Why Founders Fail: The Product CEO Paradox | TechCrunch

Posted on Updated on

This happens all the time. A founder develops a breakthrough idea and starts a company to build it.

StartUP Product‘s insight:

By Ben Horowitz

Co-founder and partner ofAndreessen Horowitz

Quoting Ben’s points:

3 Main Reasons Founders fail to run the companies they created:

  1. founder doesn’t really want to be CEO
  2. board sees CEO making mistakes, panics and replaces them prematurely
  3. Many founders run smack into the Product CEO Paradox
 
Product CEO Paradox
Problem: CEO was only world-class at the product, so they effectively transformed themself from an excellent, product-oriented CEO into a crappy, general-purpose CEO
Prevention: great product-oriented founder/CEOs stay involved in the product throughout their careers

Product-oriented CEO’s essential involvement consists of at least the following activities:

  • Keep and drive the product vision
  • Maintain the quality standard
  • Be the integrator
  • Make people consider the data they don’t have
How do you back off gracefully in general without backing off at all in some areas?
  • formally structure your product involvement, i.e. transition from your intimately involved motion to a process that enables you to make your contribution without disempowering your team
  • Write it; don’t say it.
  • Formalize and attend product reviews
  • Don’t communicate direction outside of your formal mechanisms
 

See on techcrunch.com

Share your thoughts

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s