Video Transcript: Jim Whitehurst - What I learned from giving up everything I knew as a leader
Well, hello, everyone. My name is Jim Whitehurst, and I have to admit, I'm a
recovering know it all CEO. I once believed that my job was to have all the
answers. I was responsible for the problems facing my company, and
importantly, it was my job to instill order and structure in the words of US
President, Harry Truman, the buck stops here. That's what I thought my role
was, and I was wrong, and I'm convinced I built this misconception very much
because of my classic business background, I got an MBA. I worked for almost
a dozen years at a consulting firm. I was ultimately recruited to Delta Airlines,
where, over time, I became chief operating officer responsible for over 80,000
people in traditional management terms, things were going pretty well. Then in
2008 I was recruited to Red Hat as CEO. Red Hat is the open source software
company that is at the front line of many of the innovations that are happening
around us. And it's this last stop that made all the difference, because it's there
that I realized in the 21st Century in dynamic environments, Leadership isn't
about control and compliance, it's about creating the context for the best ideas
to emerge out of Your organization. I began to realize something significant was
happening my second week on the job at Red Hat, I was in a meeting talking to
the team about our strategy for an area called virtualization. For those of you
who aren't in technology, virtualization was the thing everybody was talking
about before they were talking about the cloud. And through this, I had the
senior team and a bunch of the engineers kind of walking through our strategy
and the what's the why's of it. And about halfway through the meeting, one of
the engineers, one of the most junior engineers, just took a pause and said,
Look, I know this is what we're doing, but this is absolutely the wrong direction.
And he didn't stop there. He kept going and going and going about why we were
wrong and how wrong we were, and I'm looking across the room, because this
room had his boss and his boss's boss, his boss, his boss's boss, waiting for a
reaction. And there was a reaction, you know, I would call it a point and
counterpoint, which is a very polite way to say we had a huge argument. But at
the end of the meeting, everybody walked out like this was normal. Now I'm two
weeks out of being in a very traditional organization, and I have to tell you, I was
sitting here thinking this is the most bizarre thing that I had ever seen. I would
hazard at delta. And frankly, most large organizations, and many of you know
what I mean here, if a person to the CEO in front of their boss, their boss's boss,
and their boss's boss's boss said what these people are doing is completely
wrong. That person would have clearly been fired by the end of the day, and, to
be honest, maybe killed before the end of the meeting. But everybody acted like
this was normal. And I remember going home that night and talking to my wife,
and I said, I have come into this most bizarre, strange company I've clearly been
brought in to clean it up. And it it wasn't just this. Couple weeks later, I asked
about doing a research report in an area, and a couple weeks later, when I
asked about where that was, the team very happily and merrily said, Yeah, we
thought was a bad idea, so we decided not to do that. So first, I really like,
where's to have, like, a mutiny on my time, but they're so friendly, and they're
like, positive about not doing what I told them to do. And so before I had a
chance to impose kind of the traditional management structure, which I had
learned so well and honed so well, I thought, well, you know what? Red Hat's
been really successful before I got there, I at least need to step back and
observe. And so my management consulting kicked in, and that's what I did. And
I have to say I felt a little bit like an anthropologist tossed into some odd
ecosystem, and I really had to hold myself back from wanting to inject myself.
And I have to say, the first few months at Red Hat were, I think it's fair to say,
shocking. It was just so different than anything I'd ever been used to, and I
realized my role as a leader was going to look nothing like what I'd been used to
in the past. At Delta, my job was to be the person who knew more than anyone
else. When I walked into a meeting, I typically knew more because I had a
purview to all of it. I knew more than others because I had access to more
information than anyone. And that's not just at Delta. To I believe that's at any
large organization. That's how decision rights are distributed. That's how
information is distributed. Executives know more because they have access to
more information, and therefore become integral to the decision processes that
companies normally go through. And you know, I saw my role as the person who
knew more different leaders different places have a different conception of their
role, right? You get some leaders, I think, who see themselves as I'm the brilliant
strategist who can get people to follow me, or I'm the FIX IT person, and I can
go in and fix things better than you know anyone else, and so I can go in and
help people solve problems. All of those are some flavor of helping people direct
and decide, right? That's what you do. You direct and decide. You're applying
structure. And in the 21st Century, where things are so much more volatile and
so much more unknown and we're all worried about being disrupted, that is not
the best role for a leader in today's world. Let me come back to that story about
the engineer about three months after that initial conversation. So I was about
three and a half months on the job, that same team came back to me and said,
You know what? It turns out, he was right. Circumstances changed in the
marketplace, and we need to now go pursue this other direction. And by the
way, we need to go buy a company to do it, and we need to go do that quickly.
And so let's get going. And that all happened without me asking it to be revisited
or from some planning process. It just emerged as circumstances had changed,
and so we needed to change direction. I think it's important that the people in
that room, not a single one of them was apologetic or defensive, right? They
weren't like me. They had been there for a while. They recognized that in a
volatile, more dynamic environment, when circumstances change, you have to
be ready to change. So success isn't about having the best ideas or making all
the right decisions. Success is making a lot of decisions, but being open and
transparent and non defensive enough to be willing to change those decisions
when circumstances warrant and that's when I fully realized what my role as a
leader needed to be. I wasn't going to be the person with the big binders of data
like I was at Delta, and I wasn't the person who's going to make all the
decisions. My job was to make sure that the right people had the appropriate
data and everybody had a sense of the big picture of the company. My role as a
leader was to make sure those conversations happened to foster a degree of
conflict and for the really difficult things, to make sure that they stayed in front of
people to bubble and simmer and churn. I wasn't the person brought in to clean
up the chaos. I was the person brought in to scale this more organic way of
working. To put it simply, I was brought in to create the context for people to do
their best work. Now I was truly given a gift going from delta to Red Hat. I had to
change right? I had a chance up front to see the difference between an
organization optimized for efficiency in a static environment and an organization
optimized for innovation in a dynamic environment, and that required me to
change as a leader. Most leaders have a more difficult problem, right? Most
leaders have this challenge of they see their organizations moving into a
different competitive context where they need greater resilience and adaptability,
so they have to take their organizations down that change path. And it's hard.
And it's hard because it's not about changing processes and systems, it's about
changing mindsets and behaviors, and change in behaviors is hard. I mean, I'll
use the analogy losing weight. Losing weight intellectually is really simple. You
only need four words, eat less, exercise more, pretty simple. Yet there are a
million diet books out there. Why? Because managing your weight is really,
really hard, right? Because it requires behavior change, and behavior change is
particularly difficult when that behavior change requires that you have to do
something painful in the short term for a long term gain. But I can tell you, as a
leader who's lived through it, opening yourself up for criticism and encouraging it
and allowing pushback all the time, feels like you've taken a club and you're just
beating yourself on the head, and at some point you say, This just doesn't feel
like a good thing to do, right? And so so many leaders, if you're not as
intentional about managing and changing your behaviors and your mindset as
you are your processes and your systems, you will backslide into the command
and control systems and ways of being that you're so comfortable with, which is
the managerial equivalent of kicking back on the couch and eating junk food.
And I can tell you, those first few confrontational conversations are hard for
confident leaders who try to exude confidence, saying, I don't know, and I don't
know if it's noble, is hard, but over time, you build new muscle, and it gets
easier, and after you have observed the power of a well functioning, self
directed, collaborative organization, you'll say, I can't believe we ever acted
another way. Thank you.