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Thursday, November 4, 2010

Skunk works Smells Like Money

Now that we are through our elections,  it would be wise to take a pause and think for a moment about what trying times and the birth of true innovation can look like.  After all, our circumstances are not new.  We need to take a creative pause as well as deep breath and prepare to take a little risk and make some hard decisions about how we view innovation and creative change.  I learned of a term that is new to me, but for many of you reading today, perhaps it is not new to you.  Recall from the early 1940’s a strategy called Skunk works or skunkworks.  

            A skunkworks project is one typically developed by a small and loosely organized group of people who research and develop a project primarily for the sake of radical innovation.  Skunk works was born within the minds of the leadership of the Lockheed Aircraft Corporation in 1943 as they were tasked by the United States Government to build a jet fighter to counter a rapidly growing German jet threat.  In one month, based on the request, Clarence L. “Kelly” Johnson and his team of engineers at Lockheed are reputed to have developed a proposal, received a go-ahead with funding, and began development.  A formal contract for approval from the “powers that be” did not arrive until four months of project work had already been completed.  This type of Skunk Work strategy came to be known as the way to move forward with innovation quickly with only a handshake and rolling up your sleeves.  No contracts.  No official submittal process.  No slow meandering “take your time while we analyze this” complacency.  Skunkworks operates with a high degree of autonomy and unhampered by bureaucracy. 

Kelly is credited with operating the Skunk works effectively and efficiently albeit in an unconventional manner certainly.  He broke the rules, challenged the bureaucratic system and unleashed innovation.  End result:  Progress.  Skunk Works then is a small group of people who work on a project in an unconventional way.  The group's purpose is to develop something quickly with minimal management constraints.  Skunk Works are often used to initially roll out a product or service that thereafter will be developed according to usual business processes.

Although people have speculated that the name Skunkworks was inspired by the poor hygiene habits of overworked employees; it was really taken from the moonshine factory in the cartoon series "L'il Abner.”  Lockheed Martin has trademarked the name Skunk Works but they also refer to this type of project by the more formal name "Advanced Development Program" (ADP).  Kelly’s rule for innovation at Lockheed helped turn the face of a corporation answering the call of their country.  Perhaps it can help you innovate as you face the demands of your own business and customers.  Lockheed developed 14 basic rules for running an effective skunkwork.  I have modified them here to fit my general business needs.  Perhaps they will help you too as you innovate and create your own skunkwork for your organization.
  1. The Skunk Works manager must be delegated practically complete control
  2. Develop strong but small offices
  3. The number of people having any connection with the project must be restricted in an almost vicious manner.  Use a small number of good people (10% to 25% compared to the so-called normal systems
  4. Keep it simple for greater flexibility
  5. Keep the paperwork way down, but do document the important things
  6. Check your costs monthly to stay on top of expenses, commitments and what is needed to finish the project
  7. Delegate to your project leader and give them greater than normal responsibility.   
  8. Inspection and follow up are key, but do not duplicate effort
  9. The leader must be delegated the authority to test his final product.  He can and must test it in the initial stages as well.
  10. The specifications for the project must be decided immediately.
  11. Funding a program must be timely so that the leader doesn't have to keep running to the bank to get support
  12. There must be mutual trust between the project organization and the project leader with very close cooperation and liaison on a day-to-day basis.  This cuts down misunderstanding and correspondence to an absolute minimum.
  13. Access by outsiders to the project and its personnel must be strictly controlled by appropriate security measures.
  14. Reward based on performance and nothing else

Friday, October 29, 2010

The Ultimate Power Hobby and 16.8

The Ultimate Power Hobby and 16.8

Business AdVISE: The Ultimate Power Hobby and 16.8

Business AdVISE: The Ultimate Power Hobby and 16.8: "Writing for the Wall Street Journal this week, Katherine Rosman’s article The Ultimate Power Hobby shared the experience of bankers, lawyers..."

The Ultimate Power Hobby and 16.8

Writing for the Wall Street Journal this week, Katherine Rosman’s article The Ultimate Power Hobby shared the experience of bankers, lawyers and executives that jockey to teach a university class or two. The article nudged me to think a bit differently about something that we have written about here before: volunteerism and work. Rosman’s article discussed the dynamic at colleges and universities whereby high performing, fully employed, and highly engaged professionals are seeking adjunct teaching positions at local colleges and universities. Sometimes this means significant work for very little pay, and many come away donating to the institution much more than they actually get paid to teach. Generally, adjuncts fall into one of two classes of either the professional/practitioner adjunct or the academic adjunct. The professional/practitioner adjunct brings the experience of a successful career and usually is not in it for the money, while the academic adjunct , many of whom have doctorates, are looking for a tenured position.

According to the WSJ, reliance on adjuncts is increasing with part-time teachers making up 50% of faculty at degree granting institutions. (Think about that next time you write your university tuition check!) My father had a plaque given to him for his leadership and teaching responsibilities for Ranger School with the US Army and it reads “Let him teach who himself excels.” In business, as in the military, who better to teach and lead than those that are actually making the real world happen? According to the article by Rosman, professional adjuncts offer students a window on the industry unfolding far from the academic world.

Hmmmm. Maybe there is a bigger lesson here. Maybe, just maybe, the way to get work is to start and stay working, even if it means you don’t make that much in the realm of income, but the experience is the real gain. We know what it means to work, but what about the volunteerism part. And in the spirit of the blended life, is it possible to blend our work with our volunteerism?

We here in the Bible belt are quick on the draw to toss out the idea of donating 10% to our church or charities. What what about your time and talent? I submit that when you try to give 10% of your time that it is really giving until it hurts. How you think about this may depend on if you are a tithe “after tax” or “before tax” thinker. If you are an “after tax” thinker, then you would donate 4 hours of your 40 hour work week, but if you are a “before tax” thinker than you may reach for the 16.8 hours of donated time and talent from the full 168 hours in a week. I don’t know about you, but the thought of carving out two full eight hour days to give away of my personal time seems daunting. But, maybe it isn’t as hard as you think. Take a look at how you spend your time, and you may have some opportunities to go deeper in your volunteerism. And your volunteerism may richly enhance your work. Volunteering with your chamber, helping out with little league, assisting with your church youth group, carving out time for your local Women’s Center, participating in Relay for Life are just a few examples of volunteerism that can tie directly in to your professional day.

I recall from my early classes in physics a very simple law that an object in motion will stay in motion until outside forces slow it down. Are you in motion? With unemployment up, and underemployment up, what are you doing with your time? What are you doing with your “free” time? Make the hours and minutes count.