Hiring Employees Quotes

Somebody once said that in looking for people to hire, you look for three qualities: integrity, intelligence, and energy. And if you don’t have the first, the other two will kill you. You think about it; it’s true. If you hire somebody without [integrity], you really want them to be dumb and lazy.

If you have more than one reason to do something (choose a doctor or veterinarian, hire a gardener or an employee, marry a person, go on a trip), just don’t do it. It does not mean that one reason is better than two, just that by invoking more than one reason you are trying to convince yourself to do something. Obvious decisions (robust to error) require no more than a single reason.

Resources are hired to give results, not reasons.

Employee loyalty is cheaper than hiring new employees, training them, and motivating them.

Hiring is not as simple as you think. You have to make sure you are hiring somebody who is going to be a great fit in the kind of employee tribe you’re building.

If you wanna hire great people and have them stay working for you, you have to be run by ideas, not hierarchy. The best ideas have to win, otherwise good people don't stay.

Sallie Mae sounds like a naive and barefoot hillbilly girl but in fact they are a ruthless and aggressive conglomeration of bullies located in a tall brick building somewhere in Kansas. I picture it to be the tallest building in that state and I have decided they hire their employees straight out of prison.

There are only two ways to influence human behavior: you can manipulate it or you can inspire it. Very few people or companies can clearly articulate WHY they do WHAT they do. By WHY I mean your purpose, cause or belief - WHY does your company exist? WHY do you get out of bed every morning? And WHY should anyone care? People don’t buy WHAT you do, they buy WHY you do it. We are drawn to leaders and organizations that are good at communicating what they believe. Their ability to make us feel like we belong, to make us feel special, safe and not alone is part of what gives them the ability to inspire us. For values or guiding principles to be truly effective they have to be verbs. It’s not “integrity,” it’s “always do the right thing.” It’s not “innovation,” it’s “look at the problem from a different angle.” Articulating our values as verbs gives us a clear idea - we have a clear idea of how to act in any situation. Happy employees ensure happy customers. And happy customers ensure happy shareholders—in that order. Leading is not the same as being the leader. Being the leader means you hold the highest rank, either by earning it, good fortune or navigating internal politics. Leading, however, means that others willingly follow you—not because they have to, not because they are paid to, but because they want to. You don’t hire for skills, you hire for attitude. You can always teach skills. Great companies don’t hire skilled people and motivate them, they hire already motivated people and inspire them. People are either motivated or they are not. Unless you give motivated people something to believe in, something bigger than their job to work toward, they will motivate themselves to find a new job and you’ll be stuck with whoever’s left. Trust is maintained when values and beliefs are actively managed. If companies do not actively work to keep clarity, discipline and consistency in balance, then trust starts to break down. All organizations start with WHY, but only the great ones keep their WHY clear year after year.

An education system is best belittled when the so-called educated gets hired by a company that’s owned by a so-called dropout.

If you have an employee with a great attitude but no training or skills versus one with a poor attitude with some education or training. Take the employee with the great attitude for they can be trained. Poor attitude is like a tumor. It can spread. Attitude is harder to change than someone's skills level. - Strong by Kailin Gow on Hiring Good People and Casting Good People

That’s why hiring consultants doesn’t work. Part-time employees don’t work. Even working remotely should be avoided, because misalignment can creep in whenever colleagues aren’t together full-time, in the same place, every day. If you’re deciding whether to bring someone on board, the decision is binary. Ken Kesey was right: you’re either on the bus or off the bus.

Talent is indispensable, although it is 'always' replaceable. Just remember the simple rules concerning talent: Identify It, Hire It, Nurture It, Reward It, Protect It. And when the time comes, Fire It.

B-quadrant businesses get tax credits for hiring employees, for increasing their research and development, and for investing in green technology.

Mediocre people promote mediocrity. Dont hire mediocre people. Instead, hire people who strive for greatness and they'll spread that greatness throughout the company.

I hired a counterfeiter the other day. I told him, “As for your salary, how much you make is really up to you.” I love a business model where the employee pays the employer.

Don't hire someone who has a bad attitude. One persons bad attitude can wreak psychological havoc on a team of employees.

As managers, we should hire people whose values align with the values of the company, and then trust them to do their job well. If you have to micromanage an employee, one of you isn't a fit for the company.

Hire people who are committed to self improvement in their everyday life. If they're someone who prioritizes self improvement even in their personal life, they'll probably prioritize self improvement at work.

Able hands' are more favorable to business than 'adorable hearts'.

The Tanakh teaches that, “The diligent will rule, while the lazy will be put to forced labor”. Most Jews work for themselves and hire employees instead of being employees.

Resume's are incapable of holistically communicating a candidates value.

Leaders who can identify, hire, and cultivate employees who are humble, hungry, and smart will have a serious advantage over those who cannot.

Google hires really bright, insecure people and then applies sufficient pressure that no matter how hard they work, they're never able to consider themselves successful. Look at all the kids in my group who work absurd hours and still feel they're not keeping up with everyone else.

In some cases, they are already doing so. Influenced by a coalition of community groups, the New York City Council passed a historic budget in the summer of 2014 that created a $1.2 million fund for the growth of worker-owned cooperatives. Richmond, California has hired a cooperative developer and is launching a loan fund; Cleveland, Ohio has been actively involved in starting a network of cooperatives, as we’ll see in the next chapter; and Jackson, Mississippi elected a mayor (Chokwe Lumumba) in 2013 on a platform that included the use of public spending to promote co-ops. On the federal level, progressive politicians like Bernie Sanders are working to get the government more involved in supporting employee ownership.130

Men (women were not found to exhibit this bias) who believe that they are objective in hiring decisions are more likely to hire a male applicant than an identically described female applicant. And in organisations which are explicitly presented as meritocratic, managers favour male employees over equally qualified female employees.

Today I bought a small Frosty. This may not seem significant, but the fact is: I'm lactose intolerant. Purchasing a small Frosty, then, is no different than hiring someone to beat me. No different in essence. The only difference, which may or may not be essential, is that, during my torture, I am gazing upon your beautiful employees.

Your goal is to learn the art of hiring based on the presence of a person rather than the skills of a person.

Bad boss? Fire him/her. When you're interviewing for a job, You're job is to interview them. You are an equal.

Prostitutes hire out one tiny portion of their bodies. Employees sell countless huge portions of their lives.

80 percent of products, or customers or employees, are only contributing 20 percent of profits; that there is great waste; that the most powerful resources of the company are being held back by a majority of much less effective resources; that profits could be multiplied if more of the best sort of products could be sold, employees hired, or customers attracted (or convinced to buy more from the firm).

Tesla had done a decent job of keeping its employee costs down. It hired the kid fresh out of Stanford for $45,000 rather than the proven guy who probably didn’t want to work that hard anyway for $120,000.

I drive by a business that has a permanent sign that says, "Always hiring." Why in the world would they advertise the fact that they have continual turnover? They might as well say, "You'll hate working here.

Does that mean that we should never hire or promote an inexperienced manager who had not already learned to do what needs to be done in this assignment? The answer: it depends. In a start-up company where there are no processes in place to get things done, then everything that is done must be done by individual people–resources. In this circumstance, it would be risky to draft someone with no experience to do the job–because in the absence of processes that can guide people, experienced people need to lead. But in established companies where much of the guidance to employees is provided by processes, and is less dependent upon managers with detailed, hands-on experience, then it makes sense to hire or promote someone who needs to learn from experience.

The CEO of a major publishing house was concerned about the lack of creativity among his editorial and marketing staffs. He hired a group of high-priced psychologists to find out what differentiated the creative employees from the others. After studying the staff for one year, the psychologists discovered only one difference between the two groups: The creative people believed they were creative and the less creative people believed they were not.

Castiglione has 150 employees. But every March another 120 are hired to work the tonnara. The leader is known by the Arab word Raiz, and the fishermen sing an Arab song, “Cialome” (pronounced SHALOMAY), to invoke the gods for the hunt.

Fill. The third phase of dominion is to “fill” or “replenish” the earth. Bearing fruit, refining our gift, and mastering the use of our resources create demand and lead naturally to wider “distribution.” To “fill the earth” means to expand our gift, our influence, our resources, just as a growing business would by continually improving its product, opening new outlets, and hiring more employees. Another way to look at it is to think once again of an apple tree. A single apple seed grows into an apple tree, which then produces apples, each of which contains seeds for producing more trees. Planting those seeds soon turns a single apple tree into a whole orchard. This expansion to “fill the earth” is a joint effort between the Lord and us. Our part is to be faithful with the resources He has given. He is the one who brings the expansion. The more faithful we are with our stewardship, the more resources God will entrust to us. That is a biblical principle.

If you’re going to build a strong culture, it’s paramount to make diversity one of your core values. This is what separates Bridgewater’s strong culture from a cult: The commitment is to promoting dissent. In hiring, instead of using similarity to gauge cultural fit, Bridgewater assesses cultural contribution.* Dalio wants people who will think independently and enrich the culture. By holding them accountable for dissenting, Dalio has fundamentally altered the way people make decisions. In a cult, core values are dogma. At Bridgewater, employees are expected to challenge the principles themselves. During training, when employees learn the principles, they’re constantly asked: Do you agree? “We have these standards that are stress tested over time, and you have to either operate by them or disagree with them and fight for better ones,” explains Zack Wieder, who works with Dalio on codifying the principles. Rather than deferring to the people with the greatest seniority or status, as was the case at Polaroid, decisions at Bridgewater are based on quality. The goal is to create an idea meritocracy, where the best ideas win. To get the best ideas on the table in the first place, you need radical transparency. Later, I’m going to challenge some of Dalio’s principles, but first I want to explain the weapons he has used to wage a war on groupthink.

I'm going to speak to Aline,” Dread growls. He's still stomping across the floor. “All new hires will now need to complete a class about how every species bonds. I've run this place for almost fifty years and never once . . .” He snarls, shaking his head. “Not just new hires, every damn employee in the building is getting a 'How not to accidentally bond a demon' safety meeting.

In school, failure is a bad thing. Marked by a bloody F and a parental beatdown, failure is admonished. Fail and you’re grounded! No TV, no iPad! Is it any shock that straight-A students make great employees while the C-students are the guys hiring them? The A-students do as they’re told, follow rules unquestioningly and stay within the lines. Meanwhile, C-student and future billionaire Johnny is a ninth grader’s newest BFF—he’s underneath the bleachers selling his older brother’s Playboys at twenty-five dollars a pop.

It is not that the average is never useful. Averages have their place. If you’re comparing two different groups of people, like comparing the performance of Chilean pilots with French pilots—as opposed to comparing two individuals from each of those groups—then the average can be useful. But the moment you need a pilot, or a plumber, or a doctor, the moment you need to teach this child or decide whether to hire that employee—the moment you need to make a decision about any individual—the average is useless. Worse than useless, in fact, because it creates the illusion of knowledge, when in fact the average disguises what is most important about an individual.

Too often we just accept the premise that a homemaker drives carpool, gets the casserole in the oven, and organizes the closets. Once those things are done, we feel like we have ticked all the boxes and now our time is our own. It’s all too easy for us to work in order that we may have leisure, rather than working because we’re convinced that we’re building something phenomenal—and that mindset makes absolutely all the difference in the world. It is the difference between the employee and the boss, the hired help and the entrepreneur, the servant and the free man.

MISSIONARY: Look at you! You’re just wasting your life away, lying around like that. SAMOAN: Why? What do you think I should be doing? MISSIONARY: Well, there are plenty of coconuts all around here. Why not dry some copra and sell it? SAMOAN: And why would I want to do that? MISSIONARY: You could make a lot of money. And with the money you make, you could get a drying machine, and dry copra faster, and make even more money. SAMOAN: Okay. And why would I want to do that? MISSIONARY: Well, you’d be rich. You could buy land, plant more trees, expand operations. At that point, you wouldn’t even have to do the physical work anymore, you could just hire a bunch of other people to do it for you. SAMOAN: Okay. And why would I want to do that? MISSIONARY: Well, eventually, with all that copra, land, machines, employees, with all that money—you could retire a very rich man. And then you wouldn’t have to do anything. You could just lie on the beach all day.

You plan on treating me like the kid you think you hired? Fine. But I expect you to be polite, courteous, and fair. I don’t expect to be punished because I have breasts instead of a dick. I’ll do my work, and I will show you the respect you deserve as my boss as long as you show me the respect I deserve as an employee and a human being.

While CEO of P&G, John Pepper was once asked in an interview which skill or characteristic was most important to look for when hiring new employees. Was it leadership? Analytical ability? Problem solving? Collaboration? Strategic thinking? Or something else? His answer was integrity. He explained, “All the rest, we can teach them after they get here.

We can never fall short when it comes to recruiting, hiring, maintaining and growing our workforce. It is the employees who make our organization’s success a reality.

Hiring is about alignment, personality, culture, heart, and work ethic.

These who mistakes are pricey. According to studies we’ve done with our clients, the average hiring mistake costs fifteen times an employee’s base salary in hard costs and productivity loss.

I discovered that I had been intuitively using the less-is-more idea as an aid in decision making (contrary to the method of putting a series of pros and cons side by side on a computer screen). For instance, if you have more than one reason to do something (choose a doctor or veterinarian, hire a gardener or an employee, marry a person, go on a trip), just don’t do it. It does not mean that one reason is better than two, just that by invoking more than one reason you are trying to convince yourself to do something. Obvious decisions (robust to error) require no more than a single reason. Likewise the French army had a heuristic to reject excuses for absenteeism for more than one reason, like death of grandmother, cold virus, and being bitten by a boar. If someone attacks a book or idea using more than one argument, you know it is not real: nobody says “he is a criminal, he killed many people, and he also has bad table manners and bad breath and is a very poor driver.

To be yourself is in many ways, is to be inconvenient to others. Only placaters and appeasers get along with other people all the time and that's not really getting along with anyone. That's just self erasure. To be alive, to be in a relationship is to constantly court inconvenience to others and out of that inconvenience can come enormous growth. I simply work as an imperasist. Empiricism comes first. So, I speak things that are inconvenient to others but, true for me. I observe their response. It's incredibly easy to find out the truth in your relationships. All you do is speak the truth. You speak the truth about what's on your mind to those around you and their true natures will be revealed in about 5 seconds. You have honesty in your relationships. You speak the truth about your experience, thought's, and feelings in your relationships and then you do not control how other people respond. Your as honest as can be and you simply observe how they respond. It's like that spray you use to see the lasers in the room. Honesty reveals everything. OK So, if these people constantly sacrifice my happiness, security, and mental health for the sake of their petty emotional selfish needs then I could choose to stay in those relationships if I want. I mean, I could choose to continue to hire an employee who steals from me everyday. I just have to be aware that he's stealing from me everyday.

TRUE OR FALSE? Employers are prohibited from practicing sex discrimination in hiring and promoting employees.1 ANSWER: False. The U.S. Supreme Court ruled in 1987 that in job areas dominated by men, less qualified women could be hired.2 It did not allow less qualified men to be hired in areas dominated by women (e.g., elementary school teacher, nurse, secretary, cocktail waiting, restaurant host, office receptionist, flight attendant). The law also requires sex discrimination in hiring by requiring quotas, requiring vigorous recruitment of women, and requiring all institutions that receive government aid to do a certain percentage of their business with female-owned (or minority-owned) businesses.

it’s rarely worth the expense for a private company to sponsor your clearance application and then pay you to wait around for a year for the government’s approval. It makes more financial sense for a company to just hire an already-cleared government employee.

Justice Ginsburg objected that the context was in fact crucially different. She said that while termination and failure to hire or promote are public acts, easily ascertained, employees of most private companies have no way of knowing what their fellow workers are being paid.

In a multibillion dollar corporation, one person’s business decisions can easily make a difference of millions—or even billions—of dollars, compared to someone else’s decisions. Those who see paying such a person $10 million or $20 million a year as coming at the expense of consumers or stockholders have implicitly accepted the zero-sum view of economics. If the value of the services rendered exceeds the pay, then both consumers and stockholders are better off, not worse off, whether the person hired is a corporate CEO or a production line employee.

In August 1902, Olivia’s health grew alarmingly worse. Despite temporary improvements, it continued to decline, and in 1903, on the recommendation of her doctors, Clemens decided to take the family to Italy. In early November they settled into the Villa di Quarto near Florence. In addition to Clemens himself, the travelers included Olivia, Clara, and Jean. Three employees were also with them: longtime family servant Katy Leary, a nurse for Olivia, and Isabel V. Lyon, who had been hired in 1902 as Olivia’s secretary but had since assumed more general duties.

Come on, sweetheart. I’m letting you do this. Do it.” When she didn’t respond, he added, “Listen, I know it’s easier when they’re not fucking looking at you.” Beckett turned and faced the wall. “I don’t know who hired you, but can I ask you for something?” He talked at the wall. Here comes the fast-talking, the mojo, the shout to his employees. “Could you make sure Cole doesn’t take credit for his handiwork last night? And can you follow up on that Chris guy?” Beckett turned his head a bit, listening for her answer. He still trusts me. He still trusts me with his brothers. I can’t do it.

Meanwhile, Amazon’s treatment of warehouse workers had been making headlines since 2011. That’s when an investigation by the Allentown Morning Call newspaper revealed what were—quite literally—sweatshop conditions. When summer temperatures exceeded 100 degrees inside the company’s Breinigsville, Pennsylvania, warehouse, managers wouldn’t open the loading bay doors for fear of theft. Instead, they hired paramedics to wait outside in ambulances, ready to extract heat-stricken employees on stretchers and in wheelchairs, the investigation found. Workers also said they were pressured to meet ever

Anybody,” John continued, “can hire a man. But the test of leadership is how one handles the dismissal. By helping that employee relocate before he left us built up a feeling of job security in everyone in my department. I let them know by example that no one gets dumped on the street as long as I’m here.

the Amazon hiring process has a flywheel effect—it pays greater and greater dividends the longer it is used. Ideally, the bar continues to be set higher, so much that, eventually, employees should be able to say to themselves, “I’m glad I joined when I did. If I interviewed for a job today, I’m not sure I’d be hired!

I ride on the shoulder of a road that is lined with chain stores, none of them specific to this area. Everyone who works in them is therefore an employee hired by some anonymous distant corporation. They probably are only allowed to make small decisions and they have almost no stake or investment in the place where they work.

The ads in the papers all said 'help wanted, will train,' but wherever she went she was turned down. "The position's just been filled," she was told again and again. Or, "We wouldn't want to upset the other employees." At the department store where she had once bought all her hats and silk stockings they would not hire her as a cashier because they were afraid of offending the customers. Instead they offered her work adding up sales slips in a small dark room in the back where no one could see her but she politely declined. "I was afraid I'd ruin my eyes back there," she told us. "I was afraid I might accidentally remember who I was and ... offend myself.

Ambiverts typically . . . • Can process information both internally and externally. They need time to contemplate on their own, but consider the opinions and wisdom from people whom they trust when making a decision. • Love to engage and interact enthusiastically with others, however, they also enjoy calm and profound communication. • Seek to balance between their personal time and social time, they value each greatly. • Are able to move from one situation to the next with confidence, flexibility, and anticipation. “Not everyone is going to like us or understand us. And that is okay. It may have nothing to do with us personally; but rather more about who they are and how they relate to the world.

In retaining employees and keeping them engaged, we’ll cover the five activities of great (vs. good) managers: • Help people play to their strengths. • Don’t demotivate; dehassle. • Set clear expectations and give employees a clear line of sight. • Give recognition and show appreciation. • Hire fewer people, but pay them more (frontline employees, not top leaders!).

The Atonist nobility knew it was impossible to organize and control a worldwide empire from Britain. The British Isles were geographically too far West for effective management. In order to be closer to the “markets,” the Atonist corporate executives coveted Rome. Additionally, by way of their armed Templar branch and incessant murderous “Crusades,” they succeeded making inroads further east. Their double-headed eagle of control reigned over Eastern and Western hemispheres. The seats of Druidic learning once existed in the majority of lands, and so the Atonist or Christian system spread out in similar fashion. Its agents were sent from Britain and Rome to many a region and for many a dark purpose. To this very day, the nobility of Europe and the east are controlled from London and Rome. Nothing has changed when it comes to the dominion of Aton. As Alan Butler and Stephen Dafoe have proven, the Culdean monks, of whom we write, had been hired for generations as tutors to elite families throughout Europe. In their book The Knights Templar Revealed, the authors highlight the role played by Culdean adepts tutoring the super-wealthy and influential Catholic dynasties of Burgundy, Champagne and Lorraine, France. Research into the Templars and their affiliated “Salt Line” dynasties reveals that the seven great Crusades were not instigated and participated in for the reasons mentioned in most official history books. As we show here, the Templars were the military wing of British and European Atonists. It was their job to conquer lands, slaughter rivals and rebuild the so-called “Temple of Solomon” or, more correctly, Akhenaton’s New World Order. After its creation, the story of Jesus was transplanted from Britain, where it was invented, to Galilee and Judea. This was done so Christianity would not appear to be conspicuously Druidic in complexion. To conceive Christianity in Britain was one thing; to birth it there was another. The Atonists knew their warped religion was based on ancient Amenism and Druidism. They knew their Jesus, Iesus or Yeshua, was based on Druidic Iesa or Iusa, and that a good many educated people throughout the world knew it also. Their difficulty concerned how to come up with a believable king of light sufficiently appealing to the world’s many pagan nations. Their employees, such as St. Paul (Josephus Piso), were allowed to plunder the archive of the pagans. They were instructed to draw from the canon of stellar gnosis and ancient solar theologies of Egypt, Chaldea and Ireland. The archetypal elements would, like ingredients, simply be tossed about and rearranged and, most importantly, the territory of the new godman would be resituated to suit the meta plan.

We became the most successful advanced projects company in the world by hiring talented people, paying them top dollar, and motivating them into believing that they could produce a Mach 3 airplane like the Blackbird a generation or two ahead of anybody else. Our design engineers had the keen experience to conceive the whole airplane in their mind’s-eye, doing the trade-offs in their heads between aerodynamic needs and weapons requirements. We created a practical and open work environment for engineers and shop workers, forcing the guys behind the drawing boards onto the shop floor to see how their ideas were being translated into actual parts and to make any necessary changes on the spot. We made every shop worker who designed or handled a part responsible for quality control. Any worker—not just a supervisor or a manager—could send back a part that didn’t meet his or her standards. That way we reduced rework and scrap waste. We encouraged our people to work imaginatively, to improvise and try unconventional approaches to problem solving, and then got out of their way. By applying the most commonsense methods to develop new technologies, we saved tremendous amounts of time and money, while operating in an atmosphere of trust and cooperation both with our government customers and between our white-collar and blue-collar employees. In the end, Lockheed’s Skunk Works demonstrated the awesome capabilities of American inventiveness when free to operate under near ideal working conditions. That may be our most enduring legacy as well as our source of lasting pride.

Delegate judiciously: This is another incredibly important lesson for leading. A finance billionaire once told me that to scale a business you have to know how to delegate: “A great employee will do something 80 percent the same way you would do it. The last 20 percent is their personal take on the deliverable. There’s a 50 percent chance that your way would be the right way and a 50 percent chance that their way is better. They’re not going to do it 100 percent the same way you would, but you have to hope that you hire people who will do things better than you would, who will try things that are smartly conceived. You have to get comfortable with people doing things 80 percent the way you would have done them in order to scale a business.” The ability to delegate smartly is critical.

Germans frequently came to work under Father for a while, for his reputation reached even beyond Holland. So when this tall good-looking young man appeared with apprentice papers from a good firm in Berlin, Father hired him without hesitation. Otto told us proudly that he belonged to the Hitler Youth. Indeed it was a puzzle to us why he had come to Holland, for he found nothing but fault with Dutch people and products. "The world will see what Germans can do," he said often. His first morning at work he came upstairs for coffee and Bible reading with the other employees; after that he sat alone down in the shop. When we asked him why, he said that though he had not understood the Dutch words, he had seen that Father was reading from the Old Testament which, he informed us, was the Jews' "Book of Lies.

Because radium can be mixed with other elements to make them glow in the dark, clock makers used it to create fluorescent numbers on watch faces and hired young women to perform the delicate task of painting them. In the watch factories of New Jersey, Connecticut, and Illinois, the Radium Girls were trained to lick the tips of their brushes into a fine point before dipping them into pots of radium paint. When the jaws and skeletons of the first girls began to rot and disintegrate, their employers suggested they were suffering from syphilis. A successful lawsuit revealed that their managers had understood the risks of working with radium and get done everything they could to conceal the truth from their employees. It was the first time the public learned the hazards of ingesting radioactive material. The

If you’re going to build a strong culture, it’s paramount to make diversity one of your core values. This is what separates Bridgewater’s strong culture from a cult: The commitment is to promoting dissent. In hiring, instead of using similarity to gauge cultural fit, Bridgewater assesses cultural contribution.* Dalio wants people who will think independently and enrich the culture. By holding them accountable for dissenting, Dalio has fundamentally altered the way people make decisions. In a cult, core values are dogma. At Bridgewater, employees are expected to challenge the principles themselves. During training, when employees learn the principles, they’re constantly asked: Do you agree? “We have these standards that are stress tested over time, and you have to either operate by them or disagree with them and fight for better ones,” explains Zack Wieder, who works with Dalio on codifying the principles. Rather than deferring to the people with the greatest seniority or status, as was the case at Polaroid, decisions at Bridgewater are based on quality. The goal is to create an idea meritocracy, where the best ideas win. To get the best ideas on the table in the first place, you need radical transparency.

Amazon had recruited these workers as part of a program it calls CamperForce: a labor unit made up of nomads who work as seasonal employees at several of its warehouses, which the company calls “fulfillment centers,” or FCs. Along with thousands of traditional temps, they’re hired to meet the heavy shipping demands of “peak season,” the consumer bonanza that spans the three to four months before Christmas.

NO PERFORMANCE MANAGEMENT OR EMPLOYEE FEEDBACK PROCESS Your company now employs twenty-five people and you know that you should formalize the performance management process, but you don’t want to pay the price. You worry that doing so will make it feel like a “big company.” Moreover, you do not want your employees to be offended by the feedback, because you can’t afford to lose anyone right now. And people are happy, so why rock the boat? Why not take on a little management debt? The first noticeable payments will be due when somebody performs below expectations: CEO: “He was good when we hired him; what happened?” Manager: “He’s not doing the things that we need him to do.” CEO: “Did we clearly tell him that?” Manager: “Maybe not clearly . . .” However, the larger payment will be a silent tax. Companies execute well when everybody is on the same page and everybody is constantly improving. In a vacuum of feedback, there is almost no chance that your company will perform optimally across either dimension. Directions with no corrections will seem fuzzy and obtuse. People rarely improve weakness they are unaware of. The ultimate price you will pay for not giving feedback: systematically crappy company performance.

The #1 demotivator for talented people is having to put up with bozos, as Steve Jobs would call them. Nothing is more frustrating for A Players than having to work with B and C Players who slow them down and suck their energy. In that sense, “The best thing you can do for employees — a perk better than foosball or free sushi — is hire only ‘A’ players to work alongside them. Excellent colleagues trump everything else,

Gene Berdichevsky, one of the members of the solar-powered-car team, lit up the second he heard from Straubel. An undergraduate, Berdichevsky volunteered to quit school, work for free, and sweep the floors at Tesla if that’s what it took to get a job. The founders were impressed with his spirit and hired Berdichevsky after one meeting. This left Berdichevsky in the uncomfortable position of calling his Russian immigrant parents, a pair of nuclear submarine engineers, to tell them that he was giving up on Stanford to join an electric car start-up. As employee No. 7, he spent part of the workday in the Menlo Park office and the rest in Straubel’s living room designing three-dimensional models of the car’s powertrain on a computer and building battery pack prototypes in the garage. “Only now do I realize how insane it was,” Berdichevsky said.

Globoforce worked with Cisco to use recognition to boost employee engagement by 5 percent, and with Intuit to achieve and sustain a double-digit increase in employee engagement over a large employee base that spans six countries. Hershey’s recognition approach helped increase employee satisfaction by 11 percent. And for LinkedIn, retention rates are nearly 10 percentage points higher for new hires who are recognized four or more times. Whether we’re leading a group or a member of the team, whether we’re working in a formal or informal recognition program, it is our responsibility to say to the people who work alongside us: “We’ve got to stop and celebrate one another and our victories, no matter how small. Yes, there’s more work to be done, and things could go sideways in an hour, but that will never take away from the fact that we need to celebrate an accomplishment right now.

Enforce functional training by withholding new employee requisitions. As Andy Grove writes, there are only two ways for a manager to improve the output of an employee: motivation and training. Therefore, training should be the most basic requirement for all managers in your organization. An effective way to enforce this requirement is by withholding new employee requisitions from managers until they’ve developed a training program for the TBH, “To Be Hired.

How to build a strong culture44 1. Have strong hiring filters in place. Explicitly filter for people with common values. You need to be careful that this does not act as a mechanism to inadvertently filter out diverse populations. You can have both a common sense of purpose and a diverse employee base at the same time. See later sections and the interview with Joelle Emerson for more information. 2. Constantly emphasize values day-to-day. Repeat them until you are blue in the face. The second you are really sick of saying the same thing over and over, you will find people have started repeating it back to you. 3. Reward people based on performance as well as culture. People should be rewarded (with promotions, financially, etc.) for both productivity and for living the company’s values. 4. Get rid of bad culture fits quickly. Fire bad culture fits even faster than you fire low performers.45 This chapter focuses on #1 above:

The pity is that many Americans outside the elite bubbles know exactly what’s wrong, but our leaders seem determined to do nothing about it. Any attempt to cut the government chains and anchors off businesses so they can get back to growing, innovating, and creating jobs is demagogued as “tax breaks for the rich” or “favors for the one-percenters.” Never mind that many of those who would benefit are small-business owners who’ve been decimated over the past few years, first by the economic meltdown, then by government policies put in place to “fix” it. The money printed by the Fed to keep the economy pumped up flows to Wall Street, not Main Street, so small businesses aren’t borrowing it to pay for expansion. Even if they wanted to expand, about a third of all U.S. workers are employed by businesses with fifty or fewer employees, and Obamacare insures that if they hire a fifty-first, they’ll face crippling new costs for mandated health care.

REINHOLD JOBS. Wisconsin-born Coast Guard seaman who, with his wife, Clara, adopted Steve in 1955. REED JOBS. Oldest child of Steve Jobs and Laurene Powell. RON JOHNSON. Hired by Jobs in 2000 to develop Apple’s stores. JEFFREY KATZENBERG. Head of Disney Studios, clashed with Eisner and resigned in 1994 to cofound DreamWorks SKG. ALAN KAY. Creative and colorful computer pioneer who envisioned early personal computers, helped arrange Jobs’s Xerox PARC visit and his purchase of Pixar. DANIEL KOTTKE. Jobs’s closest friend at Reed, fellow pilgrim to India, early Apple employee. JOHN LASSETER. Cofounder and creative force at Pixar. DAN’L LEWIN. Marketing exec with Jobs at Apple and then NeXT. MIKE MARKKULA. First big Apple investor and chairman, a father figure to Jobs. REGIS MCKENNA. Publicity whiz who guided Jobs early on and remained a trusted advisor. MIKE MURRAY. Early Macintosh marketing director. PAUL OTELLINI. CEO of Intel who helped switch the Macintosh to Intel chips but did not get the iPhone business. LAURENE POWELL. Savvy and good-humored Penn graduate, went to Goldman Sachs and then Stanford Business School, married Steve Jobs in 1991. GEORGE RILEY. Jobs’s Memphis-born friend and lawyer. ARTHUR ROCK. Legendary tech investor, early Apple board member, Jobs’s father figure. JONATHAN “RUBY” RUBINSTEIN. Worked with Jobs at NeXT, became chief hardware engineer at Apple in 1997. MIKE SCOTT. Brought in by Markkula to be Apple’s president in 1977 to try to manage Jobs.

One day in September 2015, FBI agent Adrian Hawkins placed a call to the Democratic National Committee headquarters in Washington, D.C., and asked to speak to the person in charge of technology. He was routed to the DNC help desk, which transferred the call to Yared Tamene, a young IT specialist with The MIS Department, a consulting firm hired by the DNC. After identifying himself, Hawkins told Tamene that he had reason to believe that at least one computer on the DNC’s network was compromised. He asked if the DNC was aware of this and what it was doing. Tamene had nothing to do with cybersecurity and knew little about the subject. He was a mid-level network administrator; his basic IT duties for the DNC were to set up computer accounts for employees and be on call to deal with any problems. When he got the call, Tamene was wary. Was this a joke or, worse, a dirty trick? He asked Hawkins if he could prove he was an FBI agent, and, as Tamene later wrote in a memo, “he did not provide me with an adequate response.… At this point, I had no way of differentiating the call I received from a prank call.” Hawkins, though, was real. He was a well-regarded agent in the FBI’s cyber squad. And he was following a legitimate lead in a case that would come to affect a presidential election. Earlier in the year, U.S. cyber warriors intercepted a target list of about thirty U.S. government agencies, think tanks, and several political organizations designated for cyberattacks by a group of hackers known as APT 29. APT stood for Advanced Persistent Threat—technojargon for a sophisticated set of actors who penetrate networks, insert viruses, and extract data over prolonged periods of time.

Consider some basic economic truths. If the government mandates that workers who are earning $7.25 must, overnight, be paid $10.10 an hour (or even $15.00 per hour) those new dollars must originate from some source. For example, if a fast-food restaurant that employs twenty individuals is required to pay some or all of them close to 30 percent more per hour, it must account for those dollars somewhere. The restaurant can try to sell more food, it can increase the cost of food, it can cut the hours of its employees, it can hire fewer workers, or it can lay off those currently employed.

X gave most of its customers checking accounts, and so those customers who were able to get their mail would sometimes immediately take advantage by writing a series of bad checks. “I was thinking, ‘What the hell did I step into,’ ” said an early hire who was tasked with handling fraud. “There was no sort of risk mitigation in place.” When employees told Musk that the bank that X had partnered with to handle the checking accounts was complaining about bounced checks, Musk seemed confused by the concept. “I don’t understand,” Musk said. “If you don’t have money in your account, why would you write a check?

At a high level, we look for people who think independently, argue open-mindedly and assertively, and above all else value the intense pursuit of truth and excellence, and through it, the rapid improvement of themselves and the organization. Because we treat work as more than just what we do to make a living, we look at every potential hire not just as an employee but as someone we’d want share our lives with. We insist that the people we work with are considerate and have a high sense of personal accountability to do the difficult, right things. We look for people with generous natures and high standards of fairness.

Sheepwalking I define “sheepwalking” as the outcome of hiring people who have been raised to be obedient and giving them a brain-dead job and enough fear to keep them in line. You’ve probably encountered someone who is sheepwalking. The TSA “screener” who forces a mom to drink from a bottle of breast milk because any other action is not in the manual. A “customer service” rep who will happily reread a company policy six or seven times but never stop to actually consider what the policy means. A marketing executive who buys millions of dollars’ worth of TV time even though she knows it’s not working—she does it because her boss told her to. It’s ironic but not surprising that in our age of increased reliance on new ideas, rapid change, and innovation, sheepwalking is actually on the rise. That’s because we can no longer rely on machines to do the brain-dead stuff. We’ve mechanized what we could mechanize. What’s left is to cost-reduce the manual labor that must be done by a human. So we write manuals and race to the bottom in our search for the cheapest possible labor. And it’s not surprising that when we go to hire that labor, we search for people who have already been trained to be sheepish. Training a student to be sheepish is a lot easier than the alternative. Teaching to the test, ensuring compliant behavior, and using fear as a motivator are the easiest and fastest ways to get a kid through school. So why does it surprise us that we graduate so many sheep? And graduate school? Since the stakes are higher (opportunity cost, tuition, and the job market), students fall back on what they’ve been taught. To be sheep. Well-educated, of course, but compliant nonetheless. And many organizations go out of their way to hire people that color inside the lines, that demonstrate consistency and compliance. And then they give these people jobs where they are managed via fear. Which leads to sheepwalking. (“I might get fired!”) The fault doesn’t lie with the employee, at least not at first. And of course, the pain is often shouldered by both the employee and the customer. Is it less efficient to pursue the alternative? What happens when you build an organization like W. L. Gore and Associates (makers of Gore-Tex) or the Acumen Fund? At first, it seems crazy. There’s too much overhead, there are too many cats to herd, there is too little predictability, and there is way too much noise. Then, over and over, we see something happen. When you hire amazing people and give them freedom, they do amazing stuff. And the sheepwalkers and their bosses just watch and shake their heads, certain that this is just an exception, and that it is way too risky for their industry or their customer base. I was at a Google conference last month, and I spent some time in a room filled with (pretty newly minted) Google sales reps. I talked to a few of them for a while about the state of the industry. And it broke my heart to discover that they were sheepwalking. Just like the receptionist at a company I visited a week later. She acknowledged that the front office is very slow, and that she just sits there, reading romance novels and waiting. And she’s been doing it for two years. Just like the MBA student I met yesterday who is taking a job at a major packaged-goods company…because they offered her a great salary and promised her a well-known brand. She’s going to stay “for just ten years, then have a baby and leave and start my own gig.…” She’ll get really good at running coupons in the Sunday paper, but not particularly good at solving new problems. What a waste. Step one is to give the problem a name. Done. Step two is for anyone who sees themselves in this mirror to realize that you can always stop. You can always claim the career you deserve merely by refusing to walk down the same path as everyone else just because everyone else is already doing it.

Forgetting herself entirely, Pandora let her head loll back against Gabriel's shoulder. "What kind of glue does Ivo use?" she asked languidly. "Glue?" he echoed after a moment, his mouth close to her temple, grazing softly. "For his kites." "Ah." He paused while a wave retreated. "Joiner's glue, I believe." "That's not strong enough," Pandora said, relaxed and pensive. "He should use chrome glue." "Where would he find that?" One of his hands caressed her side gently. "A druggist can make it. One part acid chromate of lime to five parts gelatin." Amusement filtered through his voice. "Does your mind ever slow down, sweetheart?" "Not even for sleeping," she said. Gabriel steadied her against another wave. "How do you know so much about glue?" The agreeable trance began to fade as Pandora considered how to answer him. After her long hesitation, Gabriel tilted his head and gave her a questioning sideways glance. "The subject of glue is complicated, I gather." I'm going to have to tell him at some point, Pandora thought. It might as well be now. After taking a deep breath, she blurted out, "I design and construct board games. I've researched every possible kind of glue required for manufacturing them. Not just for the construction of the boxes, but the best kind to adhere lithographs to the boards and lids. I've registered a patent for the first game, and soon I intend to apply for two more." Gabriel absorbed the information in remarkably short order. "Have you considered selling the patents to a publisher?" "No, I want to make the games at my own factory. I have a production schedule. The first one will be out by Christmas. My brother-in-law, Mr. Winterborne, helped me to write a business plan. The market in board games is quite new, and he thinks my company will be successful." "I'm sure it will be. But a young woman in your position has no need of a livelihood." "I do if I want to be self-supporting." "Surely the safety of marriage is preferable to the burdens of being a business proprietor." Pandora turned to face him fully. "Not if 'safety' means being owned. As things stand now, I have the freedom to work and keep my earnings. But if I marry you, everything I have, including my company, would immediately become yours. You would have complete authority over me. Every shilling I made would go directly to you- it wouldn't even pass through my hands. I'd never be able to sign a contract, or hire employees, or buy property. In the eyes of the law, a husband and wife are one person, and that person is the husband. I can't bear the thought of it. It's why I never want to marry.

Gut Feel Versus Structure Many leaders, especially those who run smaller organizations, believe that they have the natural skills they need to choose good people without any real process. They look back at their careers and remember the good employees they’ve hired and give themselves credit for having recognized those people’s potential. However, they seem to block out the memories of the unsuccessful hires they’ve made, or they justify those mistakes based on the hidden behavioral deficiencies in the people they later had to fire. Whatever the case, they persist in the belief that they know a good person when they see one and that they can go about the hiring process without much structure.

All A players have six common denominators. They have a scoreboard that tells them if they are winning or losing and what needs to be done to change their performance. They will not play if they can’t see the scoreboard. They have a high internal, emotional need to succeed. They do not need to be externally motivated or begged to do their job. They want to succeed because it is who they are . . . winners. People often ask me how I motivate my employees. My response is, “I hire them.” Motivation is for amateurs. Pros never need motivating. (Inspiration is another story.) Instead of trying to design a pep talk to motivate your people, why not create a challenge for them? A players love being tested and challenged. They love to be measured and held accountable for their results. Like the straight-A classmate in your high school geometry class, an A player can hardly wait for report card day. C players dread report card day because they are reminded of how average or deficient they are. To an A player, a report card with a B or a C is devastating and a call for renewed commitment and remedial actions. They have the technical chops to do the job. This is not their first rodeo. They have been there, done that, and they are technically very good at what they do. They are humble enough to ask for coaching. The three most important questions an employee can ask are: What else can I do? Where can I get better? What do I need to do or learn so that I continue to grow? If you have someone on your team asking all three of these questions, you have an A player in the making. If you agree these three questions would fundamentally change the game for your team, why not enroll them in asking these questions? They see opportunities. C players see only problems. Every situation is asking a very simple question: Do you want me to be a problem or an opportunity? Your choice. You know the job has outgrown the person when all you hear are problems. The cost of a bad employee is never the salary. My rules for hiring and retaining A players are: Interview rigorously. (Who by Geoff Smart is a spectacular resource on this subject.) Compensate generously. Onboard effectively. Measure consistently. Coach continuously.

Obviously, in those situations, we lose the sale. But we’re not trying to maximize each and every transaction. Instead, we’re trying to build a lifelong relationship with each customer, one phone call at a time. A lot of people may think it’s strange that an Internet company is so focused on the telephone, when only about 5 percent of our sales happen through the telephone. In fact, most of our phone calls don’t even result in sales. But what we’ve found is that on average, every customer contacts us at least once sometime during his or her lifetime, and we just need to make sure that we use that opportunity to create a lasting memory. The majority of phone calls don’t result in an immediate order. Sometimes a customer may be calling because it’s her first time returning an item, and she just wants a little help stepping through the process. Other times, a customer may call because there’s a wedding coming up this weekend and he wants a little fashion advice. And sometimes, we get customers who call simply because they’re a little lonely and want someone to talk to. I’m reminded of a time when I was in Santa Monica, California, a few years ago at a Skechers sales conference. After a long night of bar-hopping, a small group of us headed up to someone’s hotel room to order some food. My friend from Skechers tried to order a pepperoni pizza from the room-service menu, but was disappointed to learn that the hotel we were staying at did not deliver hot food after 11:00 PM. We had missed the deadline by several hours. In our inebriated state, a few of us cajoled her into calling Zappos to try to order a pizza. She took us up on our dare, turned on the speakerphone, and explained to the (very) patient Zappos rep that she was staying in a Santa Monica hotel and really craving a pepperoni pizza, that room service was no longer delivering hot food, and that she wanted to know if there was anything Zappos could do to help. The Zappos rep was initially a bit confused by the request, but she quickly recovered and put us on hold. She returned two minutes later, listing the five closest places in the Santa Monica area that were still open and delivering pizzas at that time. Now, truth be told, I was a little hesitant to include this story because I don’t actually want everyone who reads this book to start calling Zappos and ordering pizza. But I just think it’s a fun story to illustrate the power of not having scripts in your call center and empowering your employees to do what’s right for your brand, no matter how unusual or bizarre the situation. As for my friend from Skechers? After that phone call, she’s now a customer for life. Top 10 Ways to Instill Customer Service into Your Company   1. Make customer service a priority for the whole company, not just a department. A customer service attitude needs to come from the top.   2. Make WOW a verb that is part of your company’s everyday vocabulary.   3. Empower and trust your customer service reps. Trust that they want to provide great service… because they actually do. Escalations to a supervisor should be rare.   4. Realize that it’s okay to fire customers who are insatiable or abuse your employees.   5. Don’t measure call times, don’t force employees to upsell, and don’t use scripts.   6. Don’t hide your 1-800 number. It’s a message not just to your customers, but to your employees as well.   7. View each call as an investment in building a customer service brand, not as an expense you’re seeking to minimize.   8. Have the entire company celebrate great service. Tell stories of WOW experiences to everyone in the company.   9. Find and hire people who are already passionate about customer service. 10. Give great service to everyone: customers, employees, and vendors.

In order to find and eliminate a Constraint, Goldratt proposes the “Five Focusing Steps,” a method you can use to improve the Throughput of any System: 1. Identification: examining the system to find the limiting factor. If your automotive assembly line is constantly waiting on engines in order to proceed, engines are your Constraint. 2. Exploitation: ensuring that the resources related to the Constraint aren’t wasted. If the employees responsible for making engines are also building windshields, or stop building engines during lunchtime, exploiting the Constraint would be having the engine employees spend 100 percent of their available time and energy producing engines, and having them work in shifts so breaks can be taken without slowing down production. 3. Subordination: redesigning the entire system to support the Constraint. Let’s assume you’ve done everything you can to get the most out of the engine production system, but you’re still behind. Subordination would be rearranging the factory so everything needed to build the engine is close at hand, instead of requiring certain materials to come from the other end of the factory. Other subsystems may have to move or lose resources, but that’s not a huge deal, since they’re not the Constraint. 4. Elevation: permanently increasing the capacity of the Constraint. In the case of the factory, elevation would be buying another engine-making machine and hiring more workers to operate it. Elevation is very effective, but it’s expensive—you don’t want to spend millions on more equipment if you don’t have to. That’s why Exploitation and Subordination come first: you can often alleviate a Constraint quickly, without resorting to spending more money. 5. Reevaluation: after making a change, reevaluating the system to see where the Constraint is located. Inertia is your enemy: don’t assume engines will always be the Constraint: once you make a few Changes, the limiting factor might become windshields. In that case, it doesn’t make sense to continue focusing on increasing engine production—the system won’t improve until windshields become the focus of improvement. The “Five Focusing Steps” are very similar to Iteration Velocity—the more quickly you move through this process and the more cycles you complete, the more your system’s Throughput will improve.

Shackleton was looking for those with something more. He was looking for a crew that belonged on such an expedition. His actual ad ran like this: “Men wanted for Hazardous journey. Small wages, bitter cold, long months of complete darkness, constant danger, safe return doubtful. Honour and recognition in case of success.” The only people who applied for the job were those who read the ad and thought it sounded great. They loved insurmountable odds. The only people who applied for the job were survivors. Shackleton hired only people who believed what he believed. Their ability to survive was guaranteed. When employees belong, they will guarantee your success. And they won’t be working hard and looking for innovative solutions for you, they will be doing it for themselves.

GET BEYOND THE ONE-MAN SHOW Great organizations are never one-man operations. There are 22 million licensed small businesses in America that have no employees. Forbes suggests 75 percent of all businesses operate with one person. And the average income of those companies is a sad $44,000. That’s not a business—that’s torture. That is a prison where you are both the warden and the prisoner. What makes a person start a business and then be the only person who works there? Are they committed to staying small? Or maybe an entrepreneur decides that because the talent pool is so poor, they can’t hire anyone who can do it as well as them, and they give up. My guess is the latter: Most people have just given up and said, “It’s easier if I just do it myself.” I know, because that’s what I did—and it was suicidal. Because my business was totally dependent on me and only me, I was barely able to survive, much less grow, for the first ten years. Instead I contracted another company to promote my seminars. When I hired just one person to assist me out of my home office, I thought I was so smart: Keep it small. Keep expenses low. Run a tight ship. Bigger isn’t always better. These were the things I told myself to justify not growing my business. I did this for years and even bragged about how well I was doing on my own. Then I started a second company with a partner, a consulting business that ran parallel to my seminar business. This consulting business quickly grew bigger than my first business because my partner hired people to work for us. But even then I resisted bringing other people into the company because I had this idea that I didn’t want the headaches and costs that come with managing people. My margins were monster when I had no employees, but I could never grow my revenue line without killing myself, and I have since learned that is where all my attention and effort should have gone. But with the efforts of one person and one contracted marketing company, I could expand only so much. I know that a lot of speakers and business gurus run their companies as one-man shows. Which means that while they are giving advice to others about how to grow a business, they may have never grown one themselves! Their one-man show is simply a guy or gal going out, collecting a fee, selling time and a few books. And when they are out speaking, the business terminates all activity. I started studying other people and companies that had made it big and discovered they all had lots of employees. The reality is you cannot have a great business if it’s just you. You need to add other people. If you don’t believe me, try to name one truly great business that is successful, ongoing, viable, and growing that doesn’t have many people making it happen. Good luck. Businesses are made of people, not just machines, automations, and technology. You need people around you to implement programs, to add passion to the technology, to serve customers, and ultimately to get you where you want to go. Consider the behemoth online company Amazon: It has more than 220,000 employees. Apple has more than 100,000; Microsoft has around the same number. Ernst & Young has more than 200,000 people. Apple calls the employees working in its stores “Geniuses.” Don’t you want to hire employees deserving of that title too? Think of how powerful they could make your business.

By treating patients like customers, as nurse Amy Bozeman pointed out in a Scrubs magazine article, hospitals succumb to the ingrained cultural notion that the customer is always right. “Now we are told as nurses that our patients are customers, and that we need to provide excellent service so they will maintain loyalty to our hospitals,” Bozeman wrote. “The patient is NOT always right. They just don’t have the knowledge and training.” Some hospitals have hired “customer service representatives,” but empowering these nonmedical employees to pander to patients’ whims can backfire. Comfort is not always the same thing as healthcare. As Bozeman suggested, when representatives give warm blankets to feverish patients or complimentary milk shakes to patients who are not supposed to eat, and nurses take them away, patients are not going to give high marks to the nurses.

The reports about these contracted moderation companies are grim. In one investigation, The Verge found that employees at a Facebook moderation office in Phoenix, Arizona, were developing drug habits to cope.22 They turned to dark humor. They suffered panic attacks. They had sex with each other as a form of “trauma bonding.” All the while, social media companies keep these employees at arm’s length by hiring them as contractors, not full-time employees. I have no doubt that social media companies will try new techniques to address these problems. At some point there will probably be artificial intelligence sophisticated enough to accurately moderate images and eliminate the need for constant human exposure to filth. But given the track record of techniques, I suspect such AI will also introduce new, unanticipated problems. In any event, the human capacity for imaginative evil will always be one step ahead of AI.

So, absent the chance to make every job applicant work as hard as a college applicant, is there some quick, clever, cheap way of weeding out bad employees before they are hired? Zappos has come up with one such trick. You will recall from the last chapter that Zappos, the online shoe store, has a variety of unorthodox ideas about how a business can be run. You may also recall that its customer-service reps are central to the firm’s success. So even though the job might pay only $11 an hour, Zappos wants to know that each new employee is fully committed to the company’s ethos. That’s where “The Offer” comes in. When new employees are in the onboarding period—they’ve already been screened, offered a job, and completed a few weeks of training—Zappos offers them a chance to quit. Even better, quitters will be paid for their training time and also get a bonus representing their first month’s salary—roughly $2,000—just for quitting! All they have to do is go through an exit interview and surrender their eligibility to be rehired at Zappos. Doesn’t that sound nuts? What kind of company would offer a new employee $2,000 to not work? A clever company. “It’s really putting the employee in the position of ‘Do you care more about money or do you care more about this culture and the company?’ ” says Tony Hsieh, the company’s CEO. “And if they care more about the easy money, then we probably aren’t the right fit for them.” Hsieh figured that any worker who would take the easy $2,000 was the kind of worker who would end up costing Zappos a lot more in the long run. By one industry estimate, it costs an average of roughly $4,000 to replace a single employee, and one recent survey of 2,500 companies found that a single bad hire can cost more than $25,000 in lost productivity, lower morale, and the like. So Zappos decided to pay a measly $2,000 up front and let the bad hires weed themselves out before they took root. As of this writing, fewer than 1 percent of new hires at Zappos accept “The Offer.

The Proofs Human society has devised a system of proofs or tests that people must pass before they can participate in many aspects of commercial exchange and social interaction. Until they can prove that they are who they say they are, and until that identity is tied to a record of on-time payments, property ownership, and other forms of trustworthy behavior, they are often excluded—from getting bank accounts, from accessing credit, from being able to vote, from anything other than prepaid telephone or electricity. It’s why one of the biggest opportunities for this technology to address the problem of global financial inclusion is that it might help people come up with these proofs. In a nutshell, the goal can be defined as proving who I am, what I do, and what I own. Companies and institutions habitually ask questions—about identity, about reputation, and about assets—before engaging with someone as an employee or business partner. A business that’s unable to develop a reliable picture of a person’s identity, reputation, and assets faces uncertainty. Would you hire or loan money to a person about whom you knew nothing? It is riskier to deal with such people, which in turn means they must pay marked-up prices to access all sorts of financial services. They pay higher rates on a loan or are forced by a pawnshop to accept a steep discount on their pawned belongings in return for credit. Unable to get bank accounts or credit cards, they cash checks at a steep discount from the face value, pay high fees on money orders, and pay cash for everything while the rest of us enjoy twenty-five days interest free on our credit cards. It’s expensive to be poor, which means it’s a self-perpetuating state of being. Sometimes the service providers’ caution is dictated by regulation or compliance rules more than the unwillingness of the banker or trader to enter a deal—in the United States and other developed countries, banks are required to hold more capital against loans deemed to be of poor quality, for example. But many other times the driving factor is just fear of the unknown. Either way, anything that adds transparency to the multi-faceted picture of people’s lives should help institutions lower the cost of financing and insuring them.

For example, the benefits of a taxpayer bailout to a failing carmaker are immediate and evident for the carmaker, its investors, and its employees. But the financial dislocation and lost fiscal opportunities resulting from the diversion of economic resources to tax subsidies are distant and disregarded. If the carmaker files for bankruptcy, the company is able and required to streamline its operations, including reducing its workforce and employee benefits and offloading certain debt. Although this allows the newly organized company a fresh opportunity to regain profitability and survive in the longer term, including expanding and hiring down the road, the immediate upshot of the reorganization, with its downsizing, and so on, is visible and tangible. Hazlitt explained the phenomenon this way: In this lies almost the whole difference between good economics and bad. The bad economist sees only what immediately strikes the eye; the good economist also looks beyond. The bad economist sees only the direct consequences of a proposed course; the good economist looks also at the longer and indirect consequences. The bad economist sees only what the effect of a given policy has been or will be on one particular group; the good economist inquires also what the effect of the policy will be on all groups.

The first thing to understand is that just because somebody interviewed well and reference-checked great, that does not mean she will perform superbly in your company. There are two kinds of cultures in this world: cultures where what you do matters and cultures where all that matters is who you are. You can be the former or you can suck. You must hold your people to a high standard, but what is that standard? I discussed this in the section “Old People.” In addition, keep the following in mind:   You did not know everything when you hired her. While it feels awkward, it is perfectly reasonable to change and raise your standards as you learn more about what’s needed and what’s competitive in your industry.   You must get leverage. Early on, it’s natural to spend a great deal of time integrating and orienting an executive. However, if you find yourself as busy as you were with that function before you hired or promoted the executive, then she is below standard.   As CEO, you can do very little employee development. One of the most depressing lessons of my career when I became CEO was that I could not develop the people who reported to me. The demands of the job made it such that the people who reported to me had to be 99 percent ready to perform. Unlike when I ran a function or was a general manager, there was no time to develop raw talent. That can and must be done elsewhere in the company, but not at the executive level. If someone needs lots of training, she is below standard.

Consider a world in which cause and effect are erratic. Sometimes the first precedes the second, sometimes the second the first. Or perhaps cause lies forever in the past while effect in the future, but future and past are entwined. On the terrace of the Bundesterrasse is a striking view: the river Aare below and the Bernese Alps above. A man stands there just now, absently emptying his pockets and weeping. Without reason, his friends have abandoned him. No one calls any more, no one meets him for supper or beer at the tavern, no one invites him to their home. For twenty years he has been the ideal friend to his friends, generous, interested, soft-spoken, affectionate. What could have happened? A week from this moment on the terrace, the same man begins acting the goat, insulting everyone, wearing smelly clothes, stingy with money, allowing no one to come to his apartment on Laupenstrasse. Which was cause and which effect, which future and which past? In Zürich, strict laws have recently been approved by the Council. Pistols may not be sold to the public. Banks and trading houses must be audited. All visitors, whether entering Zürich by boat on the river Limmat or by rail on the Selnau line, must be searched for contraband. The civil military is doubled. One month after the crackdown, Zürich is ripped by the worst crimes in its history. In daylight, people are murdered in the Weinplatz, paintings are stolen from the Kunsthaus, liquor is drunk in the pews of the Münsterhof. Are these criminal acts not misplaced in time? Or perhaps the new laws were action rather than reaction? A young woman sits near a fountain in the Botanischer Garten. She comes here every Sunday to smell the white double violets, the musk rose, the matted pink gillyflowers. Suddenly, her heart soars, she blushes, she paces anxiously, she becomes happy for no reason. Days later, she meets a young man and is smitten with love. Are the two events not connected? But by what bizarre connection, by what twist in time, by what reversed logic? In this acausal world, scientists are helpless. Their predictions become postdictions. Their equations become justifications, their logic, illogic. Scientists turn reckless and mutter like gamblers who cannot stop betting. Scientists are buffoons, not because they are rational but because the cosmos is irrational. Or perhaps it is not because the cosmos is irrational but because they are rational. Who can say which, in an acausal world? In this world, artists are joyous. Unpredictability is the life of their paintings, their music, their novels. They delight in events not forecasted, happenings without explanation, retrospective. Most people have learned how to live in the moment. The argument goes that if the past has uncertain effect on the present, there is no need to dwell on the past. And if the present has little effect on the future, present actions need not be weighed for their consequence. Rather, each act is an island in time, to be judged on its own. Families comfort a dying uncle not because of a likely inheritance, but because he is loved at that moment. Employees are hired not because of their résumés, but because of their good sense in interviews. Clerks trampled by their bosses fight back at each insult, with no fear for their future. It is a world of impulse. It is a world of sincerity. It is a world in which every word spoken speaks just to that moment, every glance given has only one meaning, each touch has no past or no future, each kiss is a kiss of immediacy.

SCULLEY. Pepsi executive recruited by Jobs in 1983 to be Apple’s CEO, clashed with and ousted Jobs in 1985. JOANNE SCHIEBLE JANDALI SIMPSON. Wisconsin-born biological mother of Steve Jobs, whom she put up for adoption, and Mona Simpson, whom she raised. MONA SIMPSON. Biological full sister of Jobs; they discovered their relationship in 1986 and became close. She wrote novels loosely based on her mother Joanne (Anywhere but Here), Jobs and his daughter Lisa (A Regular Guy), and her father Abdulfattah Jandali (The Lost Father). ALVY RAY SMITH. A cofounder of Pixar who clashed with Jobs. BURRELL SMITH. Brilliant, troubled hardware designer on the original Mac team, afflicted with schizophrenia in the 1990s. AVADIS “AVIE” TEVANIAN. Worked with Jobs and Rubinstein at NeXT, became chief software engineer at Apple in 1997. JAMES VINCENT. A music-loving Brit, the younger partner with Lee Clow and Duncan Milner at the ad agency Apple hired. RON WAYNE. Met Jobs at Atari, became first partner with Jobs and Wozniak at fledgling Apple, but unwisely decided to forgo his equity stake. STEPHEN WOZNIAK. The star electronics geek at Homestead High; Jobs figured out how to package and market his amazing circuit boards and became his partner in founding Apple. DEL YOCAM. Early Apple employee who became the General Manager of the Apple II Group and later Apple’s Chief Operating Officer. INTRODUCTION How This Book Came to Be In the early summer of 2004, I got a phone call from Steve Jobs. He had been scattershot friendly to me over the years, with occasional bursts of intensity, especially when he was launching a new product that he wanted on the cover of Time or featured on CNN, places where I’d worked. But now that I was no longer at either of those places, I hadn’t heard from him much. We talked a bit about the Aspen Institute, which I had recently joined, and I invited him to speak at our summer campus in Colorado. He’d be happy to come, he said, but not to be onstage. He wanted instead to take a walk so that we could talk. That seemed a bit odd. I didn’t yet

Even though the Internet provided a tool for virtual and distant collaborations, another lesson of digital-age innovation is that, now as in the past, physical proximity is beneficial. There is something special, as evidenced at Bell Labs, about meetings in the flesh, which cannot be replicated digitally. The founders of Intel created a sprawling, team-oriented open workspace where employees from Noyce on down all rubbed against one another. It was a model that became common in Silicon Valley. Predictions that digital tools would allow workers to telecommute were never fully realized. One of Marissa Mayer’s first acts as CEO of Yahoo! was to discourage the practice of working from home, rightly pointing out that “people are more collaborative and innovative when they’re together.” When Steve Jobs designed a new headquarters for Pixar, he obsessed over ways to structure the atrium, and even where to locate the bathrooms, so that serendipitous personal encounters would occur. Among his last creations was the plan for Apple’s new signature headquarters, a circle with rings of open workspaces surrounding a central courtyard. Throughout history the best leadership has come from teams that combined people with complementary styles. That was the case with the founding of the United States. The leaders included an icon of rectitude, George Washington; brilliant thinkers such as Thomas Jefferson and James Madison; men of vision and passion, including Samuel and John Adams; and a sage conciliator, Benjamin Franklin. Likewise, the founders of the ARPANET included visionaries such as Licklider, crisp decision-making engineers such as Larry Roberts, politically adroit people handlers such as Bob Taylor, and collaborative oarsmen such as Steve Crocker and Vint Cerf. Another key to fielding a great team is pairing visionaries, who can generate ideas, with operating managers, who can execute them. Visions without execution are hallucinations.31 Robert Noyce and Gordon Moore were both visionaries, which is why it was important that their first hire at Intel was Andy Grove, who knew how to impose crisp management procedures, force people to focus, and get things done. Visionaries who lack such teams around them often go down in history as merely footnotes.

Sebastian encountered Cam in the hallway outside the reading room. “Where is he?” he demanded without preamble. Stopping before him with an expressionless face, Cam said shortly, “He’s gone.” “Why didn’t you follow him?” White-hot fury blazed in Sebastian’s eyes. This news, added to the frustration of his vow of celibacy, was the last straw. Cam, who had been exposed to years of Ivo Jenner’s volcanic temper, remained unruffled. “It was unnecessary in my judgment,” he said. “He won’t return.” “I don’t pay you to act on your own damned judgment. I pay you to act on mine! You should have dragged him here by the throat and then let me decide what was to be done with the bastard.” Cam remained silent, sliding a quick, subtle glance at Evie, who was inwardly relieved by the turn of events. They were both aware that had Cam brought Bullard back to the club, there was a distinct possibility that Sebastian might actually have killed him— and the last thing Evie wanted was a murder charge on her husband’s head. “I want him found,” Sebastian said vehemently, pacing back and forth across the reading room. “I want at least two men hired to look for him day and night until he is brought to me. I swear he’ll serve as an example to anyone who even thinks of lifting a finger against my wife.” He raised his arm and pointed to the doorway. “Bring me a list of names within the hour. The best detectives available— private ones. I don’t want some idiot from the New Police, who’ll foul this up as they do everything else. Go.” Though Cam undoubtedly had a few opinions to offer on the matter, he kept them to himself. “Yes, my lord.” He left the room at once, while Sebastian glared after him. Seeking to calm his seething temper, Evie ventured, “There is no need to take your anger out on Cam. He—” “Don’t even try to excuse him,” Sebastian said darkly. “You and I both know that he could have caught that damned gutter rat had he wanted to. And I’ll be damned if I’ll tolerate your calling him by his first name— he is not your brother, nor is he a friend. He’s an employee, and you’ll refer to him as ‘Mr. Rohan’ from now on.” “He is my friend,” Evie replied in outrage. “He has been for years!” “Married women don’t have friendships with young unmarried men.” “Y-you dare to insult my honor with the implication that… that…” Evie could hardly speak for the multitude of protests that jammed inside her. “I’ve done nothing to merit such a lack of tr-tr-trust!” “I trust you. It’s everyone else that I hold in suspicion.

Most exciting, the growth mindset can be taught to managers. Heslin and his colleagues conducted a brief workshop based on well-established psychological principles. (By the way, with a few changes, it could just as easily be used to promote a growth mindset in teachers or coaches.) The workshop starts off with a video and a scientific article about how the brain changes with learning. As with our “Brainology” workshop (described in chapter 8), it’s always compelling for people to understand how dynamic the brain is and how it changes with learning. The article goes on to talk about how change is possible throughout life and how people can develop their abilities at most tasks with coaching and practice. Although managers, of course, want to find the right person for a job, the exactly right person doesn’t always come along. However, training and experience can often draw out and develop the qualities required for successful performance. The workshop then takes managers through a series of exercises in which a) they consider why it’s important to understand that people can develop their abilities, b) they think of areas in which they once had low ability but now perform well, c) they write to a struggling protégé about how his or her abilities can be developed, and d) they recall times they have seen people learn to do things they never thought these people could do. In each case, they reflect upon why and how change takes place. After the workshop, there was a rapid change in how readily the participating managers detected improvement in employee performance, in how willing they were to coach a poor performer, and in the quantity and quality of their coaching suggestions. What’s more, these changes persisted over the six-week period in which they were followed up. What does this mean? First, it means that our best bet is not simply to hire the most talented managers we can find and turn them loose, but to look for managers who also embody a growth mindset: a zest for teaching and learning, an openness to giving and receiving feedback, and an ability to confront and surmount obstacles. It also means we need to train leaders, managers, and employees to believe in growth, in addition to training them in the specifics of effective communication and mentoring. Indeed, a growth mindset workshop might be a good first step in any major training program. Finally, it means creating a growth-mindset environment in which people can thrive. This involves: • Presenting skills as learnable • Conveying that the organization values learning and perseverance, not just ready-made genius or talent • Giving feedback in a way that promotes learning and future success • Presenting managers as resources for learning Without a belief in human development, many corporate training programs become exercises of limited value. With a belief in development, such programs give meaning to the term “human resources” and become a means of tapping enormous potential.