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The role of the manager in
modern tech organizations
Stretch, Budapest, December 6, 2013
Andreas Ehn <ehn@wrapp.com>
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Today, we put website
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2.32 million users

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2.34 million vouchers!
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CEO
VP
Prod

Team
Dev
lead

CTO
VP
Eng

Chief
architect

Dev

Dev

Designer
CTO!

VP Engineering!

• An architect, a thinker, a researcher, a
tester and a tinkerer!

• Runs the engineering team on a dayto-day basis!

• “Usually can’t manage their way out of
a paper bag, but have huge vision, the
ability to pull an all-nighter and crank
out a rough prototype, have the unique
ability to translate complex/abstract
thoughts into simple English for a nontechnical end-user, and a willingness to
get up in front of 1,000 people and talk
about the latest greatest thing they are
working on/thinking about”!

• Process/management gods (and
goddesses)!
• Totally focused on building and
shipping products!
• Should have an engineering
background, but isn’t necessarily the
strongest tech person on the team

• Happy to work collaboratively with the
VP Engineering while leaving the
engineering team completely alone

Fred Wilson: http://www.avc.com/a_vc/2011/10/vp-engineering-vs-cto.html!
Brad Feld: http://www.feld.com/wp/archives/2007/10/cto-vs-vp-engineering.html
CEO
VP
Prod

Team
Dev
lead

CTO
VP
Eng

Chief
architect

Dev

Dev

Designer
Communication
Prioritization
The traditional manager
•

Makes most decisions by him-/
herself

•

Over-specifies

•

Tells you what to do in detail

•

Tells you when it should be
done or, at best, requires you to
say when it will be done
The problem
•

Generalists without a lot of
domain knowledge make most
decisions

•

Little room for experimentation

•

No validation of different
options against real data

•

Communication is highly
directed and often inefficiently
routed
What to do instead?

•

Decentralize

•

Enable and empower
Decentralize
•

Push decisions
“downwards”

•

Empower individuals
and small teams to
make decisions and
build end-to-end
features

•

At the most, decide on
what, never how
Enable and empower
•

Be a problem solver,
remove blockers

•

Channel communication
with other parts of the
organization
Problems (and solutions)
•

Expectations – very important to
manage expectations for the
rest of the organization

•

Consistency – have architect
and UX roles that span across
teams

•

Focus – clearly define, explain
and argue for the company
vision; convince rather than
force

•

Stay the course on the vision,
but experiment on the
implementation
Minimum viable features
•

Experimentation is only
feasible if tested/
validated against reality
frequently

•

Short iterations; well
defined, testable goals

•

Readjust course quickly

•

Easier to keep the rest
of the org up to speed
Avoiding getting stuck in a
local maximum
•

How do you avoid
limiting yourself to a hillclimbing approach that
risks getting stuck in a
local maximum?

•

Allow for a bit of
craziness – injecting
randomness into the
system
Hacking

•

Hack days, hack
weeks, 20% time

•

Maybe all the time
should be for hacking?
Is anyone really doing this?
Haier without middle
management
•

Now Zhang Ruimin, who turned the
company into its current success, has
eliminated the firm’s entire middle
management

•

“In the past, employees waited to
hear from the boss; now, they listen to
the customer.”

•

The firm’s 80,000 employees are now
organized into 2,000 zi zhu jing ying ti
(ZZJYTs): self-managed teams that
perform many different roles. Each is
responsible for profit and loss, and
individuals are paid on performance

•

“An unsteady and dynamic
environment is the best way to keep
everyone flexible.”
CERN
•

Goals are well defined (find the
Higgs boson), but not the way
to get there; individual design
decisions are put off for as
long as possible, which lets
the project “absorb
uncertainty”

•

Teams with rival proposals
spar publicly, forcing all the
boffins to articulate their
assumptions, justify their
choices and learn enough
about their rivals’ ideas to
criticize them at length
But…
•

Is it easier for companies
that have a perfect fit
between what developers
and customers want
(GitHub, Valve) than for
companies building for a
different audience
(Stardoll, Wrapp)?

•

How to achieve product–
market fit? VP Product as
translator?
Thank you!
Andreas Ehn
ehn@wrapp.com
@ehn

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Stretch 2013: The role of the manager in modern tech organizations

  • 1. The role of the manager in modern tech organizations Stretch, Budapest, December 6, 2013 Andreas Ehn <ehn@wrapp.com>
  • 2.
  • 3.
  • 4. TV Commercials Internet ads Mobile banners In the 1950s, people read radio ads aloud on television In the 1990s, people launched static newspaper ads online Today, we put website banners on mobile phones Give free & paid gifts Claim promotions Discover & follow brands Get updates
  • 5. 2.32 million users 27 million vouchers! claimed/shared 2.34 million vouchers! used in stores
  • 6.
  • 8. CTO! VP Engineering! • An architect, a thinker, a researcher, a tester and a tinkerer! • Runs the engineering team on a dayto-day basis! • “Usually can’t manage their way out of a paper bag, but have huge vision, the ability to pull an all-nighter and crank out a rough prototype, have the unique ability to translate complex/abstract thoughts into simple English for a nontechnical end-user, and a willingness to get up in front of 1,000 people and talk about the latest greatest thing they are working on/thinking about”! • Process/management gods (and goddesses)! • Totally focused on building and shipping products! • Should have an engineering background, but isn’t necessarily the strongest tech person on the team • Happy to work collaboratively with the VP Engineering while leaving the engineering team completely alone Fred Wilson: http://www.avc.com/a_vc/2011/10/vp-engineering-vs-cto.html! Brad Feld: http://www.feld.com/wp/archives/2007/10/cto-vs-vp-engineering.html
  • 11. The traditional manager • Makes most decisions by him-/ herself • Over-specifies • Tells you what to do in detail • Tells you when it should be done or, at best, requires you to say when it will be done
  • 12. The problem • Generalists without a lot of domain knowledge make most decisions • Little room for experimentation • No validation of different options against real data • Communication is highly directed and often inefficiently routed
  • 13. What to do instead? • Decentralize • Enable and empower
  • 14. Decentralize • Push decisions “downwards” • Empower individuals and small teams to make decisions and build end-to-end features • At the most, decide on what, never how
  • 15. Enable and empower • Be a problem solver, remove blockers • Channel communication with other parts of the organization
  • 16. Problems (and solutions) • Expectations – very important to manage expectations for the rest of the organization • Consistency – have architect and UX roles that span across teams • Focus – clearly define, explain and argue for the company vision; convince rather than force • Stay the course on the vision, but experiment on the implementation
  • 17. Minimum viable features • Experimentation is only feasible if tested/ validated against reality frequently • Short iterations; well defined, testable goals • Readjust course quickly • Easier to keep the rest of the org up to speed
  • 18. Avoiding getting stuck in a local maximum • How do you avoid limiting yourself to a hillclimbing approach that risks getting stuck in a local maximum? • Allow for a bit of craziness – injecting randomness into the system
  • 19. Hacking • Hack days, hack weeks, 20% time • Maybe all the time should be for hacking?
  • 20. Is anyone really doing this?
  • 21.
  • 22. Haier without middle management • Now Zhang Ruimin, who turned the company into its current success, has eliminated the firm’s entire middle management • “In the past, employees waited to hear from the boss; now, they listen to the customer.” • The firm’s 80,000 employees are now organized into 2,000 zi zhu jing ying ti (ZZJYTs): self-managed teams that perform many different roles. Each is responsible for profit and loss, and individuals are paid on performance • “An unsteady and dynamic environment is the best way to keep everyone flexible.”
  • 23. CERN • Goals are well defined (find the Higgs boson), but not the way to get there; individual design decisions are put off for as long as possible, which lets the project “absorb uncertainty” • Teams with rival proposals spar publicly, forcing all the boffins to articulate their assumptions, justify their choices and learn enough about their rivals’ ideas to criticize them at length
  • 24. But… • Is it easier for companies that have a perfect fit between what developers and customers want (GitHub, Valve) than for companies building for a different audience (Stardoll, Wrapp)? • How to achieve product– market fit? VP Product as translator?
  • 25.