The Future of Remote Work: It's Text-Based

The Pioneering Remote Work Model of Automattic

Discussing Automattic necessitates a focus on its approach to remote work. The organization stands as a leading example and innovator in this domain.

Established as a fully remote company in 2005, Automattic, with its 1,700 employees, has demonstrated the viability of a remote workplace culture on a large scale.

The Evolution of "Remote" Work

However, the definition of “remote” has significantly shifted in recent years. The onset of COVID-19 prompted numerous companies, previously resistant to remote arrangements, to transition millions of workers online.

Zoom experienced a thirtyfold increase in video conferencing minutes as businesses urgently sought to recreate the physical office environment within virtual meeting spaces.

Early research indicates that productivity levels often decreased following these rapid transitions.

Beyond "Remote": Embracing "Distributed" and "Asynchronous"

Consequently, Automattic deliberately avoids the term “remote.” Its leadership prefers descriptors such as “distributed” and “asynchronous.”

The company philosophy rejects the notion of simply replicating an office online; in fact, Automattic does not mandate that its employees even be familiar with each other’s appearances.

A Holistic Approach to Distributed Teams

Fundamentally, Automattic’s operational model transcends the concept of remote work. It centers on the company’s organizational structure.

This encompasses its management strategies, communication protocols, and even its recruitment procedures.

The focus is on building a system designed for a distributed workforce, rather than adapting an existing structure to accommodate remote employees.

The Shift Away From Constant Meetings

An insight into the unique operational style of Automattic was revealed during the process of arranging interviews for this piece. Typically, coordinating schedules requires navigating a dense calendar to locate limited available time slots.

Executives often present only a handful of openings throughout the week, with the remainder of their time already committed.

However, when Monica Ohara, the chief marketing officer of WordPress.com, shared her Calendly link, a remarkably open schedule was displayed.

This initially suggested a lighter workload for Ohara, a perception she addressed with amusement.

“This represents a fundamental flaw in traditional office environments,” she explained. “A heavily booked meeting calendar was often seen as a symbol of importance, implying a high level of demand for one’s time.”

“That mindset doesn’t exist within our company culture.”

At Automattic, the majority of interactions occur through written communication, fostering an asynchronous environment.

This allows for responses and contributions to be made at any point throughout the workday.

The Value of Asynchronous Communication

The emphasis on written, rather than real-time, communication is a cornerstone of Automattic’s distributed work model.

This approach allows employees to manage their time more effectively and focus on deep work without constant interruptions.

It also accommodates the diverse time zones in which Automattic’s team members are located.

A CMS Solution for a CMS Provider

P2, a modified version of WordPress, serves as Automattic’s primary platform for internal communication and collaboration, replacing traditional meetings and office interactions. This system was introduced in August 2020, coinciding with the peak of the global pandemic, and is now offered as a paid service.

A P2 post functions similarly to a standard blog entry, featuring threaded discussions, the ability to track replies, and a 'Like' feature. Employees utilize P2 to engage in discussions with colleagues across different time zones – for example, a developer in the US can share updates with a designer in South Africa who is currently offline.

Relevant posts are easily discoverable through search functionality and integrated discovery tools within the platform, ensuring information accessibility for all potentially interested parties.

Documentation is prioritized, extending to information that might typically be kept confidential in other organizations.

Mark Davies, Automattic’s CFO, highlighted the emphasis on transparency. He explained that founder and CEO Matt Mullenweg, and himself, routinely document their ongoing work. Davies, formerly with Vivint, a more conventionally structured company, was surprised by the level of openness. “During my initial board meeting, I proposed commencing work, but was informed that the board deck and subsequent decisions needed to be posted first. I found this quite unexpected!”

While P2 is central to Automattic’s communication strategy, the company also employs tools like Slack and Jira. However, a key characteristic shared by all these tools is their support for asynchronous communication. Given a globally distributed workforce, immediate responses are not always expected.

“Despite the potential for slower progress, things actually move quite rapidly here,” stated Ohara. “There’s often an assumption that in-person presence is essential, leading people to hoard topics for one-on-one meetings or scheduled conferences when an email would suffice.”

“At Automattic, I frequently find myself catching up on developments in Europe upon waking, rather than waiting weeks for a conference room booking.”

This comprehensive documentation and selective information access ultimately conserves time. Davies noted, “I dedicate significantly more time to communication and considerably less to listening and participating in reviews.”

Although it may require a greater initial time investment, Davies believes this distributed model has facilitated faster company growth. During his two years as CFO, Automattic expanded from approximately 1,000 to over 1,700 employees.

“Our growth rate is accelerating with fewer complications because of our distributed structure. We avoid the need to establish physical offices in regions like Asia or Europe, as our workforce is already present there. As we continue to expand, the business naturally integrates these existing teams,” he concluded.

Employing Individuals Without In-Person Meetings

As Silicon Valley continues to grapple with diversity challenges, often falling short of its goals, many have questioned the role of “culture fit” in the hiring process. While companies express a desire for diverse teams, the ambiguous concept of cultural alignment is frequently used to disqualify candidates who genuinely represent diversity.

Traditional in-person interviews, rather than fostering stronger connections, can inadvertently highlight differences and ultimately hinder diversity within the recruitment pipeline.

Remote interviews generally mirror this format, simply substituting a physical table with a virtual meeting space via platforms like Zoom.

Automattic utilizes video interviews, but also provides alternative options for candidates who prefer them. A key offering is a completely written interview process, eliminating the need for candidates to present themselves via video or audio.

“The conventional approach often prioritizes face-to-face interaction and video conferencing. However, a text-based format removes potential biases and allows for a focused evaluation of the content of responses,” explains Ohara. “It also assesses a communication style crucial for success in a distributed team environment.”

Automattic frequently emphasizes its global recruitment strategy, boasting a workforce spanning 89 countries. Ohara highlights that expanding the search geographically facilitates the achievement of genuine diversity.

“The competition for diverse talent is particularly intense within Silicon Valley, benefiting those already positioned for opportunity. However, this overlooks a vast pool of individuals who may lack such advantages due to their place of birth or current location. My own experience, having been born in the Philippines, underscores the impact of circumstance,” she stated.

A fundamental requirement for all employees is proficiency in English, sufficient for clear communication of ideas, though absolute perfection is not mandated.

However, it’s acknowledged that some individuals may not excel in written communication, representing a limitation within Automattic’s otherwise inclusive hiring approach. Furthermore, Paul Maiorana, CEO of Automattic’s WooCommerce, points out that a comfort level with public visibility is also essential.

“Here, transparency is paramount. I might share an initial concept on P2, making it accessible to all 1,500 employees, who can then provide feedback, even if critical,” he says. “Individuals with a strong ego or sensitivity to public scrutiny might find this environment challenging.”

A Shift in Leadership Structure at Automattic

Beginning around 2018, Automattic initiated a restructuring process, dividing its various business areas into independent entities, each managed by its own leadership team. This includes WordPress.com, WordPress VIP, Jetpack, WooCommerce, and several other divisions now operating as distinct units under the Automattic parent company.

Organizational Parallels and Core Differences

The resulting organizational structure bears resemblance to that of larger holding companies such as Alphabet and Berkshire Hathaway. However, Automattic’s businesses maintain a fundamental commonality absent in those other conglomerates.

According to Nick Gernert, CEO of WordPress VIP, while a high degree of independence is fostered, significant collaboration and shared product foundations exist across these businesses. For example, his unit actively manages enterprise-level accounts for WooCommerce.

Matt Mullenweg’s Visionary Role

This structural change also complements the leadership style of Matt Mullenweg, who focuses on long-term strategic planning for both Automattic and the open-source WordPress project.

Gernert explains that Mullenweg concentrates on establishing long-range goals – envisioning the future 10, 20, or even 30 years ahead – and then relies on leaders like himself to translate those visions into actionable business strategies.

Accelerated Growth Through Decentralization

The creation of separate business units has demonstrably contributed to the company’s accelerated growth trajectory.

Toni Schneider, former CEO of Automattic and current board member, highlights that allowing units like VIP to operate as independent businesses, with their own scaling and hiring processes, proved to be a significant catalyst. VIP caters to a few hundred high-value enterprise clients, while WordPress itself serves millions – representing fundamentally different business models built upon the same core software.

A Culture of Autonomy and Intrinsic Motivation

Generally, Automattic has consistently avoided imposing rigid expectations or exerting strict control over its employees. The division into multiple business units is simply another expression of this flexible approach.

Maiorana emphasizes that the company’s culture is driven by a desire to address customer needs and contribute to the overall success of the platform. The primary motivation isn’t solely focused on maximizing business size, but rather on empowering users and fostering progress.

This intrinsic motivation and dedication to customer success are key elements of Automattic’s operational philosophy, though they may not be immediately apparent to external observers.

Transforming Global Publishing Through Innovative Practices

Recognizing the accelerated shift to online operations spurred by the pandemic, Mullenweg proposed a novel framework last year: the five stages of autonomy. This model, structured like Maslow’s hierarchy of needs, indicates that progressing to higher levels necessitates implementing the practices previously discussed, alongside enhancements to remote work environments.

Mullenweg articulated this concept, noting that many organizations currently operate at level two. This involves simply replicating the office experience online, without leveraging the potential advantages inherent in remote work.

For these companies, a return to traditional office settings might appear more logical. However, recent studies reveal a significant preference among U.S. employees for hybrid work models, incorporating some degree of remote flexibility.

Approximately one-third of employees have indicated they would consider seeking alternative employment if mandated to return to the office full-time. Consequently, businesses aiming to attract and retain top talent may be compelled to adopt strategies similar to Automattic’s.

“We realized that while WordPress was a significant achievement, our development of a distributed work model could ultimately be our most impactful contribution globally,” Schneider explains.

Automattic’s consistent challenge to established norms is further exemplified by its approach to recruitment and work structures. This demonstrates a remarkable ability to anticipate future trends, often by a considerable margin.

WordPress remains the cornerstone of the company’s achievements. Continued advancements in areas like e-commerce and social networking could position it as a leading platform for innovation in the coming years.

Success at Automattic wasn’t achieved effortlessly; it’s the deliberate, hands-on approach that has established the company as a noteworthy entity.