Life/Work - Issue 41

"I went to a dinner party recently where we played a parlor game," George Colony explains. "Everyone at the table was asked to choose one word to describe himself. I chose 'fun.' That choice might rub some people the wrong way, but I find that I've got to have fun at whatever I'm doing or my level of effectiveness goes down. I adore working. I'd pay to do what I do -- but I don't want to spend my whole life working. I love the other parts of my life too. I often remind people that the Declaration of Independence entitles us to life, liberty, and the pursuit of happiness. I've heard that Thomas Jefferson originally wanted it to read life, liberty, and the pursuit of wealth. But there has to be more to life than money."

How would you like to work for a guy like that?

Colony, 47, is the chairman and CEO of Forrester Research Inc., one of the largest and perhaps the most-respected Internet research firms. Founded in 1983, the company's revenues have increased at a compounded rate of 52% since it went public in 1996. In its short but happy life, the company has played a significant role in shaping the strategies of hundreds of new-economy ventures as well as traditional companies that are now seeking to compete on the Internet. But I went to visit Forrester not to understand its business, but because I was interested in its reputation as a place where people loved to work. Specifically, I was curious about how a young, hard-charging, rapidly growing company could demand such high performance from its employees, still treat them humanely, and inspire their loyalty.

What makes Forrester distinctive, I discovered, is the culture that Colony and his team have managed to build. The company doesn't have especially progressive work-life programs, and they don't pay higher salaries or offer significantly stronger benefits than those of their competitors. More subtly, what Forrester does is address people's needs on multiple levels, recognizing their complexity. Colony has resisted choosing sides among traditional management styles, and opted instead to embrace paradox openly. The result is a company that feels both driven and laid-back, informal but highly focused, individualistic and collaborative. Call their approach post-conventional. Above all, Forrester's culture seems comfortable balancing opposites.

Democracy Vs. Meritocracy

No one at Forrester, including Colony, has a separate office. Back in the early 1990s, everyone had an office, although there was one central room for computers. "That room was where we had the most fun," Colony explains. "It's where people from different disciplines would sit around and share what was going on." When Forrester launched its first Internet-research venture in 1994, Colony suggested forming a "pod" of 8 or 10 core people who would work together in one large room.

"Everyone screamed," he remembers. "They would only agree to the idea if I joined them, and no one believed that I would leave my plush office. One day I came in, put all of my stuff in boxes, and moved into the pod. That's how it began. That new team lit the company on fire. We shared our tears and our fears, and at the end of the year, we danced on our desks to celebrate our success."

Today, everyone at Forrester sits in pods, which are mostly composed of research teams. If you want to talk to Colony or to any other top executive, you just walk up to his or her desk. "It creates a much higher bandwidth of communication, and it helps people form relationships faster," Colony argues. "Also, your mentor is sitting right next to you. The company's DNA gets spread quickly throughout the pods." As Mary Modahl, 38, vice president of marketing, puts it: "Credit is usually unfairly distributed in companies. The guys with the big offices are seen as the only ones responsible for the successes. By taking away the physical expressions of authority, people can speak up and be valued equally."

But while Forrester's culture encourages people to voice their opinions, decisions are not made by consensus, and people are clearly rewarded for their accomplishments. "Individual achievement is very important here," says Modahl. "So is personal accountability." Each employee sets goals quarterly and receives four performance reviews a year. Forrester also gives out plenty of awards. For example, a prize goes to the person who has the highest impact on the company as determined by a vote of all the employees.

Self-confidence is valued more than self-promotion at Forrester. "You need ego as fuel to give a speech in front of 3,000 industry people or to have your research read by 50,000 clients," says Colony. "At the same time, we've found that the creative process here is collaborative. Feedback is very hard-hitting and critical. Your skin has to be thick, so it's best to check your ego at the door."