How to hire a lot of talented people, very quickly
ryanleecarson.tumblr.com
ryanleecarson.tumblr.com
We've been working the 4-day work week far longer than we've had VC money. Our first investment came in the fall of 2011, long after we existed as a company, and we were profitable prior to raising VC.
Our support team also works a bit on the weekend (around 3 hours per day), and that's something we're working on fixing by adding to the team.
In general I don't think people on our team work more than 32-35 hours or so. One exception is our support team, and that's something we're working on remedying.
Look, I know little about Treehouse, but I read the blog when things appear on HN. It looks like a useful product, and seems to be run by sincere guys. But you're talking about attracting good talent when you're able to offer amazing benefits, salaries and a 4 day work week. That is only possible because you're swimming in cash, and you're only swimming in cash because this space is still riding the upswing of the business cycle. The market will sort this out, and one only has to look around to see that. It's unsustainable. How old is your business? Let's see if you're still working 4 day weeks in five years.
That said, it's probably a great place to work. Kudos for sharing the wealth with your employees.
I'd say that's pretty good proof that it's not just sustainable, it's also very smart.
You started a business in 2007 using a 4 day work week and it was acquired in 2008? That's not evidence of sustainability. Smart? Yes, apparently. But is that business still using a 4 day week?
Yes, the acquired company still runs a 4-day week.
In general I saw that developers working on "a secret sauce" (i.e., engineers in Oracle working on RDBMS, etc.) are not working more than 35 hours a week while developers working on some generic CRUD crap work all days and night.
Now the challenge is to hire developers which can work on or develop your "secret sauce"... which is point of this post.
As I understand it, Henry Ford chose a 40-hour work week because he found that it maximized the total output of his employees. Computer programming is (minute-for-minute) considerably more demanding than working an assembly line. Maybe an average programmer maximizes her total output when she works substantially less than 40 hours a week. In fact I'd be surprised if that weren't the case.
And of course you could still run the service if you guys worked four-day weeks. Just make sure somebody's working on any given day.
Hacking code may be more mentally taxing, but if you need to take break (for the bathroom or whatever) you can do it on your own schedule -- not on your lunch break like a lot of factory workers.
The only thing is, it needs validation. I hope the company does really well in the long run, and therefore puts 4-day work week on the table for others to follow. Wouldn't that be great...
We've been doing a 4-day week since 2007, so it's been five years and thankfully we've been successful.
I covered quite a bit of it here: http://ryanleecarson.tumblr.com/post/21708810513/4-day-week and also here: http://ryanleecarson.tumblr.com/post/21776487625/a-lot-of-fo...
the video was exactly what I was looking for.
I think limited hours per day makes more sense. People can be laser focused for 5 or 6 hours per day if you give them a good work environment. Once you move to the usual 9 or 10 hours per day, personal life gets in the way and people goof off, achieving as much productivity as in the focused 5 hours.
If you want to reduce the total hours per week, doesn't it make more sense financially to work fewer hours per day but for five days and be able to pick up your kids at an earlier time each day? I would think that would be the case for most family folk. Don't your kids get off school or child care at somewhere around 3pm? Who takes care of them between 3pm and 6pm and how much does it cost you?
Finally, what a family person wants differs from what a single 20-something year old wants. 9am works great for a family man. 9am does not work fine for a 20-something year old, but in the majority of companies the family man is the boss and dictates the 9am start time.
It's interesting how you think a 20-year old can't fit into the world's normal working hours. I managed just fine working normal hours when I was in my 20s.
Regarding younger folks, most people work regular work hours in their 20s, but if you take a poll, I bet plenty of them would prefer other arrangements. In a city like New York, there's plenty to do between the hours of midnight and 4am any night of the week, regardless of one's view of such activities. To paraphrase one founder from a previous job, "it's fun going out Sunday nights. You get to meet the people who don't have a 9-to-5 job." If you think back to college, where people could more or less choose their daytime schedule, most students did not go to sleep before 1am. Being stuck signing up for the 9am class was a major disappointment for people. At the same time, though, lining up your schedule to have every Friday off (which was a rare possibility) was highly prized!
My generalization is that people in their 20s favor flexibility to accomodate nightlife (and fun in general), whereas family folk favor a set reliable schedule structured around their kid's schedule and maximizing time with the significant other.
Bottom line though, employers should sit down with their hires on the first day and ask them what's important to them in their personal life so it can be accommodated.
Explain why 9am does not work for a 20-something. Yes, I am a family guy as well, but even when I was single, I was at work by 9am almost every day at the ripe old age of 21. If you said your reason was, "I don't like waking up before 9am," I'll buy that, but the position you state is an empty one at best without some sort of evidence.
At least in school you get a whole summer to recover.
As one of Helidor's other posts mentioned, it needs to be mentioned that a flexible schedule/later "clock-in" time is acceptable as long as you get your work done if that's what an individual truly cares about. This all comes back to the position that I and most others I know hold, and that being that you pick your values that you won't budge on, make them known, and poke around until you find something that fits.
To your point of being forced to do something you don't want to do, having been in a company that "forced" me to work 60+ weeks on a regular basis and having almost no time to spend with my family drove me up the wall. I bounced out as soon as I found something better. That presented a very big challenge for all three of us in my family to the point where my kid wondered if I was going to be home in time to put her to bed some days. Hearing those kinds of statements from your kid really puts things into perspective and makes you see if what you are doing is really worth it.
You could say the same about lowering prices: "why should I lower my prices to $X, what's next, $X-1?" If it gives you a competitive advantage, and yet you are still able to profit and succeed, then the economics of it make sense.
Given how young they are and that their investor list includes the likes of Kevin Rose and Reid Hoffman, I'm going to go with the latter.
I operate a small ecommerce company with about 15 employees that include everything from developers to warehouse workers. There's no way I could sustain such benefit list and I know none of my competitors could either. There's just not a high enough margin (and we're in a high margin business).
The answer might be that a company whose product is "knowledge work" might be in a different boat, but it really makes me wonder if you can sustain that kind those kinds of benefits when you're standing on your own two feet.
Now that we've raised $5m, we can increase our burn to outpace our revenue to speed up customer acquisition and product development.
However, one thing that would still appeal to me more though as a developer would be the ability to work remotely.
It's surprising even to me that I'd rather do 20% more work for the same money if it's at home!
I also suspect this would make it easy to 'hire talented people, very quickly' as it opens up the whole world to you in terms of candidates.
What are your thoughts on this Ryan?
Edit: I have to apologize. I overlooked that the names are made up, so the following statement is incorrect. Sorry Ryan!
Sadly, I have to whine about some privacy issues: I don't approve of Ryan Carson's publishing the names of his applicants how it can be seen in the screenshot at [1]. I'm quite sure these are real names beloging to their applicants, and I wouldn't like to see my name published when I'm applying for a position at this company. On top of that, I would feel sad to see that my name had been greyed out but Person XY has advanced to the next stage.
Perhaps it is better to anonymize the information as I suspect it was not Ryan's intention to publish these names.
[1] https://trello.com/board/hiring-process/4fc4942316b650d22d09...
It's also a great talking point with clients. The 4DWW is gaining traction in the wider world: I was interviewed this week on dot-au national television to talk about it.
(and living on 50-60k in Portland is fine even if you have kids; it is poverty unless you're either long established (own a home from the 1990s, or cheap rent), or alone. This opens up a lot more potential hires for non engineering roles)
1) Paying $20k-$50k to a recruiter, per person 2) Taking good care of your team so you get tons of applications for every job opening, from very talented people
Keep in mind that there's also a huge cost to attrition. Every person that leaves your company, because the culture is so-so, costs you a huge amount in time and cash resources to replace
Those are normal benefits in corporate America. The 6% 401k match level is an IRS safe-harbor threshold most large employers try to meet each year. Even the vacation time (18 days) is modest for your European competition. I don't see where any of that is getting bubbly.
For a small company that's growing this quickly, it's probably going to take more than 12 months to know for sure if a hire is good or not. Declaring them as good does not make them so. I'd be interested to see a follow up post 12 months from now giving an update on retention rates and any hiring process updates they've subsequently made.
I have a pretty good sense, based on experience, whether someone is a good hire or not. You often know within 30 days.
My criticism was limited to your early declaration of victory on your hiring binge. The bottom line is that you can't know if someone is going to end up ROI positive until they actually get there. After 30 days you can tell if someone is a good dude and they can get stuff done, but you can't tell if some other company will come along in 2 months and poach him. Shit happens.
By building a strong culture you are taking good steps to minimize the chances of losing people, but you won't really know if you've succeeded with these hires until they are a net positive.
Product
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Teaching
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If that's the case (which I'm now doubting considering what they teach) I can only see the bottle neck being onboarding. It can take a lot of effort and time to get one developer up to speed, never mind dozens of them in a matter of months.I am currently just starting to use treehouse to train a group of new grads for the company I work at. I'm very impressed with the site.
@Ryan : if I was in your region, I would so be applying for a job ;)
It makes some kind of sense: boxing the time for creativity ends up killing it.
John Cleese argues the opposite: https://www.youtube.com/watch?v=VShmtsLhkQg
From the rest of your comment, it seems to me that the feeling that it's a chore might be more the reason it kills creativity - not the setting aside time in and of itself. If you don't look forward to that time (not saying that's a bad thing, one way or the other), you probably won't get much out of it.