[HN Gopher] The Elves Leave Middle Earth - Sodas Are No Longer F...
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       The Elves Leave Middle Earth - Sodas Are No Longer Free (2009)
        
       Author : tosh
       Score  : 105 points
       Date   : 2022-05-31 18:34 UTC (4 hours ago)
        
 (HTM) web link (steveblank.com)
 (TXT) w3m dump (steveblank.com)
        
       | falcolas wrote:
       | A small, mildly entertaining, anecdote about soda:
       | 
       | When Oracle acquired the company I was working for, they made the
       | soda free. That is, Oracle made the soda dispensing machines
       | simply dispense soda when you pressed a button.
       | 
       | The same company that had a self-service "I Quit" page.
       | 
       | Free soda is _an_ indicator about how a company treats its
       | employees, but perhaps not the best.
        
         | cptnapalm wrote:
         | Self-service "I Quit" page... that's... wow...
        
           | mberning wrote:
           | It's not that rare. Many large companies have an HR portal
           | and one of the many options is usually to "end your
           | employment".
        
             | throwaway284534 wrote:
             | I assume the form has some dissuading text along the lines
             | of, "Upon submitting, a goon squad will be sent for your
             | immediate removal from the premises." Or maybe they just
             | send spiders through the ethernet. It's a big company.
        
         | [deleted]
        
         | wolverine876 wrote:
         | I had a client that stocked kitchen fridges with free basic
         | foods - drinks, meats, breads, etc. - and quality, healthy
         | stuff too. That always impressed me, sending a simple, strong
         | message that they cared about their employees and people like
         | me, and it had a positive impact on me when I ate my share (and
         | didn't have to worry about taking time to get lunch).
         | 
         | At one point they brought in a relatively large team of
         | contractors to work day and night on a critical, time-sensitive
         | project. A week after the team started I was there, talking
         | casually to the manager. They told me that there were
         | complaints that they were running low on food in the fridge
         | because the contractors were eating it too. What would they do?
         | Ban the contractors, with only arms-length loyalty to the
         | business, working day and night, and on whom the business's
         | fortunes depended, from the kitchens.
        
           | RcouF1uZ4gsC wrote:
           | > At one point they brought in a relatively large team of
           | contractors to work day and night on a critical, time-
           | sensitive project.
           | 
           | To me that is a huge red sign that something is seriously
           | wrong with the company. Bringing in a bunch of new people and
           | having them work long hours does not seem conducive to good
           | code.
        
             | wolverine876 wrote:
             | It wasn't an IT company.
        
             | mlyle wrote:
             | Not everything is permanent code that has to be maintained
             | forever. Sometimes you have a migration, or a bunch of data
             | to suck in one time from a vendor or acquisition, or
             | whatever. You can run appropriate quality checks to bound
             | the error rate.
        
           | tomrod wrote:
           | Accounting/PeopleOps meets the Real World! Great anecdote.
           | 
           | The free meals are a perk paid for by the people creating the
           | revenue. I suspect that perk probably wasn't budgeted for
           | addition to the Contractor work. An oversight, perhaps?
           | Hopefully folks working got fed.
        
           | ls15 wrote:
           | "Be my guest, but don't touch the food!"
        
             | philwelch wrote:
             | There's a lot of talk on Twitter the last couple of days
             | about how this is apparently a cultural norm for house
             | guests in Nordic countries!
        
               | cgriswald wrote:
               | For the curious, here is the reddit thread and comment
               | that seems to have started it:
               | 
               | https://www.reddit.com/r/AskReddit/comments/uxz68j/what_i
               | s_t...
               | 
               | > @Wowimatard
               | 
               | > I remember going to my swedish friends house.
               | 
               | > And while we were playing in his room, his mom yelled
               | that dinner was ready. And check this. He told me to WAIT
               | in his room while they ate.
               | 
               | > That shit was fucking wild.
        
               | klipt wrote:
               | So what do Swedish guests do - bring their own food to
               | others' houses, or just always leave before mealtime?
        
               | na85 wrote:
               | I mean if an electrician or whatever came into my house
               | to do a job, and ate my food without being offered it,
               | I'd consider that extremely rude.
        
               | Nextgrid wrote:
               | Scale and context matters.
               | 
               | The loss of a single food item in your own house has a
               | much larger impact than the loss of a single food item in
               | a kitchen stocked to feed dozens of employees - in the
               | former case, your lunch disappeared but in the latter
               | case there's just one less pack of crisps in a box of 100
               | that nobody will even notice and the positive impact of
               | that (in terms of morale, especially for regular
               | contractors) outweighs the 50c the pack of crisps costs.
        
         | voidfunc wrote:
         | Is Oracle all that bad of a place to work? Everyone _hates_
         | Oracle for product reasons but I've never met any engineers
         | that said it was a terrible place to work or particularly worse
         | than any other big tech b2b companies (e.g. ibm, microsoft,
         | etc).
        
           | scrumbledober wrote:
           | Super anecdotal, but I once interviewed an engineer who was
           | currently working for Oracle. During the interview he told me
           | that every six months he would go apply to jobs at startups,
           | get an offer or two, and bring them back to his manager and
           | ask for a raise. He had been at Oracle for 15 years doing
           | this apparently the entire time. So it seems some people very
           | much like working there. Needless to say I recommended we
           | pass on him...
        
           | arebop wrote:
           | Every ex-Oracle engineer I've met says it was a terrible
           | place to work compared to the big tech company where I work
           | now. I also don't know anyone who went to work for Oracle
           | after leaving my current company, fwiw.
        
           | volkadav wrote:
           | it strongly depends on which org you're in, with an average
           | of "boring, with a big steaming pile of bureaucracy" based on
           | my observations spending five years at the seattle-based
           | cloud org. if you had a good manager and skip-level stuff
           | could be pretty alright, if you didn't god help you.
        
             | falcolas wrote:
             | This.
             | 
             | If you have a good manager, and your project doesn't span
             | across orgs, you have a ton of freedom. Crossing orgs
             | creates red tape you wouldn't believe, since such requests
             | "must go through Larry's office".
             | 
             | They also have an absolutely stellar health plan - I know
             | of one (US) employee whose spouse got cancer, and they
             | didn't pay one penny out of pocket for the entire
             | treatment.
        
               | thebean11 wrote:
               | I don't think that's out of the ordinary. With most big
               | tech health plans you'd probably pay little or nothing if
               | you stayed in network.
        
           | rst wrote:
           | Immediately after the Oracle/Sun acquisition, there was a
           | huge exodus of senior engineering talent (e.g., most of the
           | core Solaris kernel development team). This writeup of why
           | James Gosling left has some of the obvious reasons (e.g., he
           | was asked to take a significant pay cut), but also this
           | anecdote, showing Oracle managements' general attitude toward
           | the talent:
           | 
           | https://www.eweek.com/development/java-creator-james-
           | gosling...
           | 
           | [quoted]:
           | 
           | Making his point about the "creepiness," not only with
           | Ellison but with Oracle's power structure, Gosling said he
           | sparked a notion to try to improve morale amongst the Sun
           | faithful who endured the Oracle acquisition. He said the
           | company decided to rent out the Great America amusement park
           | in Santa Clara, Calif., and allow the Sun folks to have a day
           | of fun. Scott McNealy and Sun CEO Jonathan Schwartz signed
           | off on the project that came in well under budget and all
           | systems were go, Gosling said. Except a few days before the
           | event was to occur, Oracle Co-President Safra Catz got wind
           | of it and put the kibosh on the thing.
           | 
           | "Safra found out and had a fit," Gosling said. "The word came
           | down that Oracle does not do employee appreciation events. So
           | she forced the thing to be cancelled. But they didn't save
           | any money because the money had been spent - so we ended up
           | giving the tickets to charities. We were forced to give it up
           | because it wasn't the -Oracle Way.' On the other hand, Oracle
           | sponsors this sailboat for about $200 million."
        
             | tqi wrote:
             | Couldn't that just be about "fairness" to the other (non-
             | Sun) employees?
        
               | HollywoodZero wrote:
               | You do bring up a valid point.
               | 
               | One of the tricky issues is when you have other office
               | locations based outside of the US.
               | 
               | There's TONS of hoops you have to follow to offer
               | comparable benefits for employees in other locations
               | around the world.
        
               | rst wrote:
               | Not sure it's really a defense of Oracle to say that
               | they'd been treating their own technical staff badly, and
               | couldn't treat Sun's any different.
        
             | cwp wrote:
             | bcantrill had a pretty good take on this:
             | https://news.ycombinator.com/item?id=5170246
        
               | aidenn0 wrote:
               | While the whole rant is great[1], "Don't make the mistake
               | of anthropomorphizing Larry Ellison" is a particularly
               | great quote.
               | 
               | 1: https://www.youtube.com/watch?v=-zRN7XLCRhc&t=33m
        
             | hinkley wrote:
             | Does Brian still routinely call Larry a Nazi?
             | 
             | I've always found it somewhat amusing that Ellison's facial
             | hair is virtually identical to the episode of Star Trek
             | where they cross into another dimension where they are all
             | evil. Like somewhere there's a clean-shaven Larry who is
             | the life of the party and getting recognized by the City
             | Council for his humanitarian work.
        
           | teraflop wrote:
           | Don't really know about Oracle-the-company, but everything
           | I've heard about Oracle-the-database-product suggests that
           | working on it is a nightmare.
           | 
           | e.g. https://news.ycombinator.com/item?id=18442941
        
         | RajT88 wrote:
         | I worked for a post-startup company early in my career.
         | 
         | The Christmas parties were awesome, my first few years there
         | included parties at the Shedd Aquarium and the Field Museum.
         | There were subsidized vending machines as well. I knew
         | engineers who would spend a dollar on the vending machine and
         | get a few bags of chips for lunch.
         | 
         | Subsidized vending machines were the first to go. Then the
         | Christmas parties. Then a bunch of other changes which showed
         | derision for customers and employees both.
        
       | rootusrootus wrote:
       | We had something akin to this happen at my company. For context,
       | this is a well established mid-sized company with around 5000
       | employees. Some beancounter decided that they could no longer
       | afford to subsidize the plastic spoons in the break rooms. So
       | they announced that when the current stock ran out, they would
       | not be replacing it.
       | 
       | The backlash was pretty strong. Not because engineers can't
       | afford plastic spoons of their own, or some other alternative,
       | but because it was such a _petty_ thing. These spoons come in
       | cases of 1000 for under 10 bucks, so nobody can argue with a
       | straight face that it was about the cost.
       | 
       | I don't know that anyone actually quit over it, but it leaves a
       | sour taste in your mouth.
        
         | jmharvey wrote:
         | This reminds me of a startup CFO I worked with, who _could_ see
         | the big picture. In the early days of the company, they worked
         | in an office that shared a bathroom with a half dozen other
         | companies. And the toilet paper in said bathroom was terrible.
         | Like, not just standard-office-building terrible. Really,
         | really bad. So CFO takes it upon himself to rectify the
         | situation. He orders a couple dozen rolls of standard-issue
         | "premium" office toilet paper (still not that great relative to
         | home-use TP, but good by office standards) and leaves it in the
         | bathroom. Two days later, it's gone: someone (not clear whether
         | it was someone at the startup or one of the neighboring
         | companies) decided to take it home with them. Everyone in the
         | office starts grumbling about the state of the TP situation
         | again.
         | 
         | Not to be outdone, CFO places another order; several cases this
         | time. And it takes a few more days, but sure enough, it all
         | disappears.
         | 
         | At this point, CFO is fed up. He orders two full pallets of TP.
         | After lunch one day, several volunteers unload the toilet
         | paper. Multiple stacks, floor to ceiling, in the bathroom. More
         | stacks in the supply closet. Stacks in the hallway. Stacks in
         | the lobby. Everywhere you look, there's toilet paper. And if
         | people were stealing TP after that, it wasn't at a rate that
         | anyone could notice.
         | 
         | Including the ongoing costs for the subsequent 18 months until
         | they moved out of that building, the "unlimited TP" policy
         | might have cost the company $10k. But it bought a lot more than
         | that in terms of employee goodwill. Knowing that the bean
         | counters are focusing on "our employees are producing a product
         | worth $x; let's figure out how to have them do more of that"
         | makes a big difference.
        
         | conradfr wrote:
         | They should have said it was to save the planet.
        
       | [deleted]
        
       | dang wrote:
       | Related:
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free_ -
       | https://news.ycombinator.com/item?id=30173379 - Feb 2022 (1
       | comment)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free_ -
       | https://news.ycombinator.com/item?id=27445943 - June 2021 (3
       | comments)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free (2009)_
       | - https://news.ycombinator.com/item?id=19690250 - April 2019 (2
       | comments)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free_ -
       | https://news.ycombinator.com/item?id=16801710 - April 2018 (2
       | comments)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free (2009)_
       | - https://news.ycombinator.com/item?id=13134712 - Dec 2016 (69
       | comments)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free (2009)_
       | - https://news.ycombinator.com/item?id=5751329 - May 2013 (390
       | comments)
       | 
       |  _The Elves Leave Middle Earth - Sodas Are No Longer Free_ -
       | https://news.ycombinator.com/item?id=1007750 - Dec 2009 (226
       | comments)
        
         | raccer wrote:
         | Holy moly, first thread summary I've seen, very cool! Is this
         | an automatic thing now? (assuming url match I suppose)
        
           | ColinWright wrote:
           | I used to do this a lot, but I've given up. I used to run a
           | 'bot to do it, but I got a lot of pushback and discontinued.
           | 
           | Dang is a moderator, and he does it when he thinks it's
           | useful. I suspect he does it "by hand" but, like me, has
           | written scripts to help.
           | 
           | Given that your account was created 12 years ago I'm a little
           | surprised that this is the first thread summary you've seen.
        
             | dang wrote:
             | Yes - I wrote software that makes it fast to do by hand.
             | 
             | You'd certainly be welcome to resume! I think including the
             | number of comments is the important bit, plus not pointing
             | to threads with zero comments - but IIRC you had both of
             | those features.
             | 
             | Edit: one fun fact - it's surprisingly difficult to post
             | links to past threads without coming off as somehow
             | reproaching the latest submitter for posting a duplicate.
             | In reality, of course, HN allows reposts after about a year
             | (and this is in https://news.ycombinator.com/newsfaq.html),
             | but many people don't know that and interpret the list of
             | past threads as an implicit criticism, which is a shame.
             | 
             | I've tried out a bunch of different wordings trying to
             | minimize that misunderstanding. The simplest one seems to
             | be the most effective - I just say "Related". Somehow the
             | word "related" sounds less like a criticism. It also has
             | the nice property of being inclusive, so for example it's
             | fine to include other articles on the same topic.
             | 
             | One of these years, I still want to build software support
             | for collecting related URLs and related past threads into
             | HN's official UI. Then we can all build up sets of related
             | things collaboratively. That will hopefully make HN more
             | interesting.
        
               | pvg wrote:
               | _Then we can all build up sets of related things
               | collaboratively._
               | 
               | You could also take all the posts and related links, toss
               | them in a big adjacency matrix and, oh I dunno, rank the
               | relatedness of pages.
               | 
               | Dumb jokes aside, these do add a lot of extra structure
               | to the dataset and people might think up something
               | interesting to do with that.
        
         | drivers99 wrote:
         | This comment is one I still remember from 9 years ago (from the
         | top of the May 2013 thread).
         | 
         | > Then one day a guy came in with a hand cart, loaded the
         | coffee machine on it, and rolled it away. A week later the
         | layoffs started.
         | 
         | > [...]
         | 
         | > In other words, the free sodas are the proverbial canary in
         | the coal mine. When they die, it's time to get out if you don't
         | want to die with them.
        
       | HollywoodZero wrote:
       | I used to be in a management role a number of years back and
       | faced this same issue.
       | 
       | Thankfully I was able to convince executive management that for
       | our several hundred employee company, running a Coke soda machine
       | was basically the cost of 1 Tech Support headcount.
       | 
       | That's it.
       | 
       | One of the most popular in-office perks, the Coke freestyle
       | machine was 1 tech support headcount.
       | 
       | That was years ago. And we still have that machine.
        
         | wolverine876 wrote:
         | Yes, it's a cheap employee morale device. How much do the
         | alternatives cost?
         | 
         | > for our several hundred employee company, running a Coke soda
         | machine was basically the cost of 1 Tech Support headcount
         | 
         | It cost you $50-100K/yr to run a Coke machine? Maybe I'm
         | misunderstanding something!
        
       | incanus77 wrote:
       | > All these engineers were still heads-down, working their tails
       | off, just as they had been doing since the first few months of
       | the company. Too busy working, most were oblivious to the changes
       | that success and growth had brought to the company.
       | 
       | This gets at the vague steps that the author mentions at the end
       | about supporting transitions of _people_, but I was waiting for
       | them to get concrete about how the engineers should have
       | _positively_ been made aware of the success and growth. Pay
       | raises to market rate? A bonus? I'm guessing that in actuality,
       | it was little more than verbal pats on the back.
       | 
       | I guess it's different for each company culture, but this makes
       | it sound like the engineers worked hard, the company got solid,
       | things were taken away, and then the superstars started to leave.
       | I've seen similar patterns a few times. What are some positive
       | ways that people have seen these patterns fought?
        
         | ftlio wrote:
         | Based on how I've seen it mismanaged, the only way I see it
         | working is hiring "provisional VPs". In the same way that you
         | might have hired slow and fired fast in the beginning for
         | competent ICs, you need to do the same with the now executive
         | management skillset that's required to break off and scale
         | whole divisions of the working organization. The other side of
         | that is you need to equip them with the actual subset of the
         | talent they need, and not hold back some employees who were
         | there in the beginning for special considerations.
         | 
         | The ICs have been there for years, knife fighting with the
         | market and the competition, and then someone comes in from some
         | adjacent market or some other vertical entirely, and the
         | expectation is that all the work done to go from zero to one
         | needs to be fit to their agenda, and not the other way around.
         | Everyone who has lived it knows its backwards, and yet I've
         | seen the trigger get pulled on this so slow that it had a
         | measurable effect on the exit.
        
       | devchix wrote:
       | To present an alternate point of view, I never grokked this idea
       | of free soda, free food, catered lunches, sleeping pods, dry-
       | cleaning, massages, ping-pong table as a way to attract talents.
       | If I took a risk to work for a startup, I want a lean machine
       | that pays me in ridiculous cash or ridiculous options, and
       | obscene milestone bonuses. The only thing I think I'd really care
       | about is "bring your dog to work" and "onsite/nearby child-care",
       | there's no substitute or purchasing-equiv to that. A startup is
       | an intense high-stress environment where focused work and time is
       | invaluable; none of those "perks" directly drive the goals, if
       | anything they seem hedonistic distractions from the goal.
        
         | probably_wrong wrote:
         | I like the explanation from this article [1] titled "Why perks
         | matter": because perks like that avoid context switches and
         | remove "distractions and other things which could disrupt [my]
         | flow".
         | 
         | As a human being who regularly needs to eat, not having to
         | worry about having the right amount of snacks and/or change at
         | hand can make or break my day. Trying to code while hungry is a
         | waste of everybody's time and money, which is how free food
         | pays for itself. And don't get me started on trying to code
         | when all you really want is a nap...
         | 
         | [1] https://rachelbythebay.com/w/2012/11/16/context/
        
         | rootusrootus wrote:
         | I thought I remembered reading somewhere that Google (or some
         | company in a similar position) had worked out the math and
         | figured that the free meals more than paid for themselves in
         | increased productivity (or at least seat time) because
         | employees weren't getting up to go off-site to find lunch. As
         | often as not they'd be quickly back at their desk coding away.
        
           | a4isms wrote:
           | Never mind startups, I once had a client who was in the
           | printing business, a numbers-driven blue-collar culture at
           | the time. They worked out the loss of productivity from
           | workers going out to the coffee truck and decided it was a
           | win to spend a little money on coffee if it kept workers from
           | going outside when they heard the truck's horn.
        
         | JoeAltmaier wrote:
         | I think the point of supplying food and drink on-premises is
         | exactly that, to foster "focused work and time "
         | 
         | The objection isn't so much the price then put on the food and
         | drink. It's the conversion of 'valued employee' to 'hourly
         | crank-turner'. No longer a valued critical member of a team,
         | now the corporation regards you as a 'resource'.
         | 
         | E.g. did the executive perks disappear too? No? Now you know
         | what pigeonhole you've been placed in (demoted to).
        
         | freetime2 wrote:
         | I tend to agree with this viewpoint. I actually found that my
         | happiness decreased when a company I was working for started
         | providing free lunch every day. The lunch break - along with a
         | change of scenery, a short walk, and the freedom to choose
         | whatever I wanted for lunch - was important for my well being.
         | Also, employees would often complain about the free lunch
         | options on certain days, which is kind of sad.
         | 
         | I suppose it would have been different if it were a big campus
         | at a FAANG, though, where they have lots of different
         | restaurants to choose from spread out through multiple
         | buildings. And the food the food looks amazing.
        
       | dzdt wrote:
       | I wonder about the "unintended consequences" takeaway here.
       | Correlation is not causation. It seems to me that the talented
       | startup engineers leaving and the decision to discontinue free
       | soda don't likely have a causal relationship between them. Just
       | both are things that happened along the growth path from startup
       | to established company. More of a common cause explanation. If
       | they had kept giving free soda would it have really kept the
       | engineers from leaving? I have doubts.
        
         | rossdavidh wrote:
         | My thoughts as well, but it _is_ plausible that if the sodas
         | had remained free, it would have taken a few more months for
         | the "elves" to notice that this was no longer the kind of place
         | they wanted to work. The "uproar" basically sent the message of
         | "this place is run by accountants now, not engineers", and that
         | was what sent the engineers to the exits.
        
         | wolverine876 wrote:
         | Hmmm ... anything is possible. You don't offer any evidence for
         | your hypothesis and by that standard, anything is possible. The
         | OP was there, at the company, saw what happened, and has
         | observed several other similar circumstances.
        
         | thayne wrote:
         | > The sodas were just the wake-up call.
         | 
         | It probably wasn't just the sodas, it was probably a
         | culmination of a lot of changes, and the sodas were the straw
         | that broke the camel's back.
        
         | ajuc wrote:
         | It's a combination of things - if company takes away benefits
         | and provides no new benefits - you as an engineer lose money.
         | Meanwhile in current market just changing the company means a
         | rise. Why settle for an effective salary cut when you can
         | trivially get a rise instead? The difference between no rise
         | and cut is huge mentally.
         | 
         | Additionally if the company saves money on such a small scale
         | it sends the signal things are BAD.
        
         | freetime2 wrote:
         | I could see myself being really upset by this change. It's not
         | just about the cost of the soda - it's also about convenience.
         | Now if I want to have a soda at work I need to remember to keep
         | change or small value bills in my wallet. And if one day I
         | forget then I need to leave the building in search of a treat,
         | or else just go without - in either case I'm annoyed.
         | 
         | And more than that it's about feeling valued and respected. It
         | can be really upsetting when something you've gotten used to is
         | taken from you. Especially when you know the cost to the
         | company is just a tiny fraction of the overall operating
         | budget, and unlikely to make any significant difference to the
         | bottom line.
         | 
         | Interestingly at my first job that I worked at, sodas weren't
         | free, and it never really bothered me. But if they had been
         | free, and one day stopped being free, that would annoy me. I
         | think there is an asymmetry between the satisfaction people get
         | when they use a perk, and they dissatisfaction they get if you
         | take it away.
        
           | HollywoodZero wrote:
           | The interesting thing is that in MANY of these situations,
           | you can guarantee that executives are getting free drinks,
           | lunches, etc. as part of the perks.
           | 
           | I've seen it happen. No soda, no food. But the executive
           | assistant will do a lunch run every day for executives. And
           | will pick up drinks too. Or there's usually a stocked fridge
           | for executives near their wings of the building.
        
       | givemeethekeys wrote:
       | You get what you pay for. Hire an accountant? They'll ask
       | questions, refer to the team etc. Hire a CFO? They've been hired
       | to make an impact.
       | 
       | Few companies are good at promoting from within.
        
       | CWuestefeld wrote:
       | I wonder how we got a cultural thing where coffee is usually
       | expected to be provided free, but other beverages fall into a
       | different class.
       | 
       | I assume that if it was provided from dispensers like at McD's,
       | it would be similar in expense to coffee.
        
         | gwbas1c wrote:
         | When I worked for Intel, the coffee was absolutely _not_ free.
         | The only freebies were filtered water and toilet paper.
         | 
         | It never bothered me that much, but when I joined a company
         | with freebies, it was like a breath of fresh air.
        
           | NtGuy25 wrote:
           | Recently joined a company with legit soda machines(the fancy
           | ones with exotic stuff like cream sodas), slim jims, ice
           | cream, cookies, cakes and which buys lunch for the engineers
           | every weekend. It's amazing. I came from a place where you
           | had to pay 2 $ for a soda!
           | 
           | It's definitely one of the things that you don't realize when
           | you don't have it, but when you do it's like heaven. It's
           | really helped me get more work done since I can snack away
           | and it encourages me to get up for walks around the office.
        
           | rootusrootus wrote:
           | Years ago (like, 1993 or so), our college CS class visited
           | Jones Farm. One of the stops on the tour was a break room.
           | All of the drinks were free at the time, whether it was
           | coffee or coca cola. One of the engineers there remarked that
           | at Microsoft only the _caffeinated_ drinks were free. LOL. I
           | just about believe it.
        
           | ajross wrote:
           | Coffee is free at Intel. Or was, back when people worked in
           | offices.
        
             | selimthegrim wrote:
             | Not if you're a green badge it isn't.
        
               | ajross wrote:
               | Contractors don't get perks like that anywhere, thanks to
               | Vizcaino v. Microsoft. Withholding resources afforded to
               | permanent employees is weird and counterintuitive, but
               | it's how employers demonstrate compliance.
        
         | gowld wrote:
         | Coffee is extremely popular, and too easy and cheap to meter
         | when produced on site. Soda costs more and more hassle to buy
         | (in cans/bottles), is extra work to make cheaply (install and
         | maintain a tap), and mostly is grossly unhealthy and most
         | people (outside of coder stereotype) don't want it at work.
         | 
         | SodaStream-style device fits the coffee mold, but it's less
         | popular and not traditional.
        
           | CWuestefeld wrote:
           | I don't have numbers, but my expectation is that cost is of
           | the same order of magnitude. I don't think coffee is all that
           | cheap. I'm thinking of all the problems I've seen with the
           | plumbing leaking, the machine being left on and burning
           | requiring extensive cleaning, broken pots, and so forth, all
           | on top of the material expense. Soda doesn't have to deal
           | with the heat, but it does have pressure, so that probably
           | kinda balances out.
        
         | rhino369 wrote:
         | Coffee is a productivity increaser.
        
           | erwinkle wrote:
           | as is caffeinated soda
        
             | rootusrootus wrote:
             | I once heard that Microsoft subsidized caffeinated soda,
             | but you had to pay for the caffeine-free options. That may
             | just be an old wives' tale.
        
             | philwelch wrote:
             | Not as much as you'd think; for me, at least, the sugar
             | crash counteracts the caffeine.
        
               | gnulinux wrote:
               | There are a lot of caffinated seltzers now that don't
               | have any sugar but do have flavoring and CO2
        
           | gwbas1c wrote:
           | And it turns some people into jerks. (It has similar effects
           | to cocaine.)
        
             | SketchySeaBeast wrote:
             | While the effects may be on the same spectrum, I don't know
             | how comparable the two actually are. Maybe I should start
             | my day with a line instead?
        
         | acchow wrote:
         | You want to feed your employee healthy foods because healthy
         | bodies are more productive.
         | 
         | Also health insurance costs.
        
         | samatman wrote:
         | Two thirds of Americans (European numbers are similar, higher
         | if anything) drink coffee every day, which is, not to put too
         | fine a point on it, an addiction. I'm one of them for sure.
         | 
         | It's easier to just give people their fix, and there's a long
         | history of this, paid coffee breaks were an early concession
         | unions demanded during industrialization.
        
         | lol_what wrote:
         | people really don't understand what a blessing it is to not
         | have sodas be free. that kind of culture with an expectation of
         | it (and 'snacks') being free will create a lot of fatness in
         | the industry
        
       | cbsmith wrote:
       | I don't see it as unintended consequences of Soda Not Being Free.
       | It's an attribution mistake, not entirely different from how SEM
       | tends to get attribution for conversions it didn't really earn.
       | 
       | The Elves leaving is unintended consequences of the company
       | getting larger, and not finding a way to manage it in a way that
       | retained top talent. The soda exposed it, but it was going to get
       | exposed one way or another.
        
         | the_af wrote:
         | But that's exactly what the article states. It doesn't say they
         | left because of the soda; it says it was a wake up call that
         | made them realize it was no longer the company they liked and
         | which they helped build.
        
         | marcosdumay wrote:
         | It's not attribution mistake, it's a proxy variable. Nobody
         | ever though people left because of the soda.
        
           | dsr_ wrote:
           | Or, if you prefer, it's one piece of evidence that is easy to
           | measure.
        
             | cbsmith wrote:
             | Right... and so consequently what is gained by hiding the
             | evidence?
        
         | rodgerd wrote:
         | It's a general problem of being, as the Brits put it, "penny
         | wise, pound foolish".
         | 
         | Some bod in accounts can show an obvious change in the bottom
         | line by cutting a cheap perk. The problems in retention,
         | hiring, delivery are all someone else's problem and much harder
         | to quantify.
        
           | cbsmith wrote:
           | See, I think that's not getting it. Cutting the drinks isn't
           | what cost them the people. It's just what caused the loss of
           | people to be _evident_. Particularly since the organization
           | _had_ changed, it would have been unwise NOT to bring the
           | perk policy in line with the rest of it.
        
       | gwbas1c wrote:
       | I remembered once working at a large corporation with deep
       | pockets, and lots of people with (cough) questionable value to
       | the company.
       | 
       | As soon as we hit a recession there were cries to cut back on the
       | free food and sodas.
       | 
       | It sent a very wrong message to me, as many of the people I
       | interacted with on a daily basis were _horrible_ in their jobs.
       | 
       | It seemed that pausing hiring recs and a few well-targeted
       | severance packages would have saved more money than cutting back
       | a few freebies.
        
         | gowld wrote:
         | Well-targeting severance is hard to do.
        
         | mwigdahl wrote:
         | Similar story -- back when I worked at a physical engineering
         | company, one of their cost-cutting methods when things got
         | tight was to cut down the amount of time they ran the A/C
         | during the day. This applied to all floors of the building
         | except the one where the partners' offices were.
         | 
         | This led to a number of people routinely using their breaks to
         | take the elevator up to the "partners' floor" and cooling off /
         | airing their sweaty BO for the bosses' benefit.
        
           | gav wrote:
           | I think that these cost-cutting schemes never really work
           | out, they either cause the best people to leave or trade
           | money for work-done.
           | 
           | I worked for a bank where they had terrible coffee on our
           | floor. We used to joke about how bad it was until one day
           | these fancy automatic machines showed up that ground the
           | coffee for each cup, they even had milk! Times were good,
           | we'd walk over to somebody's desk--"I'm running a build, do
           | you want to grab a coffee?"--and we'd chat in the break room
           | about how great these new machines were.
           | 
           | Then we had a couple of quarters in a row with bad numbers,
           | cutbacks were being made, if we do this then we don't have to
           | have layoffs, etc. We lost our fancy machines.
           | 
           | The impact to morale was huge, we only had had them for a
           | couple of months, taking them away once we got used to them
           | was a huge deal. But more importantly, most people on our
           | floor were now used to drinking partly-decent coffee. A
           | couple times a day we'd go to the nearest coffee shop and buy
           | our own, which involved walking to the elevator, waiting,
           | going 23 floors to the lobby, badging out, walking across the
           | street, getting coffee, walking back, badging in, waiting for
           | the elevator, going up 23 floors, then finally back to your
           | desk. This had to waste at least 20 minutes, more if the
           | elevators were busy.
        
             | greedo wrote:
             | People have a high level of loss aversion.
        
         | philwelch wrote:
         | The implication being that targeted layoffs are less damaging
         | to morale than getting rid of free soda?
        
           | gwbas1c wrote:
           | When someone impacts morale, forcing a team to work with that
           | person is _highly damaging._
           | 
           | The managers all knew who these people were, so they could
           | have given them severance without calling it a layoff. I'm
           | mostly referring to a situation where everyone else would
           | have been relieved instead of spooked.
        
             | t-3 wrote:
             | Severance may come with it's own difficulties: state
             | unemployment payments, contractual obligations,
             | bureaucratic overhead, manager pushback.
             | 
             | I think leadership-oriented types tend to esteem headcount
             | the way nerds esteem CPU core count and frequency - up is
             | fine, down is not acceptable unless you're absolutely
             | forced. Neither is a really rational position, but they
             | overall tend not to be too detrimental so there's no
             | widespread change.
        
           | the_af wrote:
           | Targeted layoffs of people everyone complains about because
           | they are bad at their jobs and also terrible as team mates
           | sends a way better signal than keeping them and removing
           | perks from employees who do work.
        
       | Animats wrote:
       | It's worth watching the little stuff. When you see a retail
       | establishment with a partly burned out sign, and it doesn't get
       | fixed quickly, you know they're in trouble.
        
         | moate wrote:
         | I'll mention that to the bodega owner in town who's been in
         | business longer than I've lived here. I'm sure it will get a
         | chuckle.
        
           | justin66 wrote:
           | It's the deviation from the norm that's a potential warning
           | sign. You'd know the cool bodega might be in trouble, with a
           | lame new owner or something, if the sign got fixed or a bunch
           | of painting was done...
        
         | SyzygistSix wrote:
         | There are plenty of shitbox stores making tons of money though.
        
           | rootusrootus wrote:
           | Maybe it pays to have an image of not wasting money looking
           | pretty.
        
         | sammalloy wrote:
         | > When you see a retail establishment with a partly burned out
         | sign, and it doesn't get fixed quickly, you know they're in
         | trouble.
         | 
         | As others have already mentioned, this only holds true for a
         | specific kind of store and market. Many businesses don't care
         | to fix their sign. The Safeway near me had a broken sign for
         | almost two years.
        
           | Animats wrote:
           | Uh oh.
           | 
           | I saw Sears stores start to have broken signs about 3 years
           | before they went bust.
        
             | vkou wrote:
             | That's an interesting data point, but I don't think I'm
             | going to make a lot of money by shorting Safeway's proxies.
        
             | thehappypm wrote:
             | It's classic elastic vs inelastic demand. Grocery stores
             | don't need to worry so much about their brand image. Not
             | zero, but less than a store selling luxuries.
        
       | lordnacho wrote:
       | My reading of it is that it isn't the soda, it's having the bean
       | counter become an authority that can make decisions.
       | 
       | If you work day and night to get a product out, and then a CFO
       | slides in above everyone on the team, and on top of that they're
       | a cheapskate, that sends a signal.
        
         | klelatti wrote:
         | Indeed, but also it's a sign that senior management
         | collectively - inc the CEO - now see trivial cost cutting as a
         | worthwhile use of their focus and a good way to generate value
         | for shareholders.
         | 
         | Not a good sign for any company.
        
         | the_af wrote:
         | Well, the article spells out that it wasn't really about the
         | sodas:
         | 
         | > _The engineers focused on building product never noticed when
         | the company had grown into something different than what they
         | first joined._
         | 
         | > _The sodas were just the wake-up call._
        
           | a4isms wrote:
           | Having been through this transition multiple times, I agree
           | that it's not about the sodas or the CFO. Why do you think
           | they hire CFOs? To do things like this. To impose cost
           | discipline. To be the person everyone is mad at instead of
           | wondering why the company hired a CFO in the first place.
           | 
           | Same with "HR types ruining the culture" and "middle managers
           | running amok." Those people all get hired to transform the
           | company, because leadership has decided some thing very
           | fundamental: _What got us here, won't get us there._
           | 
           | PG once wrote that startups should frame their reason for
           | existence as "trying to answer a question."
           | 
           | Famous questions of the past: Will microcomputers sell? Will
           | people pay a premium for bit-mapped graphics and a mouse? Can
           | advertising sustain a search engine? Will the world use a
           | social media web site built for college students?
           | 
           | But at some point, you know the answer is "yes," you know
           | that a sustainable business is possible, and you are no
           | longer a startup. The difference between "answering a
           | question" and "running a sustainable business"is vast.
           | 
           | Maybe killing free soda is not the best way to start the
           | transition, but one way or another, all the people who want
           | to explore the unknown, test their visions, and answer
           | questions are going to leave, to be replaced by people who
           | enjoy playing the world's most cut-throat, high-stakes engine
           | game, business.
           | 
           | If you truly enjoy what a startup is and how it works, you
           | need to pack your parachute long before the free sodas go
           | away. You need to pack your parachute when everyone realizes
           | that you are no longer wondering if your company can become a
           | real business, the only questions are how, when, and who.
           | 
           | On the other hand, maybe you want to build a real business
           | once you know it can be done. Gates did. Jobs did. Long
           | before them, Ken Olsen did at DEC. If so, accept that the
           | sodas will eventually go and the controls will be imposed.
        
             | the_af wrote:
             | I don't disagree. I wonder if it's possible to work at a
             | stable company (not a startup) that doesn't treat its
             | employees as an annoyance to be constrained and mistreated.
        
           | hinkley wrote:
           | There is a large cage here. The weathering suggests that it
           | may have been here for a long time.
           | 
           | There is a large sign next to the cage.
           | 
           | There is a stick on the ground.
           | 
           | > read sign
           | 
           | The sign says, DO NOT POKE THE BEAR
           | 
           | > get stick
           | 
           | You pick up the stick.
           | 
           | > poke bear with stick
           | 
           | Despite your better judgement, you poke the bear with the
           | stick. The bear rouses from its sleep.
           | 
           | > poke bear with stick
           | 
           | With a terrible roar, the bear turns on you. Reaching through
           | the bars, it tears your arm off.
           | 
           | There is an arm laying here, holding a stick.
        
             | Fnoord wrote:
             | Although Luke did not lose his arm in wampa cave on Hoth
             | (he lost it at Cloud City) he could've gotten a new one at
             | the Redemption which was stationed at Hoth at that time.
             | 
             | Ontopic: I wouldn't give a shit about soda or free soda,
             | but coffee and tea is always free here for employees in my
             | country (quality may differ!). I simply would not work for
             | a company which wouldn't feat this. So the social norm
             | defines it and keeps its own behavior status quo. That's
             | also a reason why its difficult to get rid of
             | smoking/smokers tobacco in society
        
         | metacritic12 wrote:
         | Right, I think that's exactly the point of the article. In no
         | world should free sodas make a substantial difference, but it's
         | rather the signal it sends.
         | 
         | Much like a single cockroach at the entrance of a fancy hotel
         | isn't by itself a problem if it's limited to exactly that
         | cockroach...
        
           | thedailymail wrote:
           | As famed beancounter Warren Buffett says, "There's never only
           | one cockroach."
        
         | stevievee wrote:
         | Unfortunately, this anecdote re-enforces a stereotype. The CFO
         | in this story is bad and so is senior leadership and the board
         | for allowing the new CFO to run amok. Not all new CFOs are bad
         | and not all CFOs with leadership will destroy a company.
        
           | airstrike wrote:
           | You're fighting an uphill battle on HN...
        
             | stevievee wrote:
             | "Engineer good, MBA bad" ...there I fixed it.
        
         | EnKopVand wrote:
         | It's sort of the natural evolution of companies as they grow in
         | size. When they are small, things are just done, but as they
         | grow and as they bring in more people, the cost of those
         | resources also grow. The free sodas are a fun example (and here
         | outlined as the wake-up call) but where it really starts is
         | when someone higher up notices the cost of a department that
         | has grown from 5 to 20 people, or something similarly eye
         | raising, and then bring in the E&Y type consultants to help
         | transition into a scalable business. Which simply involves
         | reporting, cost-trimming and looking into efficiency. The sodas
         | are where the rebellion break out, but the seed are sown long
         | before that as the "bean counters" and "process people" slowly
         | begin making business intelligence part of everything because
         | it lets everyone report on everything.
         | 
         | You can't even say that it doesn't work, because it's how every
         | major company operates. On the flip-side, it's not like Coca
         | Cola has really invented anything of worth for like a 100
         | years. So while bean counters are financially good for
         | investors, they are probably pretty terrible at running our
         | society, because it's the engineers that actually build things
         | and the founders who come up with the saleable ideas.
         | 
         | Anyway, if my career has taught me anything it's to do your
         | thing. Being part of the transition from startup to enterprise
         | can be a lot of fun as well, so long as you know that you can't
         | really fight the MBA types and win.
        
           | bryanrasmussen wrote:
           | >someone higher up notices the cost of a department that has
           | grown from 5 to 20 people, or something similarly eye raising
           | 
           | I don't think the soda cost per person would be different for
           | 20 people though, so it seems a weird thing to raise the eyes
           | about.
        
             | ajross wrote:
             | Of course it's not any different. But the focus has
             | changed. When you're an early stage startup, a 0.7%
             | overhead for junk food (made up number, but that's probably
             | not too far off) is a fundamentally negligible thing. It's
             | like 3 days of runway, if that.
             | 
             | Basically: who cares, the company will live or die based on
             | products and funding rounds, and you're just trying to make
             | the company not die at this stage.
             | 
             | But to an established company trying to make money, 0.7% of
             | revenue is a huge (seriously, huge) line item in a CFO's
             | accomplishment list. Consistent profitability is built on a
             | long, grueling ladder of tiny incremental bean-countings.
             | And to an established company trying to make money, that's
             | where the focus turns. And those are the employees who get
             | rewarded.
             | 
             | It's not that either side is "right", it's that they have
             | opposing priorities and that growing companies need to
             | manage that tension and not just give in to the temptation
             | to lock the soda machine.
        
               | bryanrasmussen wrote:
               | >But to an established company trying to make money, 0.7%
               | of revenue is a huge (seriously, huge) line item in a
               | CFO's accomplishment list.
               | 
               | Ok, that seems pretty weird right there, 0.7% overhead of
               | an early stage startup is now 0.7% of revenue even though
               | we agree it is just increasing as the same rate of hires?
               | 
               | In other words while each new programmer hired will drink
               | the same amount of soda as the others it should be
               | evident that the percentage of revenue would be
               | decreasing, otherwise they have some serious problems
               | that getting rid of free soda will not fix.
        
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