Nvidia CEO Jensen Huang’s Management Advice for Running a Team – Business Insider

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imageAdvertisement Jensen Huang is becoming more of a household name as Nvidia’s value skyrockets amid the AI boom.The CEO has some unusual management practices , including having 60 direct reports and no 1-on-1s.Here are some of Huang’s most notable tips when it comes to business leadership and management.Nvidia overtook Apple and Microsoft separately earlier this month to briefly become the world’s most valuable company .

With the AI chip company’s stock skyrocketing, Huang has also seen his fame — and fortune — grow, and there are plenty of eyes on him to see how he runs one of the world’s biggest companies.

Advertisement Here is some of Huang’s most notable advice for leading teams and managing a business .

Manage a lot of people Huang believes a CEO should have more direct reports than anyone else in an organization.He, in fact, has 60 direct reports, considered an unusually high number for any manager.

“The more direct reports the CEO has, the less layers are in the company,” Huang said in an interview at The New York Times DealBook Summit in 2023.”It allows us to keep information fluid, allows us to make sure that everyone is empowered by information.”

Advertisement Management exists “in service of all the other people that work at the company,” he said in a separate interview with Stanford’s Graduate School of Business earlier this year.

“I don’t believe in a culture, in an environment, where the information you possess is the reason why you have power,” he said.

Be transparent with decision-making Asked how he manages 60 direct reports, Huang told an audience at Hong Kong University Of Science & Technology that it boils down to one thing.

Advertisement “Transparency,” he said.

“I reason in front of everybody what we need to do.We work together to come up with a strategy,” he said.”Whatever strategy it is, everybody hears it at the same time because they were hearing all of us work through the strategy at the same time.”

His job is then to make sure everyone comes away from the process with the same takeaway.

Advertisement “I’m usually the last person to talk, to describe, based on everything that we’ve done, ‘This is the direction, and these are the priorities,'” he added.

“And to make sure that, if there’s any ambiguity, I’ve taken out the ambiguity.Now once we’re all aligned and we understand what the strategies are, I count on the fact that everyone is an adult.”

“Nobody loses alone,” he said.

“Nobody fails alone.”

Related stories Skip the 1:1 meetings Huang has said he doesn’t have one-on-one meetings with his many direct reports.

Advertisement “Almost everything that I say, I say to everybody all at the same time,” he said at Stripe Sessions 2024.”I don’t really believe there’s any information that I operate on that somehow only one or two people should hear about.”

Give feedback publicly In the same vein, Huang also believes in giving someone feedback in front of their peers.

“The problem I have with one-on-ones and taking feedback aside is you deprive a whole bunch of people that same learning,” he said at Stripe Sessions.”Feedback is learning.For what reason are you the only person who should learn this?”

Advertisement He added that learning from other people’s mistakes is “the best way to learn.

“Why learn from your own mistakes? Why learn from your own embarrassment? You’ve got to learn from other people’s embarrassment,” he said.

Communicate briefly and often Nvidia employees can expect to receive a lot of emails from their chief executive.Huang sends his staff hundreds of emails a day , many of which are only a few words long, The New Yorker reported last year.

Advertisement He expects employees to keep their email communications just as concise.

One former Nvidia worker told Business Insider’s Jyoti Mann that “you’d get in trouble for sending a super-long email to him.”

“The idea was to nail down what you have to say, send it, and if he, or others, need more information, then it’s a conversation, not another email,” the former Nvidian said.

Advertisement Show your work Huang believes showing others how you reason through a problem is “empowering.”

“I show people how to reason through things all the time — strategy things, how to forecast something, how to break a problem down, and you’re just empowering people all over the place,” he said in the Stanford Graduate School of Business interview.

He continued: “If you send me something and you want my input on it and I can be of service to you and in my review of it, share with you how I reasoned through it, I’ve made a contribution to you.

I’ve made it possible to see how I reason through something.”

Advertisement That can lead to a lightbulb moment.

“You go, ‘Oh my gosh.

That’s how you reason through something like this.It’s not as complicated as it seems.'”.

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