Designing and Building Culture at a Startup: Using the Four Ps framework

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I gave this talk at an MIT alumni group focused on entrepreneurship. The premise was to introduce them to the unique issues startups face in developing a suitable and sustainable culture. I introduce a little framework I developed to help founders understand the key levers they can influence in creating and nurturing culture. This is an update to an earlier presentation I've given on the same topic. This version contains more of the academic underpinnings which I used to develop this framework, as well as included a case study.

Negócios

Rishi Dean
rishi@rishidean.com
www.rishidean.com

[ Using the ‘4Ps framework’ to help you ]

MIT Sloan Entrepreneurs Breakfast Club
February 11, 2011

  Been
on
the
ground
ﬂoor

of
three
startups,
shaping

Founding

Team

and
growing
them

  Been
in
big
companies
and

little
ones,
and
involved
in

Employee
/

Consultant

diﬀerent
capacities
with
all

Involvement

types

  Seen
the
good,
the
bad,

and
the
ugly

Advisor
/

Mentor

  Made
some
many

mistakes,
which
I’ll
share,

so
you
don’t
have
to

Timing

Past
Present

Rishi
Dean
–
www.rishidean.com
2

Facebook

HP
LinkedIn

Rishi
Dean
–
www.rishidean.com
8

Coordination
/

Attachment
Selection
Control

Star
Work
Potential
Professional

Engineering
Work
Skills
Peer
/
cultural

Commitment
Love
Fit
Peer
/
cultural

Bureaucracy
Work
Skills
Formal

Autocracy
Money
Skills
Direct

*Burton,
M.
D.
(2001).
The
company
they
keep:
Founders'
models
for
organizing
new
ﬁrms
[Electronic
version].
In
C.
B.
Schoonhoven

&
E.
Romanelli
(Eds.),
The
entrepreneurship
dynamic
(pp.
13-‐39).
Stanford:
Stanford
University
Press.

Rishi
Dean
–
www.rishidean.com
27

Innovation
Enhancement
Marketer
Cost

Star
✔
✔

Engineering
✔
✔
✔
✔

Commitment
✔

Bureaucracy
✔
✔

Autocracy
✔

*Burton,
M.
D.
(2001).
The
company
they
keep:
Founders'
models
for
organizing
new
ﬁrms
[Electronic
version].
In
C.
B.
Schoonhoven

&
E.
Romanelli
(Eds.),
The
entrepreneurship
dynamic
(pp.
13-‐39).
Stanford:
Stanford
University
Press.

Rishi
Dean
–
www.rishidean.com
28

  Pink’s
motivating
factors

for
knowledge
workers:

  Autonomy

  Mastery

  Purpose

  [+
Camraderie]

Rishi
Dean
–
www.rishidean.com
32

  Keeping
regular

meetings

  Celebrating
the

small
stuﬀ

  Remote
teams

  Tough
hires

  Tougher
ﬁres

  Personnel
issues

  Winning
a
deal

  …

Rishi
Dean
–
www.rishidean.com
36

  Culture
matters
a
lot,
and
just
doesn’t
happen
by
itself

  Startup
culture
is
unique

  Starting
from
zero
(it
just
doesn’t
happen)

  Driven
by
few,
shaped
by
many

  Lots
of
external
factors

  Can’t
cut
&
paste
/
cherry
pick
–
must
ﬁt
your
situation

  Four
tools
of
culture
creation
(ensure
internal
consistency):

1.  Purpose:
what
you
value

2.  Patterns:
how
you
organize
key
levers

3.  People:
who
you
recruit
&
retain

4.  Process:
what
systems
you
build

  Hard
to
build,
easy
to
break

Rishi
Dean
–
www.rishidean.com
40

  E-‐mail:

rishi@rishidean.com

  Blog:
rishidean.com

  Twitter:
@rishidean

Rishi
Dean
–
www.rishidean.com
44

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Designing and Building Culture at a Startup: Using the Four Ps framework

1. Rishi Dean rishi@rishidean.com www.rishidean.com [ Using the ‘4Ps framework’ to help you ] MIT Sloan Entrepreneurs Breakfast Club February 11, 2011

2.   Been on the ground ﬂoor of three startups, shaping Founding Team and growing them   Been in big companies and little ones, and involved in Employee / Consultant diﬀerent capacities with all Involvement types   Seen the good, the bad, and the ugly Advisor / Mentor   Made some many mistakes, which I’ll share, so you don’t have to Timing Past Present Rishi Dean – www.rishidean.com 2

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8. Facebook HP LinkedIn Rishi Dean – www.rishidean.com 8

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27. Coordination / Attachment Selection Control Star Work Potential Professional Engineering Work Skills Peer / cultural Commitment Love Fit Peer / cultural Bureaucracy Work Skills Formal Autocracy Money Skills Direct *Burton, M. D. (2001). The company they keep: Founders' models for organizing new ﬁrms [Electronic version]. In C. B. Schoonhoven & E. Romanelli (Eds.), The entrepreneurship dynamic (pp. 13-‐39). Stanford: Stanford University Press. Rishi Dean – www.rishidean.com 27

28. Innovation Enhancement Marketer Cost Star ✔ ✔ Engineering ✔ ✔ ✔ ✔ Commitment ✔ Bureaucracy ✔ ✔ Autocracy ✔ *Burton, M. D. (2001). The company they keep: Founders' models for organizing new ﬁrms [Electronic version]. In C. B. Schoonhoven & E. Romanelli (Eds.), The entrepreneurship dynamic (pp. 13-‐39). Stanford: Stanford University Press. Rishi Dean – www.rishidean.com 28

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32.   Pink’s motivating factors for knowledge workers:   Autonomy   Mastery   Purpose   [+ Camraderie] Rishi Dean – www.rishidean.com 32

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36.   Keeping regular meetings   Celebrating the small stuﬀ   Remote teams   Tough hires   Tougher ﬁres   Personnel issues   Winning a deal   … Rishi Dean – www.rishidean.com 36

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40.   Culture matters a lot, and just doesn’t happen by itself   Startup culture is unique   Starting from zero (it just doesn’t happen)   Driven by few, shaped by many   Lots of external factors   Can’t cut & paste / cherry pick – must ﬁt your situation   Four tools of culture creation (ensure internal consistency): 1.  Purpose: what you value 2.  Patterns: how you organize key levers 3.  People: who you recruit & retain 4.  Process: what systems you build   Hard to build, easy to break Rishi Dean – www.rishidean.com 40

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44.   E-‐mail: rishi@rishidean.com   Blog: rishidean.com   Twitter: @rishidean Rishi Dean – www.rishidean.com 44

Designing and Building Culture at a Startup: Using the Four Ps framework

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