Zerodha CEO Nithin Kamath on hiring leaders: 'Almost everyone has grown within'

Zerodha's CEO Nithin Kamath sheds light on the company's leadership strategy, revealing that most leaders have risen from within the organisation rather than being hired from the outside. Speaking on X (formerly Twitter), Kamath stated, "Almost everyone in leadership today has grown from within the organisation," adding that Zerodha has "rarely hired anyone from outside for leadership roles."

He highlighted that the majority of leaders joined Zerodha early in their careers, often as their first or second job, and noted the company's emphasis on internal growth and experience over pedigree education.

Kamath provided an example of an employee who started as a support agent, progressed to head of account opening, and eventually became head of HR. He emphasized that this career path gives leaders a deep understanding of Zerodha's culture, which can be challenging to replicate through external hiring. "Having leaders who come from within the organisation is valuable because they understand the culture instinctively," he explained.

The CEO also noted that these internally developed leaders already comprehend the company's approach to decision-making and priorities. "You don't have to put in effort to explain how we think, what we value, or how we make decisions," Kamath stated. He further connected the leadership team's composition to the development of the company's culture over time, emphasizing that "people at the top end up shaping an organisation's culture to a large degree."

Having leaders who have immersed themselves in the culture for years, Kamath argued, makes managing the business more straightforward.