Lessons from scaling Stripe | Claire Hughes Johnson (ex-COO of Stripe)

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Published 2023-03-05
Claire Hughes Johnson is the former COO at Stripe where she helped scale the company from a small startup to the legendary company it is today. She also spent close to 10 years at Google, where she filled several executive roles including VP of Global Online Sales and Director of Sales and Ops for Gmail, YouTube, Google Apps, and AdWords. Claire shares invaluable insights from her upcoming book, Scaling People, on how to successfully build and scale organizations. We talk about the importance of building self-awareness and Claire gives tons of tactical advice on how to say things that are hard to say, as well as how to improve your internal communications and so much more.



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Find the full transcript at: www.lennyspodcast.com/lessons-from-scaling-stripe/…

Where to find Claire Hughes Johnson:
• Twitter: twitter.com/chughesjohnson
• LinkedIn: www.linkedin.com/in/claire-hughes-johnson-7058/

Where to find Lenny:
• Newsletter: www.lennysnewsletter.com/
• Twitter: twitter.com/lennysan
• LinkedIn: www.linkedin.com/in/lennyrachitsky/

Referenced:
• Scaling People: Tactics for Management and Company Building: www.amazon.com/Scaling-People-Tactics-Management-B…
• John Collison on LinkedIn: www.linkedin.com/in/johnbcollison/
• Patrick Collison on LinkedIn: www.linkedin.com/in/patrickcollison/
• Discord: discord.com/
• Toast: pos.toasttab.com/
• High Growth Handbook: Scaling Startups from 10 to 10,000 People: www.amazon.com/High-Growth-Handbook-Elad-Gil/dp/17…
• Myers-Briggs personality type: www.myersbriggs.org/my-mbti-personality-type/mbti-…
• Enneagram types:  www.enneagraminstitute.com/type-descriptions
• Disc assessment: www.discprofile.com/what-is-disc
• Conscious Business: How to Build Value through Values: www.amazon.com/Conscious-Business-Build-through-Va…
• Reid Hoffman on LinkedIn: www.linkedin.com/in/reidhoffman/
• Eeke de Milliano on Lenny’s Podcast: www.lennyspodcast.com/how-to-foster-innovation-and…
• Running an effective meeting:    • Running an Effective Staff Meeting | ...  
• Gokul’s S.P.A.D.E. framework: coda.io/@gokulrajaram/gokuls-spade-toolkit

In this episode, we cover:
(00:00) Claire’s background
(04:47) How writing Scaling People helped Claire crystallize learnings
(07:58) How Claire got started writing her book
(11:11) Advice that changed the way Claire operates
(15:18) The lack of job titles at Stripe
(19:01) Scaling your organizational structure
(23:46) What founders need to think about in the early days
(26:38) Personal operating principles
(29:04) How to crystallize your own values to gain self-awareness
(34:29) Advice for saying uncomfortable things
(37:12) Being an explorer, not a lecturer
(43:57) Come back to the operating system
(47:17) Organizational structure using Claire’s house metaphor
(50:50) Why some chaos is normal
(52:45) Founding documents you need
(58:30) The components of a company’s operating system 
(1:01:31) Finding the right cadence
(1:04:48) COOs and which types of businesses need them
(1:11:30) Advice on scaling quickly
(1:13:56) The importance of internal communications
(1:16:03) Running effective meetings
(1:17:17) Advice for aligning and making decisions as a manager

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All Comments (18)
  • Amazing insights! Great questions, Lenny! Claire is amazing. So much of this stuff is pure soul searching, borderline spiritual stuff, which I find fascinating. I think business has become so data driven, which is critical, but the ambiguity and the human element is sooo murky. She's pulling out the truth. Thanks to both of you! Can't wait to dig into her book.
  • So great insights! Just looking at Claire on the video, I can see how much energy she had. Pretty much charged me! Great questions, great answers!
  • @nandana221
    Great talk! Loved the whole discourse around identifying your personal governing principles and general cadence. A lot to take away from this meeting, thank you Lenny. Nobody is perfect, but if you've a set of principles in place, that's good!
  • @user-iq3ti1yh6c
    Great conversation! Thank you, thank you, thank you!!! Merry Christmas!
  • great interview. she makes things so much easier to accomplish.
  • @LWarrenF
    Telling the pm that they’re the decision maker sounds like something you’d say to junior staff. Senior PMs assume by default that - in concert with everyone they work with - there is some delegation of decision making to them, respecting the concomitant need for roadmaps and stakeholder communication.
  • @abstractalgo
    Incredible content, and props to Claire for a great energy and insightful angles on various topics.
  • Great interview and very valuable advice. To more interviews such as these🌱💯
  • @snoopdogg_007
    As every company blindly imitates the successful ones without questioning whether or not they actually need to, this is just one more reason why people are stuck where they are. The capacity to unblock people is lacking in middle management. In certain cases, the complexity of a process necessitates the presence of a middle management position.
  • @luisdatec
    I really enjoyed it! Good practices looking for the momentum!
  • @TarotPolitics
    This book needs an epilogue. After years if hearing how great Stripe is I realized there is an underdog called Adyen that has massively over performed at 1/4 expenses compared to bloated and entitled Stripe. Maybe having Paul Grahan and Mike Moritz and every VC fawn over them wasn’t so positive in the end. They drank the kool aid. It looks like Claire is directly responsible for the over-hiring???? Suddenly Stripe looks like a cautionary tale. It remains to be seen whether Stripe’s hiring is a winning formula afterall. Stripe’s valuation is now 1/2 what it was; they are raising 3B to pay taxes (??!!). Apparently Adyen only raised 330M or so and IPO’d. They make 3x per employee more than Stripe. Stripe is the Peter Pan company, forever young because adulthood/IPO’ing is too hard. In Neverland everything is perfect.
  • @Johnny_Savage
    She says delegating decision-making and making it fast is important (I agree), but it doesn't seem like that's what Stripe does. If you look at glassdoor reviews, a lot of them complain about bureaucratic and slow decision-making processes. So who is telling the truth?