As a CTO, you're constantly balancing technical innovation with business strategy, all while managing a diverse range of stakeholders. It’s a challenging, dynamic role that requires not only technical expertise but also strong leadership and strategic decision-making skills. In a recent podcast interview with Matt Watson, Founder of Full Scale, we delved deep into the intricacies of the CTO role. Matt’s insights were not only enlightening but also highly actionable for anyone in—or aspiring to be in—this critical position.
In this blog post, I’ll share key takeaways from my conversation with Matt, including the importance of saying "no," the value of hands-on experience in smaller companies, and how to navigate the evolving landscape of technology and business. Whether you're a seasoned CTO or just stepping into the role, there's something here for you.
Video interview
You can watch the video on YouTube or below:
The Power of Saying "No"
One of the most powerful lessons Matt shared is the importance of saying "no" as a CTO. When you're leading a tech team, especially in a startup environment, you'll be bombarded with ideas, suggestions, and requests from all sides. While it’s tempting to say "yes" to every new idea, it's often more strategic to say "no."
"The value of a really good product team and CTO is being able to take all of that feedback, all of that input, and figure out what do we really need to build, what should we actually do? And being able to say, no."
Matt explained that being able to discern which ideas are worth pursuing and which aren’t is a key skill for any CTO. This isn’t just about managing resources; it’s about ensuring that the team’s efforts are aligned with the company’s long-term goals. Saying "no" isn’t a negative—it’s a strategic decision that protects the company from pursuing non-viable or non-strategic initiatives.
Balancing Technical and Business Needs
As CTOs, we often find ourselves at the crossroads of technology and business. On one hand, we want to push the boundaries of what’s possible with technology. On the other, we need to ensure that our tech decisions make sense for the business. This balancing act is where many CTOs struggle, particularly if they come from a purely technical background.
Matt highlighted the importance of adopting a business-centric mindset. As he pointed out, it’s not enough to build something just because it’s technically impressive. The real challenge lies in aligning your tech decisions with the broader business strategy.
"As a CTO and head of product, you're always trying to bridge that gap, that divide, and safeguard. What are we actually investing our time in? That we should be working on what is strategic to the company."
This insight is particularly important for those of us who grew up in the technical trenches. While it’s easy to get attached to the code and the technology, the role of a CTO demands a broader perspective. It’s about making decisions that will drive the company forward, not just the technology.
Gaining Experience in Smaller Companies
Another fascinating point Matt discussed was the value of gaining experience in smaller companies. According to Matt, working in a smaller company provides an unparalleled opportunity to wear multiple hats and gain hands-on experience across a wide range of functions.
"People all the time, if you want the best experience in the world, you want to go work for the smallest company in the world because you're going to get just exposure to all the different things, hands-on experience to all the different things."
In larger companies, roles tend to be more specialized, which can limit your exposure to different aspects of the business. In contrast, smaller companies require you to be a generalist, giving you a deeper understanding of how various parts of the business work together. This experience is invaluable for anyone looking to step into a CTO role, as it provides a well-rounded foundation that you can build upon as you take on more responsibility.
Navigating Stakeholder Relationships
Managing stakeholders is another critical aspect of the CTO role that Matt emphasized during our conversation. As a CTO, you’re not just responsible for the technology—you’re also responsible for managing relationships with various stakeholders, including the CEO, the board, and other department heads. Effective communication is key.
One of the biggest challenges here is translating complex technical concepts into language that non-technical stakeholders can understand. This requires not only technical expertise but also a deep understanding of the business and the ability to communicate clearly and empathetically.
"Being able to go back to some of these stakeholders, be like, no, this is a terrible idea. We're not going to build this thing because nobody's going to use the way you want. There's actually a different way to use it."
Matt’s approach to stakeholder management involves being honest and direct, yet empathetic. He stressed the importance of building trust with your stakeholders by showing that you understand their concerns and are working towards the best possible outcome for the company.
The Evolving Role of the CTO
The role of the CTO is constantly evolving, especially in today’s fast-paced tech landscape. Matt and I discussed how the CTO’s responsibilities have shifted over the years, particularly with the rise of new technologies like AI and cloud computing.
"The harder part is, what are we going to build? That is still the hard part, like, what software are we going to build? Deploying it, building it, all that kind of stuff is so much easier these days."
Matt pointed out that while the technical challenges of building and deploying software have become easier thanks to advancements in tools and platforms, the strategic challenges remain as complex as ever. As a CTO, your focus should be on making the right strategic decisions about what to build and how to align it with the company’s goals.
Final Thoughts: Becoming a Better CTO
Towards the end of our conversation, Matt offered some advice for aspiring CTOs and those looking to improve their effectiveness in the role. One of his key recommendations was to gain as much hands-on experience as possible, particularly in smaller companies where you can learn by doing.
"If you want the best experience in the world, you want to go work for the smallest company in the world, because you're going to get just exposure to all the different things, hands-on experience to all the different things."
He also emphasized the importance of continuously learning and adapting, especially as the role of the CTO continues to evolve. Whether it's staying updated on the latest technological trends or improving your business acumen, being a successful CTO requires a commitment to lifelong learning.
Matt is active on LinkedIn, you can also reach him on his website or you can subscribe to his newsletter.
