In the dynamic Silicon Valley scenario, where innovation and accelerated growth are absolute priorities, a new management trend has sparked discussions among founders and CEOs: the contrast between “Founder Mode” and “Manager Mode”.
Inspired by Steve Jobs, executive Brian Chesky, co-founder and CEO of Airbnb, recently reignited the debate by sharing his personal experience on how leaders should position themselves within their companies, especially during times of expansion. Chesky chose a more hands-on approach to daily operations, which he calls "Founder Mode," as opposed to the more traditional model, "Manager Mode," widely adopted by large corporations.
After all, which of these two management modes is more suitable for technology companies facing the challenge of maintaining rapid innovation while expanding into new markets? To what extent can or should a founder maintain control over the smallest details of the operation?
In "Founder Mode," the founder positions themselves as the central figure, directly involved in strategic and operational decisions. Chesky, for example, highlighted that this ongoing involvement was crucial to preserving Airbnb's innovative essence, even with its exponential growth. One of the recurring practices in this model is the holding of "skip-level meetings," where the CEO directly connects with operational levels, facilitating agile decisions aligned with the company's original vision.
On the other hand, in "Manager Mode," the CEO delegates daily execution to leaders of specific areas, focusing on broader strategies such as market expansion and large-scale product development. Although efficient in larger companies, this model risks distancing the leader from the operation and compromising agility and the preservation of the initial culture.
The big question is: how long is "Founder Mode" sustainable in expanding companies? As a startup grows, maintaining such deep involvement can become unfeasible and exhausting for the founder, who will need to delegate more responsibilities to specialized leaders. Brian Chesky and Steve Jobs themselves managed to maintain the "Founder Mode" in large companies, but they adapted their approaches, ensuring a balance between involvement in the product and trust in their teams.
Companies like Airbnb, Tesla, and Google explore hybrid approaches, where the founder participates in key decisions but delegates operational management to experienced leaders. This format balances innovation with scalable growth without losing the company's essence. Elon Musk is an example of how founders can adjust their involvement as their companies become more complex.
In the end, the true challenge is to find the balance between "Founder Mode" and "Manager Mode," depending on the company's stage of development. The biggest mistake would be to insist on only one management model without considering the specific needs of the business.