In a recent CleanStart Perspective discussion, I sat down with Derek Porter, a product and strategy leader who has helped grow software companies from scrappy startups to billion-dollar acquisitions. With over 25 years of experience across the energy and enterprise software space, Derek shared hard-won lessons from every stage of the company life cycle.

🎥 Watch the full conversation now on CleanStart’s YouTube channel.

Scaling Isn’t Linear — It’s Evolutionary

Derek opened with a foundational idea: companies don’t grow linearly; they evolve through maturity stages, each with different needs and risks. 

“I’ve been with startups and with large software platforms that scaled,” Derek explained. “You need to change your team, structure, and mindset at each stage.”

Early Stage: Find Your Product Strategy and Start Hiring Right

When Derek helped Henwood Energy grow from $5M to $25M ARR, he learned a key startup lesson: product consolidation and strategic focus are critical.

“A strong product strategy, vision, and roadmap are key. Customer success leads to your success.”

Derek emphasized that early-stage companies often grow faster than their hiring systems can keep up. “You have to learn how to hire while you grow,” he said, noting that early disorganization can create bottlenecks down the line. Keeping a strong focus on the goals and continually learning to support the customer is important. 

Growth Stage: Build the Team and Sell Solutions, Not Just Products

As VP at Global Energy Decisions, Derek navigated a massive scale-up from $21M to over $100M in ARR and through crises like the Enron collapse and 9/11. His advice at this stage?

“You’ve got to gel your leadership team or you will fail.”

He also stressed the need to shift from product sales to solution selling, helping customers see the business outcomes, not just features. That’s when a professional sales organization becomes key.

Enterprise Stage: Integration is the Hidden Battlefield

At Ventyx and ABB Software, Derek led large-scale integrations and strategy pivots. The stakes and mistakes were larger. His advice?

“Integration is tricky, it needs to be well planned and executed quickly.”

And: “Large industrial companies do not understand the software business model.” Derek’s experience in bringing digital practices into traditional companies revealed the cultural disconnects that can derail even well-funded ventures. Historically, large older companies had trouble understanding the value of software and data. Collaborating and educating inside the company was a learning experience.

Final Phase: Metrics, SaaS Discipline, and Data as a Product

In his most recent role with Energy Exemplar, Derek helped guide the company from < $20M to > $100M ARR and a $1.2B exit.

“Run your business by the metrics you will be evaluated by at sell time — like Rule of 40.”

He also highlighted how real SaaS discipline and treating data as a product line helped drive valuation and scalability.

Advice Evolves with Your Company

Perhaps Derek’s most enduring insight is that there’s no one-size-fits-all strategy. What worked in the early days would sink a mature company, and vice versa.

“The challenge is, the advice you give someone at a toddler stage company is completely different than what you’d give when you’re at $100 million ARR.”

Don’t Miss the Full Discussion

Derek’s stories — from navigating billion-dollar M&A to building resilient teams — are full of insights for founders, product leaders, and investors alike. Watch the full conversation now on CleanStart’s YouTube channel, and hear more from leaders shaping the future of cleantech and software innovation.

Thomas Hall

ABOUT THE AUTHOR

Thomas is the Executive Director of CleanStart. Thomas has a strong background in supporting small businesses, leadership, financial management and is proficient in working with nonprofits. He has a BS in Finance and a BA in Economics from California State University, Chico. Thomas has a passion for sustainability and a commitment to supporting non-profits in the region.

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