• Unit Economics is a thing

  • Aug 16 2024
  • Length: 50 mins
  • Podcast

Unit Economics is a thing

  • Summary

  • Morgan and Eddie explore the often-taboo topic of money in engineering organizations by tackling listener questions about explaining layoffs and budget cuts to a team. They break down how SaaS businesses operate, the factors influencing engineering budgets, and practical strategies for managing finances as an engineering leader.

    • (00:00) - Introduction and Listener's Dilemma
    • (01:13) - Understanding Corporate Finance
    • (01:48) - Challenges of Discussing Money
    • (02:50) - SaaS Finance 101
    • (04:36) - Financial Decision Making in Tech
    • (08:59) - Engineering Budget Scrutiny
    • (17:39) - Overhiring and Layoffs in Tech
    • (21:07) - Strategies for Managing Budget Cuts
    • (25:42) - Alignment of Values in Leadership
    • (27:47) - Defensible Organizational Design
    • (31:56) - Investment Allocation Strategies
    • (33:28) - Build vs. Buy Decisions
    • (35:34) - Importance of Fundamentals in Engineering
    • (39:31) - Cost Consciousness and Budget Management
    • (43:52) - Communicating Budget Changes to the Team
    • (47:52) - Final Thoughts and Feedback
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