Slack Founder Stewart Butterfield Talks WFH with Guy Raz | How I Built This | NPR

TL;DR

Slack has become essential for remote work, especially during the pandemic. Stewart Butterfield discusses how Slack adapted to increased demand, maintained employee morale, and continued to innovate. The conversation highlights the challenges and opportunities of remote work, emphasizing the importance of communication and collaboration tools.

Transcript

hello everyone and welcome to how I built this resilience edition it is Friday which doesn't feel all that different from the other days really but how are you doing how is everyone doing today how's your week going it's week seven for a lot of us and as you know we are talking resilience in business and we are taking your questions on Facebook on ... Read More

Key Insights

• Slack saw a surge in demand as remote work increased due to the pandemic.
• The company's origins were in a failed video game project, leading to the creation of Slack.
• Effective communication and collaboration are crucial for remote work success.
• Slack's pre-existing investment in communication tools made the transition to remote work easier.
• The pandemic has prompted businesses to rethink traditional work models and embrace remote work.
• There are opportunities for businesses to innovate and adapt in response to the crisis.
• The economic impact of the pandemic is significant, affecting both small and large businesses.
• Leadership during a crisis requires clear communication, reassurance, and adaptability.

Questions & Answers

Q: How did Slack respond to increased demand during the pandemic?

Slack experienced a surge in demand as remote work became widespread. The company quickly adapted by enhancing its infrastructure to support more users and ensuring that employees were supported. This involved maintaining communication and collaboration tools to facilitate remote work, highlighting Slack's adaptability and resilience.

Q: What is the history behind Slack's creation?

Slack originated from a pivot of a failed video game project. Stewart Butterfield and his team realized that the internal messaging system they developed for the game was a compelling product on its own. This led to the creation of Slack, which has since become an essential tool for workplace communication and collaboration.

Q: Why is communication important for remote work?

Effective communication is crucial for remote work as it ensures that team members remain aligned, informed, and collaborative. Tools like Slack facilitate this by providing platforms for messaging, file sharing, and video calls, which are essential for maintaining productivity and connection in a remote work environment.

Q: How has the pandemic affected traditional work models?

The pandemic has prompted businesses to rethink traditional work models and embrace remote work. This shift has highlighted the need for effective communication tools and has led to increased acceptance of technology in the workplace. Companies are exploring new ways to operate, which may result in long-term changes to how work is conducted.

Q: What opportunities exist for businesses during the pandemic?

Despite the challenges, the pandemic presents opportunities for businesses to innovate and adapt. Companies can explore new distribution methods, embrace technology for remote work, and rethink their business models. This period of change can lead to new business opportunities and increased resilience for those willing to adapt.

Q: How does leadership change during a crisis?

Leadership during a crisis requires clear communication, reassurance, and adaptability. Leaders must ensure that their teams are informed, supported, and aligned with the company's goals. This involves being transparent about challenges and plans, and providing the necessary tools and resources to navigate the crisis effectively.

Q: What impact has the pandemic had on the economy?

The pandemic has had a significant economic impact, affecting both small and large businesses. Many companies have faced challenges due to reduced demand, supply chain disruptions, and changes in consumer behavior. This has led to a need for businesses to adapt, innovate, and build resilience to survive and thrive in the new economic landscape.

Q: How has Slack's investment in communication tools benefited the company?

Slack's pre-existing investment in communication tools positioned the company well for the transition to remote work. This investment facilitated seamless communication and collaboration among employees, making it easier to adapt to the challenges of remote work. It highlights the importance of having robust communication infrastructure in place for business continuity.

Summary

In this video, Guy Raz interviews Stewart Butterfield, the CEO of Slack, about how the company is handling the current crisis and the future of work. They discuss topics such as remote work, collaboration, entrepreneurship, and resilience in business.

Questions & Answers

Q: Where is Stewart Butterfield right now?

Stewart Butterfield is in the attic of his house with a green screen that makes it look like he's in the office in Melbourne.

Q: How did Slack decide to shut down their offices early?

Slack shut down their offices in San Francisco on March 6th due to the increasing number of cancelled events and the orders against large gatherings. The decision was solidified when an employee was potentially exposed to COVID-19 and the CDC recommended closing the office.

Q: How did Slack ensure collaboration among its teams during the remote work period?

Slack has always emphasized written communication and built a disciplined culture around it. They encourage team members to use their own product for communication and coordination. While the transition to remote work was relatively easy for Slack due to their existing communication practices, they recognized the challenges for new hires and the need to address them.

Q: How has the increased demand for Slack during the crisis impacted the company?

The demand for Slack has surged since more people are working remotely. They have seen an increase in new teams being created and existing customers increasing their usage. However, the long-term effects on the company's revenue and growth are uncertain, as they anticipate both positive and negative impacts.

Q: How can small businesses build resilience during this crisis?

Small businesses heavily dependent on physical presence should explore alternate means of distribution such as online platforms and delivery services. They can also rethink their business models and consider new opportunities arising from the current situation.

Q: How has the crisis changed Stewart Butterfield's leadership approach?

Stewart Butterfield believes it's essential to provide reassurance, clarity, and reminders of what's important to employees, especially during uncertain times. He recognizes the need to adapt and communicate effectively to address employees' needs and concerns.

Q: Did Slack always plan to have an app ecosystem?

Yes, the integration with outside services has always been a core part of Slack's approach. They recognized the value of interoperability and connecting different applications and services to deliver more value to customers.

Q: How early on did Slack decide on its revenue model?

Slack decided on its revenue model before or during the early stages of development. They initially set the monthly cost at $8, which they believed would be profitable, but adjusted it to $9 for superstitious reasons. The revenue model has remained the same since then.

Q: How does Stewart Butterfield see the future of work?

Stewart Butterfield believes the crisis has the potential to reshape the future of work, with more acceptance of technology and remote work. He anticipates that remote work will become more prevalent even after the crisis, opening up new possibilities and opportunities for both businesses and individuals.

Q: How can entrepreneurs navigate the current environment and build successful businesses?

Starting a business during this time will require adaptability and creativity. While raising capital may be more challenging, there will also be opportunities due to changes in the business landscape. Entrepreneurs should focus on finding alternate modes of distribution, embracing technology, and being scrappy in their approach.

Takeaways

The current crisis has accelerated the adoption of remote work and the use of technology in the workplace. Companies like Slack have seen increased demand during this time, but the long-term effects on businesses are still uncertain. Small businesses should explore alternative means of distribution and rethink their models to build resilience. The crisis also presents opportunities for entrepreneurs who are adaptable and creative. The future of work may involve a shift towards remote work and the acceptance of technology as essential tools for collaboration. Overall, this period of change provides a chance to reimagine traditional systems and embrace new possibilities.

Summary & Key Takeaways

• Slack experienced a significant increase in usage as remote work became widespread due to the pandemic. The company's history as a pivot from a failed video game project to a successful communication tool highlights its adaptability. Effective communication and collaboration are emphasized as key components for successful remote work.

• Stewart Butterfield discusses the challenges and opportunities presented by the pandemic, including the need for businesses to rethink traditional work models. Slack's pre-existing investment in communication tools facilitated an easier transition to remote work, offering insights into the future of work.

• Leadership during a crisis requires clear communication and adaptability. The pandemic has prompted businesses to innovate and adapt, with Slack playing a crucial role in facilitating remote work. The economic impact is significant, affecting businesses of all sizes, and highlighting the need for resilience.