Ben Horowitz
Ben Horowitz
Ben Horowitzis an American businessman, investor, blogger, and author. He is a high technology entrepreneur and co-founder and general partner along with Marc Andreessen of the venture capital firm Andreessen Horowitz. He co-founded and served as president and chief executive officer of the enterprise software company Opsware, which Hewlett-Packard acquired for $1.6 billion in cash in July 2007. Horowitz is the author of The Hard Thing About Hard Things: Building a Business When There Are No Easy Answers. In the...
NationalityEnglish
ProfessionEntrepreneur
Date of Birth13 June 1966
I described the CEO job as knowing what to do and getting the company to do what you want. Designing a proper company culture will help you get your company to do what you want in certain important areas for a very long time.
If you have never done the job, how do you know what to want?
How do you make your company a good place to work in general? That's a really, really, really large and complex set of skills. A lot of it is on-the-job training, combined with excellent mentorship.
The thing that's confusing for investors is that founders don't know how to be CEO. I didn't know how to do the job when I was a CEO. Founder CEOs don't know how to be CEOs, but it doesn't mean they can't learn. The question is... can the founder learn that job and can they tolerate all mistakes they will make doing it?
It turns out that is exactly what product strategy is all about—figuring out the right product is the innovator’s job, not the customer’s job.
Generally the reason they fail in the job is, you made some mistake in the hiring process in that you didn't match... them to the needs of your company accurately enough. That's the #1 reason this fails. And that's generally a good place to start: Here's where we are and here's what I didn't recognize about us and about you when I made the decision, and now it is what it is.
You can take somebody's job, you have to take their job, but you don't have to take their dignity.
When I was CEO, and I'd listen to music, a lot of people listen to music and you get inspiration from it. And a lot of things in hip hop are very instructive for being in business. Particularly, hip hop is a lot about business, and so it was very useful for me in any job.
Most of my job and most of what I do is to mentor people. There are a lot of people I work with that I don't have investments in.
As a company gets big, the information that informs decision-making gets massive. Depending upon the prism through which you view the business, your perspective will vary. If two people are in charge, this variance will cause conflict and delay.
I had a terrible time hiring rich people. It sounds funny, but the problem is when things go wrong they can ask, 'Why am I doing this?' You don't ever want anybody asking that question. You want them to say, 'I know why I'm doing it, I need the money, let's go' or whatever it is that draws them.
You can't worry about the mistakes, because you're going to make a lot of them. You've got to be thinking about your next move.
When you look at a company that's already succeeded or is at the very top of its game, it isn't necessarily when it's executing well. It tends to be peacetime - you've defeated the competition, you have the highest margins, the highest multiple.
The laws of business physics have been broken in terms of how many customers you can acquire and how fast. No one in history has ever acquired 450 million customers in the same amount of time that WhatsApp did.