Keeping Founders Grounded

Whenever I hear that a senior team member has resigned from a startup, I don’t treat it as someone else’s problem. Instead, I look for lessons.

At Gojo, we’ve had relatively few management departures over the past five years. Given how often good opportunities arise elsewhere, that turnover rate feels respectable. I’m acutely aware of my own shortcomings, but here’s what I try to practice:

1. Serve the mission, not the ego.
   Most founders start with a mission. As the company grows, some become so attached that they can’t imagine its future without themselves. That’s unhealthy. Every firm eventually outgrows its founders; once that point is reached, each founder should ask, “Am I still adding value?” If the answer is no, it’s time to step aside. I’m prepared to leave whenever my contribution no longer outweighs my cost.
   

2. Show appreciation—frequently and specifically.
   After the inflection point, progress depends mainly on colleagues and the other stakeholders. Thank them, especially when they deliver big wins. Psychology tells us we over-weight our own contributions, so you can’t really over-thank the people helping you succeed.
   

3. Stay sincere and honest under stress.
   Hard decisions—reorgs, layoffs—can numb your empathy; shutting it off becomes a defense mechanism. Yet unity depends on leaders who remain both sensitive and resilient. Also, everyone screws up; founders are watched especially closely when they do. If we can’t apologize well, people will wonder why they should toil for us.

These principles won’t eliminate departures, but they do foster an environment where talented people want to stay—and where they’ll wish the company well even if they eventually move on.