Hiring Executives with Greylock Talent Partner Jeff Markowitz | The Scaleup Offsite 2017 | Summary and Q&A

TL;DR

Hiring executives is a complex and challenging process, but following a structured approach can improve outcomes.

Key Insights

• 🌱 Planning the hiring process involves creating a roadmap, considering unforeseen hires, and prioritizing potential executives.
• 👀 Starting early and learning from industry leaders can improve the understanding of what great looks like and assist in networking.
• 🤗 Setting the hook early by showing interest and engaging the candidate helps establish a strong connection and opens up more in-depth interviews.
• 👂 Conducting thorough reference checks, listening for developmental areas, and understanding past performance are crucial for predicting success.
• ⌛ Discussing compensation early helps align candidate expectations and avoid wasting time with incompatible offers.
• 🫠 Reading candidates throughout the process and managing their concerns helps ensure a good fit and reduces surprises after the hire.

Transcript

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Questions & Answers

Q: How should one start the process of hiring executives?

Start by creating a roadmap and considering all the potential hires you may need. Be proactive and prioritize the list, aggressively networking to meet top candidates.

Q: How important is it to set the hook early in the candidate process?

Setting the hook early is crucial as it opens up the candidate to be interviewed in a more in-depth manner. It allows for a better understanding of their pushes and pulls and improves engagement.

Q: Why is referencing an important predictor of a successful hire?

Referencing provides insights into a candidate's past performance and behavior. Conducting a 360-degree process with multiple references allows for pattern recognition and helps identify developmental areas.

Q: Why is compensation discussion important to have early in the process?

Discussing compensation early helps avoid wasting time with candidates who are not interested due to significant gaps. It allows for understanding expectations and closing those gaps if possible.

Summary

In this video, Jeff Markowitz shares insights and best practices for hiring key executives. He breaks the process down into five key areas: planning, working with candidates, reference checking, compensation, and the offer process. He emphasizes the importance of being proactive in planning and developing a prioritized list of potential hires. To effectively evaluate candidates, Jeff recommends setting the hook early and maintaining ball control throughout the process. He also highlights the value of conducting thorough reference checks and holding mini board meetings with candidates to assess alignment and potential areas of disagreement. Finally, he discusses the significance of discussing compensation early on and the importance of timing when extending an offer.

Questions & Answers

Q: What are some important ideas to consider when planning the process of hiring executives?

Some important ideas to consider when planning the process of hiring executives include creating a 12 to 18-month roadmap that accounts for potential hires, not just immediate needs, and aggressively meeting with superstars even if there's not an immediate need. It is also important to start the process early, conduct research on admired companies and leaders in the roles you are looking to fill, and learn what great looks like.

Q: How can you maintain ball control throughout the candidate process?

Maintaining ball control throughout the candidate process requires a balanced approach of buying and selling. It is important to set the hook early by showing genuine interest in the candidate, asking open-ended questions, and engaging in dialogue. This early connection allows for a deeper evaluation later in the process when the candidate is more open to being interviewed. By maintaining ball control, you can guide the process and ensure a mutual understanding between the candidate and the company.

Q: How can you conduct effective reference checks?

To conduct effective reference checks, it is recommended to pursue a 360-degree process by seeking references from the candidate's boss, peers, and direct reports from their previous roles. It is important to dig deep, ask open-ended questions, and look for patterns in the feedback to gain a comprehensive understanding of the candidate's strengths and weaknesses. A good reference should provide developmental areas, as everyone has them. If a reference does not provide developmental areas, it may indicate a lack of familiarity with the candidate or a withholding of information.

Q: Why is it important to discuss compensation early in the hiring process?

Discussing compensation early in the hiring process helps avoid wasting time with candidates who have unrealistic salary expectations or are not aligned with the value of equity. By understanding the candidate's compensation expectations early on, you can determine if there are gaps that need to be addressed. Engaging in the compensation conversation earlier allows for more efficient decision-making and prevents potential roadblocks later in the process. It is essential to close any compensation gaps before making an offer.

Q: How can you evaluate if a candidate is "closeable"?

Evaluating if a candidate is "closeable" involves understanding the pushes and pulls that might compel them to consider a new opportunity. It can be challenging to uncover pushes during the initial stages of the hiring process, but by showing a genuine interest in the candidate and listening intently, you may be able to identify potential dissatisfactions or desires for change. Balancing buying and selling throughout the process can help reveal the candidate's level of engagement and determine if they are closeable.

Q: What is the significance of conducting a "mini board meeting" with candidates?

Conducting a "mini board meeting" with candidates allows for a deep dive into their perspectives and opinions on how they would approach the role and company challenges. It should involve multiple board members or senior leaders engaging in a dialogue that encourages disagreement and addresses areas of potential conflict. This exercise helps identify whether there is alignment between the candidate and the company, particularly in situations where the candidate will need to work closely with the board or senior leadership.

Q: How can you balance evaluating candidates at different levels of seniority?

To balance evaluating candidates at different levels of seniority, it is important to consider the current needs of the company. Hiring someone who can contribute immediately to the company's current needs may be more advantageous than hiring a candidate with long-term potential but who may not be able to scale beyond a certain point. The key is to assess what the company requires right now and make a decision based on that evaluation.

Q: How many references should be checked for a comprehensive evaluation of a candidate?

The number of references checked may vary depending on the role and the candidate's background. While there is no set standard, it is ideal to speak to as many relevant references as possible to gain a comprehensive understanding. Checking references from different levels (boss, peers, direct reports) and seeking patterns in the feedback can provide a more holistic view of the candidate. It is also important to ask open-ended questions and aim to uncover any developmental areas through the references.

Q: When should compensation be discussed during the hiring process?

Compensation should be discussed early on in the hiring process to avoid wasting time with candidates whose expectations are misaligned with what the company can offer. While it is not about negotiating an offer at the initial stage, addressing compensation expectations allows for early identification of any significant gaps that may prevent the candidate from moving forward. The goal is to understand the candidate's perspectives and work towards closing any gaps before reaching the offer stage.

Q: What should be considered when extending an offer to a candidate?

When extending an offer to a candidate, it is important to ensure that all non-economic questions have been answered and the candidate is fully aligned and enthusiastic about joining the company. This means addressing any hesitations or questions the candidate may have before discussing compensation. It is also essential to frame the offer as an invitation to join the company rather than simply offering a position. This mindset encourages the candidate to consider the overall fit and their readiness to commit to the company.

Takeaways

Hiring key executives requires careful planning, effective candidate evaluation, thorough reference checking, early discussion of compensation, and strategic timing for extending offers. With a proactive planning process that accounts for potential future hires, companies can better position themselves for success. Engaging in dialogue with candidates, maintaining ball control, conducting thorough reference checks, and holding mini board meetings can provide valuable insights into a candidate's fit and potential. Discussing compensation early and ensuring alignment before extending an offer can streamline the hiring process and prevent surprises post-hire. By following these best practices, companies can increase their chances of making successful executive hires.

Summary & Key Takeaways

• Hiring executives requires careful planning, including creating a roadmap and prioritizing potential hires.

• Starting the process early allows for learning from industry leaders, and aggressive networking can lead to meeting top candidates.

• The candidate process should focus on setting the hook early, understanding their pushes and pulls, and addressing compensation and fit through ongoing dialogues.

• Thorough reference checking, including a 360-degree process and asking for developmental areas, is essential for predicting success.

• Compensation discussions should happen early to avoid wasting time and ensure alignment between the candidate's expectations and company offerings.

• The final step involves giving the offer at the right time, ensuring enthusiasm from the candidate and resolving any non-economic concerns.