Safi Bahcall received his BA in physics from Harvard and his PhD from Stanford. He co-founded Synta Pharmaceuticals—a biotechnology company developing new drugs for cancer. He led its IPO and served as its CEO for 13 years. In 2008, he was named E&Y New England Biotechnology Entrepreneur of the Year. In 2011, he served on the President’s Council of Advisers on Science and Technology. Safi is the author of Loonshots: How to Nurture the Crazy Ideas That Win Wars, Cure Diseases, and Transform Industries. The book was selected by Malcolm Gladwell, Dan Pink, Susan Cain, and Adam Grant for the Next Big Idea Club.
Some interesting insights from this episode:
- “Very often people go on a path that the world expects them to without ever pausing to say ‘why am I doing this?’”
- For an entrepreneur, the critical ingredient for success in building a company is surrounding yourself with talented executives and then bridging the divide between people who wouldn’t naturally interact with one another.
- Culture are the patterns of behavior you see on the surface in an organization while structure is what’s underneath that’s driving those patterns of behavior. The activities being rewarded (i.e. incentive structures) will drive the culture. So it’s the structure that’s ultimately most important in influencing behavior.
- As companies mature, employees tend to shift from focusing on collective goals toward focusing more on careers and promotions. To reduce that behavioral shift, you want to minimize the growth in compensation that comes with each level in the organization. In addition, you want to maximize span of control. With fewer promotions and less of a financial incentive as you move up the organization, employees will focus more on their projects and less on corporate politics.
- You want some employees focused on activities that reduce risk and another set of employees focused on maximizing intelligent risk taking. Effective leaders create a dynamic equilibrium between these two groups and are able to effectively balance the core with the new.
- Most innovative products will have at least one or two false fails on their way to achieving significant market traction. The key to success is to get really good at investigating failure and not just accepting it on face value.
- Companies need to create a new C-suite role called a Chief Incentives Officer whose job is to design customized incentive packages to motivate employees and optimize outcomes.
- “Excellence is always striving to improve yourself and improve your performance.”