Where to start:
1) There is no HR, nor does it seem there ever will be as long as current management remains the same. It represents too much of a loss of control.
2) The talent stagnates and people begin to leave. A lot of effort is put into "sparking" new initiatives and products, but people have zero say in seeing through a project without getting bottlenecked at the top.
3) To say the president of the company micromanages every aspect of the company is a huge understatement. They like to say the company is flat in interviews, but that is in no way true.
4) Pay is good, but secret, arbitrary, and little is done on the way of consistent performance reviews or bonuses.
5) Always chooses making a good impression on outsiders vs valuing existing employees. For example, senior team members get displaced from offices and desks so that interns get a good view!
6) Dress changes from business formal to business casual, but employees have to wait for a nearly nightly email from the president before they know what to wear the next day!
7) Insane amounts of time and money is spent on twice yearly parties, often to the point of disrupting actual work and time with clients. If they were smart and really wanted to effect morale, management would throw a potluck in a park and hand out bonus checks.