Goldilocks and the Three Company Sizes

Which company size is right for you?

One of the questions that has to be answered is where do you fall on the spectrum of size and associated company mentality you work best for. The spectrum goes from startup through midsize and all the way up to massive-multinational-conglomerate. There are a few general rules of thumb I’ve come to recognize.

• As size goes up, individual freedoms go down
• As size goes up, stability and job security usually, but not always, increases
• As size goes up, there’s a transition point from the focus on being right to the focus being on not being wrong
• As size goes up, ping pong and foosball sessions are replaced with meetings
• As size goes up, “unlimited” vacation is usually replaced with a vacation formula
• As size goes up, unwritten rules get written down
• As size goes up, uncertainty about perceived performance goes down
• As size goes up, actual performance usually goes down
• As size goes up, the on-boarding process gets longer and more detailed

Quite a lot depends on where you want to live on this spectrum. Too much freedom and autonomy can be terrifying, especially if someone is more extrinsically motivated than intrinsically. On the other hand, too much bureaucracy can be stifling to motivation and productivity. As most things, it’s a balancing act. The real question is, where do you end up on that spectrum?

As I’ve gone through companies of drastically different sizes, I tend toward the high end of startup to the low end of midsize. Enough freedom to choose tools, languages, and projects, but enough guidance so I know I’m not going right off the rails.

Having policies and procedures written down is always helpful, at any size company, but I find that it’s the transition point from startup to midsize where most of the good documentation is generated. This seems to be where companies codify their culture. Some, of course, do it better than others but as a new-hire, there’s nothing more valuable than documentation to read and get a sense of what you just walked into.

I also find that as size goes up, context provided tends to go up as well. Sometimes this is fantastic and other times, it’s overwhelming. When you’re trying to coordinate 20+ scrum teams using the “scaled agile framework” there’s too much context to hold in any one person’s head at any one point and communication breaks down. At the opposite end of the spectrum, there’s so little context for anything that you’re making it up as you go and hoping you’re going in the right direction.

Unlimited vacation, for me, is actually more of a negative than a positive. In my experience it changes the equation from “I have this much time to take off, great!” to “how much political capital do I have built up to be able to take time out without unseen repercussions?” A much more difficult and complex question to answer.

As for stability, large companies generally don’t fold in a day. They do, however, lay off people, seemingly without much thought. So, while the company may not go under, your job may disappear. As many people have said, the idea that you can find a “forever company” at this point is mostly a myth. Maybe it’s possible, but it’s more likely that you’ll find a “good enough for now” company and when it no longer meets that criteria, you move on to the next one that fits that criteria.

Size of company is objective, your experience of the best size for you is subjective. My advice is to find the right size and stick to it, even if you’re switching companies. You’ll be happier and more productive.