Diane Greene (VMWare Co-founder) – Doing Business in the New Normal (May 2014)


Chapters

00:00:50 Engineering and Sailing: The Foundation of Diane Greene's Success
00:04:35 Women in Engineering and Entrepreneurship: Challenges and Opportunities
00:11:28 Virtualization: Revolutionizing Hardware Utilization in the Tech Industry
00:16:20 From Garage Startup to Public Offering: The VMware Story
00:24:37 Changing Recruiting and Hiring Practices in Modern Startup Culture
00:28:08 Impacts of the Internet, Mobile, and Social Media on Modern Work
00:34:43 Adapting to the Changing Startup Landscape: Shared Spaces, Remote Work, and the
00:40:16 Cultivating Alignment, Transparency, and Communication in Startup Environments
00:44:08 Crafting a Positive Company Culture for Entrepreneurial Success
00:54:32 Windsurfing Odyssey: A Story of Entrepreneurship

Abstract

Diane Greene: A Trailblazer in Technology and Entrepreneurship

Introduction: The Formidable Journey of a Tech Visionary

Diane Greene’s story is a compelling narrative of resilience, innovation, and leadership. From her early achievements as a national champion in single-handed sailboat racing to her pivotal role in founding and growing VMware, Greene’s journey is marked by a relentless pursuit of excellence and a deep passion for engineering. This article delves into the various facets of Greene’s career, highlighting her contributions to the tech industry, her unique approach to leadership and company culture, and the entrepreneurial spirit that has driven her success.

Early Beginnings: A Sailing Champion with a Knack for Engineering

Greene’s competitive drive and interest in engineering were evident from her youth. Her multiple national championships in sailboat racing during her high school years laid the foundation for her interest in mechanical engineering. This passion led her to earn degrees from prestigious institutions: a mechanical engineering degree from MIT, a master’s in naval architecture from MIT, and a master’s in computer science from Berkeley. Interestingly, her initial inclination towards psychology shifted dramatically after a statics course, leading her to declare mechanical engineering as her major.

Professional Milestones: Breaking New Ground in Engineering and Technology

Greene’s career in engineering began with diverse roles, starting from naval architecture to windsurfing equipment design. Her significant achievements include an innovative breakthrough at Sybase, where she automated log fixes, and a collaboration with Sun Microsystems that enhanced database performance. She also co-founded V Extreme, a company specializing in low-bandwidth streaming video technology, which was eventually sold to Microsoft.

In her early career at Sybase, Greene worked as a software engineer in the maintenance group, tackling data corruption issues. She developed a program to automatically fix the Sybase logs, enhancing the support team’s efficiency. Her collaboration with a fellow windsurfer at Sun led to the creation of the first asynchronous IO for a database.

During her time at Tandem Computers, Greene joined forces with Roberta Henderson, a former Sybase executive. Together, they improved Sybase’s performance by transitioning it to symmetric multiprocessing. However, following Henderson’s departure due to internal conflicts, Greene also left Tandem in solidarity.

VMware: Revolutionizing the Tech Industry

The founding of VMware marks a significant milestone in Greene’s career. Motivated by her husband’s research on virtualization technology, she co-founded VMware, revolutionizing the computing industry. VMware’s technology enabled the operation of different systems on a single machine, optimizing resource utilization and high availability. Under Greene’s leadership, VMware grew exponentially, leading to its acquisition by EMC for $630 million in 2004.

VMware, under Greene’s guidance, pioneered in virtualization technology, allowing users to operate various systems and software concurrently, which led to improved utilization and availability. The company’s innovative vMotion feature facilitated live migration of virtual machines, ensuring seamless upgrades without downtime. VMware’s rapid growth resulted in a 100% annual increase during Greene’s tenure, and in 2008, EMC acquired VMware for $630 million, a decision that proved to be strategically beneficial for both entities.

Post-acquisition, VMware faced challenges due to EMC’s initial lack of understanding and interference. Greene tackled these issues by implementing a strategy focused on transparency and single-threaded communication, streamlining operations. EMC’s decision to take VMware public, selling 20% of its shares while retaining the remaining 80%, marked a significant achievement. The IPO was hugely successful, valuing VMware at $19 billion, with its market cap surpassing EMC’s other businesses.

Building a Sustainable and Innovative Workspace

Greene also dedicated herself to creating an engaging and sustainable work environment at VMware. She led the design of VMware’s campus, focusing on transparency, natural light, and collaborative spaces. The campus, with its glass-enclosed buildings surrounding a central piazza, was a testament to her vision for openness and collaboration. This design featured four buildings around a piazza, with transparent glass offices and central atriums, emphasizing visual connectivity and fostering a unique and inspiring workspace.

Adapting to the New Normal: Challenges and Opportunities

In the evolving landscape of entrepreneurship and workplace dynamics, Greene’s insights highlight the importance of open source software, managing a diverse workforce, and the value of physical presence in startups. She emphasizes the need for clear communication in the modern workplace through regular updates and fostering shared understanding.

Recruiting in today’s competitive market poses challenges, but startups can attract talent by offering equity and a compelling mission. The workforce now spans three generations, each with different working styles and expectations, requiring leaders to adapt to younger generations’ preferences. Communicating a startup’s vision can be difficult initially, but it becomes easier as the company gains traction. During VMware’s early stages, hiring the first few employees was particularly challenging, a common hurdle for startups.

The business world’s shift towards a service-oriented model, including software as a service and platforms as a service, presents new challenges and opportunities. Platforms like GitHub and Slack have become essential for collaboration and communication, accommodating the preferences of a multi-generational workforce. VMware’s hybrid work model, with two offices and flexible remote work options, reflects this evolving landscape.

Reflections on Entrepreneurship and Culture

Greene’s entrepreneurial journey offers valuable lessons in building a strong, inclusive, and merit-based culture. She advocates for open communication, a zero-tolerance approach to politics and dysfunctional behavior, and aligning with company goals. Her experiences on various boards and in engineering education provide insights into technology trends and company transformations.

Startups today face both opportunities and challenges. While cloud resources and open source software reduce costs, the high expenses of office space and salaries are significant considerations. Achieving high valuations is possible, but companies must justify these valuations to avoid issues during public offerings. Remote work has advantages like collaboration and flexibility, but in-person interactions remain crucial for effective communication and idea generation. Regular communication, leadership’s rationale, and a shared sense of purpose and values are essential for pivoting and alignment within startups. Weekly updates and interviews help maintain clarity on the company’s priorities and goals.

Greene emphasizes the importance of a positive culture that promotes inclusivity, purpose, and belonging. She advocates for a merit-based and transparent culture, free from workplace politics, with a focus on work-life balance. Greene’s journey also includes reflections on her lessons learned, regrets, and insights into engineering education and innovations at companies like Intuit and Google. She highlights the value of observing and learning from other organizations.

A Journey of Resilience and Determination

Greene’s experience of windsurfing from Maui to Molokai and back epitomizes her focus and determination. Faced with challenging conditions and the decision to sail back solo, she demonstrated her resilience. This journey, a defining moment in her life, shaped her entrepreneurial spirit.

Greene recounts a windsurfing trip from Maui to Molokai where she faced tough conditions and had to spend a night on Molokai. On the return trip, when her friend’s wife damaged her sail, Greene chose to sail back alone, navigating through strong winds and rough seas. She describes this as an “entrepreneurial zen moment,” teaching her the value of rising to challenges. This chapter also includes an anecdote about a lifeguard offering Greene a ride home after witnessing her impressive sailing skills.

A Beacon of Inspiration in the Tech World

Diane Greene’s journey, from a sailing champion to a revered technology leader, exemplifies her exceptional capabilities and vision. Her contributions to the tech industry, her innovative approach to company culture and workspace design, and her unwavering entrepreneurial spirit serve as an inspiration to aspiring entrepreneurs and leaders worldwide. Greene’s story is a testament to the human spirit’s capacity to innovate, lead, and inspire change, not just in technology but in shaping a more inclusive and dynamic world.


Notes by: crash_function