Good morning. Fortune editor-in-chief Alyson Shontell writing this morning. In 2005, at age 39, Aneel Bhusri cofounded Workday. The enterprise solutions company now ranks No. 430 on the Fortune 500 and generated about $9.6 billion in revenue last fiscal year. So when Bhusri handed the CEO role to his co-CEO, Carl Eschenbach, in early 2024 and stayed on as executive chair, he felt his role in securing Workday’s future was complete.
But these are not ordinary times. In the age of AI, Bhusri told me “all bets are off.” The top skill CEOs need today, he said, is the ability to innovate. Few leaders can do that better than founders. In February, at the nudging of his cofounder Dave Duffield, Bhusri reclaimed the CEO seat at Workday and began the company’s “refounding” chapter.
“Great companies are not built on one generation of technology. They pass the test of time,” Bhusri told me on the latest episode of the Fortune 500 Titans podcast. “I really wanted Workday to be one of those companies that was not just great in cloud but also in this next generation. I felt I had a role to play in getting us to be a leader in this new world.”
There are not many examples of founders returning to bring their companies to glory twice. But there is one legendary success story: Steve Jobs. Pushed out of Apple in 1985, Jobs returned in 1997 to a company in a death spiral. Apple was so close to bankruptcy that it took a $150 million investment from its archrival, Microsoft. During Jobs’s second act, Apple became one of the most innovative and successful product-led companies in the world and, of course, introduced the iPhone.
Bhusri studied the Steve Jobs return playbook extensively before his February restart. He says he drove his management team crazy by sending them Instagram clips of the Apple cofounder. His biggest takeaway came from an interview in which Jobs described his ambition to make Apple the biggest startup in the world. For Jobs, that meant restoring a culture of ownership, accountability, speed, and focus. He slashed Apple’s sprawling product line to the few that mattered most. Similarly, one of Bhusri’s first moves was to cut the number of AI agents Workday offered from 50 to 20, while also eliminating projects that were not core to his vision of the company’s future.
“Jobs wasn’t just a product genius. He was a management genius, too, in the way he organized Apple for success,” Bhusri said. “I’m trying to bring that same mentality of recreating a startup mindset with clear accountability.”
Bhusri has his work cut out for him. He doesn’t mince words about the massive impact he believes AI will have on jobs in the next five years; he’s already seeing AI capable of human-level work in HR, finance, and legal departments.
“I didn’t come back to run Workday better,” Bhusri said. “I came back to make sure that we are super innovative with the AI products, and that we do it responsibly. It’s an incredibly powerful technology, and we have to do it the right way. It’s a daunting but exciting task.”
For more on how Bhusri is tackling his return at Workday and navigating the AI agent era, check out the Fortune 500 Titans episode here, and a new profile of Bhusri written by Fortune’s Andrew Nusca here.
Contact CEO Daily via Diane Brady at diane.brady@fortune.com
Top leadership news
Nvidia CEO: Zero tolerance for AI cyber incidents
Nvidia CEO Jensen Huang told Fortune that society shouldn’t tolerate any cybersecurity incidents from AI. He called for stronger safeguards and said people who believe AI could end civilization should stop developing it.
Netflix cuts about 1,000 jobs as growth slows
Netflix is cutting roughly 1,000 jobs, mostly in product, technology, legal, and HR. The layoffs will test the company’s belief that smaller, highly skilled teams can outperform larger ones, though executives haven’t described these cuts that way.
Razer CEO says AI could make gaming a trillion-dollar industry
Razer CEO Min-Liang Tan told Fortune that AI could grow gaming into a trillion-dollar industry. He says AI will let anyone create games and predicts it will make Razer one of the largest AI hardware companies.
The markets
S&P 500 futures are down 0.2%. The last session closed down 1.1%. Japan’s Nikkei 225 dropped 4.9%, while South Korea’s KOSPI plunged 7.6%. Hong Kong’s Hang Seng Index sank 1.0%, while Taiwan’s TAIEX index dropped 3.4%. India’s NIFTY 50 is up 1.7%, while the STOXX Europe 600 is down by 0.3% in early trading. Bitcoin plunges to just above $81,000.
Around the watercooler
‘I may be crazy enough to try one more time’: Lindsey Vonn isn’t ruling out a comeback after eight surgeries and two months in a wheelchair by Joshua Hong
An Ohio police lieutenant allegedly used Flock cameras 29 times to track someone he knew. Now he’s facing a felony by Catherina Gioino
Who is Abdulrahman Alfozan? The OpenAI employee the FBI arrested is also a Saudi investor by Emily Forlini
Kraken parent company Payward to become first crypto firm to buy a European Bank by Camila Grigera Naón
#Workdays #CEO #studied #Steve #Jobs #playbook #returning #founders