Lessons - Why Thinking Like a Founder Changes Everything | Sandeep Chennakeshu - Former BlackBerry President

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Success Story with Scott D. Clary 13 min 8 chapters transcribed 19 days ago
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Why does Sandeep compare a company to a medieval castle?

Scott D. Clary 0:00
In this lessons episode, explore why building a company like a castle creates resilience, longevity, and sustainable growth. Discover how strategic structure replaces reckless speed, understand how culture, cash flow, and execution determine long-term success, and uncover the core elements that transform fragile startups into enduring market leaders.
Scott D. Clary 0:25
Let's talk about the the thesis of what you've written. So the thesis of of what you've written is that your company is your castle, which is also the name of the book. And obviously that's all gonna go in the show notes and people can go check it out. But what what does this thesis mean? Your company is your castle. I've heard the term moat before when it comes to business in terms of business analogies, but I've never heard the the analogy of the company, the entire company is a castle. So walk me through what this. means
Sandeep Chennakeshu 0:51
Yeah, so I asked the question, uh I actually read this in a in an article in Forbes, that why do two thirds of all companies fail within ten years? You know, twenty percent fail within two years, forty five in five years, and sixty-five percent in ten years. There are a whole bunch of reasons. Okay, it's well chronicled. And so I said, you know, I I thought about my own career and why companies that I worked in Went to the highest of highs and fell down to the earth. Why? And I the common answer to what I've read, researched, and experienced in my own companies is that. Sometimes speed is not as important as systematically building structure. And when you s when you go for speed you miss a lot of things.
Sandeep Chennakeshu 1:46
And and so I basically said, Okay, if I wanna basically build uh the way I've been successful in building companies, I began with, you know, this company called Ericsson Mobile Platforms, where I was sent to Sweden. to help uh realize its potential. You know, the company had invested a very large amount of money, we had nothing to show, we were bleeding, for every dollar we made we lost a dollar. Uh our customers were getting anxious and everybody was contemplating our failure. And I put this framework to work. And in the year we became profitable and within a few short time thereafter we took thirty percent market share in the world. And I said, What was the structure? And of course I repeated this formula multiple times and it always worked.
Sandeep Chennakeshu 2:33
It's even working in my startup now. So uh so what was this?

What statistics reveal why two‑thirds of companies fail within ten years?

Sandeep Chennakeshu 2:37
And I said the analogy I used is I said, take a medieval castle. I was looking for an analogy and an extended metaphor, and I said, look at the castle. Medieval castles have lasted, some of those that have lasted have lasted 500 years plus. All around the world, whether it's in Japan, in India, in in England, Wales, um, the Czech Republic, etc. So these castles had a number of structural elements. that have made them withstand nature's elements over the centuries, as well as invaders. And a company likewise needs to withstand macroeconomic factors like recessions, depressions, pandemics, etcetera. and a hordes of competitors. So it is a nice analogy and I said, What are these elements? So I said if you if you look at a castle
Sandeep Chennakeshu 3:29
You have to find the right location, which is unassailable. Hopefully. You need a solid foundation to take the weight of the castle and build a tall castle. You need a perimeter wall that protected it from invaders. And right in the centre was the keep, where people lived and They stored granaries, they stored their ammunitions, etcetera. And that turns you know, that has a certain meaning and and then you have to protect the strategy, which is the perimeter wall, with towers, because you don't want people scaling these long walls that are unprotected. Or you don't want them tunneling underneath. And then you also talk about so there are a number of towers and then you talk about uh you know, the the the central portion of the castle, the keep, needs a roof to prevent it from enemy arrows and from hail and snow and s rain, etcetera.
Sandeep Chennakeshu 4:23
And so, you know, I took these elements and said I likened them to a business and in my analogy I said

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