Do More Clock Building, Less Time Telling
Leading as a charismatic visionaryâa âgenius with a thousand helpersâ upon whom everything dependsâis time telling. Shaping a culture that can thrive far beyond any single leader is clock building. Searching for a single great idea upon which to build success is time telling. Building an organization that can generate many great ideas is clock building. Our research showed that leaders who build enduring great companies make the shift from time telling to clock building. Clock builders create highly replicable recipes, extensive training programs, leadership-development pipelines, and tangible mechanisms to reinforce core values. They get the right people on the bus and then manage the system, not the people. For true clock builders, success comes when the organization proves its greatness not just during one leaderâs tenure but also when the next generation of leadership further increases flywheel momentum. To use an analogy, think of writing the U.S. Constitution as a consummate act of clock building, so that the start-up nation might endure beyond the courage and genius of those who won the War of Independence. Similarly, launching a start-up is like winning the War of Independence, but building a company that can last is like writing the Constitution. (Directed reading: Built to Last, Chapter 2; Great by Choice, Chapter 6.)
Related Quotes
Iâd like to close this chapter with an essential caveat about persistence from Built to Last. Of all the paragraphs Iâve authored or co-authored in thirty years, this is one of the most essential for entrepreneurs and leaders of early-stage ventures, reproduced here as a reminder to keep firmly in mind as you build your company:
The builders of visionary companies were highly persistent, living to the motto: Never, never, never give up. But what to persist with? The company. Be prepared to kill, revise, or evolve an idea . . . but never give up on the company. If you equate the success of your company with the success of a specific ideaâas many businesspeople doâthen youâre more likely to give up on the company if that idea fails; and if that idea happens to succeed, youâre more likely to have an emotional love affair with that idea and stick with it too long, when the company should be moving vigorously on to other things. But if you see the ultimate creation as the company, not the execution of a specific idea . . . then you can persist beyond any specific ideaâgood or badâ and move toward becoming an enduring great institution.
If you brilliantly move through all the key principles in Stages 1 through 3, you will likely create a very successful company. In Stage 4, you make your company built to last. There are three key principles in Stage 4:
- Practice productive paranoia (avoid the 5 Stages of Decline).
- Do more clock building, less time telling.
- Preserve the core/stimulate progress (achieve the next BHAG).
But thereâs also a hopeful story to tell. Companies can sustain greatness for decades, even if only a few do so. What this means is that you never get to the âendâ of The Map. Youâre never done with the journey. Youâre never done with the need for disciplined people who engage in disciplined thought and take disciplined action. Youâre never done renewing the company so that it might be built to last. Youâre never done preparing for bad luck and capitalizing on good luck, getting a higher return on luck than others. Greatness is an inherently dynamic process, not an end point.
The Map doesnât guarantee a great outcome. But those who adhere to its principlesâand who do so with joyful intensityâhave much better odds of building a great company that can endure than those who donât. Along the way, perhaps as more of a by-product than a goal, they just might find the daily happiness that comes from doing meaningful work with people they truly like and deeply respect. And itâs hard to have a better life than that.
Think about another analogy. Building a great company is similar to writing a great novelâyou need an overall conception (vision), a plot (strategy), and creative ideas to move the plot along. You also must sweat over each sentence, executing the book word-by-word, line-by-line, page-by-page. Hemingway was once asked why heâd rewritten the last page of A Farewell to Arms 39 times. He responded simply, âGetting the words right.
â1. Pause to Start Right
When you launch a new project, team, or organization, pause to consider the talent, roles, norms, and resources that you will need to succeed. A great way to begin is to harness the human capacity for imaginary time travel: Pause to pretend that you have succeeded (a âprevictoremâ) or failed (a âpremortemâ) and write a story about the events that led to your wonderful or awful fate. Then build those lessons into how you design and do your work. Psychologist Gary Klein uses premortems to help teams identify dangerous risks and delusions. Gary asks teams to imagine that it is, say, a year after theyâve made a decision, and it is a massive and unambiguous failure. People look back from that terrible future and develop lists and stories to explain what happened. Garyâs research finds that premortems are âa low-cost, high-payoffâ method for making better decisions and running better projects. Huggy Rao and his Stanford colleagues conducted a âback to the futureâ study that suggests doing a previctorem, in which you pause to look back from an (imaginary) successful future, may be even more effective than doing a premortem. Both forms of time travel can improve decisions and designs because treating an event as if it did rather than might happenâthinking about it in the past tenseâmakes it seem more concrete and likely to happen, which motivates people to unpack its nuances....
2. Ask Questions That Make People Stop to ThinkâBefore They Do Something Stupid...
3. Whereâs Your Times Square?
We learned this lesson from Becky Margiotta, who led the 100,000 Homes Campaign that we talked about in chapter 1. Becky is now CEO of the Billions Institute, where she advises leaders of nonprofits and government organizations on how to imagine and implement large-scale change. Becky has many impatient clients who want to go big with half-baked and unproven ideas. She asks them, âWhereâs your Times Square?â Thatâs because, before she led the nationwide 100,000 Homes Campaign, Becky was hired by Rosanne Haggerty, founder of the nonprofit Community Solutions, to reduce the homelessness problem in New York Cityâs Times Square by two-thirds over a three-year period. That goal turned out to be unrealisticâit took five years. Beckyâs team spent from 2003 to 2007 on the Street to Home initiative in Times Square. It took them until 2007 to develop the mindset, skills, and methods for tackling the problem, but that year, they surpassed their original goal and achieved an 87 percent reduction in street homelessness. It was a long, frustrating slog. Beckyâs team tried many methods that failed before they figured out what worked. For example, it took them years to identify who was homeless in Times Square. They finally learned the best way to âget the countâ wasnât to visit Times Square during the day and to ask people if they were homeless. It was to go out at 5:00 A.M. and count the people sleeping there. They also learned to find homes first for people who had been homeless the longest and who suffered from the most severe health problemsâbecause they faced the greatest risk of premature death. Becky says that, without those five years of frustration, failure, andâeventuallyâdevelopment of a âplaybookâ that would work elsewhere, she and Rosanne couldnât have launched the 100,000 Homes Campaign in 2010. And the campaign wouldnât have reached its goal of finding homes for one hundred thousand chronically homeless Americans as it did on June 14, 2014....
At Rippling, Parkerâs approach was the opposite of what he did at Zenefits. In 2021, Parker admitted, âit was almost too easy for us to close customers early onâ at Zenefits, and leaders made the mistake of believing that their employees could do the manual work for clients âwith an eye toward automating those processes afterward.â They were wrong. The bigger Zenefits got, the harder it was to automate processes. Parker said that employees were doing so much manual work that costs soared and profits plummeted, and âthatâs when a lot of things started to come apart.â In contrast, during Ripplingâs first two years, Parker said, it was âbasically me and like fifty engineers.â They focused on building a robust product, on âpruning any operational function and trying to replace it with software.â Parker prohibited employees from doing the manual chores that Zenefits employees did. Parker insisted, instead, that Rippling employees work with customers until they developed sound automated solutions. To assure that engineers understood customersâ needs and challenges (and to save money), Rippling didnât hire any customer support staffers in those early years. Parker said, âI was personally doingâand the engineering team was personally doingâall of the customer support.â Parker learned other lessons from Zenefits that he applies at Rippling, including selling bundles of software to customers rather than individual productsâand developing each kind of software, from the start, so it is easy to integrate with other Rippling products. Parkerâs focus on getting things right before going big, and other lessons he learned the hard way at Zenefits, seems to be working. By May of 2022, venture-capital firms had invested almost $700 million in Rippling, and it was valued at $11.25 billionânearly twice as much as Zenefitsâ $6.5 billion in its (brief) heyday...
The struggles that weâve seen in so many teams provoked us to suggest, and sometimes coach and lead, an exercise that Harvard Business Schoolâs Tsedal Neeley calls âa team relaunch.â This intentional pause entails convening one or two meetings in which a team considers its goals, norms, rhythms, rituals, and use of resources. The team starts by discussing what is working and what isnât. Then members decide what ought to change and how to implement their decisions...
Members generate wild and practical ideas about norms and practices that once worked but now get in the way. The team then selects up to three of these âtargetsâ and commits to getting rid of each. Next, Kathryn guides them in âthe strengths game,â following Gallup research that shows the best employees and teams play to their strengths. The team identifies and rallies around a few cherished norms, skills, or strategies that are (and will continue to be) crucial to their performance and sanity...
5. Use Friction to Create Cadence
Friction fixers can dampen confusion, reduce wasted effort, enhance coordination, and strengthen relationships by slowing down to implement routines and rituals that create a shared cadence...
John emphasizes that, as Mozilla grew from one team to multiple teams, rather than adding a lot of rules and specialized roles to bolster coordination and communication, his leadership team developed a âdrumbeat that the organization marches to.â As Mozilla grew to roughly fifty people, confusion emergedâespecially among newcomersâabout how to fit in, whom to talk to and work with, and when to ship changes in code. Life got less chaotic after Mozillaâs leaders added a âclosedâ meeting every Monday where they made decisions and plans. Later that day, the leadership team convened a company lunch and an all-hands meeting where they announced goals, answered questions, and talked about challenges Mozilla faced. When Mozilla grew to about eighty people, the leadership team added more âpacing mechanisms,â including data reports every night at seven (to help people make short-term decisions) and quarterly company goals (to help people blend individual and collective efforts). Then, when Mozilla grew to about 120 people, and companywide goals were too vague, the top team added quarterly group goals. Mozilla also started holding a worldwide summit every two years for employees, people from outside the company who wrote open-source code for Mozilla, and other key stakeholders, as a âtime to see everyone, reconnect, and remember humanity.â...
6. Communicate a Lot, or Not at All
Shared rhythms also help people get work done and avoid exhaustion because they know when to work with others and when to work alone...
Patty McCord, who was Netflixâs chief talent officer for the companyâs first fourteen years, told us, âThe most important role I played at Netflix was, at the end of every executive meeting, to say, âHave we made any decisions in the room today, and if we have, how are we going to communicate them?ââ...
The differences between well-crafted and badly crafted endings are striking during employee layoffs. If you must lay people off, pause and remember there is a difference between what you do and how you do it.
The lesson for friction fixers, in the words of UCLAâs legendary basketball coach John Wooden (who won ten national championships in his final twelve years as coach), is âIf you donât have time to do it right, when will you have time to do it over?