How legendary entertainment and tech executive Barry Diller recognizes potential.
Legendary entertainment and media executive Barry Diller talks to Fast Company’s editor-in-chief about his instinct for spotting talent, his appetite for creative conflict, and why insiders should get the top jobs.
As a Hollywood executive, Barry Diller helped shape the careers of former Disney CEO Michael Eisner, onetime Columbia Pictures president Dawn Steel, and Dreamworks cofounder Jeffrey Katzenberg, who, among many others, became known in the industry as the “Killer Dillers.” As chairman and senior executive of media and internet conglomerate IAC and chairman of travel juggernaut Expedia, he has mentored Mindy Grossman (now CEO of Weight Watchers) and Dara Khosrowshahi (CEO of Uber). In today’s era of data-driven talent management, Diller’s ongoing success offers a reminder of the power of intuition. You’ve identified and nurtured high performers across several industries and businesses for many years. Putting aside job titles and functions, what traits indicate great talent? I would say there are none, when [employees] begin. Bring people into an organization—young, inexperienced, but with energy, and edge—and drop them into water above their heads as quickly as you can. Some survive. And those who survive answer your question. Everything is idiosyncratic. There’s no rule book. I’m probably the worst person to ask about this topic, but anyway, you’re the one who called.
What’s the best way to help creative types excel? Put them to work! Let us assume that the task is writing, something you may be familiar with. The only way to write, say, for television or film, is to write. Hopefully you will be sending that first or twentieth draft to somebody, and if they’re any good, they’ll help you [develop] your craft. It’s process. It’s one [foot] in front of the other.
I’ve heard people say: “If you deliver for Barry Diller, he’ll deliver for you.” Do you think this philosophy, of being demanding but loyal, has helped attract talent to you? It depends. I’ve always said that I believe deeply in creative conflict, and that means passionately arguing—whatever your thoughts are, whatever the point is. Some people love that and it helps them grow, learn, etc. Some people run for the hills. I’ve always said to people, “Look, it’s not a room for everybody. If you like this environment, great. If you don’t, please leave, because it’s not good for any of us.”
How do you feel about the term “Killer Dillers”? Well, I guess it makes me smile a little because it’s got some nice and not-so-nice connotations. I kind of like both sides of that.
One of your protégés has been in the news lately: Dara Khosrowshahi, who took over from founder Travis Kalanick as the CEO of Uber. How has he evolved as a talent? [He’s] the perfect example of what I told you before. Dara Khosrowshahi we saw as a young analyst at Allen & Company, God knows, 100 years ago? He came to one of the [IAC] progenitor companies, as basically an analyst/clerk. And each year or two or three, we threw more and more at him until we finally said to him, after he had become CFO of one of our public companies, “We’re going to spin off Expedia, and I think you’re going to go run it.” He said, “But I don’t have any operational experience.” And I said, “Yeah, that’s the good thing.” Twelve years later, he left to go run Uber after having spectacularly grown Expedia.
When you were CEO of Fox, you hired Leonard Goldberg, who had given you your start in television 20 years earlier at ABC. Typically, you like to promote from within. Why the departure? It’s not one-size-fits-everything. There are different circumstances. I would say that my preferred method is not to ever hire outside your company for senior positions. It is at least 50% disappointing.
Can you elaborate on that? I mean, because there is organ rejection. Every once in a while, for a certain