There has been a lot of discussion lately in my circles about whether the job market for tech employees has picked up again. Much of it spurred by this article, Surprise uptick in software engineering recruitment. I’ve heard pretty mixed opinions on this including the following comments refuting the uptick.
"I believe this labor market is very challenging. I fully disagree with this author. I wish he was right, but I am not seeing an uptick” - NYC tech recruiter
”We are getting instructions from our clients to recruit engineering resources without hiring recruiters, and to only look offshore.” - fractional CHRO
“I've noticed three insane trends among hiring managers recently. I believe this stems from companies feeling like they always have the upper-hand over candidates, an overwhelming number of inbound applicants, increasingly tight budgets, and the amplified fear of making a wrong hire.” - CEO talent agency
Whether the market has improved or still remains challenging, I do know that there is some activity as I’ve seen plenty of folks in my LinkedIn and other feeds posting about new roles. Given the past several years of layoffs, downsizing, and bankruptcies, I’m very happy for them and wish everyone else considering a new role a quick and successful search. I also want to offer some advice for folks starting a new role.
I’ve started a few new roles in my career and when I consulted, often visiting a new client every week, we used to say that every week was like starting a new job. It was a bit daunting to start off most Mondays not knowing who anyone was, where the bathrooms were, or how anything worked. All with the expectation that by Friday we knew enough to make solid recommendations about how to fix their scale issues. Besides getting good at identifying patterns, which I’ve written about before, it also helped to get good at listening. The act of keeping quiet and listening always reminds me of a quote by one of my graduate school professors who would ask a question and when no one answered he would say, “I’m a trained psychologist, I can wait all day for an answer.”
The act of shutting up and listening is difficult for most of us but I find this especially true for senior executives who have lots of experience and other people who would be considered an expert in a particular field. I think the reason is that they feel they were hired for their knowledge and expertise. If they don’t demonstrate that rather quickly, are they really worth the large compensation packages that often come with these roles? Under this pressure these folks usually start speaking long before they’ve gathered all of the pertinent information.
This is why I strongly recommend that people give themselves 60-90 days to listen, get to know folks, learn the history of the people and company, build relationships, hear why decisions were made, and especially don’t make decisions, proclamations, or changes. Even if the median tenure in the US is only 4.1 years, with younger employees, especially Millennials, having even shorter tenures, averaging around 3 years, the time spent those first two to three months learning and listening will pay dividends over the next few years.
There is a famous parable by G.K. Chesterton, an early 20th century author and philosopher. He was known as the “prince of paradox” and Time magazine noted, “Whenever possible, Chesterton made his points with popular sayings, proverbs, allegories—first carefully turning them inside out." The parable is known as Chesterton’s Fence and is found in Chesterton’s 1929 book, The Thing, in the chapter entitled, “The Drift from Domesticity”:
In the matter of reforming things, as distinct from deforming them, there is one plain and simple principle; a principle which will probably be called a paradox. There exists in such a case a certain institution or law; let us say, for the sake of simplicity, a fence or gate erected across a road. The more modern type of reformer goes gaily up to it and says, “I don’t see the use of this; let us clear it away.” To which the more intelligent type of reformer will do well to answer: “If you don’t see the use of it, I certainly won’t let you clear it away. Go away and think. Then, when you can come back and tell me that you do see the use of it, I may allow you to destroy it.
Stated more concisely, “Don’t take a fence down until you know why it was put up.”
As a newly hired leader or expert, it is well within your purview to change things and in fact that is most likely why you were hired. However, changing things once you understand why they were placed there in the first place, is very different from changing things because they seem odd to you but you don’t know what purpose they serve.
Let’s look at a couple real world examples, first with Microsoft’s CEO, Satya Nadella, and then with J.C. Penney’s CEO, Ron Johnson. When Satya Nadella took over as CEO of Microsoft in 2014, one of the divisions under scrutiny was the Xbox gaming division. At that time, there was considerable debate about whether Microsoft should continue investing in Xbox. Some analysts and executives believed that Microsoft should focus exclusively on its core enterprise and cloud businesses, which were seen as the future growth areas, rather than consumer products like Xbox, which appeared to be a distraction.
A quick, decisive leader might have opted to sell off the Xbox division or significantly reduce its investment, focusing resources entirely on enterprise software and cloud computing. This could have seemed like the logical choice to streamline operations and boost profitability.
However, Nadella chose not to make any immediate decisions regarding Xbox. Instead, he spent time understanding the gaming division’s place within Microsoft, its potential for growth, and its strategic importance. Nadella recognized that Xbox was not just a gaming console; it was a key part of Microsoft’s broader consumer strategy and a critical asset in the living room, serving as a gateway to other Microsoft services and products. He also saw the potential of the Xbox platform as a pioneer in cloud gaming, which aligned with Microsoft's growing investment in cloud infrastructure.
By taking the time to understand these factors, Nadella decided to keep and even further invest in Xbox. This decision allowed Microsoft to leverage its strengths in cloud computing to launch initiatives like Xbox Game Pass and Project xCloud (now known as Xbox Cloud Gaming), which have become central to Microsoft’s gaming strategy. These services have positioned Microsoft as a leader in the emerging cloud gaming market, providing a significant competitive edge over rivals.
Had Nadella made a snap decision to divest or downscale the Xbox division, Microsoft could have lost out on this critical market and the opportunity to integrate its gaming and cloud strategies. Instead, by taking a measured approach and fully understanding the long-term potential, Nadella's decision to support Xbox contributed to a more cohesive and forward-thinking strategy for Microsoft as a whole. This approach not only preserved but enhanced Microsoft’s position in both consumer and enterprise markets.
Now, let’s look at a leader who acted like Cherston’s “modern type of reformer” acting too hastily. Ron Johnson, who had previously been highly successful at Apple, was hired as CEO of J.C. Penney in 2011 with the goal of turning around the struggling department store chain. Johnson was seen as a retail visionary, credited with the creation of Apple's retail stores, and he brought with him bold ideas for transforming J.C. Penney.
One of Johnson’s first and most controversial decisions was to completely overhaul J.C. Penney’s pricing strategy. He eliminated the company’s traditional sales and couponing strategy, which had been a staple of its business model for decades, in favor of a new “everyday low pricing” model. Johnson believed that this change would simplify the shopping experience and attract more customers by offering consistent, fair prices without the gimmicks of constant sales.
Johnson made these changes rapidly, without fully understanding why the existing pricing strategy was in place or how deeply it was embedded in J.C. Penney’s customer base. The company’s core customers had come to rely on the frequent sales and coupons as part of their shopping habits. By removing these discounts, Johnson unintentionally alienated a significant portion of the store’s loyal customer base. The “everyday low pricing” strategy failed to attract new customers in the way he had hoped and instead led to a sharp decline in sales and foot traffic.
The decision to overhaul the pricing strategy without fully understanding its importance to the company’s customers had disastrous consequences. J.C. Penney’s sales plummeted by 25% in 2012, leading to a significant drop in stock price and the loss of billions of dollars in revenue. The company was forced to backtrack on many of the changes, and Johnson was eventually ousted as CEO in 2013 after only 17 months on the job.
Ron Johnson’s decision to eliminate sales and coupons without understanding why they were in place serves as a cautionary tale. Had Johnson taken the time to understand the reasons behind J.C. Penney’s traditional pricing strategies—much like the principle of Chesterton’s Fence advises—he might have approached the company’s transformation more cautiously, preserving the aspects of the business that were valuable to its customers while still finding ways to innovate. Instead, the hasty decision led to a rapid decline that J.C. Penney has struggled to recover from since.
This example highlights the importance of thoroughly understanding existing practices before making major changes, particularly in a well-established business with deeply ingrained customer expectations.
Below is a 90-day plan that I’ve used previously. Of course, as Field Marshal Helmuth von Moltke stated, “No plan survives contact with the enemy.” These types of plans are not set in stone. You probably know very little about the company, the people, the operations, the issues, etc. despite numerous rounds of interviews. You will learn more in the first week of full time work than you will in all your interviews. You need to be nimble on your feet and prepared to deviate from your plan when necessary. If you were hired because of a crisis and you can’t wait a month or two to make a critical decision, obviously make the decision. Don’t wait just because your plan says so.
90 Day Plan
Days 0 - 30: Meet & Listen
Objective: Establish a strong understanding of the company culture, team dynamics, and current ongoing projects and strategies.
Week 1-2: Introduction and Initial Assessment
All Hands Meeting: Host a virtual meeting to introduce myself, outline my initial 90-day plan, and reassure continuity in strategy and vision. Emphasize an open-door policy for communication.
Executive Meetings: Schedule one-on-one meetings with each member of the executive team to understand their current projects, challenges, and departmental dynamics.
Week 3: Deep Dives
Skip-Level Meetings: Conduct meetings with VPs/Directors to understand their teams' perspectives, gather insights into operational effectiveness, and assess organizational morale.
Employee Roundtables: Initiate small group discussions with managers and individual contributors to gain ground-level insights, understand their challenges, and assess needs.
Week 4: Customer Engagement
Customer Roundtables: Participate in discussions with existing customers to understand their journey, experiences, and expectations from our products/services.
Feedback Analysis: Review customer feedback reports and satisfaction surveys to identify patterns and areas needing improvement.
Days 30 - 60: Assess & Plan
Objective: Analyze the information gathered, validate initial hypotheses about necessary changes, and start strategic planning for execution.
Week 5-6: Strategic Assessment
Operational Review: Evaluate critical business processes. For instance, assess whether real-time data is aiding informed decision-making.
Organizational Review: Identify gaps in the organization affecting efficiency and growth. Using the data example, determine if the current team's skill set aligns with the analytical demands of real-time dashboard maintenance
Week 7: Resource Planning
Skill Gap Analysis: Collaborate with HR to analyze current talent and identify areas needing skill enhancement or new hires.
Strategic Hiring Plan: Develop a hiring strategy for critical roles, focusing on immediate needs and future organizational scaling.
Week 8: Initial Planning for Change
Change Blueprint: Draft initial plans for necessary changes in product development processes or other areas identified during the assessment.
Communication Strategy: Plan how these changes will be communicated broadly to ensure transparency and buy-in.
Days 60 - 90: Execute Critical Changes
Objective: Begin the implementation of strategic changes, fill critical roles, and establish a feedback loop for continuous improvement.
Week 9-10: Implementation Kick-off
Critical Hiring: If critical roles need to be filled, accelerate the hiring process, ensuring a smooth onboarding transition.
Process Overhaul Introduction: Launch the introduction of new frameworks, principles, methodologies, or other significant changes. This may include training sessions, workshops, and team meetings.
Week 11: Feedback and Adjustment
360-Degree Feedback: Implement a comprehensive feedback mechanism on the changes made, including anonymous avenues to ensure candid feedback.
Immediate Course Correction: Analyze feedback and immediately address any areas causing confusion, concern, or disruption to ensure alignment and maintain morale.
Week 12: Consolidation and Future Planning
Review Meetings: Conduct follow-up meetings with key department heads to assess the impact of the newly implemented changes.
Future Strategy Outline: Begin drafting a comprehensive strategy for the next phase post the 90-day mark, incorporating learnings and feedback from the initial quarter.
Continuous: Throughout the 90 days, maintain an open channel for communication, encouraging feedback and ideas, ensuring employees at all levels feel heard and valued. This approach will foster a culture of trust and collective growth.
As a manager, I often put together a 90-day plan for new hires that are my direct reports. Some individuals might come with their own plan and they can simply integrate the two. I also think it’s important for a new hire and their manager to review the 90-day plan at least every other weekly 1:1 session to make sure the person is on track. I also find that you cannot meet enough with a new hire on your team. Plan on being the first person they meet after onboarding and meet with them for 15 min every day for the first week or two. Closing out the day with your new employee, answering any questions that might have from the day, providing them insight into topics they learned about, goes a long way to help them on board quickly.
By following this, or some other similar, 90-day plan, you can ensure that your decisions are informed by a deep understanding of the company’s history, culture, and operational dynamics. This approach not only mitigates the risk of making hasty changes that could backfire but also builds trust with your new team, setting the stage for long-term success. In the fast-paced world of business, it's tempting to act quickly, especially when you feel the pressure of being a highly paid executive or expert, but as the examples of Satya Nadella and Ron Johnson illustrate, the wisest leaders know the value of listening, learning, and planning before they leap.
Hi Mike - I'd like to ask you a question and Substack isn't all that straightforward to engage. Mind dropping me a note when you have a moment? https://jonathandunnett.com/contact/