Bad Blood by John Carreyrou

A page turner and thriller in real business world. Not sure if there’s an equivalent of “high” in reading as in runner’s high in running, but I had this “reader’s high” flow over me in the chapter when John Carreyrou the Wall Street Journal journalist (and author) was reached by the medicine blogger, and started his journey in the story. Haven’t felt this swift rush of joy and excitement in reading for a while, esp not from a “business” book.

Highly recommend, lesson learnt the hard way is more impactful.

Below I tried to summarise what lead to the failure of such an awesome (revolutionary) idea.

Internally (Elizabeth Holmes and Sunny Balwani)

Dishonesty, whether it is to its employees or investors or regulators, or themselves.

• Cut corners.
• Use fake figures/data.
• Use “trade secrets” to cover up any possible challenges.

No trust to employees.

• Regard anyone who raised a concern or an objection as a cynic and a naysayer.
• If you don’t follow what the company asks you to do, leave.
• Lack of empathy or respect to employees.

Dysfunctional corporate culture.
Manages through intimidation.

• Master-servant mentality with employees (Sunny Badwani).
• Believe in “fake” loyalty and encourage long hours whether it’s productive or not.
• Culture of secrecy: discourage of transparent communication and cross function collaboration.

Others.

• The belief of “Fake it until you make it” silicon valley culture.
• Stupid obsession with Steve Jobs. Outfit, advertising agency hired, etc.

Externally (investors, board members, consultants)

• No robust due diligence check.
• No board member with expertise in the very specific and high tech industry.
• Board member role limits to only creating connection and routes to funding.
• Arrogant. Believe in what they want to believe in.
• The fact that they think this is a Silicon Vally unicorn startup, but this is a health care company first and foremost. And you have to take it extremely serious when it comes to people’s life!!