SuccessFactors – “Some needed context from a long timer...”

Pros

In short my time at SF has been the best experience of my professional life. Many would feel the same about their time at SF, even those that have gone to the competition.

The simple fact is the company is in a state of perpetual evolution. Lets be honest and gain some perspective here... Any company in this economy, much less high-growth and recently public ones, are either evolving or being left behind. Lets not take this too personally. It's obvious that corporate evolution results in individual pain but let's not throw a tantrum over it.

Yes there is "Oracle-ization" going on. Some might call that Maturity... particularly those that buy their exercised options and/or shares on the open market... As of the date of this posting ALL option grants are worth something because the stock is trading at $9.23 and is above the highest strike price that I am aware of. Many people on Glass Door have and will continue to benefit financially from the very decisions they are bitching about which amazes me. You can't have it both ways, so deal with it and move on.

It’s easy to hate Oracle when you work for the little guy, but look around Silicon Valley and name a more successful company that has retained the familial start-up culture 100%. Even darlings Google and Apple aren’t the same companies they were at inception. If SuccessFactors is making moves to grow out of the awkward, inefficient, and in many cases unprofessional behaviours of a start up, then good on them! I’ll be cheering from the sidelines as I watch the SFSF stock price climb and competitors fall off the map or get gobbled up.

I realized I am better suited for the start-up phased business and I do not begrudge those that are more suited for the public/corporate environment. I'll simply focus my time and energy on the new thing that grabs my attention and deserves my passion while the newbies make SFSF more and more profitable. I'll be extactic with the financial security of SFSF cushioning the risk of the next start up...

Cons

Ironically communication is the biggest challenge at SF. In short there is constant communication of the trivial, infrequent and inconsistent communication of the meaningful, and a bit too much gloss for some of the internal communication. There was a time when a new leader brought words like "cadence of reporting and communication", but it really turned out to be monthly half day meetings where the team reported to that leader what they’ve been doing. From what I hear this may have changed to where team members are actually collaborating on projects... Let’s hope so.

With this said, I do appreciate the dash of reality in the all hands meetings where the challenges we/any company faces is presented. Actionable short, mid, and long term planning then needs to be communicated clearly, owned by individuals, and followed up with progress reports at the next meeting. Similarly long-term company strategy could use a consistent format and communication... "Today we are a square but we are going to evolve into a rectangle on our way to being a trapezoid in 5 years... "

Advice to Senior Management

1) When EVERYTHING is moving at a million miles an hour, take the time to communicate and re-communicate the meaningful. Check in to measure understanding formally and informally. And continue to ask for feedback and new ideas.

2) The macro environment is one that all businesses have to deal with, but few SF competitors have the foundation, resources, talent, and drive to keep up ... much less breakaway. Let's leverage our sustainable competitive advantages to own this market while others are struggling to survive.

3) Let’s learn from our customers and do the things that our highly successful customers are doing. My stock would LOVE to see the multiples our customers are seeing... If we even pull within 10% of Oracle’s Market Cap all the “Oracle-ization” whining will turn to cheers!!!