How Linear’s Karri Saarinen is Redefining What Scale Looks Like | S2Bonus
Nov 4, 2024
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Karri Saarinen, CEO and Co-founder of Linear, leads a project management suite loved by top AI companies and Y Combinator graduates. He discusses how his team prioritizes quality over hyper-growth, taking a deliberate approach to scaling and culture. Karri emphasizes the need for innovative hiring practices and balancing speed with thoughtful product development. He also shares insights on raising capital when profitable and the importance of building a high-functioning team instead of merely increasing headcount.
Linear's success stems from a user-centric approach, focusing on the needs of engineers rather than top management to enhance engagement.
The company's strategic funding decisions reflect a proactive stance for future growth, emphasizing stability and talent recruitment rather than immediate cash needs.
Deep dives
Introduction to Linear's Mission
Linear is designed as a purpose-built tool for software teams to enhance their workflow, including planning, bug tracking, and project management. The founders aim to create a product that is not only efficient but also enjoyable to use, focusing on the user experience for engineers who are the core of the development process. They emphasize the importance of making tools that are tailored to the builders rather than merely serving upper management needs, which often leads to poor engagement and outdated information in systems. By prioritizing the builders' experience, Linear aims to create a more accurate and user-friendly environment that benefits the entire organization.
Approach to Growth and Funding
The company operates with a unique funding approach, as it did not initially require the capital from its Series A or B rounds but chose to raise funds to prepare for future growth stages. This decision reflects a strategic mindset; by bringing in capital when the company is performing well, they are better positioned to recruit talent and showcase their stability to customers. The founders recognize the fluctuating nature of the market, opting to raise funding as a proactive measure rather than a reaction to immediate financial needs. Their growth strategy is founded on leveraging investor interest during times of strong performance instead of waiting for critical moments of vulnerability.
Balancing Quality and Speed
Linear strives to maintain a balance between speed and quality while developing their product, discrediting the notion that these goals are inherently contradictory. They encourage teams to experiment with features behind ‘feature flags’ to gain early feedback from internal users before wide release, promoting a culture of rapid iteration without compromising overall quality. The founders believe that with skilled team members, it is possible to achieve high-quality outputs while still shipping products frequently. This method fosters an environment where feedback and improvements happen continuously, aligning with the company's goal of delivering a top-notch product.
Hiring Practices and Company Culture
Linear employs unique hiring practices designed to promote a culture of high craftsmanship and taste across the organization. Their work trial process allows prospective employees to engage in realistic projects, providing insight into their skills and communication styles while enabling candidates to assess the company fit. Emphasizing individual contribution over management, they seek out high-functioning team members who are adept at their crafts and can operate with minimal oversight. By prioritizing quality hires and fostering a collaborative atmosphere, Linear aims to build a cohesive team that aligns with its mission of delivering exceptional products.
Most Y Combinator graduates and Forbes’ Top 50 AI companies use Linear’s project management suite to build their software. It's no accident that this purpose-built tool is beloved by engineers for its quality and ease of use. But, the company’s path to success hasn’t followed the same hyper-growth playbook its founders experienced in their previous roles at Airbnb, Uber, and Coinbase—and that’s entirely by design.
In this bonus episode of Spotlight On Season 2, Karri Saarinen, CEO and Co-founder of Linear, joins host Miles Clements to share the unique principles that have fueled the company's rise. Karri shares why prioritizing quality doesn’t mean perfectionism, how to raise funding when you don’t need cash, how Linear disrupted an existing category and continues to grow through a relentless focus on end-user needs, what most product teams get wrong about intuition, why he thinks scaling should be about building the highest functioning team instead of the biggest organization—and how his hiring strategy reflects that belief.
Whether you’re a first-time founder, an established executive, or just care about building great products, we’re sure you’ll find some inspiration from our conversation with Karri.
Conversation Highlights:
00:00 – Introduction to Linear's vision and purpose
01:17 – The importance of simple strategies executed well
03:00 – Most project management tools are built for the wrong end user
05:20 – Why achieving profitability and fundraising are both a part of Linear’s strategy
09:50 – The 'Linear way' and what product teams get wrong about intuition
19:04 – To achieve both speed and quality, abandon perfectionism
22:37 – Allowing customer feedback to guide product design roadmaps
28:15 – The role of taste in hiring practices and team culture
31:27 – Three practices for hiring only high-performers
37: 30 – Thinking about scale as a function of performance instead of size
42:37 – What’s next for Linear
Featured: Karri Saarinen, CEO and Co-founder of Linear; Miles Clements, Host
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