50 Direct Reports
Interviewer: You have 50 direct reports. Most consultants would say half a dozen, maybe 10 should be the limit. What's your philosophy?
Huang: The people who report to the CEO should require the least amount of pampering. I don't think they need life advice. I don't think they need career guidance. They should be at the top of their game, incredibly good at their craft. Unless they need my personal help, they should require very little management.
People who report to the CEO should require the least amount of pampering.
Fewer Layers, More Information
Huang: The more direct reports the CEO has, the fewer layers in the company. It allows us to keep information fluid. It makes sure everyone is empowered by information.
Our company just performs better because everybody's aligned, everybody's informed about what's going on.
The more direct reports the CEO has, the fewer layers. Information stays fluid. Everyone is empowered.