Discover the philosophy of hiring only when it truly hurts. Learn why tackling projects with your current team first can often yield better results. Explore the nuances of determining genuine staffing needs versus temporary busyness. Embrace the flexibility to seize unexpected talent opportunities when they arise. The discussion also highlights the importance of diverse hiring choices and their positive impact on workplace dynamics.
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Quick takeaways
Hiring should only occur when there is a genuine need, avoiding unnecessary staffing to maintain efficiency and morale.
Seizing opportunities to hire exceptional talent can enhance team capabilities while still adhering to a philosophy of purposeful growth.
Deep dives
Hiring Philosophy: When It Hurts
The company adheres to a unique hiring philosophy that emphasizes the idea of hiring only when it genuinely feels necessary, or when the pain of overworking becomes apparent. This approach focuses on doing the job with current resources before considering new hires, allowing for an organic growth process. The founders argue against hiring preemptively, as this can lead to unnecessary staffing and inefficiencies, ultimately causing a drain on company culture and morale. By waiting for genuine need rather than rushing to expand, the organization maintains streamlined operations and ensures that each employee is contributing meaningfully.
The Risks of Early Hiring
Hiring too early or without a real need can lead to significant negative consequences for a company, including wasted resources and unsatisfactory employee experiences. An example was given of hiring an in-house counsel based on anticipated legal needs, only to find that the position required minimal work, resulting in wasted salary and legal complications. The risks of employing individuals who lack sufficient tasks can create dissatisfaction not just for those underutilized employees but also for the rest of the team. A lean workforce that only expands to meet specific demands allows the company to operate efficiently and purposefully.
The Balance of Opportunity and Need
While the organization typically avoids hiring unless necessary, it acknowledges that certain opportunities can act as accelerants for growth. When an exceptional candidate becomes available, the team may adapt their hiring process to seize the moment, especially if they anticipate needing that role in the near future. This flexibility allows for a balance between maintaining a lean structure and seizing competitive opportunities, provided these decisions are made thoughtfully and not in haste. Embracing such opportunities can enhance team capabilities without sacrificing the core philosophy of hiring when truly required.
Wondering when it’s the right time to grow your team? In this episode of The REWORK Podcast, 37signals' co-founders Jason Fried and David Heinemeier Hansson chat about their “hire when it hurts” approach as described in their book REWORK. They cover why you shouldn’t rush into bringing someone on board, how to know when there's a critical business need, and how to seize the moment when the right people show up.
Key Takeaways:
00:38 – Try tackling projects with the team you already have before hiring
02:43 – Some roles don’t call for a full-time position
07:33 – Knowing the difference between an actual staffing shortage vs. just being busy
09:48 – A workload spike doesn’t always mean it’s time to expand
12:33 – Snagging available talent early if you’re already planning to hire soon
15:35 – One open position can become multiple hires when the talent pool is just right