the future of television is quite literally in your hands as ipads and other mobile devices take the place of traditional tv watching. plus, solving the age issue in silicon valley. and stanford business guru and best-selling author, bob sutton. with reporters colleen taylor of tech crunch and martin giles this week on "press here." >> good morning, everyone, i'm scott mcgrew. i want to start by taking you inside the offices of heresay. a company that went from two founder and hundreds of employees quickly. scaling up that fast can be incredibly challenging. bob sutton has lots of advice for heresay and other companies

trying to go big. he's a key part of the success of many silicon valley startups. he's a approviesoris at stanford school of business. his book is "scaling up excellence: getting to more without settling for less." this is, by my count, his sixth book. joined by martin jonathan elias of "the economist" and colleen taylor of tech crunch. so this idea of scaling up -- i saw one founder -- i think they use this all the time, go big or stay home. go big or go home. it's more complicated than that. thing get weird when you get big. >> they do get weird. and it's interesting you mention heresay and the ceo. we just interviewed her recently. and she's kind of got that attitude that's the best founders do -- it's time to hit the gas, and there's times to hit the brake. it's the old thing, if you is a really fast car, it's good to have really good brakes. one of the things from talking

to claire, they do at heresay is they're clear about hiring people and kind of brainwash them and weeding them out so they're all on the same mindset. they have both values and anti-values with select people. >> i want to ask more about values and mindset. i've never heard a founder say "hit the brake" in my life ever. >> but so if you look at facebook, if you look at google, and also claire is the same thing -- claire and her co-founder still interview every new candidate and take all the ones out to lunch. that only scales so far. when you do that, you're slowing down. google, by the way, if you talk to folks, we interviewed larry page in 2002. more recently, sean on, brown, when was the coo -- sean o'brown, when he was the coo for years. they were slow -- they want to hire people who would scale with the company. people might not talk about the

company, but they it especially in the best companies. >> it sounds like culture is very important to having a successful company as it scales. what do you say to the recent criticism of the tech industry that, you know, this kind of focus on culture and everyone being on the same page leads to self-selecting, not diverse group of people at these tech companies? >> yeah. to me, that's a risk. there's a famous sociologist who called this home ohsocial reproduction, that your favorite person is just like yourself. and yes, that's certainly an explanation it why there's so little diversity. but -- that's also one reason why in writing our book and my colleague and i just finished the free online course, we had a founder, actually coo named tony coals, african-american, who -- kohls, african-american, who grew onyx. claire, what we mentioned. we tried to get people diverse, a founder of a company called pulse that was sold for $90 million. yes, there's not enough diversity in silicon valley and

too much home ohsocial reproduction. but -- homosocial reproduction. but another of our stars and we focus on in scaling is the president of survey monkey and also wrote "evite in her dorm room" at stanford. there's diversity, but not enough. >> there is tension. i see what you're saying. let's get all on the same page and focus on the same goal, but let's also be diverse and have diverse ideas. there's tension between the two. >> among all these people i mentioned, i think this there is incredible similarities. you mentioned growth, growth, growth, growth. so there's variation in the group i described, they all really want to grow their company and kick their competitors' behinds. >> you picked silicon valley-type companies. i wonder -- i looked through the list. i didn't see the ges and older guard, if you like.

you have a few farms. one point you made i found something. you said you can't have teams bigger than three our four. after that, it sort of gets -- >> six or eight. >> six or eight. after that it gets dysfunctional. in most companies, you got to work across large and diverse sort of projects. you are inevitably going to have broader sort of teams. and i thought all of the technology we've got today is supposed to make all this collaboration symmetry. why doesn't it work? >> whether wlyou're doing it on line or in person, it doesn't matter. essentially once you get over 10 or 1 people, you spend -- 11 people, you spend a disproportionate amount of time on coordination. think of going to dinner with ten people, the interpersonal relations fall apart. there's lots of big companies, take -- well, the navy s.e.a.l. in mckenzie are on the back of sort of four-person teams. if you look at agile, across all industries, five-person teams. there's all sort of evidence -- you look at boards of directors.

people say there's 12 people on boards of director. i ask one question -- how many people on your compensation committee? how many people on your strategy committee? never more than four or five. >> right. >> the average restaurant reservation is four people. there's something about -- there's four of us. perfect. there's something about that size of human group. once you it get to 20, it turns to garbage. >> i worry about this, and i said it several times. we had the ceo of virgin airline on a number of times. i fly virgin whenever i can. i love that airline. that said, they want to get big, and they're just going to be another airline. there's just -- it's impossible to keep the culture of cool and small and quick to react. isn't it? you're saying no, that you can get big and still have that kind of -- >> first of all, to your point, it's really hard. i mean, the number of organizations that have actually done it -- without losing their mojo, it's very difficult. it's especially different, difficult in the airline industry. it's a commodity, and it's also

you're sort of on every day. nonetheless, there are some airlines that are still better than others. >> i suppose i should throw in virgin america. virgin atlantic, i think i've flown once. >> one of the organizations we've studied, it's an airline, held together pretty well is jetblue airlines. and some of us will remember in 2007 they had a horrible fiasco where they had a bunch of planes -- but one of the things they figured out, a scaling issue, when they got up to 100 planes, having heroic actions couldn't save them when something went wrong. they to change their mindset from hero mindset to you understanding how you fit into the larger system. i think this takes away some of the individual personality is when you're growing your organization, you've got to constantly think what got me here that isn't going to get plea to the next stage. >> yes. >> you get stars appear -- you have a star system, and everyone focuses on the people doing the managing. but you forget all of the people that helped get threw underneath. but how -- get you there

undernea underneath. but how do you focus on them not getting lost? what steps do you take? >> someone how you define a star. this is a problem microsoft is going through now, by the way. they have always defined stars as people who stomp on people on the way to the top. but if you define stars, and i think google does this pretty well, even netflix which has a real tough culture, they still define stars as people who help people succeed on the way to the top as opposed to stomping on them. >> what about apple? >> well, apple has historically been very, very competitive in terms of -- of staffing. apple's changing. it's hard to know what apple is now. >> have found there's a certain employee count that is notoriously difficult to push past? is it when companies go from 50 to 100 staff or from 200 to 500? what is the most difficult to navigate area? >> it's funny because i would pick two numbers and they're weird -- maybe three. someone around 11. what happens is in 11, it sounds -- there's one company called

pulse we studied. when we talked to the founders, all of a sudden they couldn't operate in one group and had to break into subgroups and is a process. then maybe 20 or 30 where it no longer feels like our company. feels like you're bringing in employees. then there's this famous number that malcolm gradwell knows, 150. it's hard to know the names of more than 150 employees. so those seem to be some of the key break points for startups. >> i have a couple of seconds. let me ask you, i'm a ceo, saying, yes, that's where we are, we're at that inflection point. what is the immediate step that i need to take? >> the immediate step that you need to take in the -- the thing we always say is to keep thinking it growth as a problem of addition and subtraction. so to reduce the cognitive load and crazy not for everybody in the -- craziness for everybody in the organization, what's the junk that got me here? the rituals, procedures that we've got to get rid of, and 150, a great one, is some

organizations i follow try to have an all-company meeting with 150 people every monday morning. it was -- one example, great as 20, great as 60. then the ceo walks in -- i've seen this -- they say, who the heck are all these people? that's when it's time. >> bob sutton, always a welcome guest. >> thank you. >> thank you for being here. next, getting three generations of workers to row the corporate boat in the same direction.

welcome back to "press here." there's been talk lately about diversity in technology. you peek into the startup cybercloud as we did, and you may be struck how dwurs the company is not just in gender and ethnicity but age. millennial, gen-xors,

baby-boomers working toward a cause. the ceo and founder of ciphercloud. before that, founder of archsite which he sold to hewlett-packard for $1.5 million. so we talk about these things. they're all important, perhaps equally important. but the one that i was struck by was age. there are lots of people in their 40s or 50s who are complaining i can't get a job or i cannot communicate with millimil millenni millennials. as they come up, how are you managing the generations? >> yes, as a philosophy, we build a strong team, and we hire the people with strong talent, teamwork, and also the desire to contribute in our mission. >> but how -- as does google. how do you get them to work together? is there something in particular that -- that makes your team better than any other team? >> yes. when we hire people, we make sure that they believe in our mission. also we have core values like

innovation, customer relationship, commitment, and teamwork. so with the criteria and people on board, it's become easier for the people to work together. >> they already agree. >> they agree. >> yeah, i love the fact that you managed to find unique individuals somehow. but this most companies, the ones that i interview or talk to, there seems to be this real generational divide. the millennials who come in, they're often characterized as demanding, needy. the older crowd, my generation, sit back and if, well, i'll see what -- you're in a meeting. don't ask for feedback on the meeting. get on with it. how do you deal with -- none of that at all? you have a remarkable work force if you don't have needy millennials in there. >> yes. we are not seeing that. we -- >> wow. >> what we see is they bring their own startup. >> they bring their own startup?

>> their own -- >> very good. >> for example, if are you more experienced, you bring been there, done that. how to deal with problems better. on the other hand, the new generation, they come -- they grew up with technology. they are more familiar with technology. and they can connect better with our younger users and the customer base. >> how many people at ciphercloud? >> yeah, right now, 435 people. >> you've accelerated quickly. i'd be curious as to -- we had bob sutton on a minute ago, you were listening to the interview. what struck you there? i mean, what sort of advice can you give for people that are -- are coming up so quickly? and how fast did you agree? >> we were 130 people less that two years back. >> okay. >> so fast. >> yeah. >> okay. how would you -- how would you -- what sort of lessons have you learned, or what struck you? >> i think as long as you believe in the core value and the mission and really the company toward the common vision

and -- common vision and common mission, to -- right, we can get everyone to work together. and our, again, core values that we set out about our customer success and innovation. >> about the same experience at orchsite. they -- archd site. they had grown quickly. what was the total number roughly when you sold to h.p.? >> 1,000 people. >> the same quick growth. >> this is cloud security. i think in my mind that that's going to attract maybe an older employee base, people who have been in security technology for a long time. this isn't, you know, mobile gaming apps and startup or something. this isn't serious stuff. does that have to do with having to sever city of page in your work force? >> yeah -- city of ages in your work force? >> yeah, we have development in the workplace, we look for talent, teamwork, and the cloud computing is getting a lot of

attention. everybody wants to be in the cloud, the next big thing. and cloud is very hard. you want job security, as well. >> it's interesting you say that. i see people in hardware kind of businesses. i was with tony fidel some time ago at apple, they're building smart alarms for homes and things. they had a lot of relatively old people in there. they need that know-how. and you read about surgeons in silicon valley, plastic surgeons, operating on people to make them look younger because they're desperate. people like scott, they don't have to worry. they're youthful -- >> i can barely move. >> i was born looking 50. it's tougher for me. but do you have -- do you feel that, older people saying i'm not worried about my career in the value bike over 40 or 50? >> -- the valley because i'm over 40 or 50?

>> no. they can contribute significantly because they've been there, done that several times. they know how to deal with difficult situations and people. more experience can make you better employee sometimes. same time if are you a millenan you are more open -- millennial you are more open to learning new stuff. >> thank you for reasuring us that old guys have a place in the world. very subtly making fun of -- >> yeah. >> probably didn't know we were making fun of them. >> my children know. >> thank you for being with us this morning. next, the strange irony that more people are watching television than ever before, only not on television. the future of tv.

welcome back. my mom never watches me on television, which would make me sad except she watch me all the time on her ipad. fewer people are watching television in the most literal sense. using physical to have broadcast video. at the same time, we're watching more video than ever. a recent study by adobe found online view videoing is up 246% is up 246% year over year. whether it comes to tv everywhere, we are almost entirely -- when it comes to tv everywhere, we are almost entirely on apple devices. tracy has been writing about television for years manying some of her predictions have come true. and publishes interactive tv today. thank you for being with us. tell me something that would surprise me. i realize people are watching "sherlock" on their iphones

including myself. what data or behavior have you seen that surprised you? >> people are definitely watching more tv than ever before. what's happening is that it might not be the big screen in the living room, but it's on every screen you can imagine. the industry is bifurcating all over the place. i have the system, i look at it one-millimeter contact lenses will be a form of television. it's being worked on. >> that's interesting. >> one-inch oculus rift, of course, and virtual real sit coming back. i covered that the in the '90s, i've been surprise good. that we have television made by go pro and ion camera. you've had the ceo there. and then the ten foot, of course, the tablets and mobile phones. and the ten foot, connected tv. now we're working with screens, theaters, movie theaters are becoming interactive. television is not just about television, it's about filmmaking and television.

it's also about drones. drones are more than 100 feet -- >> drones? >> drones are becoming one of the most popular forms of new television. my husband is obsessed with watching tv -- >> making the -- >> yes. >> i thought you meant dreams like they -- >> people are really loving watching other people react to the drone. we saw the drone in the earthquake, that was great footage. but people are becoming more and more fascinated with that. >> you know, there's a thing like the contact lens that sounds crazy. then i remember when steve jobs walked out with the video ipod, this is been iphone, ipod. he had six months earlier said video on an ipod was digging in the wrong hole, i think he said. that said, i thought who is ever going to watch a movie in their hand. of course, the show is what i didn't -- >> i have a story for you. >> go for it. >> i was at an awards conference in london many years ago. dna d, for advertising.

thousands of people there. he was being honored -- flex table next to us. of course, his to visit him there. i said, hi, my name is -- this is during the ipod. being awarded for the ipod work. i said, "have you considered digital television? have you ever considered doing interactive tv at all?" he looked at me, took a pause, and said, "no!" and then he left. >> yet, we suspect they have. and in walter isaacson's biography -- where's the apple tv? >> apple tv is doing well, although there are numbers -- >> i don't mean the little apple tv. i mean the television from apple. >> you know, all of my sources, everybody says it's coming. they're great -- >> sir walter isaacson said it was steve jobs' last big push. >> the problem with a big connected tv is that it's a lot of glass. it's a lot of stuff they don't

necessarily control. i think -- i can't tell you that it's actually coming up with everybody that i talk to -- but everybody i talk to says it is. i know, for example, someone who worked closely in the cable industry now has a top engineering role in their tv department. i can't say who that is. and i -- i know he works on various stuff. >> what i think is most exciting about so much of what's happening now is that it's no longer just the big stars that go on television and maybe belong it a studio or something that can get an audience and can make content. twitch sold to amazon for about $1 billion. >> yes. >> and that's regular, people like you and i in their apartments, you know, selling -- >> people playing game. >> it's amazing. but you have a lot of youtube stars, as well, that are making big impacts. what i'm curious about is where the money goes here because you can have someone on twitch who's popular on twitch or someone on youtube who's the best make-up blogger on youtube. she's not making as much as, you know, people in the traditional

television are. she's not making nearly as much money as kelly ripa is on the morning show. even though kelly ripa might have as much of an audience. when are we going to see the dollars follow? >> they're already flying. it depends on where you look. so some of the youtube stars have been able to monetize. for example, mr. guitar man, joe pena, he's a huge youtube star. he and sarah wpena are married, she purchased big frame. they were purchased by awesomest tv and they were purchased by dreamworks. and you know, he's very innovative. he does all sorts of interactive things. we've had him at our conference before. they've made -- they're killing. and before they were purchased, i think they were making some money. but they're getting millions of views. and then you have somebody like jack conte, i think you also -- >> yeah, yes, from -- >> he's getting a lot of interest. just had rupert murdoch visit his office. there's a lot -- >> wait a minute, jack conte just had rupert murdoch visit his office? >> yes, he did.

yes. >> and jack didn't tell me anything. >> i guess not. >> jack conte is the -- is the --not the lead singer, lead musician in this band, pomp pomplemouse. his wife does the singing, and they posted it on youtube. it's phenomenal. he started patrion. he takes this idea that if you enjoy the video, you should pay -- >> all kinds of media. >> yeah. >> then the money is also flying to individual youtube stars being purchased by larger companies. of course -- michelle fann -- >> make-up girl. >> was just purchased by -- i forget. endomol beyond. >> do we have any idea -- >> i know the amount of money off the record. >> tell us. >> you want -- >> it was $4 million. >> wow. >> we should be -- [ all talking at once ]

>> we'll keep that -- >> i want to mention, i went to another conference recently. and it was like the beatles experience all over. if there's not money -- there is. maker studios is trying to bypass youtube. but the kids were screaming, thousands of kids. i don't know if you were there. it's la aep's like the beatles. >> a couple of seconds left. what do we in the big media need to do to be the next pomplemouse? >> what you're doing. >> sorry, comcast. >> how much have we heard from katie couric lately? i get your example -- >> you need to find a way to distribute across all platforms and have consistent interface and then monetize that through commerce. key, commerce. >> all right, tracy, thank you for being with us. >> a pleasure.

that's our show. my thanks to our guests. i'm scott mcgrew. thank you for making us part of your sunday morning. ♪

welcome to the u.s. bank nbc sports report. here's your host, jimmy roberts. >> and hi again, everyone. coming up, a look back at the 2014 youth olympic games. but first, a big opening saturday night of the college football season highlighted by defending national champion florida state and oklahoma state. in the third, florida state up three. jameis winston, the heisman trophy winner, showing you why. what a run here.