Sign In

Christian Nentwich, PhD

Founder (the type with exits), tech investor, Comp Sci fan

Christian Nentwich, PhD, is a technology enthusiast with a lifelong passion for problem-solving using tech solutions.

With a successful track record of building and exiting two companies, Christian is currently at Duco, a global SaaS leader in data automation, revolutionizing operations and finance tasks.

Aside from his role at Duco, Christian is involved in active investments in private equity and venture capital funds, dedicated to nurturing the next generation of entrepreneurs by sharing valuable lessons learned during his journey as a Founder CEO.

Having earned his BSc and PhD in Computer Science from UCL, Christian has held key positions in various organizations, including Founder and Board Member at Duco, LP at Nordic Capital, LP at Left Lane Capital, LP at 13books Capital, Advisory Board Member at Satalia, Director of Strategy at Message Automation, and Co-Founder and CTO at Systemwire.

Highlights

May 2 · linkedin

Gross margin has big impact on a companies' ability to invest, on valuation, and more. How do you work it into CULTURE?

Following my other posts on gross margin this week, here's the "people" post!

At Duco, we've been very good at driving gross margin up, up, up. All the time. The thing is, let's be honest: it's an absolutely boring subject - but it's also extremely important at the same time. So how do you go about it?

✅ Make it a top company priority, i.e. for all staff. A company can only have 3-5 of those. And this was one. Everybody knew. Full transparency of reporting, to everyone, from the board to every employee

✅ People need to understand that not wasting money on cost-of-goods-sold means the company has more to invest in its people, and in innovation - that's good for everyone

✅ Eventually people realise that gross margin focus is a huge silo breaker! You cannot shift that number without sales, professional services, product, engineering, finance, working together. Everybody has a role to play, from lowering hosting costs, to better customer education on usage

✅ Silo breakers create joint success, rather than individual success. Joint success is the best form of success for morale, everybody loves a team win

❌ The customer matters most! Forgetting that on this journey is a big no-no, your costs are not the customer's problem. This needs to be done the right way

❌ Over-incentivising individuals on gross margin improvement is dangerous. Next thing you know, people turn down servers and storage and degrade the experience, just to get their bonus. I always preferred wider incentives

🚀 I'm posting an operator perspective on gross margin every day this week 🚀

Apr 15 · linkedin

Company builders! "Shadow control" is a toxic organisational anti-pattern that I absolutely detest and always had an active radar for 😡 🔥

Ever felt like important decisions are out of your hand because of "company policy"?

"Shadow control" happens when the supporting functions are badly aligned and start to influence, block or make decisions that should be made by departments/divisions.

❌ Finance interfering with hiring by asking for sign-off on every penny of every salary, or starting to make business system choices on behalf of managers because of money ❌ Legal blocking commercial progress by taking a hard stance on every last clause, or insisting on byzantine contractor arrangements ❌ InfoSec launching "internal ransom projects" demanding spending of X and clipping budgets, or deciding unilaterally what the risk appetite of the organisation should be ❌ HR getting involved in every single promotion decision and stopping all discretion

Before you know it, the above stances all become "policy" and then you are up the proverbial creek.

This is one of the most disempowering, toxic and horrible things that can happen to a company, because the discretion of managers to actually make decisions is removed.

How to stop this:

✅ Budget in major buckets, let the executive team/management team members own the entire (!) bucket, hold to account later ✅ TALK! Then talk more! The supporting functions will accidentally slip into defensive mode if they are made to feel like second class citizens. They have vital professional responsibilities, they cannot feel like they are completely losing control - make them feel like they're part of building the business! ✅ Get rid of any leader in supporting functions who looks like an empire builder. It's an absolute no-no. These functions need "company first" leaders ✅ Have a strong CEO. I'm not sure there's a way around this. It's the CEO's job to manage conflict and stop this before it happens ✅ Talk, talk, talk. Don't be lazy. Things have to be explained, people have to be heard

Christian Nentwich, PhD
Add to my network

Location

London Area, United Kingdom