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[ ]THE ROLE OF THE CEO
THE JOB OF THE CEO
The key elements
• Vision & Strategy
• Leadership
• Building a team / Executive Recruiting
• Prioritization and Focus
• Setting the accelerator pedal
• Operational management
• Culture
• Fund raising
Easy to overload you with too much content
So I’ll focus on one area where
first-time founders often need help
Building a team / Executive Recruiting
• Vision is easy – Execution is 10x harder
• People are what drive successful execution
• Building a management team is one of the most important jobs of the CEO
• The bad news – it involves recruiting executives
• Hard work
• Lots of time required
• Prioritizing this time over short term quicker gains is very hard, but essential for long term
success
What is an Executive?
• A senior level individual who can:
• Contribute to strategy & direction
• Execute operationally with excellence
• You know when you have hired one, as you can start to sleep better at
night!
• They will offload major chunks of the business from your shoulders
• Know what to do from past experience
• Can make decisions on their own without needing your input
• Can hire the rest of their team without needing much help from you
• Produce results and solve problems
The Temptation
• You’re the best person to do x, y, and z and know you’ll get the best results
• So you keep doing them
• Short term gains like closing a couple more deals seem more important than
the long term benefit of building a team
Executive Recruiting – The big mistakes
• Hiring them later than when they were needed
• Hiring the wrong profile
• Not a startup exec – not willing to get their hands dirty in the early days
• Best startup executives like to start early and get their hands dirty initially before building
a big team
• Not aiming high enough
• Aim as high as you possibly can and use your VCs to help you close
Final Reinforcement
• Hiring the right executives will pay back in spades
• Every first-time CEO who has completed this is amazed by what it does to
their lives
PRIORITIZE AND FOCUS
Remember the Cash Out Graph
Avoid Underfunding -
not enough cash to reach next milestone
Time
Valuation
Next Key
Milestone
x
Cash Out Date
Use the cash out date and financing milestones
… and Alignment
Fast Feedback Survey
bit.ly/matrixgrowth
APPENDIX
Vision
• Set the Vision
• Clearly articulate the vision
• Stay close to customers, sales people, customer success people
• Make sure it is working and relevant
• What to avoid:
• Don’t keep changing the vision and the goal posts
• Common founder tendency: chase the latest shiny object
• Organizations can’t get things done when constantly changing direction
Leadership
• Communicate the vision
• Employees
• Customers
• Investors
• Press & Media
• Inspire people to follow
• Motivate during tough times
Setting the Accelerator Pedal
• CEO needs to define the goals
• And allocate resources (cash) to how you are going to get there
• Ultimately there are key decisions around when to spend
• The most common mistake
• Spending too much before the business is ready in the hopes of forcing progress
Setting the Accelerator Pedal
Scaling the Business
Search for Product/Market Fit
Search for Repeatable & Scalable
& Profitable Growth Model
Cash Burn
We’ve given you the roadmap to avoid the common problems
Operational Management
• As a company scales it needs an "Operating System”
• Example:
• Direction setting
• Quarterly off-site meetings to discuss strategy and to set the high level quarterly OKRs
• Flowing those objectives down throughout the company so that everyone knows what they need
to do to contribute
• Monitoring, Adjusting and Fixing where needed
• Set of KPIs – the metrics that really matter
• Regular meetings to review KPIs, discuss progress and resolve issues
• Dashboards and alerting systems to highlight issues as early as possible
Culture
• Culture has a very clear purpose:
• Ensures that every employee knows how the company wants them to act in various
situations
• Can also be used to create a workplace that gets the very best output from talent
• A couple of good example culture decks:
• HubSpot’s Culture Code
• Netflix Culture Deck
Zero to 100 - Part 7: The Role of the CEO

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Zero to 100 - Part 7: The Role of the CEO

  • 1. [ ]THE ROLE OF THE CEO
  • 2. THE JOB OF THE CEO
  • 3. The key elements • Vision & Strategy • Leadership • Building a team / Executive Recruiting • Prioritization and Focus • Setting the accelerator pedal • Operational management • Culture • Fund raising
  • 4. Easy to overload you with too much content
  • 5. So I’ll focus on one area where first-time founders often need help
  • 6. Building a team / Executive Recruiting • Vision is easy – Execution is 10x harder • People are what drive successful execution • Building a management team is one of the most important jobs of the CEO • The bad news – it involves recruiting executives • Hard work • Lots of time required • Prioritizing this time over short term quicker gains is very hard, but essential for long term success
  • 7. What is an Executive? • A senior level individual who can: • Contribute to strategy & direction • Execute operationally with excellence • You know when you have hired one, as you can start to sleep better at night! • They will offload major chunks of the business from your shoulders • Know what to do from past experience • Can make decisions on their own without needing your input • Can hire the rest of their team without needing much help from you • Produce results and solve problems
  • 8. The Temptation • You’re the best person to do x, y, and z and know you’ll get the best results • So you keep doing them • Short term gains like closing a couple more deals seem more important than the long term benefit of building a team
  • 9. Executive Recruiting – The big mistakes • Hiring them later than when they were needed • Hiring the wrong profile • Not a startup exec – not willing to get their hands dirty in the early days • Best startup executives like to start early and get their hands dirty initially before building a big team • Not aiming high enough • Aim as high as you possibly can and use your VCs to help you close
  • 10. Final Reinforcement • Hiring the right executives will pay back in spades • Every first-time CEO who has completed this is amazed by what it does to their lives
  • 12. Remember the Cash Out Graph
  • 13. Avoid Underfunding - not enough cash to reach next milestone Time Valuation Next Key Milestone x Cash Out Date
  • 14. Use the cash out date and financing milestones
  • 18. Vision • Set the Vision • Clearly articulate the vision • Stay close to customers, sales people, customer success people • Make sure it is working and relevant • What to avoid: • Don’t keep changing the vision and the goal posts • Common founder tendency: chase the latest shiny object • Organizations can’t get things done when constantly changing direction
  • 19. Leadership • Communicate the vision • Employees • Customers • Investors • Press & Media • Inspire people to follow • Motivate during tough times
  • 20. Setting the Accelerator Pedal • CEO needs to define the goals • And allocate resources (cash) to how you are going to get there • Ultimately there are key decisions around when to spend • The most common mistake • Spending too much before the business is ready in the hopes of forcing progress
  • 21. Setting the Accelerator Pedal Scaling the Business Search for Product/Market Fit Search for Repeatable & Scalable & Profitable Growth Model Cash Burn We’ve given you the roadmap to avoid the common problems
  • 22. Operational Management • As a company scales it needs an "Operating System” • Example: • Direction setting • Quarterly off-site meetings to discuss strategy and to set the high level quarterly OKRs • Flowing those objectives down throughout the company so that everyone knows what they need to do to contribute • Monitoring, Adjusting and Fixing where needed • Set of KPIs – the metrics that really matter • Regular meetings to review KPIs, discuss progress and resolve issues • Dashboards and alerting systems to highlight issues as early as possible
  • 23. Culture • Culture has a very clear purpose: • Ensures that every employee knows how the company wants them to act in various situations • Can also be used to create a workplace that gets the very best output from talent • A couple of good example culture decks: • HubSpot’s Culture Code • Netflix Culture Deck