How important is finding and retaining the right team member?
Steve Jobs said “Hiring best is your most important task” and it’s a lesson the Golden State Warriors exemplify and they have reaped the rewards because of it.
In 2010 – a group led by Peter Guber and Joe Lacob purchased the Warriors for $450 million after another sub .500 season. Today, the team is worth $5.6 billion thanks in large part to their Championship success. After their first Championship in almost 50 years, their valuation nearly doubled from 750 million to $1.3 billion in 2015, the largest percentage change in the 12 year timeframe.
In the NBA, you can acquire players by drafting them, signing them as free agents, trading for them or acquiring them through waivers.
A large part of their success has come because of 3 key players – Steph Curry, Klay Thompson and Draymond Green – all draft picks of the team. In pro sports, free agency allows players to change teams, yet all 3 have been retained by the Warriors over a span of 10 years.
Steph Curry was a flawed player, too small to be a superstar in the NBA according to draft analysts. However, he had an ability to shoot the basketball that was of the highest quality and a pedigree, his father being a 3 point marksman in the NBA. Sometimes, you have to capitalize on others’ mistakes, the Minnesota Timberwolves drafted two players at the same position as Curry right before he was drafted in the 2009 draft. When you’re looking for your next employee, what is the most important skill set you need for the role and are you able to capitalize by finding an individual with that skill set who is not being properly utilized by another company? Today, Curry holds the 3 point record – the Warriors leaned into an individual’s strength to increase their production.
Draymond Green was a player without a position as he approached the draft, teams weren’t sure where player the size of power forward could play in the NBA with his skill set. The Warriors correctly recruited for the skills he displayed, trusting the ability to find the right position for the individual. On the top of every team’s wish list today, a big player who can play against the big players in the paint and athletic enough to defend smaller players on the wings just like Green. Be ahead of the trend, identify the skill sets that are necessary today and in the future in your hiring.
When the Warriors pursued Kevin Love in 2014 to attempt to take the next step towards a championship, there was no path for them to make the trade without giving up either Thompson or Green. Instead, they retained both and passed on Love. The Warriors identified the individuals they needed to succeed and worked to retain them. They trusted their hiring and development instead of being tempted by a quick fix, remembering why they “hired” the individuals something business professionals sometimes lose track of in the day-to-day.
At the end of the day, we want our businesses to succeed and grow and to do so successfully hiring, retaining, and training employees must be a priority. The hiring process is an important one that needs to be developed based on the necessary skills required for organizational success. The ironic part about this article is that all three players discussed as the championship core were close to being traded by the Warriors during their path to that first successful season….but at the end of the day, they were catalysts to massive growth in the franchise value.
Dan Julien's Musings 