Dan Schulman had no intention of returning to the corporate world. After leaving his role as PayPal’s CEO in 2023—following a nine-year tenure—he moved to a ranch in Montana to step away from leadership. Yet Verizon’s board, where he served as lead director, persisted in urging him to take the helm of the struggling telecom company and guide its recovery.
“So after a lot of discussions with my wife, I reluctantly agreed to do it,” Schulman told HBR. Nearly a year into the position, he now oversees a company that has underperformed across critical areas.
Turning Around a Struggling Business
The root cause, in his view, was not a lack of technical capability or strategic vision but a cultural misalignment. For years, Verizon had prioritized engineering excellence and network infrastructure over customer experience. The result was a risk-averse, bureaucratic environment that struggled to keep pace with market shifts, particularly in areas like artificial intelligence.
“When the pace of change external to a company is faster than the change of pace internally, you’re falling behind,” he explained.
To reverse this, Schulman launched an initiative called “Every customer has a name,” designed to shift from treating clients as anonymous accounts to recognizing them as individuals. This includes streamlining in-store service, simplifying plan explanations, and training staff to deliver more empathetic support. The goal is to restore trust after years of frustration over opaque pricing and slow responses.
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Pricing reforms are another focus. Schulman acknowledged that past strategies had pushed customers into more expensive tiers through convoluted offerings. He stressed that improving customer experiences need not come at the expense of shareholder returns, better retention, he argued, fuels sustainable growth.
Restructuring for Growth
We needed to create a war chest to invest in the customer, and that necessitated the layoffs. Schulman described the decision as emotionally difficult, noting that every layoff carries personal weight, yet essential for broader change.
In internal meetings, Schulman avoids prepared remarks, delivering blunt assessments. “I tell them that we’re losing. And that’s hard to hear,” he said.
To prepare for AI’s role in the future, Schulman has mandated full training. All employees participate in week-long AI workshops, with additional upskilling support for roles vulnerable to automation.
“AI is going to be part of our future, and every single one of us needs to know how to use AI tools,” Schulman stated.
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Building an AI-Ready Enterprise
Schulman draws on four decades of mixed martial arts experience to shape his leadership approach. Discipline and emotional control, he argues, are critical under pressure. Avoiding impulsive reactions to either success or failure helps maintain focus during tough decisions.
Leadership Philosophy and Personal Motivation
Schulman described his decision to return as CEO as reluctant but driven by opportunity. After years away from day-to-day leadership, he saw potential in transforming a well-known American company. His prior experience as lead director gave him insight into internal challenges and the need for change.
He emphasized the importance of humility and authenticity in leadership. According to Schulman, effective leaders must admit mistakes, challenge themselves, and communicate honestly with employees. He believes in setting high expectations while remaining approachable and avoiding corporate jargon.
Drawing on his background in mixed martial arts, Schulman highlighted the value of staying calm under pressure. He stressed that leaders should maintain steady momentum, learning from both successes and setbacks. This mindset, he said, is essential for driving cultural shifts and keeping teams focused on long-term goals.
