Summary of “Good People” by Anthony Tjan (2017)

Summary of

Human Resources and Talent ManagementPerformance Management

Introduction

“Good People” by Anthony Tjan delves into the essence of what makes an outstanding leader and emphasizes the role of moral character in fostering a healthy and productive work environment. Tjan asserts that nurturing “good people” is fundamental to organizational success. He illustrates this through an array of examples and actionable advice, revolving around the theme that the quality of people within an organization directly correlates to its performance and culture.

Key Themes & Concepts

1. The Importance of Goodness in Leadership

Overview

Tjan argues that inherent goodness in leaders and employees is crucial for sustainable success. He stresses that goodness should be the cornerstone of every leadership decision.

Examples & Actions

Tjan provides examples of companies like Zappos, where CEO Tony Hsieh emphasized a culture of happiness and treating employees well, which led to exceptional customer service.

Action: Leaders should implement regular training programs focusing on ethical behavior and the importance of kindness in their interactions with others.

2. The Three Pillars of Goodness

Overview

Tjan identifies three essential characteristics of “good people”: truth, compassion, and wholeness.

  • Truth: Embracing honesty and transparency.
  • Compassion: Showing empathy and care for others.
  • Wholeness: Striving for balance and integrity in life and work.
Examples & Actions
  • Truth: Ed Catmull, co-founder of Pixar, established a culture of candid feedback through their “Braintrust” meetings, ensuring transparency in the creative process.

Action: Cultivate an open-feedback environment where employees feel safe to express honest opinions and ideas.

  • Compassion: Tjan shares the story of Chick-fil-A, where the company’s dedication to employee welfare, such as offering scholarships, translates into high employee satisfaction and loyalty.

Action: Implement employee support programs that provide tangible benefits, such as education and wellness initiatives.

  • Wholeness: Bridgewater Associates’ Ray Dalio fosters a culture of “radical transparency” and meaningful relationships, ensuring employees can bring their whole selves to work.

Action: Encourage work-life balance by promoting flexible work hours and wellness programs.

3. Hiring for Character, Training for Skill

Overview

Tjan emphasizes that character should take precedence over skill during the hiring process. While skills can be taught, character traits like integrity cannot be easily instilled.

Examples & Actions
  • Example: Southwest Airlines prioritizes hiring for attitude and character, ensuring that new employees align with their customer-first culture.

Action: Revamp the hiring process to include character assessments and values-based interview questions.

4. Developing a Culture of Goodness

Overview

A company’s culture is a reflection of its leadership. Tjan suggests that fostering an environment where goodness is celebrated will naturally attract and retain good people.

Examples & Actions
  • Example: Patagonia’s Yvon Chouinard focuses on environmental sustainability and ethical practices, which attracts employees dedicated to the same principles.

Action: Clearly define and communicate the company’s core values, ensuring they are integrated into every aspect of the organizational operations.

5. Leading with Humility

Overview

Humility in leadership fosters respect and loyalty among employees. Tjan points out that leaders who practice humility are more effective and better at driving their teams towards shared goals.

Examples & Actions
  • Example: Costco’s CEO, Craig Jelinek, is known for his humble approach, treating employees with respect and valuing their input, which has contributed to high levels of employee satisfaction and company performance.

Action: Encourage leaders to share their successes and failures openly and involve employees in decision-making processes.

6. Investing in People’s Growth

Overview

Tjan asserts that true leaders are committed to the continuous development of their teams. Investing in employees’ personal and professional growth is imperative for long-term success.

Examples & Actions
  • Example: Google’s “20% time” policy allows employees to spend 20% of their time on projects they are passionate about, leading to innovations like Gmail.

Action: Set aside time and resources for employees to pursue personal projects and further their education.

7. Building Trust

Overview

Trust is the foundation of any successful relationship. Tjan highlights that trust within a team leads to better cooperation, creativity, and overall success.

Examples & Actions
  • Example: Nordstrom’s policy of trusting employees empowers them to take initiative and make decisions that benefit customers, building a strong sense of ownership and accountability.

Action: Develop policies that demonstrate trust in employees’ judgment and abilities, such as flexible work policies and autonomy in decision-making.

8. Encouraging Ethical Behavior

Overview

Ethical behavior should be encouraged and rewarded to reinforce a positive culture. Tjan emphasizes the need for clear ethical guidelines and the celebration of integrity.

Examples & Actions
  • Example: Johnson & Johnson’s Credo outlines the company’s ethical responsibility to customers, employees, and the community, driving ethical decisions throughout the organization.

Action: Establish and communicate a code of ethics that guides decision-making and reward employees who demonstrate high ethical standards.

Conclusion

“Good People” by Anthony Tjan offers a roadmap for nurturing a high-performance environment through the lens of character and integrity. The book demonstrates that by prioritizing goodness, transparency, and compassion, leaders can build stronger and more successful organizations. Through extensive case studies and practical advice, Tjan provides clear actions that leaders can take to foster a culture of goodness, thus enabling their teams and companies to flourish.

The book encourages looking beyond immediate performance metrics and focusing on the long-term value of cultivating ethical, kind, and whole individuals. By implementing these strategies, leaders can create a workplace where employees are not only productive but also engaged and aligned with the company’s core values.

Human Resources and Talent ManagementPerformance Management