The big news in this corner of the world are the layoff announcement at Microsoft. Steve Ballmer’s email drops this midway through an email this morning:
As part of the process of adjustments, we will eliminate up to 5,000 positions in R&D, marketing, sales, finance, LCA, HR, and IT over the next 18 months, of which 1,400 will occur today. We’ll also open new positions to support key investment areas during this same period of time. Our net headcount in these functions will decline by 2,000 to 3,000 over the next 18 months. In addition, our workforce in support, consulting, operations, billing, manufacturing, and data center operations will continue to change in direct response to customer needs.
It’s the biggest cutback in company history and my thoughts go out to anyone who is impacted today.
My take:
The best summary of news so far and juiciest insider comments can be found at mini-microsoft.
In response to my post on the lost cult of PM at Microsoft, Charlie Owen’s was kind enough to post his notes from a conversation with Joe Belfiore, my first boss as a PM, and now a VP at Microsoft, where he outlines what it takes to be a great program manager.
1) Maniacally focus on building a product your customers will love.
- Pound, pound, pound on the features while they are being developed all the way through the process.
- Constantly ask ‘How do we know this is good?’
- Perceive the reaction of others to your features.
- Know others will want to have an opinion.
- Recognize constraints make it hard to develop products customers will love.
- This takes energy, persistence and creativity.
Highly recommended. It’s short, memorable and hard to achieve. Read the full post: Success factors for program managers
An interesting follow up question is if great PMs focus on making products customers will love, why does it seem Microsoft generally fails at this.
Some of you know I worked at Microsoft years ago (‘94-’03) as what they call a program manager. In any other company the job would be known as team lead or project manager, and it was an awesome job.
When I was hired 1994 there was a cult around the role. Program Managers had a reputation for being people worthy of being afraid of for one reason: they knew how to get things done. If you got in their way, they would smile. And then eat you. They drove, led, ran, persuaded, hunted, fought and stuck their necks out for their teams with an intensity most people couldn’t match. The sort of people who eliminated all bullshit within a 10 foot radius of their presence. How to be this way, and do it without being an asshole, was one of the things I tried to capture in my book, Making things happen. All teams need at least one leader who has this kind of passion and talent regardless of where you work or what you’re working on.
But that cult has faded. I have many friends and a few clients at Microsoft, and talk with more through email and on the pmclinic discussion list, and I’m convinced true PMs are a dying breed. I suspect they were a dying breed before I started at the company and I was just lucky to be hired into a pocket still running strong. Group managers like Joe Belfiore, Hadi Partovi, Hillel Cooperman, and Chris Jones all created a landscape for PMs like me to drive and lead their teams, and made it possible for us to do a lot of good for our teams that no other role could do.
One change is the enormous growth of Microsoft since I was hired. I started in ‘94 as employee #14,000 something, and now there are nearly 90,000. Bureaucracy, overhead and dead weight collect in big successful companies and Microsoft is no different. This makes it much harder to consolidate the kind of power a PM needs to behave the way I described above. The PM role has been stretched so thin there are PMs for everything, and if ever a position needs to be created that isn’t quite a marketing, programmer or tester position, but isn’t a leadership or management role, the PM label gets used anyway. Somehow it’s a crime for there to be more than 10 job titles at a company. I’m not sure why.
In many cases teams have so many PMs, and authority is so loosely distributed, than would should be simple decisions require a meeting of 8 or 10 or 15 people. Cycles of meetings on the theme of “are you ok with this? How about you? And you?” As if everyone deserves a vote on every decision. This kills momentum and wastes the value of what PMs can do. And as this goes on for years, with larger and larger staffs, no one knows what it’s like to have a clear, fast process for making basic decisions. Few remember what it feels like to be on team that has synergy, clarity, trust and focus, eliminating the need for hand-holding, triple level reconfirmations, and spending hours every week un-reversing decisions that should never have been reversed in the first place.
I hear from PMs who I suspect no longer recognize 3 hour meetings that are 100% guaranteed to be a complete waste of time, because many of their meetings are complete wastes of time. By the same token, I know PMs who work on teams that are entirely out of control, and failing in the marketplace, who think it’s normal for a team to be entirely out of control and failing in the marketplace. They’ve never seen anything else. And sadly in some cases, neither have their bosses, or (gulp) their VPs. They believe a PM is supposed to feel, much of the time, useless, ignored, and in the way. Instead of realizing that those feelings come from their failure, and the group managers failure to enable them, to do what the role was designed for.
I gave a lecture at Microsoft before I left in ‘03 titled The problem with program managers that outlined many of these problems and what can be done to avoid them. All management roles run the risk of being wastes of space, and project management roles are no different. And if there’s interest I’ll pull some of those nuggets out into future blog posts.
But are there still surviving pockets of old school PMs? If so, I’d love to hear from you, at Microsoft or elsewhere.
Per Richard’s complaint, I’ve finally answered the questions mentioned back in September (hanging head in shame), when I spoke at Microsoft Research’s speaker series.
These were some of the questions I was asked during Q&A, with fresh and extended answers:
Q: How do you rationalize your statement that there is no single method for innovation, with your advice for managers (delegate) at the end of your talk?
The advice I gave (delegate, take risks, reward initiative) is the best basic advice for the most common problems I see in my travels. The three most common failings in managers that say “I want my team to innovate” are failing to trust their teams (delegate), failing to make big bets (take risks), and penalizing people for following their ideas into controversial territory.
This isn’t a magic recipe that works 100% of the time, but if I’m talking to a crowd of 200 people and know nothing about their individual circumstances, this is the first advice I offer. Its’ simple stuff, but still rare even when the I-word is thrown down as a goal.
Q: In your Luddite example you pointed out how hard it is to make change happen. Any advice for innovators on working around this challenge?
1. Pick your manager carefully. Your direct boss has more influence on your ability to take risks than anyone else in the company. I’d rather work on a boring, v12 product with a great aggressive manager who wants change to happen, than be on super-duper cutting edge big budget team, with a scared, conservative, Paxil addicted manager who says No to everything.
2. Don’t call what you’re doing change. Call it satisfying customers. Call it making money. Find some other attribute that your idea will provide the company and focus on talking about that instead. Don’t say “This is a huge revolution in blah blah blah.” Instead pitch something like “This plan will eliminate our top 5 customer complaints and improve sales by 10%”. Make a non-change centric argument. It’s not hard. Fish through the project and division goals for a good angle to pitch your ideas.
3. Find allies. Study any revolution and you’ll find cabals, coalitions, and partnerships. Who are your partners for change? You have to weigh the size of your ideas against the size of your political power. Have big ideas? Get more power. Can’t get more power? Pitch smaller ideas until you have proven yourself and earned more power or credibility (which is a kind of power). Look for who else is pitching ideas and what results they get. Pay attention to what arguments work in your culture.
Q: Is Microsoft an imitator? Given your experience here and elsewhere, how do you view the perception of MSFT and other companies as innovators or imitators?
Study the history of any idea and the notion of originators and imitators gets fuzzy fast. Neither Microsoft nor Apple invented any of: GUIs, Mice, Web browsers, Digital music players, cell phones, touch-screens, video games, icons, ethernet, Wireless networking, windows/menus, multi-tasking OSes, and on it goes. An entire chapter of the Myths of innovation explains how futile it is to worry so much about being first. How about being good? Making the best thing or the best manifestation of an idea? It’s a more potent criticism of Microsoft to say their products are bad or hard to use. Or boring. Or unreliable. Those are criticisms of design attributes that might lead to productive conversations.
Regarding being first, consider the i-pod and i-phone. The i-pod is a fantastic design for a portable music player but it’s far from the first implementation of the idea (The Sony walkman doesn’t get mentioned nearly enough in that conversation). The i-phone is far from the first cell-phone, and probably the 500th design of a telephone. Who cares who was first? Most of the time I don’t. History favors people who do things well, more than who does them first. Edison and Ford weren’t technically first with the idea for light bulbs or cars. Do you care? Probably not.
For this reason critiques like Microsoft The Innovator? that try to prove Microsoft is not innovative are just silly. Apple doesn’t show up well either as the first originator of big ideas in technology. Few major corporations ever do. By the time it’s in productizable form, an idea has been touched by many many people and often many different companies. And the skills required to manage a mass market product are very different than those required to invent a new kind of mass market product.
What I think people mean to say about Microsoft, really, is that their products are never inspiring to consumers. They do not generate excitement in the way people think innovations are supposed to. Instead they have earned a reputation for being generic, bland and corporate, with lots of blue and gray and little personality. This is hard to refute (There are exceptions, like XBOX, Encarta, Citysearch, Expedia, and Zune, but Microsoft has never used PR and branding to promote them as more than that). Stereotypically when Microsoft enters a market behind other companies they do little to differentiate themselves in consumer visible ways. They match features, offer generic branding, and chase. Microsoft has always been great at the chase. Part of the reason is that Microsoft has always been mostly a mediocre products company, but a strong platforms company. The big bets are not on the products, but on the strategies behind the products, which explains the occasions they’ve been successful in markets with superior competing products: the superior business model won against a superior product.
Anyway, this is a fun question but it doesn’t lead anywhere practical unless you are a CEO. For the rest of us the best thing to focus on is making something great. Make a great thing. Fuck, make a good thing: half the companies out there can’t even do that. Don’t worry about being new, or who you are imitating (unless you’re breaking the law), just make something that solves a real problem for people and you’ll be way ahead of the curve. If you make a superior product it’s guaranteed some of your ideas with be seen as creative or original, but they’re most often found as a by-product of trying to solve a problem really well. Innovation as a concept is a red herring. It’s slippery, misleading and distracting. I use the word as little as possible and recommend you do too.
Q: What is the role of culture in making innovation happens? Are there really as many recluses and lone geniuses as we think?
Easy one first: true recluses are rare. Most famous genius types had friends and collaborators whose role is often ignored in our hero worship. They had parents, friends, and sometimes even collaborators. Isaac Newton, one of the most reclusive of the recluses, had allies in the Royal Academy of Science that helped publish his papers and advocate his interests.
Thinking as a manager, culture is everything. If you think of ideas as a kind of wildlife, only certain types of environments are habitable by ideas. The job of any manager or leader is to create an environment for ideas to thrive. In chapter 7 of the Myths of Innovation I break creative culture into the following elements: Life of ideas, environment, protection, execution, and persuasion. Many of the famous centers of innovation in history scored well on these factors and the book explores some of those stories. If you’re culture is idea-averse, or loves to shoot down ideas quickly, you could have DaVinci and Einstein on your squad and invent nothing. The corporate world should be hiring more anthropologists to help us see the cultures we’re unintentionally making.
Have more questions on Microsoft, Innovation or culture? Fire away in the comments.
When Making things happen came out in March, I did a few talks here and there to help promote the new edition, including a stop at a little place called Microsoft, in Redmond, WA. They videotaped the talk and it’s now available online.
You need to be running IE, or using the IE plugin for firefox, for the video to play. Sadly it appears to run on Windows only (I know, I know – its not my choice):
Title: How to make things happen
Description: What are the secret tactics used by successful project managers? How can people in any role, from development to management to design, benefit from their playbook?This fun, fast-paced, and interactive talk, loosely based on the bestseller Making Things Happen (formerly known as The Art of Project Management), explains how to make good things happen, and how to triumph over powerful people who are annoying and frustrating. Bring your toughest questions and situations for the Q and A, where Scott gives away signed copies of the brand-new, updated edition of Making Things Happen.
Watch the video for How to make things happen
Had a nice crowd of about 150, plus another 300 online at Microsoft today. The talk will be posted soon on the Microsoft research site, but in the meantime here are some of the good questions I was asked.
If you were there and recall others, or have some to add based on the Myths of Innovation talk (youtube version here for non-microsofties), fire away:
I’ll update this with my answers shortly.