Books I read in 2019:
- Bad Blood by John Carreyrou
The book provides inside stories from people who were involved in Theranos, a once multibillion-dollar startup in Sillicon Valley. It is an exhilarating real-life thriller story. The book follows a timeline from the beginning to the end of the company, and stories from people who were involved with it. It is incredibly fascinating and scary how Elizabeth Holmes could fool various investors and partners into investing in Theranos and their blood testing device that never functioned properly. The book also describes how Elizabeth was running her company: watching employees’ every step, not only from when they checked in and out of the office but also what they typed on their computers, and taking personal revenge on those arguing and disagreeing with her points of view. Despite many red flags about Theranos, many investors and companies decided to look away, invested and partnered with the company (or Elizabeth) anyways due to ‘fear of being missed out’ in the startup world. It reminds me of a book I read earlier, “Thinking Fast and Slow” by Daniel Kahneman, about how many people, even the most sophisticated ones in the financial sector, make investments based on intuition instead of facts.
I wonder whether Elizabeth Holmes is a sociopath. We won’t know for sure. That is for psychologists to decide. It does seem like she truly believed in what she was doing and never saw any wrongdoings in her actions. We can surely credit her for her selling and convincing skills. I also recommend a documentary on HBO about Theranos for those who want a shorter and quicker overview of the story.
- Never Split a Difference by Chris Voss
A book that I have read and put into practice. “Never Split a Difference” contains personal experience of Chris Voss during his earlier years as a hostage negotiator at FBI and later as an instructor at an MBA school. The book is easy to understand and follow, sometimes having humoristic thoughts from Chris himself about various negotiating situations he had encountered. What I like about this book is that its guidelines are practical and easily applicable to any real-life situation, from negotiating your salary to buying a car. It never mentions any impractical theoretical framework, like BATNA which I learned in an online course and found it hard to implement.
This book is one of my favorites that I will surely keep on my bookshelf, referring back and perhaps rereading it several times. A must have for those who want to boost their negotiation skills!
- The Automatic Customer by John Warrillow
The book includes nine different subscription models one could apply to different customer segments as well as methods on how to build a subscription business. It is short, informative and concise. You can find your preferred subscription model and try to put it into practice. I’d recommend reading the book several times to grasp its key points. I’ll be rereading it again as well, probably for a few more times.
- Good to Great by Jim Collins
Jim Collins and his research team scanned thousands of companies and picked out 11 companies that they defined as having transformed from being good to great. Three things in this book that caught my attention were:
- Level 5 Leaders: Jim Collins divides leadership into a scale of five, with five being the highest. A level-5 leader is someone who is driven to do what’s best for the company, who hires the right people and puts them into the right positions. Jim Collins referred several times in his book that “Get the right people on the bus, then figure out where to go.” Once you have the right people on board, you can create and shape a culture of discipline with strong work ethics and drive. A level-5 leader will also ensure that the company sustains even when the leader has stepped down or been replaced.
- Hedgehog Concept: The Hedgehog Concept contains three circles: 1. What you are deeply passionate about, 2. What you can be best in the world, 3. What drives your economic engine. Your core business should be in the center where these three circles intersect.
- Start a “stop-doing” list: A lot of us have a ‘to-do-list’: things we need to do and achieve. But not many think of “stop-doing” list: things we should stop doing altogether because they aren’t working and wasting our time. Great companies review and act on facts and data and stop doing unnecessary things no matter how painful or unpleasant.
Interesting thoughts: The book was written in 2001 and included Walgreens as a company that transformed from being good to being great. Walgreens had a partnership with Elizabeth Holmes at Theranos to provide blood testing services in their stores. Despite many red flags that were raised about Theranos, Walgreens pushed ahead with the project, hence ignoring their ‘stop-doing’ list and not acting on facts and data, no matter how unpleasant, due to the fear of being missed out.
- Godt nok for de svina by Anita Krohn Traaseth
Anita is a former CEO of Innovation Norway and Managing Director of Hewlett-Packard Norway. In this book, written in Norwegian, Anita told about her way into a leadership role. She was open and honest about her story, from a childhood with a mother diagnosed with bipolar disorder, to being jobless and having to go to NAV (Norwegian social services) – the kinds of stories that one may not willingly share with others. She also emphasizes leadership with credibility and openness. Things Anita wrote that caught my attention:
- Godt nok for de svina – translated into English as “good enough for the bastards”. This is Anita’s personal mantra which saved her from being a ‘good girl’ and a perfectionist, something that took me a long time to grow out of. In Vietnam, I was taught that you needed to be good at everything in order to earn your recognition. We’d go to school, learn 11 different subjects, from math, natural sciences to social sciences and arts, and need to excel at all of them if we wanted to have recognition and reward from our school, teachers, parents, and eventually a place at a prestigious school for further education. That thought was stuck with me throughout my bachelor and master studies. Instead of dedicating more time to what I found interesting and was passionate about, I tried to be good at everything, being that overachieving perfectionist. Only after a long time that I’d realize, you can’t be best at something if you try to be good at everything all the time. The same goes for, please everyone and you’d please no one, especially yourself!
- Jeg må ingenting – I have to do nothing. I can relate to this more now after my baby was born. On New Year’s Eve, I slept until 23:58, only being woken up by the noise of fireworks outside. I decided to get up anyways to say Happy New Year to my husband who took over his baby watch shift that evening. Both of us were in our sweatpants and hoodies. We didn’t feel the need to follow the social trend, dressing up and celebrating new year like everyone else. This was how we celebrated 2020 and a new decade. Quiet time together, just us as a family. The key is to prioritize and focus on what are most important to you. You don’t have to try to do everything.
- Lean out – Anita reminded in her book about leaning out at home, something that Sheryl Sandberg has also advocated. I found this easier said than done, especially after my baby was born. In the evening, my husband takes care of our baby so I could get some sleep. Even when I am lying in bed, I would wake up and react every time I hear my baby cry. My husband is doing a fantastic job and I cannot ask for more. It is me who needs to step back and relax, who needs to learn to lean out.
I’m looking for books about business and leadership to read in 2020. What are your recommendations?