How to hire a new team for a growing startup without rattling the old

One of the big questions that startups face as they begin to
scale
is whether they should promote their own employees up to new roles or hire laterally. How should they hire these leaders? What traits should they look for? How should they manage the inevitable tensions between the newcomers and the
home-grown
grown or originating in a particular place
homegrown
rock stars? How does
this
impact the culture of the company? Hiring and assimilating laterals
is
Suggestion
are
a key success factor for a startup to
scale
smoothly. Typically, a startup begins to refresh talent after the product-market fit has been established and the founders see an opportunity to
scale
. By the time they reach
this
point in their journey,
founders
Suggestion
the founders
would have often recognized the inadequacies in the leadership team that could be an obstacle to
further
growth. While the early team is great at hustling and getting things done, its members often lack the
ability
to put in place systems to keep the ship stable as the organization scales. I will touch upon
two
separate but interrelated aspects of hiring and assimilating laterals. To start with, there is a tendency to be impressed by those who have the experience of
scale
and managing large teams. But there is a world of difference between those who have managed in a
scale
environment and those that can build for
scale
. It is important to differentiate the
two
and hire those who can build for
scale
. They have
two
traits that the former don’t have: a)
ability
to roll up their sleeves and get things done even without support structures, and b)
ability
to solve problems ground up. I can think of
two
cases where I was involved in making the wrong call. In one case, we were hiring a global head of sales and
in
Suggestion
on
the other, a chief operating officer (COO). In both cases, we ended up hiring individuals who were managing
scale but
Accept comma addition
scale, but
had lost the
ability
to be hands on. In both cases, there were red flags all along—in the demands they made, the questions they asked, the way they steered the discussion to avoid deeper probing—but none of the individuals who interviewed the candidates raised their fears for the simple reason that there was tremendous pressure from the board to close the positions quickly.
This
created a false consensus of sorts because the candidates seemed so right in every other way and we made the wrong decision. Both individuals had to be let go eventually and
this
set back the growth journey by more than six months in each case.

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