The Book of the Week is “How to Castrate A Bull” by Dave Hitz with Pat Walsh, published in 2009. This ebook chronicles Hitz’s career, describes the ups and downs of the tech company he co-founded– NetApp, and imparts wisdom on management, leadership and interesting trivia. A flash drive can store a small amount of personal data of everyone on earth, a hard copy of which would represent 20 million pounds of paper.
NetApp was a start-up in the early 1990′s that built and sold business-to business, a “…network storage system in eighteen months with eight people and $1.5 million.” It went public in November 1995. A start-up has to sell something people are willing to pay for, such as a physical product, or advertising.
During the year 2000, NetApp’s share price tanked– as did that of many other tech stocks– plummeting from $150 to $6. The company delayed laying people off, and did not speak of it, as long as possible. “We announced layoffs one day and did them the next.” Hitz thinks taking care of such unpleasantness quickly is the best policy. Prolonged “palace intrigue” is bad for the work environment. Employees who know their last day is in the future are going to have less than optimal productivity, loyalty and a stable emotional state, to say the least.
When it came time to write the section on the NetApp’s philosophy in the company manual, Hitz says, “Company values only work if the leaders say, ‘These are things I really do believe. If I violate them, please call me on it… Values should remain constant, but appropriate behavior will change as a company grows.” When an employer provides “fun stuff” or free food to its employees, “that’s a symptom of good culture, not a cause of it.”
Read the book to learn Hitz’s explanation of how NetApp became a tremendously successful company, and how it fared after the dot-com crash.