Growth happens by doing things you are unqualified to do - Sahil Lavingia
Burrowing like this tends to happen across startups and even in enterprise companies!
The book “Minimalist Entrepreneur” delves briefly about the dangers of “Peter Principle” playing out in startups. This by all means can play out in all types of companies . The impact would be more pronounced in a startup as relatively young entrepreneurs start with higher designations and they are the decision makers from day one.
What is Peter Principle by the way?
Sahil has suggested a more nuanced approach to over come the effects of Peter Principle playing out in startups . It includes a super customer-centric role for employees in spite of being promoted/paid more. The CEO continuing to be more employee-centric and keeps investing in employee’s success. It’s a long term game and as a leader at times, also need to let go of some employees (if not able provide enough growth opportunities). As a Leader also ensure that you empower employees to help customers , ensure that they have enough resources to succeed and only give high-level strategic direction never needed. He quotes an example of WeWork on how they lost the plot blindly banking on their CEO. No company should be personality driven but should be employee-driven for driving product vision etc.
Creativity is allowing oneself to make mistakes. Art is knowing which ones to keep. — Scott Adams, The Dilbert Principle
The DILBERT PRINCIPLE in Action!
Scott Adams, creator of the comic strip Dilbert, has come up the -The Dilbert principle which kind of supersedes the “Peter Principle”. It is a concept in management developed by him which states that companies tend to systematically promote incompetent employees to management to get them out of the workflow.
What is Dilbert Principle by the way?
Venkatesh Rao goes a step further says “The Gervais Principle” supersedes both the Peter Principle and its successor, The Dilbert Principle. Do check out his deep and insightful piece on The Gervais Principle, Or The Office According to “The Office”
What is Gervais Principle and how does it work?
If Gervais Principle plays out and someone hits a bamboo ceiling in work. As per Gary, Its better stop wasting time on office politics and go build on your own. Go build your own skyscraper !
Check out this relevant video for some lessons from Garry Tan, venture capitalist and founder at Initialized Capital.
0:00 Why I ragequit
2:12 Work and Credit
4:46 Sociopaths, Clueless and Losers
9:38 Opting out of the Bamboo Ceiling
Happy Learning and building your own skyscraper!