Resilient Companies

Vibrant companies act differently. Even with a long history behind them, you sense they are current or even state of the art. How do companies stay resilient through all the changes in technologies, different styles, consumer fads, business practices, and new customers every day?

Simple, they are not the company they were yesterday. Vibrant companies avoid the ‘Status Quo Bias’ that affects us all. Keep looking for the new. Looking for the opportunities. Looking out for your customers. Finding better ways to take care of them. Seeing what competitors offer, then offering simpler or better value products/services to compete.

Second vibrant companies take care of their people. Provide benefits and onsite service that free peoples time to work. Simplify processes and procedures to allow creativity. Celebrate & learn from their successes and failures. Avoid overworking people, even if our culture is celebrating overwork.

Why take care of employees? Who takes care of the clients? Burnt out employees are not creative, and do not go the extra mile to make clients happy.

How do companies stay resilient? Create a culture obsessed with pleasing the customer. Truly care about customers and employees.

My Job No One Knows

My first job after college was a career I never heard of. Even though my parents are engineers, never learned about Manufacturing Engineers. Am not alone, there are many careers no one knows about or understands.

Design engineers are what everyone thinks of for engineering. The people who can take a idea and create from scratch new products is what people think of engineers. (That and we drive trains and sound the whistle) Truth is even simple products need vastly different skills and talents to be made successfully.

Manufacturing has designers, design engineers, toolmakers, tool designers, industrial engineers, machine designers, planners, production mangers, and the craftsmen who put products together every day. Every small product takes a team of people to accomplish everything you touch or hold.

Manufacturing and tooling engineers are often considered second-class citizens by management. The example that comes to mind is I was in my thirties before I had desk younger than I. Sales had the fancy offices. Production is industrial. And manufacturing engineers plan, coordinate, improve and team to make it happen.

Why do it? I love it. Am fascinated by technology, products and services. The challenge of find the easiest way, the least cost, a faster way, a safer way, and to make your product better is consuming. People need help and you solve problems. You wake up at night with new ideas how.

Nothing happens instantaneously. The first version doesn’t work. The second round can’t be made as designed. The third version needs to be more reliable. And competition means the cost has to go down. There are always problems and challenges that have to be overcome. Innovation, creativity and persistance are key. You work hard to make your team succeed.

Production celebrates shipping new products like teams winning playoffs. Anything great is the result of lots of hard work.

There is a sense of accomplishment and knowing you have done what others could not with new products. New production systems may be invented, tools created specially for your product, people need to be trained, instructions and documents written, and schedules met.

Manufacturing is a great career even if no one understands what you do.

“Make Something Better.” Bill Boeing

Happy 100th Birthday Boeing

The original Pacific Aero Products Company celebrates turning 100 today. Boeing is now a huge international company known worldwide. It was originally a few men who believed they could make better airplanes, and they did. From the original B&W Model 1 to the Clipper to WW2’s B-17 to B-52 to 707’s original jet age to 727 to the iconic 747 to the great F-15 to the amazing C-17 and F-18 to today’s 787, Boeing makes wonderful airplanes.

Boeing is the 3^rd company I have worked for with over 100 years of history. Celebrated Colt Firearms 150^th anniversary, and Sargent and Company dated back to 1864 making builders hardware.

What do these companies have in common?

• ·      Innovate great products and services.
• ·      Look out for their customers & end users. They care.
• ·      Always becoming more productive.
• ·      Adapt and adjust to market conditions.
• ·      Always learning, especially from failures.
• ·      Hire and develop great people.

Boeing has “The Incredibles” who built the first 747 in ~16 months while the factory was built around them. Supervisors would sometimes have to walk people out to their cars and watch them leave to make sure they went home for a break. (You cannot pay for performance like that.)

A lot of people will honor Boeing today and it is well deserved. Boeing people “Enthusiastically Tackle Challenges” through the decades, and do so today.

This is the best company ever worked for. What took me so long to get here?

Spotting Dying Businesses

Do you want to know if your company is dying? Yes for two reasons:

One, you can intervene in the issue and improve your teams results. This puts you in a leader’s role with the resulting salary.

Two, you can be the first to find a new company to work with.  There are advantages knowing what you have to do and having enough time to start the process before you lose your salary, or experience the heartbreak of closing a company.

What are symptoms of a dying company?

1. Not Knowing Who the Customer Is

Big companies love processes. They are good because processes build quality controls and guarantee stable returns on effort. However your customer is not your co-worker who gets handed the work after you are done. He is a partner in satisfying the real customer who chooses and pays for your product & services.

Successful companies fall in love with their customers and dive deeply into their customer’s businesses. That way the company is focus outward, not inward.

2. Not Staying Up with the Times

Stable companies often have the belief their customers won’t change. They have always bought from us and will not leave. That is not true.

Customers retire, go out of business, or die. Businesses are run by people, and people always change.

Second technology changes. Eastman Kodak did not want to kill the film business, which brought in fortunes. The marketing failure was not realizing they could make more profits licensing their technology. Do you realize they could have had a Kodak Camera in every cell phone?

3. Not Creating New Products & Services

Unless 10% to 25% of your sales are new products and services less than 5 years old, your future is looking bleak. Mature products have to fund new investments to stay successful. What percentage of your sales are new products?

4. Illegal Business Practices
Bernie Madoff Ponzi schemes.  Double sets of accounting books. Inside trading. Bribes. Stealing secrets. Drug habits.

Any one of these practices can result in jail time, customers abandoning you, and being unemployable. Time to find new work now, even with a pay cut.

Check on a regular cycle how you and your company are doing. The only constant in life is change. Make sure you are doing everything you can to adapt and thrive.