Top Stories: News: Stanford GSB

FOR FURTHER INFORMATION: Helen K. Chang, 650-723-3358, Fax: 650-725-6750

It's the People Skills! Say Entrepreneurs

February 22, 2003

STANFORD GRADUATE SCHOOL OF BUSINESS—Reading people and blending their skills and personalities into a solid team is more art than science, according to several entrepreneurs who spoke on panels during the seventh annual Entrepreneurship Conference Feb. 22 at the Stanford Graduate School of Business.

Entrepreneur Richard P. Gabriel offered a paradox: "Almost nothing successful was designed to be that way. Either it accidentally became a masterpiece or it was the result of constant revision and change."

Gabriel, who holds the title Distinguished Engineer at Sun Microsystems and is also a published poet and a lead guitarist in a rock band, said it's important to bring together a range of skills and interests when building an entrepreneurial team.

"What I look for is diversity. People who are diverse in their talents. People who are used to failure. People who are used to revision. … Creativity is largely a matter of triggers. You need a diverse amount of material and a diverse group that can respond without ego."

Gabriel, who founded Lucid Inc., a Unix software company, said the kind of people who make the best startup teams are not necessarily the ones who will stay with the company for the long run, but panelist Ariel Poler, MBA '94, counseled against bringing on a professional team too soon.

"Don't hurry. There's too much weight put on speed," said Poler, chairman and cofounder of Topica Inc., an email publishing solutions company. Take the time to find the right person and don't trust references, he said. "People here just don't like giving bad references. Resumes are like ads. Do you believe an ad?" Personally, he said, the best reference is his gut reaction to the person.

Jana Rich, a headhunter for e-companies, said the candidate's reference list is just a starting point. "Our average search today includes 10 to 15 references, of which 75 percent have not been given to us by the candidate." Rich, MBA '96, said when a hire doesn't work, it usually isn't because of poor skills but a bad culture fit.

Gabriel warned against being dazzled by a big brain. "Just because someone is smart doesn't mean he's the right person for your company."

Panelists comparing notes on "Beyond the Garage: Generating Ideas That Work"—all GSB alumni—agreed they wished they had focused more on "touchy-feely," the Business School's Interpersonal Dynamics elective.

During her last semester of business school, Kelsey D. Wirth, MBA '97, cofounded the company that developed the Invisalign technology for straightening teeth using a series of clear retainers. Wirth, who studied literature as an undergrad, said, "I was stressed by all the quantitative courses. I blew off human resources."

Jeff Maggioncalda, MBA '96, president and CEO of Financial Engines, an investor advising company, urged students to "Know yourself. Figure out what you enjoy and what you're good at and hire people who are good at what you lack. I've learned the most about having difficult conversations with people."

Kevin Taweel, MBA '92, chairman and cofounder of Asurion, a technology insurance company, said, "I don't know if you can take a course in having difficult conversations."

Joel Jewitt, MBA '88, quipped, "Practice on your roommates."

Jewitt, the cofounder and vice president of development for Good Technology Inc., a Silicon Valley startup that makes products and services for personal digital assistants, said starting a business was a lot like taking a long bike trip. "How do you act when you're tired and resources are scarce? If you're not taking touchy-feely, do," he advised students in the audience. "In the end, that's the most mind-blowing thing. It won't be accounting. It'll be about you and how you're responding to people."

—Teresa Moore

Stanford GSB News

It's the People Skills! Say Entrepreneurs

Related Links