Build
Authors: Tony Fadell
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Overview
In ‘Build,’ I share the hard-won lessons I’ve learned over three decades of building products and companies at places like General Magic, Philips, Apple, and Nest. It’s a practical guide for anyone who wants to make something meaningful – whether it’s a physical product or a service, a startup or a project within a larger organization. I cover everything from finding your passion and navigating the early stages of your career to building a team, designing a great product, and dealing with assholes. I delve into the importance of storytelling, data-driven versus opinion-driven decisions, and knowing when to trust your gut. I also emphasize the critical but often overlooked aspects of building a business, like understanding the customer journey, developing a robust marketing strategy, managing company culture, and weathering the inevitable crises that come with growth and disruption. The book is designed to be both inspiring and practical. It’s not about me – it’s about the lessons I’ve learned from mentors, colleagues, and countless mistakes along the way. It’s about the enduring principles of leadership, product development, and company building that have helped me succeed and can help you as well. It’s about understanding that you can’t change the world alone, that it takes a team of passionate, talented people to make something truly great.
Book Outline
1. Adulthood
Early adulthood is a time for exploration and productive struggle. When choosing a career path, prioritize learning and personal growth over titles and compensation. Embrace failure as an inevitable part of the learning process, particularly when creating something new. View your twenties as a period of trial and error, where inaction is the only true failure.
Key concept: Traditional schooling trains people to think incorrectly about failure. You’re taught a subject, you take a test, and if you fail, that’s it. You’re done. But once you’re out of school, there is no book, no test, no grade. And if you fail, you learn. In fact, in most cases, it’s the only way to learn—especially if you’re creating something the world has never seen before.
2. Get a Job
When considering where to work, aim for companies creating truly disruptive products or services. Look for companies that solve a real customer problem using novel technology and a flexible approach. Avoid “management consulting” at large firms, as it provides a limited, two-dimensional view of business and hinders hands-on learning. Instead, seek out small, dynamic companies where you can learn directly from experienced “rock stars.”
Key concept: If you’re going to throw your time, energy, and youth at a company, try to join one that’s not just making a better mousetrap. Find a business that’s starting a revolution.
3. Heroes
Seek out and connect with your heroes in your field, not just for potential job opportunities but also for mentorship and learning. Don’t limit yourself to well-known figures—look at who they work with and who reports to them. Leverage your own knowledge and curiosity to engage with experts on platforms like Twitter and LinkedIn. Offer something of value, ask smart questions, and persist in building connections.
Key concept: Make a connection. That’s the best way to get a job anywhere.
4. Don’t (Only) Look Down
As an individual contributor, don’t just focus on your immediate tasks. “Look up” to understand the long-term vision and goals of the project and the company. “Look around” to understand the perspectives and needs of other teams and how your work fits into the bigger picture. Internal networking and understanding different functions can provide early warnings if the project is going off track.
Key concept: Your job isn’t just doing your job. It’s also to think like your manager or CEO.
5. Just Managing
Management is not for everyone, but if you’re drawn to it, understand that it’s a learned skill requiring continuous improvement. Focus on developing strong communication, delegation, and mentorship skills. Avoid micromanaging while maintaining high standards for your team. Remember that your goal is to build a team that can function effectively and eventually surpass your own abilities.
Key concept: Becoming a manager is a discipline. Management is a learned skill, not a talent. You’re not born with it.
6. Data Versus Opinion
When making critical decisions, differentiate between data-driven and opinion-driven decisions. Rely on data when available, but recognize that complex decisions often require a gut instinct informed by customer insights and experience. Avoid analysis paralysis by trusting your gut and taking responsibility for the consequences.
Key concept: Data can’t solve an opinion-based problem. So no matter how much data you get, it will always be inconclusive.
7. Assholes
Navigate workplace dynamics by recognizing different types of “assholes”: political, controlling, and those who simply suck at everything. Learn to identify and differentiate mission-driven “assholes” who, despite their demanding style, are driven by a desire for excellence and ultimately make the work better. Develop strategies to deal with each type, starting with kindness and escalating to ignoring, circumventing, or ultimately quitting if necessary.
Key concept: Before dismissing someone as “just an asshole,” you need to understand their motivations.
8. I Quit
Recognize when it’s time to quit a job. If you’re no longer passionate about the mission or have exhausted all options for improving a toxic situation, leaving may be the best course of action. Prioritize your well-being and long-term career goals over short-term financial gains.
Key concept: Hating your job is never worth the money.
9. Make the Intangible Tangible
When building a product, consider the entire customer journey—from initial awareness to final disposal—and design each touchpoint to be seamless and delightful. Don’t overemphasize the physical product at the expense of the larger experience. Prototype not just the product itself, but also the marketing, packaging, installation process, and customer support. Remember that even seemingly minor details can have a significant impact on the overall customer perception and satisfaction.
Key concept: Your product isn’t only your product. It’s the whole user experience—a chain that begins when someone learns about your brand for the first time and ends when your product disappears from their life.
10. Why Storytelling
Craft a compelling narrative that explains the “why” behind your product—why it exists, why it matters, and why people will love it. This story should drive everything you do, from product development and marketing to investor pitches and team building. Use clear and relatable language, employ analogies to simplify complex concepts, and connect with the customer’s emotional and rational sides.
Key concept: Every product should have a story, a narrative that explains why it needs to exist and how it will solve your customer’s problems. A good product story has three elements:
- It appeals to people’s rational and emotional sides.
- It takes complicated concepts and makes them simple.
- It reminds people of the problem that’s being solved—it focuses on the “why.”
11. Evolution Versus Disruption Versus Execution
When creating a new product, aim for disruption, not just incremental improvement. Disruption means challenging the status quo and creating something fundamentally new. However, disruption alone is not enough. You need to execute well on your vision and continue to find new ways to disrupt yourself as the product and the market evolve.
Key concept: Your version one (V1) product should be disruptive, not evolutionary. But disruption alone will not guarantee success—you can’t ignore the fundamentals of execution because you think all you need is a brilliant disruption.
12. Your First Adventure—and Your Second
Understand the challenges and dynamics of building a team for a new product. The first version (V1) team is characterized by uncertainty and a need to establish trust and processes. The second version (V2) team benefits from shared experience and can move faster and take bigger risks.
Key concept: V1 team: It’s mostly or all new players working together. You’re still feeling each other out… You’ll need to agree on a singular process, which is often harder than agreeing on a product. V2 team: You may have to upgrade parts of your team as you become more ambitious, but many of the same teammates who weathered the storm of V1 will be ready to enter the fray again for V2.
13. Marrying for Money
Raising capital is like entering into a long-term relationship, so approach it with careful consideration and due diligence. Understand the different types of investors and their motivations, and find a partner who aligns with your vision and values. Build genuine relationships based on trust and mutual respect, and be prepared for the challenges and compromises that come with taking on investors.
Key concept: No matter which route you take—VC or angel or strategic or bootstrap —starting a company is hard. Getting money is hard. There are no shortcuts, no easy path, no room for dumb luck.
14. You Can Only Have One Customer
Focus on serving one primary customer—either consumers (B2C) or businesses (B2B). Trying to do both will dilute your efforts and likely lead to failure. Understand your target customer’s needs and tailor your product, messaging, and sales strategy to meet those needs. Even if you expand into B2B2C models, the end consumer should always be your ultimate focus.
Key concept: You can only have one customer. Choose wisely.
15. Killing Yourself for Work
Recognize the importance of personal balance when working on demanding projects. While true work-life balance may be elusive, design your schedule to allow for adequate sleep, exercise, healthy eating, and time to de-stress and engage in non-work activities. Delegate tasks effectively, learn to say “no,” and take real vacations without constantly checking in.
Key concept: Here’s my advice: do not vacation like Steve Jobs.
16. Crisis
Develop a clear plan for managing crises, both internal and external. Prioritize fixing the problem and communicating effectively with your team, stakeholders, and potentially the public. Seek advice from mentors and experienced individuals, accept responsibility for the situation, and learn from the experience to prevent similar issues in the future.
Key concept: Don’t forget that even when everyone calms down after the initial shock wears off and gets back to work, they’re probably still freaking out internally, just like you.
17. Hiring
Building a strong team is paramount to success. Recruit a diverse group of talented individuals with complementary skills and a shared sense of purpose. Develop a robust hiring process that ensures candidates are a good fit for the company culture and interview with potential colleagues across different departments. Prioritize hiring and make it a regular discussion point in team meetings.
Key concept: Hiring a diverse and talented team is so incredibly crucial to your success that you’ll want to interview every person who joins your company yourself. But you can’t.
18. Breakpoints
Understand how growth impacts your organization and be prepared to adapt your structure and communication style as the team expands. Recognize and navigate breakpoints, those critical moments when the company’s size and complexity require a shift in leadership, organization, and communication. Proactively address these breakpoints to avoid cultural dilution, communication breakdowns, and loss of key employees.
Key concept: It’s either grow or die. Stasis is stagnation. Change is the only option.
19. Design for Everyone
Actively cultivate and define your company culture. Clearly articulate your values and make them visible in your workspace, communication, and hiring process. Regularly review and adapt your culture as the company evolves, ensuring that it remains a source of strength and alignment for your team.
Key concept: If you don’t explicitly know your values, you can’t pass them on, maintain them, evolve them, or hire for them.
20. The Point of PMs
Recognize the essential role of product management in driving product success. Product managers are responsible for defining the product vision, understanding the customer needs, and collaborating with various teams (engineering, design, marketing, sales, support, etc.) to bring the product to market. Ensure that product management has ownership of both product definition and messaging to create a cohesive and compelling product story.
Key concept: Those are, and should always be, one job. There should be no separation between what the product will be and how it will be explained—the story has to be utterly cohesive from the beginning.
21. Death of a Sales Culture
Build a sales culture that prioritizes customer relationships over quick transactions. Implement a vested commission model that rewards long-term customer success and incentivizes collaboration between sales and customer success teams. Avoid creating a separate “sales culture” that clashes with the company’s overall values and mission.
Key concept: Every sale should be a team sale.
22. Lawyer Up
Understand how to effectively work with lawyers. Recognize that most legal decisions are ultimately business decisions and that lawyers are there to advise on risks and options, not dictate the course of action. Hire lawyers with specific expertise relevant to your business, and build strong relationships with them based on trust and mutual understanding.
Key concept: So to get the most out of your lawyer, you need to understand how they operate and how they approach their work.
23. Buying and Being Bought
Approaching an acquisition or merger requires careful consideration of cultural compatibility and alignment of goals, priorities, and working styles. Cultural mismatches are a major reason for the failure of many mergers, so take the time to thoroughly assess the culture of the acquiring company and negotiate the integration process in detail.
Key concept: And Google had made a commitment to invest $4 billion in our connected home platform over five years and provide necessary resources— servers, AI algorithms, developer relations.
24. Fuck Massages
Avoid offering excessive perks as a primary means of attracting talent. Prioritize meaningful benefits (health insurance, retirement plans, etc.) that provide long-term value and support for employees and their families. Use perks strategically as occasional surprises and rewards that reinforce the company culture and values. Beware of fostering a sense of entitlement that can lead to dissatisfaction when perks are scaled back or eliminated.
Key concept: Keep in mind there’s a difference between benefits and perks:
25. Unbecoming CEO
Recognize that the role of CEO requires making difficult and often unpopular decisions. Prioritize the long-term health of the company and its mission over personal relationships and the desire to be liked. Embrace the loneliness and challenges of the role while building a strong support system of mentors and advisors. Develop self-awareness, learn to delegate effectively, and continually seek opportunities for growth and learning.
Key concept: In this job, respect is always more important than being liked.
26. The Board
Effectively manage your relationship with the board of directors. Understand their role in overseeing the company and guiding the CEO. Prepare thoroughly for board meetings, present a clear vision and plan, be transparent about challenges, and seek advice and feedback from board members as trusted advisors.
Key concept: There should only be good surprises in a board meeting—We’ve exceeded our numbers! We’re ahead of schedule! Check out this cool demo!
Essential Questions
1. How does Fadell redefine the concept of ‘adulthood,’ and why is this redefinition crucial for career success?
Fadell posits that true adulthood begins when formal education ends and the real-world learning through experience, particularly from failures, takes center stage. He argues that traditional schooling instills a fear of failure, which can be detrimental in a professional environment where experimentation and learning from mistakes are crucial for success. Fadell encourages embracing failure as a valuable learning tool, emphasizing that one’s twenties are a period of trial and error where the only true failure lies in inaction and lack of exploration.
2. What is the distinction between ‘painkillers’ and ‘vitamins’ in product development, and why does Fadell prioritize the former?
Fadell’s central argument revolves around the importance of creating products that solve real problems for real people. He uses the term “painkiller” to describe products that address a genuine pain point in the customer’s life, contrasting them with “vitamins” which may be beneficial but are not essential. He stresses that a deep understanding of the customer, their needs, and the problem they face is paramount for building successful products.
3. What is the role of the team in building a successful company, and what strategies does Fadell recommend for building and nurturing a high-performing team?
Fadell underscores the human element in business success, emphasizing that the right team, fueled by shared passion and trust, is more valuable than any amount of funding or resources. He advocates for building multigenerational teams that combine the experience and wisdom of seasoned professionals with the fresh perspective and drive of younger talent. He stresses the importance of mentorship, both giving and receiving, as a crucial element of both personal and professional growth.
4. How does Fadell expand the definition of ‘product’ beyond the physical object, and why is this broader perspective crucial in product development?
Fadell argues that focusing solely on the tangible aspects of a product, such as its features and design, can lead to overlooking the larger customer experience. He stresses that the ‘product’ encompasses the entire customer journey, from initial awareness to post-sale interactions. Fadell advocates for ‘prototyping’ not just the product itself, but also the marketing messages, packaging, installation process, and customer support to ensure a seamless and delightful experience for the customer.
5. What are the key principles of effective leadership according to Fadell, and how do these principles apply to building and leading high-performing teams?
Fadell asserts that effective leadership involves more than just managing tasks and projects; it’s about inspiring and empowering people to achieve their full potential. He advocates for a leadership style that prioritizes communication, honesty, mentorship, and a deep understanding of individual motivations. He also stresses the importance of recognizing and nurturing talent, even if it means allowing team members to eventually surpass their own abilities.
Key Takeaways
1. Prioritize building products that act as ‘painkillers’ for the customer.
Fadell argues that truly successful products address a genuine pain point in the customer’s life, acting as a ‘painkiller’ to alleviate a persistent problem. Products that don’t solve a real need, even if innovative or technologically impressive, are like ‘vitamins’—beneficial but not essential and therefore less likely to gain widespread adoption.
Practical Application:
An AI product engineer can use this principle to assess the value proposition of their AI model. Instead of solely focusing on the technical advancements of the model, they should prioritize understanding the specific problem it solves for the end-user and how it alleviates their pain points. This customer-centric approach will lead to more impactful and successful AI products.
2. Embrace constraints and deadlines to drive creativity and focus.
When working on a new product or project, avoid getting overwhelmed by the sheer scale of the challenge. Instead, break down the larger goal into smaller, manageable sprints with clear deadlines. This approach, often called ‘handcuffing yourself to a deadline,’ can help focus the team, foster creativity, and drive faster innovation.
Practical Application:
An AI product engineer working on a complex project like developing a self-driving car should embrace this principle. By focusing on smaller, well-defined sprints with clear goals and deadlines, the team can maintain momentum and make tangible progress towards the larger, long-term vision. This approach fosters a sense of accomplishment and prevents the project from becoming overwhelming.
3. Design the entire customer journey, not just the product itself.
A product is not just the physical object or the software itself, but the entire experience a customer has with it. Consider all touchpoints of the customer journey, from initial awareness to post-sale interactions, and design each interaction to be seamless and delightful.
Practical Application:
For an AI product engineer, this translates to considering not just the performance metrics of the AI model, but also the entire user experience. They should prototype the onboarding process, the user interface, the error messages, and even the process for seeking support to ensure each touchpoint is clear, intuitive, and reinforces the product narrative.
4. Tell a compelling story that explains the ‘why’ behind your product.
A compelling story is crucial for attracting customers, investors, and team members. Craft a narrative that explains not just what your product does, but why it exists, why it matters, and why people will love it. Use clear and relatable language, employ analogies to simplify complex concepts, and connect with the audience’s emotional and rational sides.
Practical Application:
When pitching a new AI product or feature, an AI product engineer can leverage this principle by highlighting the specific problem it solves for the target audience. Instead of focusing solely on the technical details, they should connect with the audience’s emotions and rational needs by explaining the ‘why’ behind the product, making it relatable and memorable.
5. Hire for passion, curiosity, and a growth mindset.
Building a strong team is crucial for any company. When hiring, look for individuals who are not only skilled but also passionate, curious, and eager to learn. Prioritize cultural fit and a growth mindset over simply filling roles with people who have done the job before.
Practical Application:
This principle can guide AI product engineers in hiring for their team. They should look beyond technical skills and prioritize candidates who are curious, passionate about learning, and able to adapt to new challenges. These individuals are more likely to grow with the company and contribute to a culture of innovation and excellence.
Suggested Deep Dive
Chapter: Make the Intangible Tangible (Chapter 3.1)
This chapter emphasizes the importance of considering the entire user experience when building a product. For an AI product engineer, this is especially relevant as AI models, often hidden behind complex algorithms, need to be integrated into seamless and intuitive user interfaces. The chapter’s emphasis on prototyping, mapping out the user journey, and considering even mundane details like installation can offer valuable insights for creating AI products that are not only technically advanced but also user-friendly and delightful.
Memorable Quotes
Adulthood. 20
Traditional schooling trains people to think incorrectly about failure. You’re taught a subject, you take a test, and if you fail, that’s it. You’re done. But once you’re out of school, there is no book, no test, no grade. And if you fail, you learn.
Get a Job. 28
Cool technology isn’t enough. A great team isn’t enough. Plenty of funding isn’t enough.
Make the Intangible Tangible. 97
Your customer doesn’t differentiate between your advertising and your app and your customer support agents—all of it is your company. Your brand. All of it is one thing.
Why Storytelling. 111
Every product should have a story, a narrative that explains why it needs to exist and how it will solve your customer’s problems.
Fuck Massages. 323
Beware of too many perks. Taking care of employees is 100 percent your responsibility. Distracting and coddling them is not.
Comparative Analysis
While many books focus on the technical aspects of building AI products, ‘Build’ provides a valuable counterpoint by emphasizing the human-centered aspects of product development and company building. Unlike books that offer a purely theoretical approach, Fadell’s book is grounded in his own extensive experience and offers practical advice and actionable insights. He shares valuable lessons learned from industry giants like Steve Jobs and Bill Campbell, providing a unique perspective on leadership, decision-making, and navigating complex organizational dynamics. His emphasis on building a strong team, fostering a culture of excellence, and understanding the customer journey aligns with core principles found in books like ‘The Lean Startup’ and ‘Zero to One,’ but with a more personal and anecdotal approach.
Reflection
While ‘Build’ offers valuable insights for aspiring entrepreneurs and product leaders, particularly in the tech industry, it’s important to consider the book’s context and potential biases. Fadell’s experiences are largely shaped by his time in Silicon Valley, a culture known for its fast-paced innovation and sometimes ruthless competition. His emphasis on disruption and rapid growth may not be applicable to every industry or company. Additionally, his strong opinions, while often insightful, can sometimes come across as overly assertive or even abrasive. Furthermore, while Fadell advocates for data-driven decisions, he also acknowledges the importance of intuition and gut instinct. This balance is crucial, particularly in fields like AI where data can be incomplete or biased, and human judgment is still necessary to guide development and ensure ethical considerations. Despite these caveats, ‘Build’ offers a compelling and often humorous look into the world of product development and company building. Fadell’s emphasis on the human element, building strong teams, and creating products that solve real problems are valuable lessons that can be applied across industries and disciplines.