Improving collaboration with the Six Thinking Hats
Six Thinking Hats was written by Dr. Edward de Bono. "Six Thinking Hats" and parallel thinking allow groups to plan thinking processes in a detailed and cohesive way, improving collaboration.
Fundamental ideas
In order to develop strategies for thinking about specific issues, the method assumes that the human brain thinks in a variety of ways that can be intentionally challenged. De Bono identifies six brain-challenging directions. In each direction, the brain brings certain issues into conscious thought (e.g. gut instinct, pessimistic judgement, neutral facts). Some may find wearing hats unnatural, uncomfortable, or counterproductive.
The example of "mismatch" sensitivity is compelling. In the natural world, something out of the ordinary may be dangerous. This mode causes negative judgment and critical thinking.
Colored hats represent each direction. Putting on a colored hat symbolizes changing direction, either literally or metaphorically. De Bono first used this metaphor in his 1971 book "Lateral Thinking for Management" to describe a brainstorming framework. These metaphors allow more complete and elaborate thought separation. Six thinking hats indicate ideas' problems and solutions.
Similarly, his CoRT Thinking Programme introduced "The Five Stages of Thinking" method in 1973.
HAT | OVERVIEW | TECHNIQUE |
---|---|---|
BLUE | "The Big Picture" & Managing | CAF (Consider All Factors); FIP (First Important Priorities) |
WHITE | "Facts & Information" | Information |
RED | "Feelings & Emotions" | Emotions and Ego |
BLACK | "Negative" | PMI (Plus, Minus, Interesting); Evaluation |
YELLOW | "Positive" | PMI |
GREEN | "New Ideas" | Concept Challenge; Yes, No, Po |
Strategies and programs
After identifying the six thinking modes, programs can be created. These are groups of hats that encompass and structure the thinking process. Several of these are included in the materials for franchised six hats training, but they must often be adapted. Programs are often "emergent," meaning the group plans the first few hats and the facilitator decides what to do next.
The group agrees on how to think, then thinks, then evaluates the results and decides what to do next. Individuals or groups can use sequences (and indeed hats). Each hat is typically used for 2 minutes at a time, although an extended white hat session is common at the start of a process to get everyone on the same page. The red hat is recommended to be used for a very short period to get a visceral gut reaction – about 30 seconds, and in practice often takes the form of dot-voting.
ACTIVITY | HAT SEQUENCE |
---|---|
Initial Ideas | Blue, White, Green, Blue |
Choosing between alternatives | Blue, White, (Green), Yellow, Black, Red, Blue |
Identifying Solutions | Blue, White, Black, Green, Blue |
Quick Feedback | Blue, Black, Green, Blue |
Strategic Planning | Blue, Yellow, Black, White, Blue, Green, Blue |
Process Improvement | Blue, White, White (Other People's Views), Yellow, Black, Green, Red, Blue |
Solving Problems | Blue, White, Green, Red, Yellow, Black, Green, Blue |
Performance Review | Blue, Red, White, Yellow, Black, Green, Blue |
Use
Speedo's swimsuit designers reportedly used the six thinking hats. "They used the "Six Thinking Hats" method to brainstorm, with a green hat for creative ideas and a black one for feasibility.
Typically, a project begins with extensive white hat research. Each hat is used for a few minutes at a time, except the red hat, which is limited to 30 seconds to ensure an instinctive gut reaction, not judgement. According to Malcolm Gladwell's "blink" theory, this pace improves thinking.
De Bono believed that the key to a successful Six Thinking Hats session was focusing the discussion on a particular approach. A meeting may be called to review and solve a problem. The Six Thinking Hats method can be used in sequence to explore the problem, develop a set of solutions, and choose a solution through critical examination.
Everyone may don the Blue hat to discuss the meeting's goals and objectives. The discussion may then shift to Red hat thinking to gather opinions and reactions. This phase may also be used to determine who will be affected by the problem and/or solutions. The discussion may then shift to the (Yellow then) Green hat to generate solutions and ideas. The discussion may move from White hat thinking to Black hat thinking to develop solution set criticisms.
Because everyone is focused on one approach at a time, the group is more collaborative than if one person is reacting emotionally (Red hat), another is trying to be objective (White hat), and another is critical of the points which emerge from the discussion (Black hat). The hats help people approach problems from different angles and highlight problem-solving flaws.
(Edited)
More on Leadership

Al Anany
2 years ago
Because of this covert investment that Bezos made, Amazon became what it is today.
He kept it under wraps for years until he legally couldn’t.
His shirt is incomplete. I can’t stop thinking about this…
Actually, ignore the article. Look at it. JUST LOOK at it… It’s quite disturbing, isn’t it?
Ughh…
Me: “Hey, what up?” Friend: “All good, watching lord of the rings on amazon prime video.” Me: “Oh, do you know how Amazon grew and became famous?” Friend: “Geek alert…Can I just watch in peace?” Me: “But… Bezos?” Friend: “Let it go, just let it go…”
I can question you, the reader, and start answering instantly without his consent. This far.
Reader, how did Amazon succeed? You'll say, Of course, it was an internet bookstore, then it sold everything.
Mistaken. They moved from zero to one because of this. How did they get from one to thousand? AWS-some. Understand? It's geeky and lame. If not, I'll explain my geekiness.
Over an extended period of time, Amazon was not profitable.
Business basics. You want customers if you own a bakery, right?
Well, 100 clients per day order $5 cheesecakes (because cheesecakes are awesome.)
$5 x 100 consumers x 30 days Equals $15,000 monthly revenue. You proudly work here.
Now you have to pay the barista (unless ChatGPT is doing it haha? Nope..)
The barista is requesting $5000 a month.
Each cheesecake costs the cheesecake maker $2.5 ($2.5 × 100 x 30 = $7500).
The monthly cost of running your bakery, including power, is about $5000.
Assume no extra charges. Your operating costs are $17,500.
Just $15,000? You have income but no profit. You might make money selling coffee with your cheesecake next month.
Is losing money bad? You're broke. Losing money. It's bad for financial statements.
It's almost a business ultimatum. Most startups fail. Amazon took nine years.
I'm reading Amazon Unbound: Jeff Bezos and the Creation of a Global Empire to comprehend how a company has a $1 trillion market cap.
Many things made Amazon big. The book claims that Bezos and Amazon kept a specific product secret for a long period.
Clouds above the bald head.
In 2006, Bezos started a cloud computing initiative. They believed many firms like Snapchat would pay for reliable servers.
In 2006, cloud computing was not what it is today. I'll simplify. 2006 had no iPhone.
Bezos invested in Amazon Web Services (AWS) without disclosing its revenue. That's permitted till a certain degree.
Google and Microsoft would realize Amazon is heavily investing in this market and worry.
Bezos anticipated high demand for this product. Microsoft built its cloud in 2010, and Google in 2008.
If you managed Google or Microsoft, you wouldn't know how much Amazon makes from their cloud computing service. It's enough. Yet, Amazon is an internet store, so they'll focus on that.
All but Bezos were wrong.
Time to come clean now.
They revealed AWS revenue in 2015. Two things were apparent:
Bezos made the proper decision to bet on the cloud and keep it a secret.
In this race, Amazon is in the lead.
They continued. Let me list some AWS users today.
Netflix
Airbnb
Twitch
More. Amazon was unprofitable for nine years, remember? This article's main graph.
AWS accounted for 74% of Amazon's profit in 2021. This 74% might not exist if they hadn't invested in AWS.
Bring this with you home.
Amazon predated AWS. Yet, it helped the giant reach $1 trillion. Bezos' secrecy? Perhaps, until a time machine is invented (they might host the time machine software on AWS, though.)
Without AWS, Amazon would have been profitable but unimpressive. They may have invested in anything else that would have returned more (like crypto? No? Ok.)
Bezos has business flaws. His success. His failures include:
introducing the Fire Phone and suffering a $170 million loss.
Amazon's failure in China In 2011, Amazon had a about 15% market share in China. 2019 saw a decrease of about 1%.
not offering a higher price to persuade the creator of Netflix to sell the company to him. He offered a rather reasonable $15 million in his proposal. But what if he had offered $30 million instead (Amazon had over $100 million in revenue at the time)? He might have owned Netflix, which has a $156 billion market valuation (and saved billions rather than invest in Amazon Prime Video).
Some he could control. Some were uncontrollable. Nonetheless, every action he made in the foregoing circumstances led him to invest in AWS.

Sammy Abdullah
2 years ago
Payouts to founders at IPO
How much do startup founders make after an IPO? We looked at 2018's major tech IPOs. Paydays aren't what founders took home at the IPO (shares are normally locked up for 6 months), but what they were worth at the IPO price on the day the firm went public. It's not cash, but it's nice. Here's the data.
Several points are noteworthy.
Huge payoffs. Median and average pay were $399m and $918m. Average and median homeownership were 9% and 12%.
Coinbase, Uber, UI Path. Uber, Zoom, Spotify, UI Path, and Coinbase founders raised billions. Zoom's founder owned 19% and Spotify's 28% and 13%. Brian Armstrong controlled 20% of Coinbase at IPO and was worth $15bn. Preserving as much equity as possible by staying cash-efficient or raising at high valuations also helps.
The smallest was Ping. Ping's compensation was the smallest. Andre Duand owned 2% but was worth $20m at IPO. That's less than some billion-dollar paydays, but still good.
IPOs can be lucrative, as you can see. Preserving equity could be the difference between a $20mm and $15bln payday (Coinbase).

Looi Qin En
2 years ago
I polled 52 product managers to find out what qualities make a great Product Manager
Great technology opens up an universe of possibilities.
Need a friend? WhatsApp, Telegram, Slack, etc.
Traveling? AirBnB, Expedia, Google Flights, etc.
Money transfer? Use digital banking, e-wallet, or crypto applications
Products inspire us. How do we become great?
I asked product managers in my network:
What does it take to be a great product manager?
52 product managers from 40+ prominent IT businesses in Southeast Asia responded passionately. Many of the PMs I've worked with have built fantastic products, from unicorns (Lazada, Tokopedia, Ovo) to incumbents (Google, PayPal, Experian, WarnerMedia) to growing (etaily, Nium, Shipper).
TL;DR:
Soft talents are more important than hard skills. Technical expertise was hardly ever stressed by product managers, and empathy was mentioned more than ten times. Janani from Xendit expertly recorded the moment. A superb PM must comprehend that their empathy for the feelings of their users must surpass all logic and data.
Constant attention to the needs of the user. Many people concur that the closer a PM gets to their customer/user, the more likely it is that the conclusion will be better. There were almost 30 references to customers and users. Focusing on customers has the advantage because it is hard to overshoot, as Rajesh from Lazada puts it best.
Setting priorities is invaluable. Prioritization is essential because there are so many problems that a PM must deal with every day. My favorite quotation on this is from Rakuten user Yee Jie. Viki, A competent product manager extinguishes fires. A good product manager lets things burn and then prioritizes.
This summary isn't enough to capture what excellent PMs claim it requires. Read below!
What qualities make a successful product manager?
Themed quotes are alphabetized by author.
Embrace your user/customer
Aeriel Dela Paz, Rainmaking Venture Architect, ex-GCash Product Head
Great PMs know what customers need even when they don’t say it directly. It’s about reading between the lines and going through the numbers to address that need.
Anders Nordahl, OrkestraSCS's Product Manager
Understanding the vision of your customer is as important as to get the customer to buy your vision
Angel Mendoza, MetaverseGo's Product Head
Most people think that to be a great product manager, you must have technical know-how. It’s textbook and I do think it is helpful to some extent, but for me the secret sauce is EMPATHY — the ability to see and feel things from someone else’s perspective. You can’t create a solution without deeply understanding the problem.
Senior Product Manager, Tokopedia
Focus on delivering value and helping people (consumer as well as colleague) and everything else will follow
Darren Lau, Deloitte Digital's Head of Customer Experience
Start with the users, and work backwards. Don’t have a solution looking for a problem
Darryl Tan, Grab Product Manager
I would say that a great product manager is able to identify the crucial problems to solve through strong user empathy and synthesis of insights
Diego Perdana, Kitalulus Senior Product Manager
I think to be a great product manager you need to be obsessed with customer problems and most important is solve the right problem with the right solution
Senior Product Manager, AirAsia
Lot of common sense + Customer Obsession. The most important role of a Product manager is to bring clarity of a solution. Your product is good if it solves customer problems. Your product is great if it solves an eco-system problem and disrupts the business in a positive way.
Edward Xie, Mastercard Managing Consultant, ex-Shopee Product Manager
Perfect your product, but be prepared to compromise for right users
AVP Product, Shipper
For me, a great product manager need to be rational enough to find the business opportunities while obsessing the customers.
Janani Gopalakrishnan is a senior product manager of a stealth firm.
While as a good PM it’s important to be data-driven, to be a great PM one needs to understand that their empathy for their users’ emotions must exceed all logic and data. Great PMs also make these product discussions thrive within the team by intently listening to all the members thoughts and influence the team’s skin in the game positively.
Director, Product Management, Indeed
Great product managers put their users first. They discover problems that matter most to their users and inspire their team to find creative solutions.
Grab's Senior Product Manager Lakshay Kalra
Product management is all about finding and solving most important user problems
Quipper's Mega Puji Saraswati
First of all, always remember the value of “user first” to solve what user really needs (the main problem) for guidance to arrange the task priority and develop new ideas. Second, ownership. Treat the product as your “2nd baby”, and the team as your “2nd family”. Third, maintain a good communication, both horizontally and vertically. But on top of those, always remember to have a work — life balance, and know exactly the priority in life :)
Senior Product Manager, Prosa.AI Miswanto Miswanto
A great Product Manager is someone who can be the link between customer needs with the readiness and flexibility of the team. So that it can provide, build, and produce a product that is useful and helps the community to carry out their daily activities. And He/She can improve product quality ongoing basis or continuous to help provide solutions for users or our customer.
Lead Product Manager, Tokopedia, Oriza Wahyu Utami
Be a great listener, be curious and be determined. every great product manager have the ability to listen the pain points and understand the problems, they are always curious on the users feedback, and they also very determined to look for the solutions that benefited users and the business.
99 Group CPO Rajesh Sangati
The advantage of focusing on customers: it’s impossible to overshoot
Ray Jang, founder of Scenius, formerly of ByteDance
The difference between good and great product managers is that great product managers are willing to go the unsexy and unglamorous extra mile by rolling up their sleeves and ironing out all minutiae details of the product such that when the user uses the product, they can’t help but say “This was made for me.”
BCG Digital Ventures' Sid Narayanan
Great product managers ensure that what gets built and shipped is at the intersection of what creates value for the customer and for the business that’s building the product…often times, especially in today’s highly liquid funding environment, the unit economics, aka ensuring that what gets shipped creates value for the business and is sustainable, gets overlooked
Stephanie Brownlee, BCG Digital Ventures Product Manager
There is software in the world that does more harm than good to people and society. Great Product Managers build products that solve problems not create problems
Experiment constantly
Delivery Hero's Abhishek Muralidharan
Embracing your failure is the key to become a great Product Manager
DeliveryHero's Anuraag Burman
Product Managers should be thick skinned to deal with criticism and the stomach to take risk and face failures.
DataSpark Product Head Apurva Lawale
Great product managers enjoy the creative process with their team to deliver intuitive user experiences to benefit users.
Dexter Zhuang, Xendit Product Manager
The key to creating winning products is building what customers want as quickly as you can — testing and learning along the way.
PayPal's Jay Ko
To me, great product managers always remain relentlessly curious. They are empathetic leaders and problem solvers that glean customer insights into building impactful products
Home Credit Philippines' Jedd Flores
Great Product Managers are the best dreamers; they think of what can be possible for the customers, for the company and the positive impact that it will have in the industry that they’re part of
Set priorities first, foremost, foremost.
HBO Go Product Manager Akshay Ishwar
Good product managers strive to balance the signal to noise ratio, Great product managers know when to turn the dials for each up exactly
Zuellig Pharma's Guojie Su
Have the courage to say no. Managing egos and request is never easy and rejecting them makes it harder but necessary to deliver the best value for the customers.
Ninja Van's John Prawira
(1) PMs should be able to ruthlessly prioritize. In order to be effective, PMs should anchor their product development process with their north stars (success metrics) and always communicate with a purpose. (2) User-first when validating assumptions. PMs should validate assumptions early and often to manage risk when leading initiatives with a focus on generating the highest impact to solving a particular user pain-point. We can’t expect a product/feature launch to be perfect (there might be bugs or we might not achieve our success metric — which is where iteration comes in), but we should try our best to optimize on user-experience earlier on.
Nium Product Manager Keika Sugiyama
I’d say a great PM holds the ability to balance ruthlessness and empathy at the same time. It’s easier said than done for sure!
ShopBack product manager Li Cai
Great product managers are like great Directors of movies. They do not create great products/movies by themselves. They deliver it by Defining, Prioritising, Energising the team to deliver what customers love.
Quincus' Michael Lim
A great product manager, keeps a pulse on the company’s big picture, identifies key problems, and discerns its rightful prioritization, is able to switch between the macro perspective to micro specifics, and communicates concisely with humility that influences naturally for execution
Mathieu François-Barseghian, SVP, Citi Ventures
“You ship your org chart”. This is Conway’s Law short version (1967!): the fundamental socio-technical driver behind innovation successes (Netflix) and failures (your typical bank). The hype behind micro-services is just another reflection of Conway’s Law
Mastercard's Regional Product Manager Nikhil Moorthy
A great PM should always look to build products which are scalable & viable , always keep the end consumer journey in mind. Keeping things simple & having a MVP based approach helps roll out products faster. One has to test & learn & then accordingly enhance / adapt, these are key to success
Rendy Andi, Tokopedia Product Manager
Articulate a clear vision and the path to get there, Create a process that delivers the best results and Be serious about customers.
Senior Product Manager, DANA Indonesia
Own the problem, not the solution — Great PMs are outstanding problem preventers. Great PMs are discerning about which problems to prevent, which problems to solve, and which problems not to solve
Tat Leong Seah, LionsBot International Senior UX Engineer, ex-ViSenze Product Manager
Prioritize outcomes for your users, not outputs of your system” or more succinctly “be agile in delivering value; not features”
Senior Product Manager, Rakuten Viki
A good product manager puts out fires. A great product manager lets fires burn and prioritize from there
acquire fundamental soft skills
Oracle NetSuite's Astrid April Dominguez
Personally, i believe that it takes grit, empathy, and optimistic mindset to become a great PM
Ovo Lead Product Manager Boy Al Idrus
Contrary to popular beliefs, being a great product manager doesn’t have anything to do with technicals, it sure plays a part but most important weapons are: understanding pain points of users, project management, sympathy in leadership and business critical skills; these 4 aspects would definitely help you to become a great product manager.
PwC Product Manager Eric Koh
Product managers need to be courageous to be successful. Courage is required to dive deep, solving big problems at its root and also to think far and dream big to achieve bold visions for your product
Ninja Van's Product Director
In my opinion the two most important ingredients to become a successful product manager is: 1. Strong critical thinking 2. Strong passion for the work. As product managers, we typically need to solve very complex problems where the answers are often very ambiguous. The work is tough and at times can be really frustrating. The 2 ingredients I mentioned earlier will be critical towards helping you to slowly discover the solution that may become a game changer.
PayPal's Lead Product Manager
A great PM has an eye of a designer, the brain of an engineer and the tongue of a diplomat
Product Manager Irene Chan
A great Product Manager is able to think like a CEO of the company. Visionary with Agile Execution in mind
Isabella Yamin, Rakuten Viki Product Manager
There is no one model of being a great product person but what I’ve observed from people I’ve had the privilege working with is an overflowing passion for the user problem, sprinkled with a knack for data and negotiation
Google product manager Jachin Cheng
Great product managers start with abundant intellectual curiosity and grow into a classic T-shape. Horizontally: generalists who range widely, communicate fluidly and collaborate easily cross-functionally, connect unexpected dots, and have the pulse both internally and externally across users, stakeholders, and ecosystem players. Vertically: deep product craftsmanship comes from connecting relentless user obsession with storytelling, business strategy with detailed features and execution, inspiring leadership with risk mitigation, and applying the most relevant tools to solving the right problems.
Jene Lim, Experian's Product Manager
3 Cs and 3 Rs. Critical thinking , Customer empathy, Creativity. Resourcefulness, Resilience, Results orientation.
Nirenj George, Envision Digital's Security Product Manager
A great product manager is someone who can lead, collaborate and influence different stakeholders around the product vision, and should be able to execute the product strategy based on customer insights, as well as take ownership of the product roadmap to create a greater impact on customers.
Grab's Lead Product Manager
Product Management is a multi-dimensional role that looks very different across each product team so each product manager has different challenges to deal with but what I have found common among great product managers is ability to create leverage through their efforts to drive outsized impacts for their products. This leverage is built using data with intuition, building consensus with stakeholders, empowering their teams and focussed efforts on needle moving work.
NCS Product Manager Umar Masagos
To be a great product manager, one must master both the science and art of Product Management. On one hand, you need have a strong understanding of the tools, metrics and data you need to drive your product. On the other hand, you need an in-depth understanding of your organization, your target market and target users, which is often the more challenging aspect to master.
M1 product manager Wei Jiao Keong
A great product manager is multi-faceted. First, you need to have the ability to see the bigger picture, yet have a keen eye for detail. Secondly, you are empathetic and is able to deliver products with exceptional user experience while being analytical enough to achieve business outcomes. Lastly, you are highly resourceful and independent yet comfortable working cross-functionally.
Yudha Utomo, ex-Senior Product Manager, Tokopedia
A great Product Manager is essentially an effective note-taker. In order to achieve the product goals, It is PM’s job to ensure objective has been clearly conveyed, efforts are assessed, and tasks are properly tracked and managed. PM can do this by having top-notch documentation skills.
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Ossiana Tepfenhart
2 years ago
Has anyone noticed what an absolute shitshow LinkedIn is?
After viewing its insanity, I had to leave this platform.
I joined LinkedIn recently. That's how I aim to increase my readership and gain recognition. LinkedIn's premise appealed to me: a Facebook-like platform for professional networking.
I don't use Facebook since it's full of propaganda. It seems like a professional, apolitical space, right?
I expected people to:
be more formal and respectful than on Facebook.
Talk about the inclusiveness of the workplace. Studies consistently demonstrate that inclusive, progressive workplaces outperform those that adhere to established practices.
Talk about business in their industry. Yep. I wanted to read articles with advice on how to write better and reach a wider audience.
Oh, sh*t. I hadn't anticipated that.
After posting and reading about inclusivity and pro-choice, I was startled by how many professionals acted unprofessionally. I've seen:
Men have approached me in the DMs in a really aggressive manner. Yikes. huge yikes Not at all professional.
I've heard pro-choice women referred to as infant killers by many people. If I were the CEO of a company and I witnessed one of my employees acting that poorly, I would immediately fire them.
Many posts are anti-LGBTQIA+, as I've noticed. a lot, like, a lot. Some are subtly stating that the world doesn't need to know, while others are openly making fun of transgender persons like myself.
Several medical professionals were posting explicitly racist comments. Even if you are as white as a sheet like me, you should be alarmed by this. Who's to guarantee a patient who is black won't unintentionally die?
I won't even get into how many men in STEM I observed pushing for the exclusion of women from their fields. I shouldn't be surprised considering the majority of those men I've encountered have a passionate dislike for women, but goddamn, dude.
Many people appear entirely too at ease displaying their bigotry on their professional profiles.
As a white female, I'm always shocked by people's open hostility. Professional environments are very important.
I don't know if this is still true (people seem too politicized to care), but if I heard many of these statements in person, I'd suppose they feel ashamed. Really.
Are you not ashamed of being so mean? Are you so weak that competing with others terrifies you? Isn't this embarrassing?
LinkedIn isn't great at censoring offensive comments. These people aren't getting warnings. So they were safe while others were unsafe.
The CEO in me would want to know if I had placed a bigot on my staff.
I always wondered if people's employers knew about their online behavior. If they know how horrible they appear, they don't care.
As a manager, I was picky about hiring. Obviously. In most industries, it costs $1,000 or more to hire a full-time employee, so be sure it pays off.
Companies that embrace diversity and tolerance (and are intolerant of intolerance) are more profitable, likely to recruit top personnel, and successful.
People avoid businesses that alienate them. That's why I don't eat at Chic-Fil-A and why folks avoid MyPillow. Being inclusive is good business.
CEOs are harmed by online bigots. Image is an issue. If you're a business owner, you can fire staff who don't help you.
On the one hand, I'm delighted it makes it simpler to identify those with whom not to do business.
Don’t get me wrong. I'm glad I know who to avoid when hiring, getting references, or searching for a job. When people are bad, it saves me time.
What's up with professionalism?
Really. I need to know. I've crossed the boundary between acceptable and unacceptable behavior, but never on a professional platform. I got in trouble for not wearing bras even though it's not part of my gender expression.
If I behaved like that at my last two office jobs, my supervisors would have fired me immediately. Some of the behavior I've seen is so outrageous, I can't believe these people have employment. Some are even leaders.
Like…how? Is hatred now normalized?
Please pay attention whether you're seeking for a job or even simply a side gig.
Do not add to the tragedy that LinkedIn comments can be, or at least don't make uninformed comments. Even if you weren't banned, the site may still bite you.
Recruiters can and do look at your activity. Your writing goes on your résumé. The wrong comment might lose you a job.
Recruiters and CEOs might reject candidates whose principles contradict with their corporate culture. Bigotry will get you banned from many companies, especially if others report you.
If you want a high-paying job, avoid being a LinkedIn asshole. People care even if you think no one does. Before speaking, ponder. Is this how you want to be perceived?
Better advice:
If your politics might turn off an employer, stop posting about them online and ask yourself why you hold such objectionable ideas.

Rita McGrath
2 years ago
Flywheels and Funnels
Traditional sales organizations used the concept of a sales “funnel” to describe the process through which potential customers move, ending up with sales at the end. Winners today have abandoned that way of thinking in favor of building flywheels — business models in which every element reinforces every other.
Ah, the marketing funnel…
Prospective clients go through a predictable set of experiences, students learn in business school marketing classes. It looks like this:
Understanding the funnel helps evaluate sales success indicators. Gail Goodwin, former CEO of small business direct mail provider Constant Contact, said managing the pipeline was key to escaping the sluggish SaaS ramp of death.
Like the funnel concept. To predict how well your business will do, measure how many potential clients are aware of it (awareness) and how many take the next step. If 1,000 people heard about your offering and 10% showed interest, you'd have 100 at that point. If 50% of these people made buyer-like noises, you'd know how many were, etc. It helped model buying trends.
TV, magazine, and radio advertising are pricey for B2C enterprises. Traditional B2B marketing involved armies of sales reps, which was expensive and a barrier to entry.
Cracks in the funnel model
Digital has exposed the funnel's limitations. Hubspot was born at a time when buyers and sellers had huge knowledge asymmetries, according to co-founder Brian Halligan. Those selling a product could use the buyer's lack of information to become a trusted partner.
As the world went digital, getting information and comparing offerings became faster, easier, and cheaper. Buyers didn't need a seller to move through a funnel. Interactions replaced transactions, and the relationship didn't end with a sale.
Instead, buyers and sellers interacted in a constant flow. In many modern models, the sale is midway through the process (particularly true with subscription and software-as-a-service models). Example:
You're creating a winding journey with many touch points, not a funnel (and lots of opportunities for customers to get lost).
From winding journey to flywheel
Beyond this revised view of an interactive customer journey, a company can create what Jim Collins famously called a flywheel. Imagine rolling a heavy disc on its axis. The first few times you roll it, you put in a lot of effort for a small response. The same effort yields faster turns as it gains speed. Over time, the flywheel gains momentum and turns without your help.
Modern digital organizations have created flywheel business models, in which any additional force multiplies throughout the business. The flywheel becomes a force multiplier, according to Collins.
Amazon is a famous flywheel example. Collins explained the concept to Amazon CEO Jeff Bezos at a corporate retreat in 2001. In The Everything Store, Brad Stone describes in his book The Everything Store how he immediately understood Amazon's levers.
The result (drawn on a napkin):
Low prices and a large selection of products attracted customers, while a focus on customer service kept them coming back, increasing traffic. Third-party sellers then increased selection. Low-cost structure supports low-price commitment. It's brilliant! Every wheel turn creates acceleration.
Where from here?
Flywheel over sales funnel! Consider these business terms.

Antonio Neto
2 years ago
What's up with tech?
Massive Layoffs, record low VC investment, debate over crash... why is it happening and what’s the endgame?
This article generalizes a diverse industry. For objectivity, specific tech company challenges like growing competition within named segments won't be considered. Please comment on the posts.
According to Layoffs.fyi, nearly 120.000 people have been fired from startups since March 2020. More than 700 startups have fired 1% to 100% of their workforce. "The tech market is crashing"
Venture capital investment dropped 19% QoQ in the first four months of 2022, a 2018 low. Since January 2022, Nasdaq has dropped 27%. Some believe the tech market is collapsing.
It's bad, but nothing has crashed yet. We're about to get super technical, so buckle up!
I've written a follow-up article about what's next. For a more optimistic view of the crisis' aftermath, see: Tech Diaspora and Silicon Valley crisis
What happened?
Insanity reigned. Last decade, everyone became a unicorn. Seed investments can be made without a product or team. While the "real world" economy suffered from the pandemic for three years, tech companies enjoyed the "new normal."
COVID sped up technology adoption on several fronts, but this "new normal" wasn't so new after many restrictions were lifted. Worse, it lived with disrupted logistics chains, high oil prices, and WW3. The consumer market has felt the industry's boom for almost 3 years. Inflation, unemployment, mental distress...what looked like a fast economic recovery now looks like unfulfilled promises.
People rethink everything they eat. Paying a Netflix subscription instead of buying beef is moronic if you can watch it for free on your cousin’s account. No matter how great your real estate app's UI is, buying a house can wait until mortgage rates drop. PLGProduct Led Growth (PLG) isn't the go-to strategy when consumers have more basic expense priorities.
Exponential growth and investment
Until recently, tech companies believed that non-exponential revenue growth was fatal. Exponential growth entails doing more with less. From Salim Ismail words:
An Exponential Organization (ExO) has 10x the impact of its peers.
Many tech companies' theories are far from reality.
Investors have funded (sometimes non-exponential) growth. Scale-driven companies throw people at problems until they're solved. Need an entire closing team because you’ve just bought a TV prime time add? Sure. Want gold-weight engineers to colorize buttons? Why not?
Tech companies don't need cash flow to do it; they can just show revenue growth and get funding. Even though it's hard to get funding, this was the market's momentum until recently.
The graph at the beginning of this section shows how industry heavyweights burned money until 2020, despite being far from their market-share seed stage. Being big and being sturdy are different things, and a lot of the tech startups out there are paper tigers. Without investor money, they have no foundation.
A little bit about interest rates
Inflation-driven high interest rates are said to be causing tough times. Investors would rather leave money in the bank than spend it (I myself said it some days ago). It’s not wrong, but it’s also not that simple.
The USA central bank (FED) is a good proxy of global economics. Dollar treasury bonds are the safest investment in the world. Buying U.S. debt, the only country that can print dollars, guarantees payment.
The graph above shows that FED interest rates are low and 10+ year bond yields are near 2018 levels. Nobody was firing at 2018. What’s with that then?
Full explanation is too technical for this article, so I'll just summarize: Bond yields rise due to lack of demand or market expectations of longer-lasting inflation. Safe assets aren't a "easy money" tactic for investors. If that were true, we'd have seen the current scenario before.
Long-term investors are protecting their capital from inflation.
Not a crash, a landing
I bombarded you with info... Let's review:
Consumption is down, hurting revenue.
Tech companies of all ages have been hiring to grow revenue at the expense of profit.
Investors expect inflation to last longer, reducing future investment gains.
Inflation puts pressure on a wheel that was rolling full speed not long ago. Investment spurs hiring, growth, and more investment. Worried investors and consumers reduce the cycle, and hiring follows.
Long-term investors back startups. When the invested company goes public or is sold, it's ok to burn money. What happens when the payoff gets further away? What if all that money sinks? Investors want immediate returns.
Why isn't the market crashing? Technology is not losing capital. It’s expecting change. The market realizes it threw moderation out the window and is reversing course. Profitability is back on the menu.
People solve problems and make money, but they also cost money. Huge cost for the tech industry. Engineers, Product Managers, and Designers earn up to 100% more than similar roles. Businesses must be careful about who they keep and in what positions to avoid wasting money.
What the future holds
From here on, it's all speculation. I found many great articles while researching this piece. Some are cited, others aren't (like this and this). We're in an adjustment period that may or may not last long.
Big companies aren't laying off many workers. Netflix firing 100 people makes headlines, but it's only 1% of their workforce. The biggest seem to prefer not hiring over firing.
Smaller startups beyond the seeding stage may be hardest hit. Without structure or product maturity, many will die.
I expect layoffs to continue for some time, even at Meta or Amazon. I don't see any industry names falling like they did during the .com crisis, but the market will shrink.
If you are currently employed, think twice before moving out and where to.
If you've been fired, hurry, there are still many opportunities.
If you're considering a tech career, wait.
If you're starting a business, I respect you. Good luck.