20VC: Lessons from Mark Zuckerberg, Keith Rabois & Tobi Lütke | Why Remote is a Bad Idea for 90% of Companies | The Framework for How Shopify Builds Product Today | What Humans Get Wrong About Marriage and Kids with Kaz Nejatian, COO @ Shopify
Aug 14, 2024
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Kaz Nejatian, COO and VP of Product at Shopify, shares his invaluable insights gleaned from tech giants like Mark Zuckerberg and Tobi Lütke. He argues that in-person collaboration outshines remote work for most companies and critiques the Lean Startup approach as damaging. Kaz emphasizes the importance of building internal tools, transparency in communication, and accountability in product management. He also explores the complex dynamics between marriage and success, suggesting that personal growth within relationships significantly contributes to well-being.
Kaz Nejatian emphasizes the importance of product quality over rushing to market, arguing that the Lean Startup philosophy has led to subpar software.
Successful product managers at Shopify must understand both 'how' and 'what' in software development to create efficient and effective products.
Kaz expresses doubts about remote work's effectiveness for most companies, advocating for in-person collaboration to enhance teamwork and operational efficiency.
Deep dives
The Importance of Building Quality Software
Building software that users can trust begins with a strong emphasis on quality and vision. Kaz Natashaian argues that the Lean Startup methodology has led to a proliferation of subpar software products, as companies rush to release incomplete versions for testing. This trend results in a frustrating user experience, as many products currently available cannot deliver the value they promise. Instead, he advocates for a culture that embraces completing a product to a high standard before launching, ensuring that users receive a reliable and enjoyable experience.
The Significance of Prioritizing How Over What
In product management, understanding the processes behind how software is developed is equally, if not more, important than determining what to build. Kaz emphasizes that successful product managers must have a solid grasp of coding concepts to make informed decisions about software architecture. Many teams often lose sight of the 'how', focusing solely on the 'what', which can lead to inefficiencies and poorly constructed products. By understanding the implications of both, PMs can enhance their contributions and lead more effective discussions within their teams.
Navigating Remote Work Challenges
Kaz expresses skepticism about the efficacy of remote work for most companies, noting that it can hinder collaboration unless adequate systems and tools are in place. He highlights that Shopify invested considerable time and resources into developing infrastructure that enables remote work, but many organizations lack this support. Consequently, businesses that transition to remote work without preparation can experience significant disconnects and operational challenges. He suggests that for most companies, returning to in-person collaboration may yield better long-term outcomes.
The Value of Internal Tools and Systems
Shopify's approach to building its internal systems showcases an investment in creating customized tools that align with its operational philosophy. Kaz argues that proprietary software allows for better alignment with the company’s values and provides employees with the flexibility to optimize their workflow. Unlike many companies that rely on off-the-shelf solutions, building from the ground up ensures that the tools not only meet company needs but also contribute to a distinctive work culture. This commitment to internal development reflects a larger belief in sustaining a focused and mission-driven organization.
Embracing Change and Learning as Core Values
At Shopify, a learner's mindset is core to the company culture, promoting a dynamic environment where adaptability and growth are prioritized. Kaz believes that a willingness to learn and evolve trumps extensive experience when navigating the fast-paced tech landscape. He acknowledges that while experience is valuable, the ability to learn and pivot is essential for long-term success. By fostering a culture that emphasizes the importance of continuous learning, Shopify aims to equip its team to navigate the complexities of the modern market effectively.
Kaz Nejatian is Shopify’s VP of Product & Chief Operating Officer. Before Shopify, Kaz founded Kash, a payment technology company which was acquired in 2017 by one of the largest fintech companies in the U.S. Kaz then served as Product Lead for Payments and Billing at Facebook, reducing the barriers for businesses in cash-dependent markets to purchase digital ads without a credit card.
In Today's Episode with Kaz Nejatian We Discuss:
1. Learnings From the Greats:
Mark Zuckerberg: What are Kaz's biggest lessons from working with Zuck? Why does Kaz believe Zuck is massively under-appreciated?
Keith Rabois: What are Kaz's biggest lessons from working with Keith? How did it change how he operates on a day to day basis?
Tobi Lütke: What have been Kaz's biggest lessons from working with Tobi? What has he changed most significantly since working with Tobi?
2. Shopify: Why We Build Our Own Tools:
Why does Kaz believe it is crucial for Shopify to build their own tools?
When did he doubt this strategy most? What caused him to question it?
Why does Kaz believe the Stripe Shopify partnership is the most important in business?
What is the role of a PM at Shopify?
Why do Shopify focus on how not what product is built?
3. Eight Truths The Startup World Gets Wrong:
Why does Kaz believe "The Lean Startup" has done more damage than any other startup book?
Why does Kaz believe that 90% of companies do not know what they want when they hire?
Why does Kaz believe the way that companies pay their staff is totally wrong?
Why does Kaz believe that most companies pick fights they do not need to pick?
Why does Kaz believe that for 90% of companies remote work is a terrible idea?
Why does Kaz believe that everyone in sales and marketing should be able to code?
Why does Kaz believe that married people with kids are more, not less productive?
Why does Kaz believe that we totally misunderstand divorce rates?
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