Micromanagement is toxic: Delegation is the cure (6 simple steps)

One of my direct reports once told me in a 1:1 early in my career as a founder: "I've never been so disrespected in my career." This was a wake-up call. I wasn't delegating, and we weren't aligned on goals and values. I was micromanaging, and second guessing everything. In this video we talk about what it takes to be a great leader: a conductor of people who drive greatness.
00:00 Intro: My management mistake
00:58 Hire and delegate to get more time
02:59 How to delegate in 6 simple steps
04:38 Delegation's shadow: Micromanagement
05:39 If delegation fails, ask the deeper questions
06:21 I was a terrible manager at times when I failed to delegate or align
07:04 Conclusion: Be a conductor of people
Music - "JUSTICE" Instrumental by Homage • [Free] J Cole Type Bea...
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Hi, I'm Garry Tan - I'm a designer, engineer, and investor in early stage startups. Cofounder and managing partner of Initialized Capital, an early stage venture capital fund that was earliest in Coinbase and Instacart. We're a team of 8 investing partners with over $500M in assets under management and our startups have created more than $45 billion in market value in the past 8 years. We focus on pre-product-market-fit seed and seek to be the investor of record at that stage.
Previously a partner at Y Combinator. Invested in and directly worked with over 700 companies in 5 years from the earliest possible stage, often just an idea.
Before that, I cofounded Posterous and helped build it to a world-class website used by millions. (Acquired by Twitter) I also cofounded the engineering team for Palantir Technology's quant finance analysis platform, and designed the current Palantir logo and wordmark.
I love building things. Forbes Midas List 2019, 2020 🚀

[@QuestionEverythingButWHY]

“It doesn’t make sense to hire smart people and tell them what to do; we hire smart people so they can tell us what to do.” --Steve Jobs

[@GarryTan]

Fantastic quote!

[@sia.b6184]

Yes delegation is the key, I am a founder / engineer and used to feel a sense of pride when I would go to a customer , pitch the solution, get the sale , deploy it and support it ... Then after a while and a few customers I got less sleep, got less time with my family and realised I had these people who I had boxed in to do only specific work .. I wanted them to not feel I was over working them ... What I realised after a while was they wanted to learn more ... Wanted to be more involved and actually felt sorry that I was doing most of the work ... To me I was worried that if they did the task , it might not be done with as much love and care ... Then I decided to teach them and train them to do the work as good if not better than me ... So I did ... And now it's great , they feel a sense of more responsibilities and are progressing in their careers, I can pay more bonuses cause things are more efficient , I have more time to think about more important stuff and to close deals ... And there is an certain satisfaction from seeing a job done well that you had NOTHING to do with other than your previous training ... Because I have more time , we applied to YC for 21 and just got the interview invite .. if I was still doing the majority of the work , I probably would have looked at the application and thought , there is just no time ... Training + delegation really pays off ...

[@huasonia1]

I love all your points and your tempo, your delivery.

[@jeremiahikwuje2399]

Thank you so much Garry Tan. You've been helpful.

[@77562887]

Garry, your superb logic makes hard phenomenon easy to digest, thank you for sharing your wisdom, would love to learn more from you!

[@eevmanu]

Thanks for being so transparent with this topic Garry.

[@GarryTan]

Thanks Manuel!

[@KevinCarbotte]

I rarely hit like on video, but I have to say I really appreciate you taking the time to give your perspective. Your videos are extremely insightful. Thank you for posting these.

[@getbasedtv]

Thanks for sharing this Garry, really direct info. My startup has recently gone from a contractor-only outsourced environment to two full time hires and I have been looking for a video like this about delegating so I can really start scaling up. The quotes you've included, your personal experiences shared and advice here are a perfect cocktail of amazing insight and info.

[@carloslfu]

Very insightful! Thank Garry.

[@thiagoaugustomartins3482]

Thanks for addressing this topic! I think I needed to hear about that, and I was going to the path of micromanagement. Now I know where to head it. Have a good one!

[@GarryTan]

Delegation is better but micromanagement is sometimes unavoidable. The key is to know when.

[@navinstrument8353]

Thanks gary. This is something that's been on my mind for quite sometimes. Your explanation helps a lot. Being an owner scaling up is always the goal.

[@GarryTan]

Glad to hear it

[@jasonrdunn]

This was excellent - thank you for sharing!

[@JP-vr7od]

I like that you have subtle music in the background. Very few do that. Keep that going. I just subbed. Looking forward to more of your content

[@GarryTan]

Thanks, will do!

[@jiwonmoon]

Garry, I really appreciated this (especially needed this today)!

[@GarryTan]

Thanks for watching!

[@anupamshah7694]

This is eye opening ❤️

[@jefftatarchuk]

So good! I'm the cmo of a fast growing startup. Definitely sharing this with others in our c-suite.

[@yawniek]

lovely recap, all the important points of becoming a good manager and leader. and they are actually quite simple. that ray dalio quote is also one of my long time favourites.

[@GarryTan]

Thank you NULL!

[@jackqueliinewilliams5377]

your awesome!! its really exceptional to hear when someone in your position realizes and admit your not perfect and yes I'm aware......impressive!!

[@Pepyspodcast]

Love you man, top content like always.

[@emirsen4985]

GOD you are amazinf. the fact that you share this stuff is just crazy.

[@dannyc8008]

Great insight. Thanks fir sharing.

[@poesaste]

One of your best yet GT 👌

[@GarryTan]

Thank you Andrew! 🙏

[@AdamHeist]

Incredible video on a very difficult topic for most leaders and founders. Man your stuff is good:)

[@GarryTan]

Much appreciated!

[@milobrunelle8935]

Delicious video, really helpful

[@Natanael_nass]

I really dont know how I got here, but Im glad that YT algorithm recomended your channel. So good! Im sharing with all my tech lovers friends hahah :D

[@GarryTan]

Awesome! Thank you!

[@omarashrafhassan]

Great Video, Garry!

[@GarryTan]

Thanks for watching!

[@vibhorbhardwaj8762]

Just stumbled upon this channel. Absolutely amazing content. Absolutely neccesary for everyone to understand. This channel will grow leaps and bounds for sure. This content is what needs to be shared, applied ,and understood.Would love to connect.

[@GarryTan]

Much appreciated!

[@NourLababidi]

Thank you Champion! Garry The YC MAN!

[@TechdubberStudios]

Thanks for not premiering! Also, for the very useful video. :)

[@GarryTan]

Thanks for watching!

[@nathandaix6659]

These videos are just ... awesome.

[@GarryTan]

Glad you like them!

[@tanmaykumar8995]

Garry Tan has shown me the world in so many ways. Favorite youtuber at this moment. Really appreciate everything you've been putting here.

[@DanielNuske]

thanks for the great advice!

[@munaalamudi9975]

Super star Garry.♥️ Very useful.thx.

[@GarryTan]

My pleasure 😊

[@kushalkamra3803]

Thanks Garry 👍

[@piercemooney8978]

This resonated with me to a shockingly appreciable level, and then I saw the thumbs up ratio, Gary you continue to drop amazing knowledge! Thank you for that. We should discuss my venture PARSOUND, I will try to find your email sometime.

[@_ego11]

1.8k to 0 💀

[@GiulianoGiacaglia]

Great video as usual! 🤩

[@GarryTan]

Glad you enjoyed it!

[@jacobsretail1017]

Garry you are awesome man thanks for sharing

[@GarryTan]

You rock! Thanks for watching

[@andrelim2428]

Great insight! I hope you managed to patch things up with your ex employee and that if he / she is watching this that he / she has forgiven the past mistakes. :)

[@brunorutmanpagnoncelli4845]

Great content! trank you for sharing!

[@DesignLead]

Thanks this helps alot, specially now that we are about to launch our first product, even thi my team is small, 2 developer and myself.

[@TravelAhead]

Great content!

[@Moh_Azeez]

Execution dear Watson 😌.... it really is hard. I am a designer, my co-founder is the developer. I micromanaged him to burn out twice in the span of 4 months. I am picking up the pieces now. It got to a point where I started to learn python and dart to be able to judge/review the code (worst point of it) and it happened a month ago. I did find what Shishir Mehrotra, Keith Rabois, and Ben Horowitz said in the Stanford sessions to be very useful. P.s. Having a process like Kevin Hale of YC explains is crucial. We use AIDEE which has worked phenomenally so far.

[@GarryTan]

What is AIDEE?

[@Moh_Azeez]

​@@GarryTan It is a feedback and miscommunication tool. The letters stand for Action, Impact, Desired behaviour, Emotions(the person who raised the feedback), Emotions (the person on the other side). in.. Action: you describe what the person did in a concrete situation(s) or attitudes they displayed. Impact: you describe the concrete consequence of such action on both the person(s) affected and the environment. Desired Behaviour: you describe what a better alternative would have been for the action/behaviour or space/action for improvement. What is your recommendation to improve further on this issue? Emotions: both sides explain how they felt and what situation they were in was like at the time plus if they were in the other person'(s) shoe what would that have made them feel. it is all to objectify and deescalate the situation (even if it is micromanaging) and trying to improve it over a period of time where the person affected will observe and the person with the action will try to improve incrementally.

[@brandantang9154]

@@Moh_Azeez Thanks Mohammad, I will adopt this.

[@tareqalmuntasir]

Thanks for taking the time to share your valuable perspective with us. Please do a video on "when should you quit your startup?"

[@GarryTan]

Thanks! Will do!

[@vivekteega]

That would be really great! I have been working with a startup in India as an early employee and it feels like a drag a lot of times. I keep wondering all the time if I should just quit and get a job somewhere until I figure out what to do next, rather than wasting any more time working for a really low salary in hopes of making it big through the equity I have.

[@Alexeia100]

Really really good

[@lisatanh9530]

More please!

[@martinrandolph8220]

I picked up a lot through this.

[@generalyoutubewatching5286]

The issue with big companies is that sometimes the people working for you are lazy and unconscientious. So what to do? I've seen "techniques" where the manager just micromanages everything in an effort to make them hate the job and leave. But often times, the guy is so bad that no one in their right mind will want to hire them, so they are stuck with the guy for a while.

[@wenfengqin3115]

Thank you! 谢谢。

[@GarryTan]

Thank you for watching!

[@MagnusAnand]

Great video

[@GarryTan]

Thanks for watching Guz!

[@bronco911]

Simple, wisely, experienced - our bible explained here

[@chencohen3657]

Thanks Garry! The challenge for me is how best to pass along my perspective/way of thinking to the team. In my opinion, once your team understands your general approach (for example, to be able to view and care about the startup as your own business, even if you are not the founder or attention to details), it is simpler to be aligned with the company's DNA and by doing so, require less micromanaging. I also think it is true when building a platform/market network solutions. Once you understand the incentives and perspective of each persona, it is easier to create a sticky product. Would love to hear tips on how to get the team to better understand the founder's perspective.

[@GarryTan]

I think if you spend time focusing on *why* that will help people understand the business. What are your values? What are your beliefs? What is the organization meant to do? That is the bedrock that will allow the team to make the right decision regardless of whether the leader is involved or not. Good clearly articulated values and vision allow the team to make decisions without micromanagement.

[@chencohen3657]

@@GarryTan Thanks! We actually prepared that, but definitely need to do it more deeply. I think it will help, but I think it also depends on the person's character.

[@Daniellasanche]

True....I've always considered my time "free"

[@TM-bo6vx]

Came all the way from Joma's video to here!

[@GarryTan]

Thanks for watching!!

[@ronittiwary9215]

this is all predicated on having a driven and stellar team, no? It'd be cool to see a video on your experiences in hiring/building rockstar teams. Feels like a lot of startups that went on to great success may have pivoted early and had some instability but the common denominator seems to be that they all had very talented and motivated teams. Would love to hear your thoughts

[@GarryTan]

Yes always recruit the smartest people you can find. Get them to quit whatever they are doing. If you succeed you are doing both you and them a favor. Even if you don’t but enjoy working together and learn a lot together, you are still better off.

[@joseantoniopacheco3088]

Excellent video and excellent quote from Dalio. Do you remember where you get it from?

[@GarryTan]

His LinkedIn post i think

[@kenmooso]

Nothing more frustrating than being micro managed. I appreciate you sharing a personal experience as well. Everyone wants to learn from the legend Garry Tan. I’ll send you a private message on IG if that’s ok. It might go to your spam inbox as I’ve messaged you there before so just a heads up.

[@GarryTan]

Weird ok I am looking for it but haven’t seen it

[@brandantang9154]

Thanks Garry, another great video from you. What do you do when you hire someone who's smarter than you (for his expertise) but he rolls his eyes when you ask for clarification or explanation?

[@GarryTan]

Steer clear. In marriages and workplaces things rarely recover from contempt.

[@navinstrument8353]

@@GarryTan excellent point. I heard one business owner says hire slowly/carefully, fire quickly.

[@MiD3v]

Hey Garry... I'm curious... Does the use of time trackers for developers fall under this category of micromanagement?

[@GarryTan]

Depends on how it is used. Just tracking is not. Berating people over it is.

[@leobarrientos]

What would you recommend in terms of reversing the micro managing dynamic? For example, I'm trying to empower my team to provide constant feedback to the manangers in order for us to help them reduce any friction in their work.

[@GarryTan]

Process is helpful. Quarterly OKRs. 360 reviews. Try torch.io or Lattice.

[@Duhhx1]

Hi Garry, Thank you for sharing this amazing videos. I am in the process of launching my bootstraped saas ecommerce platform and was wondering if it's a myth to go it alone over raising capital? Note: I have enough juice for 12 to 18 months for engineering (95% done) marketing, contents and growth hacking to generate leads. Is raising capital becoming early on a waste of time or a crucial part of the startup life cycle?

[@GarryTan]

I would raise from friends and family first and then go out to raise from people you don’t know only after you have evidence

[@baksagimm5890]

its so hard to find the right person

[@techdroid8242]

Garry can u plz tell me where to find your cofounder or is it ok without a cofounder?

[@GarryTan]

The best cofounders are people you have worked with for a long time and with whom you have complementary skills. A bad cofounder is worse than doing it alone, so better to do it alone than bring on someone who is a bad fit.

[@PingMendoza]

Hey Garry, any thoughts on Founder salaries and how this evolves as the business grows? Thanks!

[@GarryTan]

Check out hiringplan.io to get panel data from LTSE about how to think about that stuff.

[@nanahendrix5087]

Can someone please come to my rescue?? I thought that the Team Lead or the CEO should have reports on the daily administration of the company. And so why is reviewing what they have done a form of micromanagement. Does it mean there should be no reporting to the team lead??

[@derek2930]

Garry what do you say your current internal hourly rate is now? $100,000? How did you increase your mindset from $72k/year at MSFT to what it is now?

[@GarryTan]

$100K is a lot! $500 to $5000/hr (what Naval used to use) is pretty good - works out to be $1M to $10M a year. $100K per hour is about $100M per year. I think you have to be a founder to hit that.

[@derek2930]

@@GarryTan Posthaven could have 1.7mn subscribers.

[@GarryTan]

There are not many things in the world that can get to multi billion dollar business. Posthaven is not meant to be one :-)

[@kennstack01]

Are you supporting an hierarchy based management structures for startups ? @Garry

[@GarryTan]

Yes hierarchy is actually pretty normal

[@stefan-t--]

i've been that direct report! haha

[@GarryTan]

Haha sorry

[@rj_olmedo]

Elon Musk is sometimes called a nanomanager, is he doing it wrong?

[@GarryTan]

There is not one path.

[@rj_olmedo]

@@GarryTan Agreed, big fan of yours. Greetings from El Salvador.