Startups are all about the capabilities of a team. A company is not the creation of one individual, but rather the outcome collective contributions of a small army. Hence, hands down the most important thing you do as a startup founder is hiring the leaders who are responsible for building their respected functional teams.
For many years I’ve kept an Evernote with best practices I read or hear about, encounter, and use when it comes to executive hiring. I’ve found myself sharing these notes several times with Creandum portfolio founders when they embark on these hiring processes, so I decided to publish the collection here summarizing the most important questions to ask when hiring an executive and some overall key learnings around how to manage the process. Much has been said on this topic before so I’d love to thank the many founders, co-investors, academic journals, books and team members who have helped me to learn and iterate on this topic. My ambition is to continue to absorb more learnings along the way and update this as we go along. Hence, if you have any amazing additions to this, feel free to send them my way. 🙏
One of the most important personality traits in any human (not only executives) is self-awareness. By truly understanding yourself you can better understand others and the best leaders they understand the people they work with.
If you could change anything you wanted at your current employer which would cause you to cancel this interview and stay with your company, what would that be?
> Look for a genuine understanding of the reasons to move to a new company, and ownership of the existing working environment.
How would this new job differ from your current job?
> Make sure the person has deeply thought about the role and organization they are joining. Understand how they feel about the differences identified and what excites or worries them. Beware of those who think their experiences are immediately transferable, especially from big corporates.
Why do you want to join a small company?
> Beware of equity as a primary motivation since one or two percent of nothing is still nothing. Look for those who aspire to create something vs managing a business.
Tell me about a project which failed and how you could have changed the outcome.
> Any good leaders take accountability and own up to failures. you look for someone who understands they control the outcome and it’s not about what others do.Tell me about a time in your career when you wanted something so badly that you were unstoppable pursuing it.
What obstacles did you have to conquer to get there?
> Startups are always hard and difficult journeys. Hence, look for leaders with tenacity and grit, and understand what drives that behavior in them.
Tell me about a professional area you are currently exploring and trying to grow within. How did you discover it? Why are you pursuing it now? What’s your plan to fill that gap?
> All exceptional professionals continue to grow, be hungry to learn and refine their skills. Find the pursuit to grow and the reasons for it, but also look for self-awareness of their process into deciding what, how and when to learn.
If I spoke to one of your offlist reference, a person you would NEVER opt-in to connect me with. If you put yourself into that person’s shoes, what would that person say about you? What would be that person’s reasons be for me not to hire you?
> Everyone of us has people in our past which professionally didn’t work out. Look for execs who understand their own weaknesses, own up to them, and work on overcoming them.
To lead people you need to be able to hire, develop, nurture and motivate talent. These are all key characteristics of people skills, which is probably the one most important functional skill you need to assess for in this process.
What do you look for in people working for you? How do you assess for that during the interview process?
> There are so many cliches and one-liners (such as this entire blog post 🙃) when it comes to hiring practices, but the best execs know how to hire the best people and should be able to articulate a thoughtful approach with minimal guesswork behind it.
If you join here, who would you bring with you into the organization?
> The best execs opens up access to additional top talent. Validate and confirm that this access exists.How do you train people for success? What’s your process of evaluating them?
> The best execs not only hire amazing people but also help them grow — a key area of any successful team over time. Again, this is where people easily can drop one-liners to sound smart, but you need to dig deep into the answers to get to the substance of their tactical approach.
How do you deal with chronic bad behavior from a top performer?
> A classical doubled-edged sword in management. Try to understand how the person weighs operational results vs culture + team spirit. Often times there are no right or wrong answers but what you’re looking for are people who have maturity in their leadership to navigate these complex situations.
In addition to understanding themselves and the people around them, any good leader has to have a repertoire of “hard” management skills which serves them in their daily work.
What’s your process of decision making and what methods do you use to get the information that you need to make a decision?
> Decision making is a key component in the role of any executive. Often times this is done based on information from others or without perfect facts. Get a sense of how systematic and thoughtful they are around this, and their abilities to articulate the rationale behind specific decisions made in the past with imperfect information available.
How do you systematically get information about the rest of the organization, your customers and the market?
> Similar to above where the exec may not directly be exposed to all parts of the business. Look for people who enjoy moving between strategic and tactic topics. Startups need both!
Describe the key leading and lagging indicators for your current organization. What was the process you used to define and monitor them?
> Get an understanding of how s/he is using data and KPIs in their management style and how that is balanced with the human element.
What will you do the first month on the job?
> Any new hire always starts with an onboarding period — so also execs. But with senior hires, you’re actually paying for the experience. The best ones come with initiative and ideas and hit the ground running to implement those. Beware of someone who wants to focus entirely on “learning” as it indicates s/he thinks there’s more to learn than there actually is. Speed is everything in a startup and you want to bring in people who are excited to take action and charge.
Hiring execs is something which should be done in a thoughtful and articulate way. You need a process and a framework, especially if you’re hiring senior professionals into a function you know very little about yourself.
Finally, very little has been said above about hiring for culture, because that in itself is a topic worthy a separate post. Culture naturally plays a key part in any hiring decision. However, the one critical thing around culture and executive hiring you need to note is that when leaders join your organization you are fundamentally adding key decision-makers to your team. Any decision-maker will naturally influence the culture of your organization. This means with executives you should rather think about the “culture add” they will bring vs the “culture fit” they may have. 💪👊