have room for “heroic” employees who try to strike out on their own and work outside of processes. By relying on the combined talents of its members, a team can always get more accomplished than the individual. It’s always better to be the Avengers than just Iron Man.
Can you focus?
In 1996, Tod was a VP for Microsoft. While traveling, he found himself talking with Bill Gates. “You can do anything you want in life,” Gates told him. “You just can’t do everything.” Gates wasn’t just touting a personal belief, either. Studies show that splitting your focus between tasks decreases your efficiency. Even multitasking decreases your productivity by 40 percent. As the saying goes, if you’re the jack of all trades, you’re the master of none. Find the task, the job, and the career that matters most to you.Then put your energy into it. To give it only a fraction of your focus is a disservice.
Do you listen?
If you’re committed to teamwork, you must also commit to being a good listener. “Nobody at the table should be silenced,” Tod says. “Everyone should be free to share his or her perspective.” Listening is an important part of verbal communication--so if you value strong work relationships, listening is key.
Can you adapt to change?
As Eric Shinseki, former US Secretary of Veterans Affairs, said, “If you don’t like change, you’re going to like irrelevance even less.” Failure to adapt has been identified as the death blow for many once-powerful companies and their CEOs. (For example, when was the last time you needed Blockbuster’s help to watch a movie? And how many people prefer a Blackberry keyboard to a smartphone’s screen?) Learn to adapt now—to identify and deliver what the market wants—and you’ll find that you fit in much better with the companies that top the market share.
Do you know what questions to ask?
Employees often focus on delivering the right answers, but how much thought goes into asking the right questions? “The CEO shouldn’t be able to walk into a room and ask a question that you haven’t thought of before,” Tod says. That doesn’t mean you need to have all the answers ready. Instead, build a habit of seeking answers, and you will find that others are more eager to work with you.
Few things are worse than being told you don’t belong, especially when you’ve invested time and effort to make it work. Examine yourself and ask these questions, then put yourself where you work the best. You’ll find that you—and the people around you—will be the happier for it.
Ryan Westwood is the CEO of Simplus, a Gold Salesforce Consulting Partner. An experienced entrepreneur and Inc 500 CEO, he is also a private investor through JW Capital. Ryan is the author of The Five Characteristics of a Successful Entrepreneur and is a frequent speaker on entrepreneurship. Contact Ryan at @RyanWestwood. To learn more about Simplus visit www.simplus.com
