3 things founders must do to build a $10 billion company, according to Kaifu Lee

Innovation Works founder and former Google China head Kaifu Lee knows Asia’s tech startup scene about as well as anybody on earth right now, so when he passes down advice, it’s often wise to listen. After a recent trip to Silicon Valley with some of his founders, Lee waxed lyrical at a meeting of his Young CEO Club about the big lesson he took away from the trip.

“As the founder of a company, if you want to build a US$10 billion super unicorn, there are three things you must do:

1. Lead the company’s culture strategy

2. Find people who fit that culture

3. Make yourself stronger as a founder

These three things cannot be delegated to team members. As the founder, you have to do all three of them yourself.”

Lead the company’s culture strategy

Culture is the most important mainstay of a super unicorn, Lee said, and he was surprised on the Silicon Valley trip to find that Airbnb – a US$20 billion company Lee had almost cut from the itinerary – was the most educational on the culture front. Airbnb’s culture boils down to a single sentence – be a host – and that permeates every aspect of the company, even down to their conference rooms (which are designed to look like real rooms in the houses Airbnb lists for rent). The company wants to be sure that people feel like they belong, both customers who are renting rooms, employees who are working at the office, and even guests.

For example, Lee said that when their group arrived at Airbnb, the company sent them four guides. Most companies only send one, but Airbnb wanted to be sure that their larger group would be fully served, and that everyone could easily hear the explanations and ask questions about what they were seeing. And importantly, Airbnb has managed to transmit that host mentality to its landlords, so that’s not only the experience visitors get, it’s the experience customers get, too.

Culture, of course, is inevitably led and shaped by the founder. Lee noted that Apple’s culture seemed to be focused on perfectionism and secrecy – traits also associated with the company’s late co-founder Steve Jobs. And Tesla’s culture, Lee says, is one of technological vision, no doubt driven by its tech visionary founder Elon Musk.

Think founders aren’t important for shaping culture? Think about this guy. Image credit: Pixabay.

Find people who fit that culture

Lee says that the CEO should be spending about 30 percent of his or her time looking for talent. And of course, you don’t want people who will meet the company’s standards, you want people who will raise them. But culture is also important, especially with the early hires as they will help to define your company’s culture.

This doesn’t always mean landing a big name hire. Lee cited several examples of highly effective employees at western companies who weren’t necessarily big names, but still brought tons of value to the company through both immense talent and a good culture fit. One example was Avie Tevanian, who Lee says was a big part of why Apple ultimately brought Jobs back into the fold, even though he doesn’t have anywhere near the name recognition of Jobs, Woz, Cook, or other Apple and former Apple luminaries.

Make yourself stronger as a founder