June 5, 2025

The playbook for fixing toxic culture, pointless friction, and broken systems | Bob Sutton (Stanford, NYT bestselling author)

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The playbook for fixing toxic culture, pointless friction, and broken systems | Bob Sutton (Stanford, NYT bestselling author)

In this episode of The Eric Ries Show , I’m joined by Bob Sutton, organizational psychologist and New York Times bestselling author of several influential books on leadership, behavior, and workplace culture, including his latest: The Friction Project.

We explore insights from across his body of work, including real-world examples of large organizations that have figured out how to operate more effectively and ethically—despite the inherent messiness of human systems.

We discuss:

• Ideas from The Knowing-Doing Gap , including the importance of psychological safety and a breakdown of “the smart talk trap”

• Why even the best-run companies are still flawed

• The surprising number of companies owned by private foundations, including Hershey Chocolate and Ikea

• How well-run organizations resist management fads while staying open to real innovation

• A story from Tim Cook about critical thinking in HR—and the cost of over-hiring

• “Addition sickness”: what happens when too many people work on a problem

• Strategies for removing friction

• The “No Asshole Rule”: why toxic leaders damage performance and morale

• The best founders strike the right balance between confidence and humility

•  And much more!

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Where to find Bob Sutton:

• LinkedIn: https://www.linkedin.com/in/bobsutton1/

• Bluesky: https://bsky.app/profile/bobsutton.net

• Website: https://bobsutton.net/

Where to find Eric:

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• Podcast: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://ericriesshow.com/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

• YouTube: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.youtube.com/@theericriesshow⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠

In This Episode We Cover:

(00:00) Intro

(01:45) Insights from The Knowing Doing Gap

(09:29) How Becky Margiotta rewarded the doers of her 100,000 homes project

(12:24) An explanation of why every organization is flawed

(21:32) A case for still trying to improve the way companies are run

(26:03) How larger organizations always do things worse—some worse than others

(27:58) A case of organizational improvement: The California Department of Motor Vehicles

(29:58) Companies owned by private foundations and other unique models

(33:52) Lessons from Tim Cook around thinking critically about hiring

(36:26) Addition sickness

(39:58) Strategies for removing friction and adding good friction

(46:42) Simple practices that work

(49:50) The ‘no asshole’ rule

(52:32) The pitfalls of holacracy and an explanation of ‘stagegate’

(57:18) Why founders sometimes need to step back after scaling

(1:01:09) Advice for founders who want to stay CEOs and operate in founder mode

(1:04:40) The importance of ‘torchbearers’ and resisting pressures for short-term gains

(1:08:30) A case for doing things the right way, even if you don’t have to

(1:11:05) How corruption eventually degrades an organization

(1:18:03) Lightning round

Referenced:

Production and marketing by Pen Name.

Eric may be an investor in the companies discussed.