Andy Grove: Introduction to High Output Management

A manager’s skills and knowledge are only valuable if she uses them to get more leverage from her people. So, Ms. Manager, you know more about our product’s viral loop than anyone in the company? That’s worth exactly nothing unless you can effectively transfer that knowledge to the rest of the organization. That’s what being a manager is about. It’s not about how smart you are or how well you know your business; it’s about how that translates to the team’s performance and output.

As a means to obtain this leverage, a manager must understand, as Andy writes: “When a person is not doing his job, there can only be two reasons for it. The person either can’t do it or won’t do it; he is either not capable or not motivated.” This insight enables a manager to dramatically focus her efforts. All you can do to improve the output of an employee is motivate and train. There is nothing else.

.. He teaches meetings from first principles, beginning with how to conduct a one-on-one.

..  In my experience, managers who don’t have one-on-ones understand very little about what’s happening in their organizations.

..  Finally, he reiterates his thesis that there are only two ways in which a manager can impact an employee’s output: motivation and training.

.. Upon seeing him, I was so excited that I immediately blurted out how much I loved the book.

.. I either had to throw away some books or buy a bigger house. Well, that was an easy decision, but which books to throw out? Then I thought, the management books! But I had a problem. Nearly every management book that I’d received was sent to me by the author and was autographed with a kind inscription. I felt badly about throwing away all those nice notes. So, I went through each book and tore out the inscription page then threw away the book

.. “CEOs always act on leading indicators of good news, but only act on lagging indicators of bad news.”

.. “In order to build anything great, you have to be an optimist, because by definition you are trying to do something that most people would consider impossible. Optimists most certainly do not listen to leading indicators of bad news.”

.. When I suggested he write something on the topic, his response was: “Why would I do that? It would be a waste of time to write about how to not follow human nature. It would be like trying to stop the Peter Principle*