The Elephant In The Alignment Room

When ChatGPT exploded onto the scene on November 30, 2022 (hard to believe that was less than 2 years ago!), the idea of AI “alignment” was suddenly a big deal. That means “alignment with human values.”

I thought: “wouldn’t it be nice if humans were aligned with human values”?

Even some values that seem uncontroversial, like “tell the truth,” are things that most people agree with but nobody actually does. Sorry, Jim-Bob, when your sister said “your new glasses are cool” what she actually meant was “your new glasses make you look like a dork”. But that’s not the kind of misalignment that is a problem.

The larger problems come up at a societal level or an organizational level, and happen when two values (as reflected by goals) are in conflict with one another. For some people, “winning is everything” and for others, “it’s not whether you win or lose, it’s how you play the game.” In games, cheating is easy to prevent, but in work and relationships and politics … not so much.

The “Elephant in the Alignment Room” is my term for what you get when personal values are out of order with organizational values, but nobody is talking about it.

How would you order these (sometimes conflicting) values / goals?

1. Treat people fairly (and as you would like to be treated)
2. Make as much money as possible
3. Make shareholders as much money as possible over the long term
4. Make shareholders as much money as possible as fast as possible
5. Have job security and a good work-life balance
6. Create products or services that provide value for the customer
7. Help to make the world a better place

A recent college grad living with his parents will have a different order for those than a single mother, and an executive for a private equity firm will have a different order (or “odor” as I initially mis-typed that) than either of those.

Here’s something to try:

1. write down your five most important values for a job
2. write down what you think are the five most important values of the executives at your company (or a previous job if you’re not currently employed)

Interlude

Since knowledge and understanding can be a little different, I’ll belabor the point in the next few paragraphs, since it’s worth really thinking about the big picture when you have your whole career ahead for you to suffer the consequences of misalignment.

Private Equity firms are great for investors, but they suck for everyone else. Their job is to maximize return on investment over the short term. They will do this by selling off assets and by laying off the very employees who built the company if that’s the path to their goal. It doesn’t matter if employees are happy, or if they lose their home when they get laid off and can’t find a new job. Usually, PE firms can’t be too blatant about it, since in a good economy all the key employees would bail before the PE firm could resell the company, if the PE firm has a really bad reputation.

If your company is purchased by a PE firm, it can be a very bad experience for you. For example:

• When Broadcom acquired VMware, they laid off 50% of global staff (over 5,000 employees) on day one
• Toys R Us laid off over 30,000 workers after a private equity takeover led to bankruptcy

Venture firms are similar in some respects, but they have a somewhat longer time horizon and they usually can’t afford to lose key employees since the company value isn’t built up yet. On the other hand, they expect most of the companies they fund to fail, so they tend to push people extremely hard and then pull the plug if it’s not working out. Some people thrive in that kind of environment, so depending on your goals and values you might find that a good match.

Bootstrapped companies are much more cautious. They’re usually in it for the long term, and tend to avoid hiring sprees followed by layoffs. Often, founders of bootstrapped companies are interested in solving real problems, not “just” making money (although that’s obviously part of what they want).

Public companies are all different from each other, but the values and goals of the executives are still much different than that of most employees. Layoffs happen all the time, but when the economy is doing well the best companies usually ride out smaller bumps in the road.

Public Benefit Corporations (PBCs) are weird public companies that are allowed to care about more than just shareholder value. They balance profit with a social mission. Examples include Warby Parker, Allbirds, and Veeva.

Exterlude

Alignment with human values isn’t just for AIs any more. We ought to take a hard look at the organizations we work for or work with, and make our own choices accordingly. If you want to make a difference, but your organization only wants to make a buck, it’s a good idea to have a Plan B.

I’ve overgeneralized the goals and values of the different types of organizations above, so you might find that your organization doesn’t fit the descriptions I’ve given above. The main thing I’m hoping to do with this post is just to give you something to think about.

How To Find A More Secure Job

The rest of this post is for people for whom job security is important.

No job is totally secure, but it’s been my experience that bootstrapped companies or nonprofit organizations are more secure (and usually more fun, in my opinion). Here are some tips for how to optimize your next job search for a job in one of those in your industry:

Online Communities and Networks

Several dedicated platforms cater to bootstrapped founders:

• Indie Hackers - A community of thousands of bootstrapped founders sharing experiences and connecting
• Founders Network - An invite-only network focused on tech startup founders
• Startup Grind - A global community with over 3.5 million members across 125 countries, specifically supporting bootstrapped companies
• No Code Founders - Platform for non-technical entrepreneurs building bootstrapped businesses

Industry Characteristics

Look for companies displaying these typical bootstrapped traits:

• Strong focus on early profitability rather than rapid growth
• Complete founder control without external board members
• Emphasis on thrift and efficient resource use
• Pride in independent ownership and long-term perspective
• Customer-centric product development approach

Networking Events and Groups

Physical and virtual networking opportunities include:

• Local startup meetups and events
• Industry-specific conferences
• Co-working spaces where bootstrapped founders often work
• Virtual events and hackathons organized by startup communities

Online Directories

Several platforms maintain listings of bootstrapped companies:

• FoundersBeta - Offers a job board and co-founder matching service
• Product Hunt - Features new bootstrapped products and startups
• Startup Stash - Directory of tools and resources used by bootstrapped companies
• F6S - Global community connecting bootstrapped enterprises

To Sum up

1. Figure out your values and goals
2. Figure out your organization’s values and goals, and see if you’re in alignment
3. If not, be deliberate about your search, the next time you’re looking for a new job