Today on the show, Iโ€™ll be talking to Eric Jorgenson, who is the director of growth at software startup Zaarly. Eric is also the creator of Evergreen, a curated collection of links to all the best business resources that he and his community members come across.

I first heard of Eric from a great article he wrote on Medium about the challenges that hit a company when they grow past 10 people to that next level of 20 or 30 people. And since I know that many of you are in that tier of growth as you scale your MSP, I wanted to pick Ericโ€™s brain about how you can identify and avoid some of the growing pains his own company has experienced. Though Ericโ€™s background is in software startups, the lessons here are very applicable.


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Whatโ€™s Going On

[02:04] There was a recent story in the New York Times about researchers whoโ€™ve been able to control smart devices like Alexa and Siri with commands that humans canโ€™t hear.

[02:47] As everything moves to voice-controlled commands, we have to be aware of the ways things can be hacked.

[04:54] Doors can be unlocked through IoT connections

[05:18] Imagine people not changing their passwords. This makes it very easy for criminals to get in.

[06:00] Karl remembers a story from about 15 years ago where โ€œhoodlumsโ€ in Norway were standing outside people’s windows changing their TV stations.

[06:20] Karl says a code could be embedded like a virus into songs, for example. It could live forever like some viruses do.

[06:56] By 2021, more than half of American households will have at least one smart speaker.

[07:09] The bad guys are already thinking about this stuff and doing it. As MSPs, we need to follow the news to help keep our clients secure.

[08:38] Thereโ€™s good stuff thatโ€™s coming with AI too.

[09:00] New features of Android P: Gesture navigation, AI smart replies to email, task predictions, AI tools to extend battery life and stop phone addiction. The Android P beta has kicked off recently.

[09:37] AI is at the center of most of the new features.

[09:48] Google is using machine learning to predict which app you want next.

[10:36] AI and big data are listening to us all the time. They have a lot of data they can analyze if they choose to. Becoming predictive is the next step.

[11:15] AI is being brought into brightness adjustment and adaptive battery learning.

[12:04] To bring things full loop, we need to figure out how to secure this stuff.

[12:43] Digital well-being features are designed to prevent smartphone addiction. Thereโ€™s an app dashboard to show you what you’ve been doing and a timer that sets limits.

[14:05] These are consulting opportunities for our clients.

[14:22] Karl is going to be home for several weeks working on his new book.

[14:39] Itโ€™s Newcastle Startup Week for Richard and time for the Thinking Digital 2018 conference.

Interview with Eric Jorgenson – How to Avoid the Growing Pains That Can Derail Your MSP Business

Eric Jorgenson, Director of Growth, Zaarly
Eric Jorgenson, Zaarly

[15:49] Weโ€™re talking about culture and management challenges that can blindside you during rapid growth. We also talk about tips for steering clear of those challenges drawn from Eric’s hard-learned lessons.

[16:08] When a small business hits around 20 people, a lot of changes happen that business owners are often not prepared for.

[16:33] Zaarly has moved in headcount up to 50 and back around to 10 twice. Eric has also seen a lot of friends go through similar challenges as their companies move into the range of 20 or 30 people.

[17:35] Eric works in the high-growth software startup space but these are human problems, not industry-specific problems.

[18:03] At 10 people, itโ€™s a tight-knit group where everyone knows everyone else and knows what goes on in the company.

[18:30] As you hit 20 or 30 employees, hierarchy needs to be imposed. Middle management is added. Jobs and roles become less unique and get standardized and measured.

[19:33] Different teams form, like sales or development, instead of one company-wide team. Rifts can also appear by age or seniority with the company.

[21:19] You know things will be different, but it still catches people by surprise.

[21:45] To employees, it can feel like the company is growing, but they arenโ€™t being brought along. People react differently.

[22:39] Growth challenges need to be addressed proactively.

[22:57] Youโ€™ll have stabilizers and destabilizers. People expressing discontent can become de-stabilizers. This is how your culture starts to fray.

[24:21] It’s important to build up relationships with stabilizers in your company before you need them. Earn employee trust before the rifts are created.


Whatโ€™s Going On

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