Even if you are unemployed, resist the temptation to take the job just because it is offered. You may be in the frying pan now, but the fire is surely hotter if you accept a job you don’t fully understand. So ask away.
While you never want to ask questions that spoil your rapport with the interviewer, make it clear that you expect candid answers to your queries. Actually, there is an advantage to being real at this point. Most interviewers expect you to look out for your interests. If you can’t speak up for your own interests, they will figure, how can you be expected to speak out for the best interests of the organization?
Here is where your research protects your interests. You need to know why the company is losing money, why the prior incumbent quit, and what are the relocation plans for the department. It is perfectly appropriate to ask to speak with potential subordinates and colleagues. They are excellent sources of information; they know what is going on and are most likely going to be straight with you. You may ask these people about the informal power structure, the unwritten priorities, what it really takes to be successful, and what they most want to change.
Of course, no one would ever ask all these questions in one job interview, but you want to get a good understanding of four aspects: the job, the people, the management, and the company. Before your next interview, select four or five of these questions and reword them to meet the unique requirements of the individual interview.
Many of the questions in this blog are appropriate for public and private companies, but the following questions are targeted for private companies only:
- Is the company profitable?
- How is the company funded?
- Who are the investors?
- How are corporate decisions made?
- How is the company organized?
- What is the company’s burn rate?
- How much money does the company have in the bank?
- What are the growth opportunities?
- Has the company considered filing for an IPO (initial public offering)?
- Is private stock available to me? What about stock options?
- Has the company been approached for a merger or takeover?
- What was the company’s reaction to the merger or acquisition overture?
- Has that attitude changed?
- Where do you see the company (or function) going in the next three years?
- Can you tell me about the company’s roots?
As former president Ronald Reagan would say, “Trust, but verify.” Asking these questions is just the first step. Confirming the accuracy of the answers is the second.
Business history shows that few company founders have the skills to manage the company when it gets past a certain size. Few such managers, however, acknowledge this reality. One of your main goals in the interview, then, is to try to determine how you will be able to work with this individual and, by extension, his or her heirs, all of whom have a stake in the business. To satisfy yourself of the viability of the situation, you are entitled to a much greater degree of latitude.
Company founders and owners have tremendous pride in the success of the organizations they built. They will generally resist sharing their organizations with anyone else. The big issue, then, is how willingly the company founder or owner is prepared to adjust the company’s balance of power and, perhaps, ownership. The questions that follow are designed to give you a clue about how flexible the company founder or owner might be. The questions assume the candidate is interviewing for a senior executive position, perhaps the COO to the founder’s CEO. Use these wordings as the basis for customizing questions to your unique situation:
- What are the success factors that will tell you that the decision to bring me on board was the right one? This question starts the conversation off on the success factors that you will bring to the organization.
- How would you describe the company you’d like to leave your heirs in terms of sales, size, number of employees, and position in the industry? This opens the conversation about heirs and what impact they may have on the negotiations.
- Have you considered the degree to which you want your heirs to have strategic or operational influence in the company until one of them is ready to assume the role of COO or CEO? If there is an heir waiting in the wings, this is a good way to start a conversation about it.
- If for any reason you were unable to function as CEO, how would you like to see the company managed? Is this known, understood, and agreed to by your heirs? Is it in writing? Transition strategies, or more frequently the lack of them, derail many organizations. If a transition strategy exists in writing, you can have some confidence that the organization is relatively mature in its governance.
- To make our working relationship successful-something we both want-we’ll need to be sure we have good chemistry together. How might we determine this, and then what action would you see us engage in to build that relationship? This question alerts the CEO that one of your success factors is the relationship between the two of you.
- If you and I were developing some sort of philosophical difference, how would you want to go about resolving it? Here is a refreshingly candid question that goes to how inevitable differences will be resolved.