Talent Timing Paradox

There is a hidden paradox in Talent Wants to be Free: There is time to lock down, and a time to set free (maybe to sow, reap, and more too). Lobel notes that some work indicates that early stage industries may benefit from lock down. But she also makes the observation that a company locking down talent may be in decline. What can we make of this possible paradox?

I think that it shows how difficult it is for any company or industry to truly innovate. As Lobel notes, when things plateau, talent should be loosened up. Why? I suggest that the old hack of the Innovator’s Dilemma is in play. As a company is used to a certain business there are many reasons it won’t move on to the next thing. And it may not be able to see or be willing to work on the next thing. The folks who are into crazy late night work, start-up adrenaline, and the chance to press the edge of whatever field they are in find that the company has become stale. That may also be an industry. I believe that the convergence of businesses is part of why Silicon Valley companies looked to limit talent movement. They both did not want their core people help competitors build rival services and found that folks may be tempted to move to a seemingly new place. For example, a social network person may have jumped to Google to build Google + if their old firm was stable or a search technologist to Amazon or FaceBook, and so on. The respective verticals may be stale and converging. So the leaders start to find ways to keep labor in place (and probably sneak folks to their outfits as much as they can nonetheless). Is there another option? Sure.

Start a Bell Labs, Skunk Works, or Google X. In the short term at least, some of the best folks may stay and set up the next stage of your company. But as the scenario planning and related literature show, sooner or later the company will fail to turn that work into something. When that happens, some of the talent may be frustrated and leave. Again, the need for the payoff, the we planned for X and delivered X vortex takes hold and down the drain we spin. The upside is that other companies will lurk at the edge of the collapse and pick out the best of the wreckage. The key as Lobel argues is that the human capital be able to picked up. If not, the stalling, collapsing company keeps hold of good folks who might do great work elsewhere.

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