The big name CEO may not be entrepreneurial and may not be motivated to win a second or
third time. He/she may have been persuaded by a deal-oriented Board of Directors to believe
that startups can be made successful overnight with the right names, a lot of cash, and some
good marketing of the brand. Anyone who has been around Silicon Valley for a long time
knows startups are hard work and the “flashy” companies often don’t make it. The CEO has to
be emotionally motivated to get through the ups and downs of building a company of substance
for the long haul.
Hiring a Director-level person and waiting until later to put in a VP.
Hiring a lower-level candidate to save money only slows down your track to success. This
mistake is most often made by the CEO who undervalues functions other than his/her own
background. You may save money with this strategy, but you lose valuable time by not having
someone making good decisions at the appropriate level of expertise. The best candidates
typically are reluctant to join a company reporting to an “open box” above them in the org chart.
Hiring a marcom expert as VP of Marketing.
This mistake is made by startup CEOs who haven’t been exposed to true strategic marketing
individuals and may confuse putting out glossy brochures with the many broader
responsibilities managed by a VP of Marketing with a broader set of skills.
Putting in a VP of Sales too soon or before the VP of Marketing.
Salespeople need something to sell. Oftentimes, a VP of Sales hired too early quits in
frustration after many months of no product to sell and deliver. A strong, strategic VP of
Marketing can correctly position both the company and the product and create a business
model and sales strategy that readies the path for a VP of Sales to be successful achieving the
company’s sales objectives.
Letting the technical Founder stay too long in the VP of Engineering role.
Technical founders are often very successful because they lead by doing. There comes a point
during rapid growth when process and infrastructure are needed and the technical founder may
need to give way to a more process-oriented VP of Engineering. Often, the technical founder is
much happier and very successful in the role of CTO.
Hiring quickly instead of strategically.
All companies, particularly startups, are under tremendous pressure to fill open positions
quickly. It is very tempting to choose from a ready pool of available candidates provided by one
or more contingency search firms, or selected from resumes available on the Internet.
However, it doesn’t take much longer to initiate a retained search, and the results will typically
be far more satisfactory. You will be able to feel good about selecting an outstanding candidate
from a short list of recruited “A” players, rather than quickly settling for the best person among
many less qualified players who are looking for a job.
third time. He/she may have been persuaded by a deal-oriented Board of Directors to believe
that startups can be made successful overnight with the right names, a lot of cash, and some
good marketing of the brand. Anyone who has been around Silicon Valley for a long time
knows startups are hard work and the “flashy” companies often don’t make it. The CEO has to
be emotionally motivated to get through the ups and downs of building a company of substance
for the long haul.
Hiring a Director-level person and waiting until later to put in a VP.
Hiring a lower-level candidate to save money only slows down your track to success. This
mistake is most often made by the CEO who undervalues functions other than his/her own
background. You may save money with this strategy, but you lose valuable time by not having
someone making good decisions at the appropriate level of expertise. The best candidates
typically are reluctant to join a company reporting to an “open box” above them in the org chart.
Hiring a marcom expert as VP of Marketing.
This mistake is made by startup CEOs who haven’t been exposed to true strategic marketing
individuals and may confuse putting out glossy brochures with the many broader
responsibilities managed by a VP of Marketing with a broader set of skills.
Putting in a VP of Sales too soon or before the VP of Marketing.
Salespeople need something to sell. Oftentimes, a VP of Sales hired too early quits in
frustration after many months of no product to sell and deliver. A strong, strategic VP of
Marketing can correctly position both the company and the product and create a business
model and sales strategy that readies the path for a VP of Sales to be successful achieving the
company’s sales objectives.
Letting the technical Founder stay too long in the VP of Engineering role.
Technical founders are often very successful because they lead by doing. There comes a point
during rapid growth when process and infrastructure are needed and the technical founder may
need to give way to a more process-oriented VP of Engineering. Often, the technical founder is
much happier and very successful in the role of CTO.
Hiring quickly instead of strategically.
All companies, particularly startups, are under tremendous pressure to fill open positions
quickly. It is very tempting to choose from a ready pool of available candidates provided by one
or more contingency search firms, or selected from resumes available on the Internet.
However, it doesn’t take much longer to initiate a retained search, and the results will typically
be far more satisfactory. You will be able to feel good about selecting an outstanding candidate
from a short list of recruited “A” players, rather than quickly settling for the best person among
many less qualified players who are looking for a job.
Typical Startup Hiring
Mistakes
Mistakes